Committee advances concept to limit private-equity ownership in childcare
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Summary
The committee moved to raise a concept restricting private-equity consolidation in daycare — sponsors described a proposed cap (referenced on the record as 52%) intended to protect small providers; several members objected and voted no.
The Children's Committee advanced a concept to address private equity in the childcare industry, with sponsors describing the proposal as a limit on private-equity ownership (the sponsor referenced a 52% cap on private-equity involvement in child-care subsidies/ownership).
Senator Perillo moved and Representative Whitelander/Weylander seconded the motion to raise the concept. Members asked for clarification about what the bill would restrict. The sponsor said the goal is to "grow childcare in the state" and to prevent private-equity firms from buying up small child-care businesses and pushing out local owners. "We do not want that to happen," the sponsor said.
Opponents, including Representative Mastro Francesco and Representative Sudo, said they would vote no, with some members citing prior negative experiences with private-equity ownership in other sectors. The clerk conducted a roll-call vote and recorded multiple yes and no votes. The chair said the votes would be held open until noon.
