By Villarreal                                         H.B. No. 3577
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the provision of child care services.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           ARTICLE 1. DEFINITION OF QUALITY CHILD CARE PROGRAMS
 1-5           SECTION 1.01. Chapter 44, Human Resource Code, is amended by
 1-6     adding Section 44.034(c) to read as follows:
 1-7           Section 44.034(c). The executive director of the commission
 1-8     shall define quality child care programs as those programs that
 1-9     provide a safe and nurturing environment while promoting the
1-10     physical, social, emotional, and intellectual development of young
1-11     children.  Quality child care programs include:
1-12                 (1)  frequent, positive, warm interaction among adults
1-13     and children,
1-14                 (2)  planned learning activities appropriate to
1-15     children's age and development,
1-16                 (3)  specially trained teachers,
1-17                 (4)  enough adults to respond to individual children,
1-18                 (5)  many, varied age-appropriate materials,
1-19                 (6)  a healthy and safe environment for children,
1-20                 (7)  nutritious meals and/or snacks,
1-21                 (8)  regular communication with parents who are
1-22     welcomed to observe, discuss, and recommend policies, and
1-23     participate in programs activities at all times.
 2-1                 (9)  effective administration, and
 2-2                 (10)  ongoing, systematic evaluation.
 2-3           ARTICLE 2. CHILD-CARE RESOURCE AND REFERRAL NETWORK
 2-4           SECTION 2.01. Subtitle B, Title 4, Labor Code, is amended by
 2-5     adding Chapter 310 to read as follows:
 2-6           CHAPTER 310.  CHILD-CARE RESOURCE AND REFERRAL NETWORK
 2-7           Sec. 310.001.  DEFINITIONS. In this chapter:
 2-8                 (1)  "Member" means a nonprofit public or private
 2-9     organization that contracts with the commission to provide
2-10     child-care resource and referral services.
2-11                 (2)  "Network" means the child-care resource and
2-12     referral network administered by the commission.
2-13                 (3)  "Service area" means the geographic area for which
2-14     a member has contracted to provide child-care resource and referral
2-15     services.
2-16           Sec. 310.002.  CHILD-CARE RESOURCE AND REFERRAL NETWORK. (a)
2-17     The commission, through funds allocated to the commission as the
2-18     agency designated to administer the grant under the Child Care and
2-19     Development Block Grant Act of 1990 (42 U.S.C. Section 9858 et
2-20     seq.), as amended, and specifically appropriated to the commission
2-21     for that purpose, shall:
2-22                 (1)  develop a child-care resource and referral
2-23     network; and
2-24                 (2)  administer the network in compliance with the
2-25     requirements of the block grant program.
2-26           (b)  To develop the network required by this section, the
 3-1     commission shall use a system of competitive procurement to award
 3-2     contracts to nonprofit public and private organizations that have
 3-3     proven experience in child care.
 3-4           (c)  A contract awarded under this section must specify the
 3-5     service are for which a member shall provide resource and referral
 3-6     services.
 3-7           (d)  To the extent funds from the block grant program are
 3-8     available for that purpose, the commission shall award contracts
 3-9     under this section in a manner that will allow for the provision of
3-10     child-care resource and referral services in each region of this
3-11     state that demonstrates a need for the services.
3-12           Sec. 310.003.  RESOURCE SERVICES. (a)  A member of the
3-13     network shall provide and continually update resource information
3-14     regarding child-care services in each county of this state that is
3-15     included in the member's service area, including:
3-16                 (1)  the name, address, and telephone number of each
3-17     day-care center, group day-care home, and family home located in
3-18     the county;
3-19                 (2)  information relating to the services provided by
3-20     the day-care center, group day-care home, or family home,
3-21     including:
3-22                       (A)  the designation of the facility as a
3-23     day-care center, group day-care home, or family home under Chapter
3-24     42, Human Resources Code;
3-25                       (B)  the group size for each age group receiving
3-26     care;
 4-1                       (C)  the ages of children accepted for child
 4-2     care;
 4-3                       (D)  the ability of the facility to accept
 4-4     additional children for child care;
 4-5                       (E)  the level of training of staff and
 4-6     management of the facility;
 4-7                       (F)  the hours during which services are
 4-8     available at the facility;
 4-9                       (G)  the cost of child care at the facility; and
4-10                       (H)  the types of public subsidies accepted at
4-11     the facility or the types of scholarships or other financial
4-12     assistance offered by the facility; and
4-13                 (3)  information to educate consumers regarding general
4-14     child-care issues.
