H-1093

AN ACT Relating to child care workers' wages; amending RCW 43.31.085; adding new sections to chapter 74.13 RCW; creating a new section; and making an appropriation.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. (1) The legislature finds that the salaries of child care workers are unacceptably low relative to the value of their work and wages paid to others in comparable occupations. Low wages lead to high turnover among child care workers, and high turnover rates have been shown to adversely affect the quality of child care services. The legislature further finds that it is especially difficult for child care providers to increase child care workers' wages because of the inability of lower and middle income parents to afford higher child care costs.

(2) The legislature intends, through the establishment of the child care wage enhancement program, to increase child care workers' wages and provide child care providers with the small business management skills necessary to maintain higher wage levels, thereby improving the quality and increasing the supply of child care services in Washington. The legislature further intends to improve the availability of quality child care services for children of low-income families.

NEW SECTION. Sec. 2. Unless the context clearly requires otherwise, the definitions in this section apply throughout sections 3 and 4 of this act.

(1) "Child care provider" means a child care facility licensed pursuant to chapter 74.15 RCW.

(2) "Child care workers" means persons employed by child care providers as assistant teachers, teachers, and program directors who spend at least fifty percent of their work hours teaching children in care.

(3) "Child care coordinating committee" means the committee established pursuant to RCW 74.13.090.

NEW SECTION. Sec. 3. (1) The child care wage enhancement grant program is hereby established in the department. To the extent funds are available, the department shall award grants on a competitive basis to child care providers who meet the conditions specified in subsection (2) of this section.

(2) As a condition of receiving a child care wage enhancement grant, a child care provider must agree to:

(a) Enhance the wages of child care workers employed by the provider to at least six dollars per hour;

(b) Use grant funds solely for child care workers' wages, and not to supplant or substitute any other funding available for child care services with grant funds;

(c) Have a goal of increasing the number of children cared for by the child care provider for whom the costs of child care are subsidized by the department to a minimum of fifteen percent of the slots in the child care facility by the end of the grant period;

(d) Participate in a follow-up survey to determine the impact of increased wages funded by the grant on child care worker turnover; and

(e) Submit a plan to the department for maintaining increased child care workers' wages after the period of the grant terminates.

(3) The department shall coordinate development of child care wage enhancement grant request for proposals and screening of grant applicants with the child care coordinating committee.

NEW SECTION. Sec. 4. The department, in coordination with the child care coordinating committee, shall conduct a follow-up survey of child care providers at the termination of the grant period to determine the impact of the child care wage enhancement grants on turnover rates for child care workers.

Sec. 5. RCW 43.31.085 and 1989 c 430 s 2 are each amended to read as follows:

The business assistance center shall:

(1) Serve as the state's lead agency and advocate for the development and conservation of businesses.

(2) Coordinate the delivery of state programs to assist businesses.

(3) Provide comprehensive referral services to businesses requiring government assistance.

(4) Serve as the business ombudsman within state government and advise the governor and the legislature of the need for new legislation to improve the effectiveness of state programs to assist businesses.

(5) Aggressively promote business awareness of the state's business programs and distribute information on the services available to businesses.

(6) Develop, in concert with local economic development and business assistance organizations, coordinated processes that complement both state and local activities and services.

(7) The business assistance center shall work with other federal, state, and local agencies and organizations to ensure that business assistance services including small business, trade services, and distressed area programs are provided in a coordinated and cost-effective manner.

(8) In collaboration with the child care coordinating committee in the department of social and health services, prepare and disseminate information on child care options for employers and the existence of the program. As much as possible, and through interagency agreements where necessary, such information should be included in the routine communications to employers from (a) the department of revenue, (b) the department of labor and industries, (c) the department of community development, (d) the employment security department, (e) the department of trade and economic development, (f) the small business development center, and (g) the department of social and health services.

(9) In collaboration with the child care coordinating committee in the department of social and health services, compile information on and facilitate employer access to individuals, firms, organizations, and agencies that provide technical assistance to employers to enable them to develop and support child care services or facilities.

(10) Actively seek public and private money to support the child care facility fund described in RCW 43.31.502, staff and assist the child care facility fund committee as described in RCW 43.31.504, and work to promote applications to the committee for loan guarantees, loans, and grants.

(11) In collaboration with community-based child care resource and referral agencies, provide training to child care providers who have received child care wage enhancement grants to develop their plans for maintaining increased wages pursuant to section 3(2)(e) of this act.

(12) In collaboration with community-based child care resource and referral agencies, provide training to child care providers to increase their small business management skills. To the greatest extent practicable, each child care resource and referral agency shall recruit small businesses in the geographic area served by the agency to participate in the training.

NEW SECTION. Sec. 6. The sum of two million one hundred twenty thousand dollars, or as much thereof as may be necessary, is appropriated for the biennium ending June 30, 1993, from the general fund to the department of social and health services for the purposes of this act. No more than one hundred twenty thousand dollars of this appropriation shall be used by the department for administration of the child care wage enhancement grant program.

NEW SECTION. Sec. 7. Sections 2 through 4 of this act are each added to chapter 74.13 RCW.