H.B. No. 5086 aims to create a Child-Care Innovation Pilot Program in Texas to enhance the availability of quality, affordable child-care services while fostering collaborations between local employers and child-care providers. The bill introduces Chapter 320 to the Labor Code, detailing the program's definitions, establishment, administration, and participation criteria. The Texas Workforce Commission will oversee the program, selecting local workforce development boards to partner with employers and providers to implement innovative child-care projects tailored to local workforce needs.

The legislation outlines an application process for boards, requiring them to submit strategic plans that include measurable goals and funding requests. It also sets eligibility criteria for child-care providers to receive grants, emphasizing high-quality standards and employer partnerships. The bill mandates quarterly reporting from participating boards to ensure accountability and track effectiveness. Additionally, it establishes a new reporting requirement for the overseeing board, with the first report due within 120 days of the first grant award and subsequent reports every 120 days. The commission must review the program's effectiveness and submit a comprehensive report by December 1, 2028. The chapter will expire on September 1, 2029, and the bill is set to take effect on September 1, 2025.

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