BILL NUMBER: S3415A
SPONSOR: BRISPORT
 
SUMMARY OF PROVISIONS:
Section one establishes the name of the legislation as the "Universal
Child Care Act."
Section two sets forth the legislative findings.
Section three adds new section 390-k to the social services law, to
constitute the Universal Child Care Task Force to continue the work of
developing an implementation framework for a phased-in rollout of a
universal child care system, using state and federal resources.
Section four amends subsection eight of section 390 of the social
services law, to modify and update the manner in which the Office of
Children and Family Services notifies the public of the availability of
child care services.
Section five amends subdivision one of section 410 of the social
services law, to obligate public welfare officials to participate in a
system of free and universal child care.
Section six amends subdivision two of section 410-b of the social
services law regarding the manner in which the Office of Children and
Family Services implements federal funding for child care.
Section seven adds a new subdivision five to section 410-x of the social
services law, to require a new cost estimation model for the payment of
child care costs.
Section eight amends section 410-z of the social services law to require
the Office of Children and Family Services to prepare a report regarding
the actual cost providers incur in providing child care pursuant to the
previous section.
Section nine amends subdivision one and paragraph (b) of subdivision
five of section 410-c of the social services law, to increase state
reimbursement rates to counties, cities, and towns that provide child
care services, and to allow for further capital expenditures in areas
that constitute child care deserts.
Section ten amends subdivision eight of section 410-w of the social
services law to require New York State to cover certain child care
co-payments.
Section eleven amends subdivision 410-x of the social services law to
require New York State to cover certain child care co-payments.
Section twelve amends subdivision eleven of section 410-x of the social
services law, requiring social services districts to establish differen-
tial payment rates for providers who care for children experiencing
homelessness, or who care for children during non-traditional hours,
with New York State covering these additional costs.
Section thirteen amends subdivision one of section 410 of the social
services law to remove administrative requirements regarding work and
immigration status.
Section fourteen repeals paragraph (b) of subdivision three of section
410 of the social services law, and reletters paragraphs (c) and (d).
Section fifteen amends subdivisions one and two of section 410-bb of the
social services law to declare the New York legislature's determination
that New York shall move towards a free and universal child care system,
with salary and benefits for workers at parity with that of public
school teachers.
Section sixteen amends subdivisions one and two of section 410-v of the
social services law, to increase reimbursement rates from New York State
to social services districts, and supplement federal block grant funding
with state funding to provide universal coverage within a period of four
years.
Section seventeen amends subdivisions one and two of section 410-w of
the social services law, to require outreach and support to ensure that
eligible families who need child care receive support, and that any
eligibility determinations required by federal law are the least
restrictive and most efficient available, in order to avoid placing
undue burdens on families applying for assistance.
Section eighteen amends subdivision two of section 410-u of the social
services law, to specify that the state block grant for child care shall
be used to increase child care worker salaries, and to specify that New
York State shall ensure child care coverage for families who are not
eligible for federal funding.
Section nineteen amends section 410-cc of the social services law to
specify that start up grants are to be used to serve areas that current-
ly constitute child care deserts.
Section twenty amends section 101 of the education law to establish an
"office of early childhood education," which is tasked with coordinating
with the Office of Children and Family Services to ensure that the
implementation of funding for Universal Pre-K and 3-K For All programs
are phased in in a manner that complements and supports child care
providers within the state and provides equitable wages, benefits, and
working conditions for child care workers, pursuant to the guidance
established by task force established under section 390-k of the social
services law.
Sections twenty one and twenty-two create a new Permanent Child Care
Workforce Pay Equity Fund. This fund shall be utilized to directly raise
wages of participating child care programs as New York transitions
towards a universal child care system.
Section twenty three adds new Article 25 to the education law, creating
a new state public option for child care.
Section twenty four appropriates $1.2 billion for the Permanent Child
Care Workforce Pay Equity.
Section twenty five sets forth the effective date of the legislation.
 
