SOS (State Owned Structures) Child Care Act.

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 1
HOUSE BILL 951

Short Title: SOS (State Owned Structures) Child Care Act. (Public)
Sponsors: Representatives Helfrich, Hawkins, Liu, and Colvin (Primary Sponsors).
For a complete list of sponsors, refer to the North Carolina General Assembly web site.
Referred to: Rules, Calendar, and Operations of the House
April 14, 2025
*H951-v-1*
A BILL TO BE ENTITLED 1
AN ACT TO ALLOW THE USE OF STATE-OWNED PROPERTY FOR THE USE OF CHILD 2
CARE FOR STATE EMPLO YEES, TO REQUIRE REN OVATIONS OR NEW BUIL DS 3
OF STATE-OWNED PROPERTY TO INCLUDE A CHILD CARE CENTER OR ADULT 4
CARE CENTER, TO CREA TE A PILOT PROGRAM FOR USE OF S TATE-OWNED 5
PROPERTY FOR CHILD CARE FACILITIES FOR STATE EMPLOYEES, TO CREATE 6
A PILOT PROGRAM FOR COUNTY GRANTS FOR THIRD-SHIFT CHILD CARE FOR 7
FIRST RESPONDERS, TO REQUIRE A FEASIBILITY STUDY FOR ON -SITE CHILD 8
CARE AT EACH NORTH C AROLINA COMMUNITY COLLEGE A ND COLLEGE IN 9
THE UNIVERSITY OF NO RTH CAROLINA SYSTEM, AND TO ESTABLISH A 10
WORKGROUP TO EXAMINE STREAMLINING LICENSURE REQUIREMENTS FOR 11
PHYSICAL STRUCTURES FOR COMMERCIAL CHILD CARE FACILITIES. 12
The General Assembly of North Carolina enacts: 13
14
PART I. USE OF STATE -OWNED PROPERTY FOR CHILD CARE CENTERS F OR 15
STATE EMPLOYEES 16
SECTION 1.(a) The Department of Administration shall report to the Joint 17
Legislative Oversight Committee on Health and Human Services and the Joint Legislative 18
Commission on Governmental Operations, no later than March 31, 2026, on the feasibility and 19
advisability of using obsolete or underutilized State -owned buildings (available buildings) to 20
house child care facilities giving child care priority to State employees. The r eport shall include 21
the following: 22
(1) Location of each available building. 23
(2) Estimated costs for upfitting each property to meet daycare licensing 24
standards. 25
(3) Estimated costs for asbestos and lead remediation. 26
(4) Barriers to the available buildings' use as a child care facility. 27
SECTION 1.(b) Any project undertaken by the State to build or renovate property 28
having a budget greater than five million dollars ($5,000,000) shall include a child care center or 29
adult day care center if more than 250 peopl e would work in the building. This requirement 30
includes current projects which have not broken ground by July 1, 2025, unless one or both of 31
the following exceptions apply: 32
(1) Inclusion of either type of center would delay the project by six months or 33
more. 34
General Assembly Of North Carolina Session 2025
Page 2 House Bill 951-First Edition
(2) Inclusion of either type of center would increase the project cost by ten percent 1
(10%) or more. 2
3
PART II. CHILD CARE FOR STATE EMPLOYEES 4
SECTION 2.(a) The Division of Child Development and Early Education shall 5
establish a pilot program for onsite child care for State employees as follows: 6
(1) The Division of Child Development and Early Education shall contract with 7
a private commercial child care provider to establish three child care centers 8
for State employees' use to be established on State -owned property that is 9
unused or underutilized. 10
(2) Priority in contracting shall be given to commercial child care providers who 11
currently operate five or fewer facilities and provide high-quality child care. 12
(3) The Division of Child Development and Early E ducation must include the 13
following terms in the contract with the commercial child care providers: 14
a. The child care facility must operate an apprenticeship program in 15
conjunction with a public or private university or community college 16
who operates an early child care education program. 17
b. The child care center must comply with the requirements established 18
by the Division of Child Development and Early Education for the 19
apprenticeship program. 20
c. The child care center must maintain the operation of the apprenticeship 21
program for so long as the child care center is housed in State -owned 22
property and the university or community college is willing to 23
continue the partnership. 24
d. The State will provide the upfit cost of the space to meet the licensure 25
requirements at reasonable levels that are customary at the operators' 26
other facilities and those similarly situated and provide use of the space 27
rent free, notwithstanding the provisions of G.S. 146-29.1. 28
e. The lease terms for State -owned property must be approv ed as 29
required by G.S. 146-27. 30
SECTION 2.(b) The Division of Child Development and Early Education shall 31
create the requirements for the apprenticeship program and pair the child care centers with a 32
university or community college early education program utilizing parameters similar to the 33
Durham Childcare Apprenticeship Program. 34
SECTION 2.(c) There is appropriated from the General Fund to the Department of 35
Health and Human Services the sum of five million dollars ($5,000,000) for the 2025-2026 fiscal 36
year for the Division of Child Development and Early Education's use in establishing the child 37
care centers as required by Section 2(a) of this act. 38
SECTION 2.(d) If any expenses are incurred by the State for asbestos or lead 39
remediation in establishing the child care centers required by Section 2(a) of this act, the State 40
shall be eligible for reimbursement from the Asbestos and Lead Remediation Fund subject to the 41
rules of the fund for up to five hundred thousand dollars ($500,000). 42
SECTION 2.(e) By April 1, 2027, the Division of Child Development and Early 43
Education shall report on and make recommendations to the Joint Legislative Oversight 44
Committee on Health and Human Services, the Joint Legislative Oversight Committee on 45
General Government, and the Fiscal Research Division the status of the implementation of the 46
