Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS

Early Learning & Children's Services Committee

HB 1905


This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Creating early learning and child care program grants.

Sponsors: Representatives Kagi, Conway, Seaquist, Anderson, Ormsby, Simpson, Williams, Rodne, Appleton, Kessler, P. Sullivan, Kenney, Hasegawa, Morrell, Wood and Santos.

Brief Summary of Bill
  • Appropriates the sum of $5 million for the purpose of providing grants to maintain staff and services at selected early learning and child care centers on college campuses.

Hearing Date: 2/13/07

Staff: Sydney Forrester (786-7120).

Background:

The Department of Community Trade and Economic Development (CTED) administers the Child Care Facility Revolving Fund (fund) to provide small business loans to child care projects throughout Washington. When the Department of Early Learning (DEL) was created in 2006, this loan management function remained with the CTED because it was more in the nature of business management and consultation.

The program current is a joint effort between the DEL and the CTED. The business finance unit within the CTED manages the loans. The DEL acts as the grant administrator and regulator and contracts with the CTED to provide the loans. Loans are limited to $25,000 on a one-time basis and may not be used to cover operating costs beyond the fist three months of business.

The fund consists of federal dollars which were capitalized at $1 million 1989. The current account balance is $500,000, with about $884,000 in outstanding loans.

Summary of Bill:

The sum of $5 million is appropriated from the child care facility revolving fund to the CTED to provide grants to selected early learning and child care centers on the campuses of higher education institutions to maintain staff and services in the programs.

Appropriation: The sum of $5 million is appropriated from the child care facilities revolving fund.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.