Human Services, Dept. of

Plain English Breakdown

The official source material does not provide details on the exact amount of funding or specific criteria for nonprofit eligibility.

Workers Need Child Care Act

This bill establishes a special fund within the state's general fund to provide grants for nonprofit organizations to start new licensed child care agencies.

What This Bill Does

• Creates a special account called the 'Child Care Infrastructure Fund' within the state's general fund.
• Requires the Department of Human Services to manage and distribute grants from this fund to nonprofits for establishing new licensed child care agencies.
• Limits administrative costs to no more than 5% of the total amount appropriated for the program each fiscal year.
• Requires an annual report on expenditures from the fund, submitted by the commissioner of human services to certain legislative committees.

Who It Names or Affects

• Nonprofit organizations that can receive grants for starting new child care centers
• The Department of Human Services which will manage and distribute the funds

Terms To Know

Child Care Infrastructure Fund

A special fund created to support the establishment of new licensed child care agencies.

Nonprofit entities

Organizations that do not make a profit and are often involved in community services like child care.

Limits and Unknowns

• The bill does not specify the exact amount of money to be allocated to the fund each year.
• It is unclear what specific criteria nonprofits must meet to receive grants from the fund.

Official Summary Text

This bill enacts
the "Workers Need Child Care Act
,
"
which creates
within the state general fund a special account to be known as the child care infrastructure fund (the
"
fund
"
)
in order
to align child care with workforce development needs.

The department of human services
must
administer the fund
, which is
composed of money appropriated by the general assembly for the fund, and gifts, grants, and other donations received by the department for the fund.

This bill requires the
department
to
allocate and disperse grants each fiscal year from the fund to nonprofit entities to be expended only for establishing a new licensed child care agency in this state.

Money in the fund may be used by the department for program administration, marketing expenses, and program evaluation
.

H
owever, such expenses must not exceed 5% of the total amount appropriated for the program in any fiscal year.

This bill provides that a
ll expenditures from the fund are subject to review in the form of an annual report submitted by the commissioner of human services to
certain legislative committees with jurisdiction over health-related matters
.

This bill requires the department to
promulgate rules necessary to effectuate this
bill.

Current Bill Text

<BillNo> <Sponsor>

SENATE BILL 315
By Yarbro

SB0315
000301
- 1 -

AN ACT to amend Tennessee Code Annotated, Title 4;
Title 9; Title 37 and Title 71, relative to funding
child care services.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Title 4, Chapter 3, Part 12, is amended by
adding the following as a new section:
(a) This section is known and may be cited as the "Workers Need Child Care
Act."
(b) There is created within the state general fund a special account to be known
as the child care infrastructure fund (the fund). The purpose of the fund is to align child
care with workforce development needs.
(c) The department of human services shall administer the fund.
(d) The fund is composed of money appropriated by the general assembly for
the fund, and gifts, grants, and other donations received by the department for the fund.
(e) The department shall allocate and disperse grants each fiscal year from the
fund to nonprofit entities to be expended only for establishing a new licensed child care
agency in this state.
(f) Money in the fund may be used by the department for program
administration, marketing expenses, and program evaluation; however, such expenses
must not exceed five percent (5%) of the total amount appropriated for the program in
any fiscal year.

- 2 - 000301

(g) The state treasurer shall invest moneys in the fund for the benefit of the fund
in accordance with § 9-4-603. Interest accruing on investments and deposits of the fund
must be credited to and remain part of the fund.
(h) Any unencumbered moneys and any unexpended balance of the fund
remaining at the end of a fiscal year do not revert to the general fund, but must be
carried forward until expended in accordance with this section. Moneys in the fund must
not be diverted to the general fund or any other public fund.
(i) All expenditures from the fund are subject to review in the form of an annual
report submitted by the commissioner of human services to the chair of the health and
welfare committee of the senate and the chair of the health committee of the house of
representatives.
(j) The department shall promulgate rules necessary to effectuate this section.
The rules must be promulgated in accordance with the Uniform Administrative
Procedures Act, compiled in chapter 5 of this title.
SECTION 2. This act takes effect upon becoming a law, the public welfare requiring it.