pilot program, including successes, concerns, problems encountered, enrollment, and 47
expenditures. 48
SECTION 2.(f) Sections 2(c) and 2(d) of this act are effective July 1, 2025. 49
50
PART III. ON-SITE CHILD CARE FOR THIRD-SHIFT FIRST RESPONDERS 51
General Assembly Of North Carolina Session 2025
House Bill 951-First Edition Page 3
SECTION 3.(a) There is appropriated from the General Fund to the Department of 1
Health and Human Services the sum of six million dollars ($6,000,000) for the 2025-2026 fiscal 2
year for a pilot progr am to provide counties grants to establish third -shift child care for first 3
responders, with priority to be given to third -shift facilities operated in unused or underutilized 4
county-owned buildings. By April 1, 2027, the Department of Health and Human Services shall 5
report on and make recommendations to the Joint Legislative Oversight Committee on Health 6
and Human Services, the Joint Legislative Oversight Committee on General Government, and 7
the Fiscal Research Division regarding the implementation of the pilot program, including 8
successes, concerns, problems encountered, enrollment, and expenditures. 9
SECTION 3.(b) Section 3(a) of this act is effective July 1, 2025. 10
11
PART IV. ON -SITE CHI LD CARE AT EACH NORT H CAROLINA COMMUNITY 12
COLLEGE AND COLLEGE IN THE UNIVERSITY OF NORTH CAROLINA SYSTEM 13
SECTION 4.1.(a) Report. – The State Board of Community Colleges shall study 14
and report to the Joint Legislative Education Oversight Committee, the Joint Legislative 15
Oversight Committee on Health and Human Services, and the Fiscal Research Division, no later 16
than March 31, 2026, on the feasibility and advisability of implementing a publicly available 17
child care program on every community college campus that offers priority enrollment to the 18
children of community college employees and students. The report shall include the following: 19
(1) Recommendations for implementing the child care program. 20
(2) Estimated costs for implementation and maintenance of the child care 21
program. 22
(3) Return on investment of the child care program. 23
(4) Issues related to historical and ongoing utilization of grants or other funding. 24
(5) Barriers to implementation of the child care program. 25
SECTION 4.1.(b) There is appropriated from the General Fund to the Community 26
Colleges System Office the sum of o ne hundred thousand dollars ($100,000) for the study 27
required by Section 4.1(a) of this act. 28
SECTION 4.1.(c) Section 4.1(b) of this act is effective July 1, 2025. 29
SECTION 4.2.(a) The Board of Governors of The University of North Carolina shall 30
study and report to the Joint Legislative Education Oversight Committee, the Joint Legislative 31
Oversight Committee on Health and Human Services, and the Fiscal Research Division, no later 32
than March 31, 2026, on the feasibility and advisability of implementing a pub licly available 33
child care program at each constituent institution campus that offers priority enrollment to the 34
children of university employees and students. The report shall include: 35
(1) Recommendations for implementing the child care program. 36
(2) Estimated costs for implementation and maintenance of the child care 37
program. 38
(3) Return on investment of the child care program. 39
(4) Issues related to historical and ongoing utilization of grants or other funding. 40
(5) Barriers to implementation of the child care program. 41
SECTION 4.2.(b) There is appropriated from the General Fund to the Board of 42
Governors the sum of one hundred thousand dollars ($100,000) for the study required by Section 43
4.2(a) of this act. 44
SECTION 4.2.(c) Section 4.2(b) of this act is effective July 1, 2025. 45
46
PART V. ESTABLISH WO RKGROUP TO EXAMINE S TREAMLINING LICENSURE 47
REQUIREMENTS FOR PHYSICAL STRUCTURE OF COMMERCIAL CHILD CARE 48
FACILITIES 49
SECTION 5.(a) The Division of Child Development and Early Education shall 50
establish the Commercial Child Care Licensure Workgroup to examine streamlining 51
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Page 4 House Bill 951-First Edition
requirements related to the physical structure of commercial child care centers. The workgroup 1
shall consist of one representative from each of the following to be chosen by the North Carolina 2
Child Care Commission: 3
(1) The Division of Child Development and Early Education. 4
(2) The Office of the State Fire Marshal. 5
(3) The Department of Insurance. 6
(4) The North Carolina Building Code Council. 7
(5) The Division of Public Health. 8
(6) The League of Municipalities. 9
(7) The North Carolina Association of County Commissioners. 10
The North Carolina Child Care Commission shall also appoint two commissioners to 11
the workgroup who shall also serve as cochairs of the workgroup. 12
SECTION 5.(b) The workgroup shall develop findings and recommendations related 13
to at least the following: 14
(1) Streamlining the licensing requirements related to the physical facilities 15
related to commercial chi ld care facilities, including building codes, fire 16
codes, and sanitation codes. 17
(2) Developing statewide, uniform application of the commercial child care 18
licensing requirements related to the physical facility, including building 19
codes, fire codes, and sa nitation codes and statewide, uniform inspections 20
related to those codes. 21
(3) Resolving conflicts between various code requirements for commercial child 22
care licensing. 23
SECTION 5.(c) By January 1, 2026, the Division of Child Development and Early 24
Education shall report the findings and recommendations of the workgroup to the Joint 25
Legislative Oversight Committee on Health and Human Services, the Joint Legislative Oversight 26
Committee on General Government, and the Fiscal Research Division. 27
28
PART VI. EFFECTIVE DATE 29
SECTION 6. Except as otherwise provided, this act is effective when it becomes 30
law. 31