4-15           (b)  The commission and the Department of Protective
4-16     Regulatory Services shall provide assistance to the member in
4-17     collecting, aggregating, and updating the information required by
4-18     Subsection (a).
4-19           Sec. 310.004.  REFERRAL SERVICES. (a)  A member of the
4-20     network shall provide referral services to:
4-21                 (1)  a person who is seeking child care, including a
4-22     person who is referred by a local workforce development board; and
4-23                 (2)  an employer in the service area seeking child-care
4-24     assistance for an employee through:
4-25                       (A)  a consultation regarding the availability of
4-26     child care; or
 5-1                       (B)  a contract to provide specialized services
 5-2     to the employer or its employees.
 5-3           (b)  Child-care referrals must be:
 5-4                 (1)  available by telephone;
 5-5                 (2)  accessible through all career development centers
 5-6     located in a local workforce development area in which a local
 5-7     workforce development board has been certified and a local plan has
 5-8     been approved by the governor; and
 5-9                 (3)  provided only for child-care facilities that are
5-10     licensed, listed, or registered under Chapter 42, Human Resources
5-11     Code, or programs or other types of child care that are exempt from
5-12     state regulation.
5-13           (c)  A member of the network shall, in addition to providing
5-14     referrals to child care, provide referrals to support services
5-15     available in the service area, including:
5-16                 (1)  parenting education classes; and
5-17                 (2)  services for parents or children offered by health
5-18     and human services agencies, as defined by Section 531.001,
5-19     Government Code.
5-20           Sec. 310.005.  COLLECTION OF CHILD-CARE DATA. (a)  A member
5-21     of the network shall maintain records of requests made to the
5-22     member for resources and referrals shall make the records available
5-23     in an aggregate format to state and local agencies and private
5-24     organizations.
5-25           (b)  The records required by Subsection (a) must include:
5-26                 (1)  the number of requests made for resources and
 6-1     referrals during a specified period;
 6-2                 (2)  the age of each child for whom a request for
 6-3     resources and referrals is made;
 6-4                 (3)  for each person requesting resources and
 6-5     referrals:
 6-6                       (A)  the hours during which the person is seeking
 6-7     child care; and
 6-8                       (B)  the reason the person is seeking child care;
 6-9     and
6-10                 (4)  any other information as determined by the
6-11     commission to be useful in assessing the supply and demand for
6-12     child-care information and services in the service area.
6-13           (c)  The commission shall provide assistance to the member in
6-14     collecting, aggregating, and updating the records required by this
6-15     section.
6-16           Sec. 310.006.  ASSISTANCE FOR CHILD-CARE PROVIDERS. (a)  A
6-17     member of the network shall provide to a child-care provider or a
6-18     person interested in becoming a child-care provider information
6-19     about:
6-20                 (1)  the general requirements for applying for and
6-21     maintaining a license, listing, or registration under Chapter 42,
6-22     Human Resources Code;
6-23                 (2)  the availability of:
6-24                       (A)  financial resources, including loans
6-25     available under the linked deposit program established under
6-26     Section 481.193, Government Code;
 7-1                       (B)  educational, technical, and other training
 7-2     opportunities, including management skills training and continuing
 7-3     education programs for operators and employees of those child-care
 7-4     facilities; and
 7-5                       (C)  services provided by and a toll-free
 7-6     telephone number of the Texas Business and Community Economic
 7-7     Development Clearinghouse established under Section 481.167,
 7-8     Government Code; and
 7-9                 (3)  current issues affecting the delivery of
7-10     child-care services.
7-11           (b)  The commission and the Department of Protective and
7-12     Regulatory Services shall provide assistance to the member in
7-13     collecting, aggregating, and updating the information required by
7-14     Subsection (a).
7-15           Sec. 310.007.  ADVERTISEMENT OF SERVICES. (a)  A member of
7-16     the network shall inform parent's child-care consumers, child-care
7-17     providers, and employers located in the member's service area of:
7-18                 (1)  the resource and referral services available from
7-19     the network; and
7-20                 (2)  the methods by which a person may contact the
7-21     member to access resource and referral services.
