This bill establishes a state child care subsidy program administered by the Department of Health and Human Services, which will provide child care assistance to families with incomes between 130% and 400% of the federal poverty level starting October 1, 2026. The program will require child care providers to comply with criminal history checks and will implement a sliding-scale cost-sharing plan for families based on their gross income. Additionally, the bill outlines provisions for licensed child care programs to accommodate eligible household members and allows for flexibility in enrolling children in different care programs.

To fund the program, a payroll tax of 0.52% will be implemented, with a specified payment ratio between employers and employees. The bill also mandates that the department adopt a fixed-rate schedule for child care reimbursement, ensuring that rates do not exceed what providers charge their private clients. Furthermore, the program will prioritize child care assistance for qualified apprentice workers involved in registered apprenticeship programs in Nebraska.