SENATE BILL REPORT

SB 6051

BYSenators Anderson, Cantu, Stratton, Smith, Thorsness, McMullen, Wojahn, Lee and Bailey

Promoting employer involvement in the development of child care services and facilities.

Senate Committee on Economic Development & Labor

Senate Hearing Date(s):February 27, 1989; March 1, 1989

Majority Report:  That Substitute Senate Bill No. 6051 be substituted therefor, and the substitute bill do pass and be referred to Committee on Ways & Means.

      Signed by Senators Lee, Chairman; Anderson, Vice Chairman; McDonald, Murray, Saling, Smitherman, Warnke, Williams.

Senate Staff:Jonathan Seib (786-7427)

                  March 1, 1989

Senate Committee on Ways & Means

Senate Hearing Date(s):March 3, 1989; March 6, 1989

Majority Report:  That Second Substitute Senate Bill No. 6051 be substituted therefor, and the second substitute bill do pass.

      Signed by Senators McDonald, Chairman; Craswell, Vice Chairman; Bailey, Bluechel, Cantu, Fleming, Lee, Matson, Owen, Saling, Smith, Talmadge.

Senate Staff:Steve Jones (786-7440)

                  March 9, 1989

AS REPORTED BY COMMITTEE ON WAYS & MEANS, MARCH 6, 1989

BACKGROUND:

As the role of women in the workforce continues to grow dramatically, the availability of quality, affordable child care is viewed more and more as crucial to the stability of the family and the economic health of businesses in the state.  There are not enough child care services to meet the needs of working parents, and those which do exist are often prohibitively expensive or inconveniently located. 

In 1987, the Legislature created a Coordinator for Child Care Resources in the Department of Social and Health Services, and directed the office to help encourage employer provided assistance for child care.  This legislation expires in June, 1989.

In 1988, the Legislature established a Child Care Coordinating Committee to help coordinate state agencies in this area and to provide recommendations to the Legislature regarding child care subsidy programs.  Currently, the major child care subsidy programs are: (1) assistance provided through AFDC; (2) assistance to low income, employed, and non-AFDC persons; (3) assistance to teenage parents completing their high school education or GED; (4) care for low income seasonal workers; and (5) care associated with Child Protective Services.

The Legislature created but did not fund a child care expansion grant fund to provide one-time start-up grants to persons, organizations, or schools for new child care facilities, or to expand existing facilities to handle children with special needs.

SUMMARY:

The original bill was not considered.

EFFECT OF THE PROPOSED SUBSTITUTE:

The Washington State child care partnership is established within the Department of Community Development (DCD) to increase employer involvement in child care, and foster cooperation between business and government to improve child care services in the state.  Partnership members will include child care providers, business and labor representatives, a child development expert, and a representative of a philanthropic organization.

The partnership will evaluate child care systems and workplace policies which enhance access to child care, and make recommendations to employers and the legislature in this regard.

A child care expansion grant fund is established within DCD to be administered by the partnership.  Public and private money may be deposited in the fund.  One-time grants and loans of up to $25,000 will be made by the partnership to individuals, businesses and other organizations to start or improve a child care facility. Grant applications must describe in detail the child care needs of the area, how the grant will be used to meet those needs, and the other resources available to the applicant to assure continued provision of the intended services.

Grant recipients must report to the partnership each year for two years on the status of their facility and program.

Through an interagency agreement with DCD, and with the advise of the partnership, the business assistance center of the Department of Trade and Economic Development is to be a clearinghouse for research and information on child care options for employers. The center will facilitate the access of businesses to technical assistance to enable them to provide child care services or facilities, and will provide assistance to community-based child care resource and referral programs.

DCD will biennially report to the Legislature on the progress and status of the partnership, including the relevant activities of the business assistance center.

EFFECT OF PROPOSED SECOND SUBSTITUTE:

The Washington State child care partnership and the child care expansion grant fund are placed under the administration of the Business License Center within the Department of Trade and Economic Development.  The department is directed to seek federal funding and to cooperate with similar programs within the Department of Social and Health Services.  Technical assistance to be provided under the program is detailed.  The general fund portion of the appropriation is deleted, and the bill is made contingent on funding being provided in the budget.

Appropriation:    none

Revenue:    none

Fiscal Note:      available

Effective Date:The bill contains an emergency clause and takes effect immediately.

Senate Committee - Testified: ECONOMIC DEVELOPMENT & LABOR:  Betty Jane Narver, Institute for Public Policy and Management; Linda Matson, NFID (pro); Clif Finch, AWB (pro); Jan Gee, Washington Retail Association (pro); Pat Thibaudeau, Washington Women United (pro)

Senate Committee - Testified: WAYS & MEANS:  Mary Frost, Department of Community Development; Margie Reeves, Washington Association for the Education of Young Children