7-22           (b)  The member may provide the information under Subsection
7-23     (a) through the media and alternative means, including:
7-24                 (1)  local community, job, and health fairs;
7-25                 (2)  public service announcements and advertisements;
7-26                 (3)  career development centers;
 8-1                 (4)  offices of health and human services agencies
 8-2     located in the service area; and
 8-3                 (5)  direct contacts with employers and child-care
 8-4     providers located in the service area.
 8-5           (c)  In addition to the means described by Subsection (b),
 8-6     the member may provide the information under Subsection (a) to
 8-7     child-care providers located in the member's service area through:
 8-8                 (1)  solicitation of child-care providers;
 8-9                 (2)  information provided to child-care providers by
8-10     the Department of Protective and Regulatory Services; and
8-11                 (3)  orientations and referrals for child-care
8-12     providers provided by the Department of Protective and Regulatory
8-13     Services.
8-14           Sec. 310.008.  STATEWIDE DATA COLLECTION. (a)  The commission
8-15     shall collect from each member of the network data maintained by
8-16     the member in an aggregate format under Section 310.005.  Based on
8-17     the data, the commission shall compile statistics for each region
8-18     of this state regarding the supply and demand for child-care
8-19     information and services and shall update the statistics each
8-20     fiscal quarter.
8-21           (b)  The commission shall make the data and statistics
8-22     required by Subsection (a) available to state and local agencies
8-23     and private organization.
8-24           Sec. 310.009.  RULES. The commission may adopt rules
8-25     necessary to implement this chapter, including rules regarding the
8-26     minimum qualifications required for an organization to be awarded a
 9-1     contract under this chapter.
 9-2           SECTION 2.02 The Texas Workforce Commission shall award
 9-3     contracts to establish the child-care resource and referral network
 9-4     required by Chapter 310, Labor Code, as added by this Article, not
 9-5     later than the first day of every even year.
 9-6            ARTICLE 3.  INVENTORY OF QUALITY CHILD CARE PROGRAMS
 9-7           SECTION 3.01.  Subchapter A, Chapter 302, Labor Code, is
 9-8     amended by adding Section 302.0045 to read as follows:
 9-9           Sec. 302.0045.  COLLECTION OF STATE AND LOCAL INFORMATION.
9-10     (a)  The commission shall collect state and local information
9-11     relating to the workforce development services provided in this
9-12     state.  The commission shall assess the information collected and
9-13     evaluate the effectiveness of the services, with particular
9-14     emphasis on the extent to which local workforce development boards
9-15     are spending money allocated to the boards on quality programs.
9-16           (b)  In performing its duties under this section, the
9-17     commission shall report to the legislature and other interested
9-18     persons on local programs and services that show promise in
9-19     expanding access to quality early education.
9-20             ARTICLE 4.  QUALITY CHILD-CARE DEMONSTRATION GRANTS
9-21           SECTION 4.01. Subchapter D, Chapter 301, Labor Code, is
9-22     amended by adding Section 301.069 to read as follows:
9-23           Sec. 301.069.  CHILD-CARE DEMONSTRATION PROJECT GRANTS. (a)
9-24     The commission shall make grants available on a one-time basis to
9-25     local workforce development boards to enable the boards to design
9-26     and implement child-care demonstration projects.  The commission
 10-1    shall make at least 12 but not more than 16 grants available and
 10-2    shall award the grants through a competitive bidding process.
 10-3          (b)  A local workforce development board that receives a
 10-4    grant under this section shall use the grant to design and
 10-5    implement a demonstration project that:
 10-6                (1)  expands child-care services in under-served rural
 10-7    local workforce development areas, including:
 10-8                      (A)  home-based child-care services;
 10-9                      (B)  child-care services at nontraditional times,
10-10    including services that accommodate the child-care needs of parents
10-11    who work shift-schedules, evenings, and weekends; and
10-12                      (C)  services to link child-care programs,
10-13    pre-kindergarten programs under Subchapter E, Chapter 29, Education
10-14    Code, and the federal Head Start program;
10-15                (2)  creates or expands existing pilot programs based
10-16    on demonstrated models, including the North Carolina T.E.A.C.H.
