Committee approves amendment to convert in‑home childcare proposal into 50% property‑tax exclusion; bill referred to Taxes

The House Committee on Children, Youth and Families on Tuesday adopted an amendment that converts Representative Nadeau’s proposal from a state paid tax credit into a 50% market‑value exclusion on property taxes for in‑home family childcare providers, then voted to re‑refer the amended bill, House File 633, to the Committee on Taxes for a revenue estimate and further work.

Supporters said the change is designed to lower the operating costs of small, home‑based childcare businesses and to stabilize shrinking family childcare capacity across Minnesota. "The effect of this bill is a 50% exclusion on property taxes that are attributed to the net capacity levies. And this is only for in home family care providers," Representative Nadeau said when introducing the measure and the amendment.

The nut graf: committee members framed the bill as one way to blunt steep declines in family childcare supply and to reduce parents' wait lists, but members differed on whether a state appropriation (a credit) or a market‑value…