House Bill No. 5529 seeks to create a Child-Care Innovation Pilot Program in Texas, designed to enhance the availability of quality and affordable child care to meet workforce needs. The bill introduces Chapter 320 to the Labor Code, which details the program's definitions, administration, and funding. The Texas Workforce Commission will oversee the program, collaborating with local workforce development boards to fund innovative child-care projects that align with local workforce demands. The program will prioritize grants for high-quality child-care providers and require boards to submit strategic plans that outline their goals and stakeholder engagement.

Additionally, the bill mandates local workforce development boards to provide quarterly reports on grant fund usage and progress towards performance goals. It establishes eligibility criteria for child-care providers seeking grants, including accreditation and compliance with grant contracts. The Texas Workforce Commission is responsible for evaluating the program's effectiveness and reporting to state leadership by December 1, 2026. The chapter will expire on September 1, 2029, unless extended, and the commission is only required to implement the provisions if the legislature allocates specific funding. The bill is set to take effect on September 1, 2025, allowing time for necessary preparations.

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