Senate Bill No. 1400 establishes a new program under the Connecticut Health and Educational Facilities Authority (CHEFA) to provide low-interest loans specifically for child care services. The loans will be available in amounts up to $5,000, with a maximum borrowing limit of $25,000 per individual. The program will adhere to CHEFA's underwriting policies and will offer income-based repayment options to borrowers. Applicants will need to submit their applications in a format prescribed by the authority, which will include necessary information for program administration.

The bill is set to take effect on October 1, 2025, and does not allocate any state funding for the program, meaning its implementation will depend on the availability of funds. The fiscal impact is expected to be minimal, as CHEFA is a self-supporting agency. The bill aims to assist families in accessing financial support for child care, addressing the needs of approximately 181,000 children under the age of five in Connecticut, many of whom are currently in need of affordable child care solutions.