The House Rules Committee heard testimony on House Bill 51‑27, which would clarify that the department may regulate only the licensed child care space and not unrelated tenants or areas of a multi‑occupancy building.

Representative Schutte introduced the bill as an effort to “cut red tape to expand access to child care in Michigan while protecting adjoining businesses and operations in mixed use facilities.” The sponsor said the proposal is intended to make it easier for child care centers to locate in mixed‑use buildings without facing regulatory requirements for spaces they do not control.

Jacob Manning, advocacy and policy manager at the Small Business Association of Michigan (SBAM), testified in support. Manning said SBAM hears from nonprovider members that child care is a leading obstacle to workforce participation and retention. He said unclear regulations are “one of the key inhibitors” to provider growth and expansion and that HB 51‑27 is a “meaningful and practical step” to improve the regulatory framework. He emphasized the bill does not strip away health and safety protections and that My LEAP (as referred to in testimony) would continue to inspect and regulate the licensed child care space itself.

Committee members asked procedural questions about licensing and renewal inspections and about protections that remain for hazardous activities or proximity restrictions (for example, limitations related to certain offender‑related programs or sale of alcohol). Witnesses confirmed safety‑focused provisions and proximity limits would remain in effect.

Chair Schutte also noted written support from Terry Johnson and Andrea Seacrest of the Greater Midland Community Center. Committee members asked for additional data about how many SBAM members the bill would affect; Manning said he did not have a precise number at the hearing and offered to follow up.

No committee vote was taken at this meeting.