SB 506 — An Act amending the act of June 13, 1967 (P.L.31, No.21), known as the Human Services Code, providing for Child Care Staff Recruitment and Retention Program.

PRINTER'S NO.   949

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                        SENATE BILL
                        No. 506
                                                  Session of
                                                    2025

     INTRODUCED BY L. WILLIAMS, SCHWANK, TARTAGLIONE, COMITTA, KANE,
        SAVAL, HAYWOOD, HUGHES, CAPPELLETTI, COSTA, SANTARSIERO,
        PISCIOTTANO AND MALONE, JUNE 18, 2025

     REFERRED TO HEALTH AND HUMAN SERVICES, JUNE 18, 2025


                                       AN ACT
 1   Amending the act of June 13, 1967 (P.L.31, No.21), entitled "An
 2      act to consolidate, editorially revise, and codify the public
 3      welfare laws of the Commonwealth," providing for Child Care
 4      Staff Recruitment and Retention Program.
 5      The General Assembly of the Commonwealth of Pennsylvania
 6   hereby enacts as follows:
 7      Section 1.     The act of June 13, 1967 (P.L.31, No.21), known
 8   as the Human Services Code, is amended by adding an article to
 9   read:
10                               ARTICLE XIII-B
11           CHILD CARE STAFF RECRUITMENT AND RETENTION PROGRAM
12   Section 1301-B.    Definitions.
13      The following words and phrases when used in this article
14   shall have the meanings given to them in this section unless the
15   context clearly indicates otherwise:
16      "Child care center."     As defined in section 1001.
17      "Children's institution."      As defined in section 901.
18      "Family child care home."      As defined in section 1001.
 1      "Newly hired qualified staff member."         A qualified staff
 2   member who was initially hired after a qualified child care
 3   provider submits an application under section 1302-B(c)(2) but
 4   not later than six months after the qualified child care
 5   provider receives a lump sum payment under section 1302-B(e)(2).
 6      "Program."      The Child Care Staff Recruitment and Retention
 7   Program established under section 1302-B.
 8      "Qualified child care provider."        As follows:
 9          (1)   A child care provider certified by the department
10      and that meets all of the following:
11                (i)    is a children's institution that provides child
12          care under Article IX or is a child care center or a
13          family child care home under Article X; and
14                (ii)    as of the date of the child care provider's
15          submitted application under section 1302-B(c)(2):
16                       (A)   is in operation; and
17                       (B)   has a child care subsidy agreement with the
18                department.
19          (2)   The term does not include a child care provider:
20                (i)    that is under investigation for fraud;
21                (ii)    subject to a Commonwealth lien;
22                (iii)    whose certificate of compliance has been
23          revoked, denied or not renewed; or
24                (iv)    that has a provisional license issued under
25          section 1008(a) or a provisional certificate of
26          compliance issued under 55 Pa. Code § 20.54(a) (relating
27          to provisional certificate of compliance).
28      "Qualified staff member."       As follows:
29          (1)   Any of the following:
30                (i)    An employee of a qualified child care provider

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 1            who directly supervises children.
 2                  (ii)   An operator of a family child care home who
 3            directly supervises children.
 4            (2)   The term does not include individuals who do not
 5      directly supervise children, including child care center
 6      executives or owners, janitorial staff, food service staff or
 7      administrative or support staff.
 8   Section 1302-B.       Child Care Staff Recruitment and Retention
 9                  Program.
10      (a)   Establishment.--The Child Care Staff Recruitment and
11   Retention Program is established within the department for the
12   purpose of distributing annual lump-sum retention and
13   recruitment payments to qualified child care providers to the
14   extent funds are available.
15      (b)   Funding and use.--Money appropriated to the department
16   for the program shall be distributed to qualified child care
17   providers in accordance with this article. Money distributed to
18   approved qualified child care providers must be used for annual
19   lump-sum retention and recruitment payments to qualified staff
20   members as provided under subsections (e) and (f).
21      (c)   Application.--
22            (1)   The department shall develop an application for
23      qualified child care providers to apply for annual lump-sum
24      recruitment and retention payments for qualified staff
25      members and post the application on the department's publicly
26      accessible Internet website.
27            (2)   A qualified child care provider shall apply for
28      funding within 45 days of the initial posting of the
29      application in the form and manner as prescribed by the
30      department.

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 1      (d)     Department determination.--The department:
 2            (1)   shall approve or deny an application received under
 3      subsection (c) no later than 45 days after receipt of the
 4      application; and
 5            (2)   may not approve or distribute payments under this
 6      article to an applicant that is not a qualified child care
 7      provider.
 8      (e)     Allocation.--Money appropriated to the department shall
 9   be allocated as follows:
10            (1)   The department shall allocate money for payments to
11      qualified child care providers to administer individual
12      retention bonuses of up to $1,000 per qualified staff member.
13            (2)   After allocating money for payments under paragraph
14      (1), the department shall allocate any remaining money for
15      payments to qualified child care providers to administer
16      recruitment bonuses of up to $1,000 per newly hired qualified
17      staff member. Funding under this paragraph shall be allocated
18      based on child care provider type and licensed capacity.
19      (f)     Conditions.--The following shall apply to payments
20   received by approved qualified child care providers under this
21   article:
22            (1)   Payments may not supplant existing money used for
23      staff wages, bonuses or benefits.
24            (2)   Payments may only be used for the following purposes
25      and shall be spent within the fiscal year the payment was
26      made:
27                  (i)    Retention bonuses for qualified staff members.
28                  (ii)   Recruitment bonuses for newly hired qualified
29            staff members.
30            (3)   A qualified staff member may not receive both a

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 1      retention bonus and a recruitment bonus within the same
 2      fiscal year.
 3      (g)   Recovery.--The department may recover money distributed
 4   to a child care provider under this article if the provider does
 5   not comply with the provisions of this article or with
 6   applicable Federal or State law.
 7      (h)   Provider requirements.--A child care provider that
 8   receives a payment from the department under this article shall
 9   provide documents, records and other information related to a
10   payment made under this article in the time, manner and format
11   requested by the department or a Federal agency or another
12   Commonwealth agency that is authorized to audit the child care
13   provider or the payments.
14      (i)   Records and recovery.--The department may:
15            (1)   Monitor, inspect or audit the financial, operating
16      and accounting records of a child care provider that receives
17      a payment under this article, as deemed necessary by the
18      department.
19            (2)   Withhold, recover or reduce a payment of a child
20      care provider if the provider does not comply with the
21      provisions of this article or with Federal or State
22      requirements.
23      (j)   Reporting.--No later than September 30, 2026, and each
24   September 30 thereafter, the department shall issue a report to
25   the chair and minority chair of the Appropriations Committee of
26   the Senate and the chair and minority chair of the
27   Appropriations Committee of the House of Representatives. The
28   report shall be posted on the department's publicly accessible
29   Internet website. The report shall include the following
30   information:

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 1            (1)   The number of payments made to qualified child care
 2      providers.
 3            (2)   The county in which each qualified child care
 4      provider receiving a payment is located.
 5            (3)   The total number of applications received in the
 6      previous fiscal year.
 7            (4)   Any other information the department deems
 8      necessary.
 9      (k)   Regulations.--The department may promulgate regulations
10   as necessary to administer the provisions of this section.
11      Section 2.    This act shall take effect immediately.




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