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S. 1354

BillFederalSenateIn Committee
To increase the quality and supply of child care and lower child care costs for families.
About This Bill
Committee
Latest Action · April 27, 2023
Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
Congress
118th (2023–2025)
Introduced
April 27, 2023
Cosponsors (42)
40D 0R
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Summary

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# Child Care for Working Families Act Summary This comprehensive legislation creates three major child care and early education programs funded from fiscal years 2024 through 2029. **Title I establishes a birth-through-five child care entitlement program** that guarantees affordable, high-quality child care for eligible children whose parents are working, attending school, or engaged in job training. Starting October 1, 2024, the federal government will cover 90 percent of direct child care costs through state programs, with families paying sliding-scale copayments based on income (free for families earning up to 85 percent of state median income, capped at 7 percent of income for higher earners). States must implement quality rating systems, establish child care provider payment rates sufficient to cover operating costs and competitive wages for staff, and prioritize access for low-income families and underserved populations. The legislation appropriates unlimited funds for direct services and $20 billion for local grants and Head Start expansion in non-participating states, plus $1.3 billion for federal administration. **Title II provides $9 billion annually in Building an Affordable System for Early Education (BASE) grants** directly to child care providers to support stable operations and staff wages. Providers receiving these five-year grants must dedicate at least 70 percent of funds to staff compensation, including annual cost-of-living adjustments and wage increases based on credentials and experience. **Title III funds universal preschool** for all 3- and 4-year-olds, with federal contributions declining from 90 percent in 2024 to 60 percent in 2029. States must provide free, full-day, full-year preschool through a mixed-delivery system (schools, Head Start programs, and child care providers) and ensure teachers earn salaries comparable to elementary educators. The program includes $2.5 billion for tribal programs, $1.25 billion for territories, and $20 billion for local grants in non-participating states. **Title IV extends Head Start services** to full school days and years, with $4.8 billion appropriated for 2024 and additional funding through 2026, plus $2.7 billion annually for staff wages comparable to elementary teachers.

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