Appropriations panel agrees to direct payments for infant and toddler childcare, trims related line items

At a meeting of the Senate Appropriations — Human Resources Division, committee members agreed by consensus to advance an amendment reshaping some of the childcare funding in House Bill 10‑12.

Sponsor Senator Cleary proposed the amendment to target additional support to providers serving children ages 0 through 3, arguing those age groups are the hardest and most expensive to serve. The amendment as described would authorize direct payments to participating providers of up to $300 per month per child for ages 0 through 17 months and $180 per month for children 18 through 36 months, limited to providers participating in the state’s quality‑rating system (two‑ to four‑star programs). Cleary said she reduced the amendment’s requested appropriation from about $15.5 million to roughly $13.535 million after accounting for other bonuses that some providers already receive.

Why it matters: Committee members said the change aims to prevent providers from losing money on 0‑to‑3 slots and to keep infant/toddler capacity available. Several senators and department officials said the targeted payments would be more effective than the current proposal’s structure of competitive grants.

How it would work: Committee staff and department officials said the amendment replaces the word “grant” with “direct payment” in multiple places so eligible providers receive the supplement automatically when they serve qualifying children. Donna Auckland of the Department of Health and Human Services told the committee the department could implement the direct payments and later adjust appropriation authority if actual enrollments differ from estimates.

Offsets and other changes: To offset the cost, the sponsor proposed three changes the committee adopted by consensus: - Reduce the recently proposed “best in class” expansion from $6,000,000 to $2,000,000 (so the program retains its existing base plus a smaller expansion). - Reduce the working‑parent credit carryover authority from $5,000,000 to $1,000,000 (the committee asked the department to treat this reduction as intent so the department would not automatically carry additional authority forward). - Reduce the childcare request in the amendment from $15.5 million to approximately $13.535 million by excluding children who already receive a different bonus under the state’s quality system.

Providers and wages: The committee also discussed a separate but related item — a target rate increase for qualified service providers (QSPs) who deliver home‑based services. Jessica Thomason of HHS told the committee the increase in the budget materials equates to roughly a 12–16 percent uplift for the provider groups targeted by the proposal; the committee signaled support for that increase and for leaving those workers eligible for the across‑the‑board inflator the Legislature adopts.

Implementation questions: Members asked department staff to clarify practical details, including whether the payment bands should read 0–17 months and 18–36 months (the committee confirmed the intent is 0 through 17 months, then 18–36 months). Committee counsel and staff (referred to in the hearing as “Keith” and “Stephanie”) said they would update the amendment language and the budget long sheet to reflect the changes and to ensure the payment language is a direct payment rather than a grant.

Outcome: The committee moved the sponsor’s amendment and adopted changes by consensus; committee staff will incorporate the language revisions (change “grant” to “direct payment,” correct age bands, and update carryover and best‑in‑class amounts) before the bill moves forward to the full committee.