SRC-JJJ, PNG H.B. 3333 76(R) BILL ANALYSIS Senate Research Center H.B. 3333 By: Tillery (Cain) Economic Development 5/9/1999 Engrossed DIGEST Currently, local workforce development boards (boards) receive state and federal funds to provide child-care assistance to low-income families. Local child care providers are reimbursed for the provision of this care at a rate determined by the Texas Workforce Commission (TWC). H.B. 3333 would require each of the state's boards to establish graduated reimbursement rates for child care based on the TWC's designated vendor program (program). Specifically, the bill provides that the minimum reimbursement rate must be 80 percent for a facility that participates in the program and 75 percent for a facility that does not participate in the program. This bill would also require that each board allocate a portion of their federal child care funds for registered family homes that provide care for children under four years of age. PURPOSE As proposed, H.B. 3333 provides for differential reimbursement rates for child care and funding of a competitive procurement system for children under the age of four in certain registered family homes. RULEMAKING AUTHORITY This bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 2308G, Government Code, by adding Sections 2308.315 and 2308.316, as follows: Sec. 2308.315. REIMBURSEMENT RATES FOR CHILD CARE. Requires each local workforce development board (board) to establish graduated reimbursement rates for child care based on the Texas Workforce Commission's designated vendor program. Requires that the minimum reimbursement rate be 80 percent of the local rate based on a current market survey. Requires that the vendor program be voluntary and have standards related to the accreditation and certification held by the vendor. Requires the minimum reimbursement rate for a facility that does not participate in the voluntary designated vendor program to be at least 75 percent of the local rate based on a current market survey. Sec. 2308.316. FUNDING OF COMPETITIVE PROCUREMENT SYSTEM FOR INFANT AND TODDLER CHILD CARE. Requires each board to allocate a portion of its federal child care development funds to a competitive procurement system that encourages the provision of child care for children under four years of age in registered family homes that satisfies certain specified conditions. SECTION 2. Effective date: September 1, 1999. SECTION 3. Emergency clause.