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As Introduced
136th
General Assembly
Regular
Session
S. B. No. 32
2025-2026
Senators Reynolds, Schaffer
A
BILL
To
enact section 5180.41 of the Revised Code
to
establish the Child Care Cred Program and to make an appropriation.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section
1.
That
section 5180.41 of the Revised Code be enacted to read as follows:
Sec.
5180.41.
(A)
As used in this section, "child care" and "publicly
funded child care" have the same meanings as in section 5104.01
of the Revised Code.
(B)
The child care cred program is created in the department of children
and youth, under which the costs of child care may be shared by
eligible employees, participating employers, and, subject to
available funds, the department. The program has all of the following
goals: enabling employers to attract and retain talent; assisting
eligible employees with child care costs; and sustaining the
businesses of child care providers.
Under
the program, an employee's child care costs shall be shared equally
by the employee, the employee's employer, and the department, with
each contributing a one-third share, except that the employer may
agree to also contribute some or all of the employee's share.
Participation
in the program is voluntary. Neither an employee nor the employee's
employer shall be required to participate. Each employer seeking to
participate in the program shall be responsible for selecting which
of its employees the employer agrees to contribute at least one-third
of the employee's child care costs.
(C)
To be eligible for participation, all of the following apply:
(1)
In the case of an employee, the employee shall reside in this state,
be ineligible to participate in publicly funded child care, and have
been selected for participation by the employee's employer.
(2)
In the case of an employer, the employer shall employ individuals who
are working in this state and have selected one or more of those
employees to participate in the program.
(3)
In the case of a child care provider, the provider shall either hold
a license issued under Chapter 5104. of the Revised Code or be
certified by a county department of job and family services under
section 5104.12 of the Revised Code.
(D)
An employee seeking to participate in the program, together with the
employee's employer, shall submit an application to the department in
a manner prescribed by the department. The department shall review
each application as soon as practicable after it is received and
shall determine if the employee and employer are both eligible to
participate.
(E)
After the employee and the employer are both determined eligible and
agree to participate in the program, all of the following apply:
(1)
The employee, with the assistance of the department, shall select a
child care provider for the employee's child and shall enroll the
child with the provider. An employee may opt to select the employee's
existing child care provider so long as that provider is licensed or
certified as described in this section.
(2)
As a condition of participation, the department may require the
employee, employer, and child care provider to each sign a memorandum
of understanding with the department.
(3)
The department is responsible for coordinating and performing all
administrative activities associated with the sharing of child care
costs and making payments to child care providers, except that the
department may delegate the performance of some or all of the
activities to one or more third-party entities. The department shall
specify the conditions that an entity must satisfy before the
department delegates performance of the activities to the entity.
(F)
An eligibility determination made under division (D) of this section
remains valid as long as the employee, employer, and child care
provider continue to satisfy the eligibility conditions described in
division (C) of this section.
(G)
If the department finds that an employee or employer has committed
fraud, misrepresentation, or deception in applying to participate, or
in participating, in the program, the employee or employer is
permanently ineligible to participate, or to continue to participate,
in the program.
(H)(1)
The department may adopt rules as necessary to implement this
section. Any rules shall be adopted in accordance with Chapter 119.
of the Revised Code.
(2)
Notwithstanding any provision of section 121.95 of the Revised Code
to the contrary, a regulatory restriction contained in a rule adopted
under division (H)(1) of this section is not subject to sections
121.95 to 121.953 of the Revised Code.
Section
2.
All
items in this act are hereby appropriated as designated out of any
moneys in the state treasury to the credit of the designated fund.
For all operating appropriations made in this act, those in the first
column are for fiscal year 2026 and those in the second column are
for fiscal year 2027. The operating appropriations made in this act
are in addition to any other operating appropriations made for these
fiscal years.
Section
3.
1
2
3
4
5
A
KID
DEPARTMENT OF CHILDREN AND YOUTH
B
General
Revenue Fund
C
GRF
830414
Child
Care Cred Program
$10,000,000
$0
D
TOTAL
GRF General Revenue Fund
$10,000,000
$0
E
TOTAL
ALL BUDGET FUND GROUPS
$10,000,000
$0
CHILD
CARE CRED PROGRAM
The
foregoing appropriation item 830414, Child Care Cred Program, shall
be used for the Child Care Cred Program established in section
5180.41 of the Revised Code.
If
the Director of Children and Youth determines that there are
insufficient funds in fiscal year 2026 in appropriation item 830414,
Child Care Cred Program, the Director may certify to the Director of
Budget and Management the additional amount necessary to fund the
Child Care Cred Program. The amount certified is hereby appropriated
to appropriation item 830414, Child Care Cred Program.
Section
4.
Within
the limits set forth in this act, the Director of Budget and
Management shall establish accounts indicating the source and amount
of funds for each appropriation made in this act, and shall determine
the manner in which appropriation accounts shall be maintained.
Expenditures from operating appropriations contained in this act
shall be accounted for as though made in, and are subject to all
applicable provisions of, the main operating appropriations act of
the 136th General Assembly.