This bill proposes a contingent appropriation of $15 million to the New Hampshire Department of Health and Human Services for recruitment and benefit grants aimed at child care employers, should the federal government deny the use of Temporary Assistance to Needy Families (TANF) reserve funds for this purpose. Specifically, it amends the existing law to include a provision that if, by July 1, 2026, the federal government has not made a determination or has denied the use of TANF funds, the state will allocate the specified amount from the general fund for the fiscal year ending June 30, 2027. The bill also stipulates that this appropriation will be nonlapsing, allowing the governor to draw from the treasury as needed.

The bill builds upon previous legislation that allocated $7.5 million in TANF reserve funds for the same purpose for the fiscal years ending June 30, 2026, and June 30, 2027. However, due to concerns that the federal government may deem this use of TANF funds unallowable, the Department of Health and Human Services is required to seek federal approval and potentially a waiver for the use of these funds. The bill is set to take effect on July 1, 2026, and does not create any new positions within the state government.