Child‑care providers urge contract stability as Sen. Becker presents SB 1110
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Summary
SB 1110 would separate administrative overhead from direct family services in child‑care contracts to create more stable reimbursement structures as California shifts to enrollment‑based funding; providers testified rising labor and insurance costs and enrollment volatility make stability measures necessary.
Senator Becker presented SB 1110 to revise contract and reimbursement structures for alternative payment programs and direct‑contract child care providers, saying the bill will recognize administrative overhead separately from direct family services to preserve small community agencies.
Witnesses from the Child Care Resource Center and Every Child California described dramatic cost increases since 2010 — labor up 106% and new insurance and data‑security costs — and said past attendance‑driven reimbursement left programs fragile. The bill would create a stabilization mechanism (described by proponents as not a funding enhancement) to reduce mid‑year closures and maintain staffing. The author acknowledged one provision would be removed to align with the 2025 budget and said further amendments are expected.
Stakeholders including sponsors and county education offices spoke in support; no opposition was registered in the hearing. The committee voted to pass the bill to the Education Committee.