JUSTIFICATION:
New York's child care infrastructure is in crisis: many parents have no
access to affordable or quality care and many child care providers are
forced to live in or near poverty. Decades of treating and funding child
care as a private service rather than vital public infrastructure has
left the system on the verge of collapse. Although some piecemeal
approaches and temporary solutions have kept New York's child care
system on life support, many child care centers have already been forced
to close, and parents are struggling to access the child care they need.
Today, where child care is still available, it is largely due to a
dramatically underpaid workforce overwhelmingly made up of women - espe-
cially Black women and women of color - who are paid wages that leave
the majority in or near poverty.
Resolving the underlying causes of New York's child care crisis requires
careful attention to detail, and the participation of all relevant
stakeholders across New York State. Accordingly, this legislation has
been carefully drafted to take into account the input of parents, child
care providers, union leaders, advocates, and experts across the state.
It has also been drafted with the input and insights of the Child Care
Availability Task Force, which was convened in 2018 and issued a series
of reports and recommendations aimed at guiding New York towards a
system of universal child care. There is wide agreement that New York
needs to pursue a "dramatically different approach to child care" and
move instead towards a truly universal system, where child care is free
at the point of service and educators are paid sufficient wages, much
like our public school system.
Accordingly, this legislation makes substantial programmatic changes to
New York's child care system and makes significant investments in build-
ing out New York's child care infrastructure to set New York on a clear
path to building a universal child care system. It also ensures that the
"Universal Pre-K" and "3-K For All" programs are implemented in a manner
that does not leave behind providers who care for children under the age
of three, who have been particularly hard hit by the present child care
crisis.
One of the primary concerns regarding the present child care system is
that its workforce is dramatically underpaid. Much of the child care
workforce lives in poverty with 65% of child care providers receiving
such low wages that they are eligible for social safety net programs
such as food stamps or Medicaid. Many professionals either do not enter
the field at all, or are forced to leave it for higher paying jobs at
places like fast food chains or telemarketing companies. This is not
only an injustice, but also a tremendous vulnerability for our child
care system because the understaffing problem leads to further shortages
of available child care. Accordingly, in order to attract and maintain
an adequate workforce, this legislation creates a "permanent child care
workforce pay equity fund" that directly raises wages. It also makes
further adjustments to state law in order to move New York towards a
system where child care workers are properly recognized as educators,
and achieve wages that that are at parity with those of public school
teachers.
Another primary concern regarding the present child care system is that
our current system of means-tested subsidies imposes severe burdens on
those who can least afford it. In some regions, a family of four, with
two parents each working forty hours per week for minimum wage, will not
qualify for subsidies, and sending their children to a child care center
will cost 55.4% of their income. The lack of adequate subsidies is
particularly problematic because, in New York State, one year of tuition
for infant care at a child care center is more than double the cost of
tuition at a SUNY comprehensive four-year college. Accordingly, this
legislation requires substantial investments to guarantee child care
subsidies for high-quality and culturally responsive child care that
meets the needs of all children. The Child Care Availability Task Force
correctly noted that, although "the state's use of federal stimulus
funds has helped to suppress the damage, it alone is insufficient to
rebuild the child care system." New York needs to make its own invest-
ments, and this money will be well-spent: researchers estimate that for
every $1 invested in early care and education in New York State, $1.86
is generated in additional spending within the state.
This legislation further recognizes that the way we pay our child care
providers within New York State is deeply flawed. Current subsidies are
based on a "market rate survey" system that dramatically under-values
the cost of high-quality child care. Accordingly, this legislation would
shift New York away from the current "market rate survey" system, and
towards a new cost estimation model that more accurately compensates
providers for the true cost of care. This legislation further estab-
lishes a "transitional reimbursement rate" fund so that New York can
immediately offer more adequate compensation, pending the implementation
of such a new system. In order to truly build out a universal child
care system that goes beyond the current means-tested and market-based
solutions, New York will need to make significant investments over time
and build out its infrastructure to meet the needs of the 64% of New
Yorkers who live in child care deserts, where the demand for child care
far exceeds local capacity. Accordingly, this legislation further
creates a new "child care infrastructure development fund," and modifies
New York's system of distributing startup funds, so that New York can
build its current capacity.
Finally, following the Child Care Availability Task Force recommendation
from April 2024, indicating that New York should "launch and evaluate a
state-run child care assistance pilot program," this legislation creates
a new state-run public option for universal child care to be developed.
This legislation will also create a new "office of early education,"
which will further coordinate and manage the implementation of these
programs.
 
PRIOR LEGISLATIVE HISTORY:
2021-22: S.7595; 2023-24: 3245
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined.
 
EFFECTIVE DATE:
This act shall take effect immediately; provided, however, that if
section one of part Y of chapter 56 of the laws of 2024 shall not have
taken effect on or before such date, then the amendments to subdivision
11 of section 410-x of the social services law made by section twelve of
this act shall take effect on the same date and in the same manner as
such chapter of the laws of 2024 takes effect.

Statutes affected:
S3415: 390 social services law, 390(8) social services law, 410 social services law, 410(1) social services law, 410-z social services law, 410-w social services law, 410-w(8) social services law, 410(3) social services law, 410-u social services law, 410-u(2) social services law, 410-cc social services law, 101 education law
S3415A: 390 social services law, 390(8) social services law, 410 social services law, 410(1) social services law, 410-z social services law, 410-w social services law, 410-w(8) social services law, 410(3) social services law, 410-u social services law, 410-u(2) social services law, 410-cc social services law, 101 education law, 153-k social services law