10-17    project, that provide strategies for successfully recruiting and
10-18    retaining child-care providers;
10-19                (3)  creates pilot programs designed to assist
10-20    low-income, at-risk parents receiving child-care services provided
10-21    by the commission with career counseling and locating employment
10-22    with the potential for career advancement; and
10-23                (4)  develops initiatives that foster school readiness
10-24    in young children and encourage pre-reading and problem-solving
10-25    skills in those children.
10-26          (c)  To be eligible for a grant under this section, a local
 11-1    workforce development board must:
 11-2                (1)  conduct the demonstration project for which the
 11-3    grant is made:
 11-4                      (A)  for a period of at least 12 but not more
 11-5    than 24 months on an annual budget of not more than $400,000; and
 11-6                      (B)  in a manner that allows replication of the
 11-7    project in whole or part by other local workforce development
 11-8    boards to address similar child-care service needs in under-served
 11-9    local workforce development areas; and
11-10                (2)  use the grant to directly provide child-care
11-11    services that, at the conclusion of the demonstration project, will
11-12    be funded through existing local workforce development board
11-13    resources for child-care services or other local resources.
11-14              ARTICLE 5.  SCHOLARSHIPS FUNDED BY THE FEDERAL
11-15                        CHILD CARE DEVELOPMENT FUND
11-16          SECTION 5.01.  Sections 302.006(c) and (e), Labor Code, as
11-17    added by Chapter 1433, Acts of the 76th Legislature, Regular
11-18    Session, 1999, are amended to read as follows:
11-19          (c)  To be eligible to receive a scholarship awarded under
11-20    this section, a person must:
11-21                (1)  be employed in a child-care facility, as defined
11-22    by Section 42.002, Human Resources Code;
11-23                (2)  intend to obtain a credential, certificate, or
11-24    degree specified in Subsection (b);
11-25                (3)  agree to work for at least 18 additional months in
11-26    a child-care facility, as defined by Section 42.002, Human
 12-1    Resources Code, that is located within an underperforming school
 12-2    district or an economically disadvantaged community [for at least
 12-3    18 additional months]; and
 12-4                (4)  satisfy any other requirements adopted by the
 12-5    commission.
 12-6          (e)  In addition, the commission may provide for payment of a
 12-7    bonus or wage supplementation to a scholarship recipient who for 18
 12-8    months after the date of receiving the scholarship provides care
 12-9    for children younger than six years of age while remaining in the
12-10    employment of the child-care facility that employed the person when
12-11    the scholarship was awarded.  Any bonus or wage supplementation
12-12    provided under this subsection shall be paid in equal shares by the
12-13    scholarship recipient's employer and the commission.  The
12-14    commission shall determine the amount of any bonus and the amount
12-15    and duration of any wage supplementation provided under this
12-16    subsection.
12-17          SECTION 5.02.  The change in law made by this article applies
12-18    only to a recipient of a scholarship funded by the federal Child
12-19    Care Development Fund who accepts the scholarship on or after the
12-20    effective date of this article.
12-21                ARTICLE 6.  ALLOCATION OF CHILD CARE FUNDS
12-22          SECTION 6.01.  Section 302.062(b), Labor Code, is amended to
12-23    read as follows:
12-24          (b)  Except as otherwise provided by this subsection, in [In]
12-25    the case of funds that are allocated to this state or regions of
12-26    this state through the application of established formulas, the
 13-1    commission shall allocate amounts across the state using the same
 13-2    formula that was used to provide the funds to the state or that
 13-3    region.  The commission shall allocate funds for child care
 13-4    services through the application of a need-based formula only.  The
 13-5    need-based formula applied under this subsection must be designed
 13-6    to target services to children from households having income of not
 13-7    more than 85 percent of the state median income.
 13-8                        ARTICLE 7.  EFFECTIVE DATE
 13-9          SECTION 7.01.  This Act takes effect immediately if it
13-10    receives a vote of two-thirds of all the members elected to each
13-11    house, as provided by Section 39, Article III, Texas Constitution.
13-12    If this Act does not receive the vote necessary for immediate
13-13    effect, this Act takes effect September 1, 2001.