 Okay. Good afternoon. Today is Tuesday, February 9th, and this is the Vermont House Human Services Committee. And we are starting our afternoon meeting, having a walk through by legislative council of age 171, a bill related to improving quality access for childcare. For childcare. Katie. Great. Hello, Katie Mclin office of legislative council. I'm going to pull up the document so we're all literally on the same page. How did I do. Are you seeing each 171. All right. Okay, so each 171 is an act relating to childcare and changes. Just to give you kind of a broad overview there are some changes to the subsidy program, childcare financial assistance program CC FAP. There are also some programs to support the workforce the childcare workforce. There are also a few provisions that create either reports or study groups looking at financing and governments of childcare and Vermont. So that's what we'll be going through this afternoon. The bill starts with a finding in legislative intent section. For today's purpose to move through the bill I might just skip that and get right to the substance of the bill. And we could go back another time and look at it if committee would like to. So to start off this first section deals with the childcare financial assistance program CC FAP and the language we're looking at right here is codified law in the green books. And I want to flag for the committee that this section appears in the bill. It is amended in two different places it is amended twice. The first time it is amended right here in section two, it takes effect on July 1 2021. It's later amended in the bill to take effect on July 1 2022. So I just want to flag that even though the same section appeared twice, the different amendments to this section take effect a year apart. So, first and subdivision a one. There's language about why the program is established and there's an additional purpose on lines 11 and 12 added to support the healthy development of their children the family's children, and then you'll notice that there's some language removed. There's language removed that families seeking employment shall be entitled to participate in the program for up to three months, and the commissioner may further extend that period so that limitation that families seeking employment could participate for up to three months that is removed. The next change is in subdivision a to, and this talks about how the subsidy is structured, and in current law the lower limit of the fee scale is up to and including 100% of the current federal poverty guidelines. So that changes to 100 lower limit is 150% of the current federal poverty lines, meaning that a family at or below 150% of the current federal poverty guidelines receives the full benefit of the program. So that changes effect on July 1 2021 and then we have a word change here that this the scale shall be structured that it supports employment versus encourages employment. Next in section three. The next language is not withstanding just in fiscal year 2022 the language that we just looked at with regard to the upper income limit of the fee scale. So I might just scroll up so you can see what existing law says. Here in lines 19 through 21, the upper income limit of the fee scale shall be neither less than 200% of the current federal poverty guidelines are more than 100% of the state median income adjusted for family size. Section three does is just for one year just for fiscal year 2022. It adjusts the upper income limit of the fee scale to not be less than 350% of the federal poverty level guidelines adjusted for the size of the family. Section four is the same section that we amended in section two. This is where the changes take effect on July 1 2022. The first change is in subdivision a for this is a technical correction this is cleanup, because this change will take effect after September 30 2021. And since this language specifies that this change takes effect after September 30 2021 we no longer need this language after that date. So we can remove that language. And here's the substance of change there's a new subdivision a five this language reads that families eligible to participate in CC FAP shall include those in which a parent or guide guardian works at least part time works a non traditional schedule is enrolled only part time whether education or job training program, including graduate and professional programs, or a second bachelor's degree program, or is participating in inpatient or intensive outpatient substance misuse treatment, or mental health treatment or both. So that's a change that would take effect. Again, July 1 2022. The next change has to do with how the payments are calculated for the CC FAP program. So under the current language, there's sort of split in between two pages here. There's language about using the prevailing market rate for comparable services. So the proposed change is that the payment established under the section shall reflect the following considerations, whether the provider operates a licensed child care facility or regulated child care program that is struck. That's sort of a technical change. It's being replaced with regulated child care program licensed child care facilities and registered family child care homes are regulated child care program so it's kind of just using a short slide to capture those two other categories. Whether that so whether the provider operates a regular regulated child care program, the type of service provided and the cost of providing the service, including early childhood educator compensation that is commiserate commiserate with peers and other fields. So taking into account that child educator compensation piece is new, and then payment shall be based on enrollment and the proposed change removes language about any other basis agreed to by the provider in the division. So, if this change were to take effect payments would only base be based on enrollment and some of the flexibility that the division now has would not be available any longer. Next is section six. This is, I sort of like to think of it as a set of instructions that the General Assembly is giving the child development division when they're negotiating with the federal government about how the subsidy program should be structured. So you're asking the deputy commissioner of the child development division to seek out an amendment to the division's federal child care development state plan. These are the different components that will that we're asking to amend. So first, adjusting the sliding scale of CC FAP to ensure that families whose gross income is up to including 150% of the federal poverty guidelines receive 100% of the available benefit. So this asking for this change just matches what has been done in section two of the bill and section two of the bill, the language was changed to increase the limit from 100% to 150%. So this is kind of the parallel construction of that asking that the federal government when we are negotiating the child care and sorry the federal child care and development state plan that we would like to make this change to 150%. The second change is to adjust the sliding scale of CC FAP to calculate family contributions based on a percentage of the family's annual income. So this and three, which is changing the methodology used to inform the fee scale, and it's childcare financial assistance program from the market rate survey to the cost of care is part of reflecting some of the changes that the department is proposing as part of the five year plan. So those are changes that we're directing the childcare division to seek from the federal government. And then the last piece of this childcare financial assistance program is in section seven. So this is the appropriation for everything that we've talked about so far. And so this is the fiscal year 2022 appropriation and the ask is for roughly 4.7 million to be appropriated from the general fund to the child development division above the fiscal year 21 base appropriation for the purpose of implementing the changes and section two and three that's increasing lower limit on an ongoing basis and adjusting the upper limit for fiscal year 2022 only. And then in subsection be we have intent language, and we have, we have this intent language, because we're trying to avoid getting in the situation where we're binding the hands of a future legislative body by making an appropriation. So far out. So it's the intent, but it's not binding that an appropriation that meets or exceeds the amount distributed in fiscal year 2022, he made in fiscal years 2023 through 2026 to progressively adjust the upper income limit of CC FAP each year. And the second piece of that is by fiscal year 2026 a family shall not spend more than 10% of their gross annual income on childcare. So those are all the childcare subsidy pieces going to move on to technology. So section eight is also an appropriation. This is a fiscal year 2022 appropriation 4.7 million is appropriated from the general fund to CDD for the purpose of completing implementation of the bright futures information system modernization plan. So that is completion of that work that was started. I don't know if it was last year or two years ago, but that's the appropriation to finish that process. And then on top of page 10 we move into workforce supports. So let me tell you what you're going to see before we look at it. I'm adding a new sub chapter to the existing chapter on childcare that deals specifically with workforce. And this chapter is going to create three different programs, there's going to be a scholarship program for current providers, scholarships for prospective providers, and there's also going to be a loan forgiveness portion. So you'll see that these programs, I believe except for the first one, they're all time limited and so after we go through each of these programs you'll see there is repeal language that at a date certain these programs go away. Which is the scholarships for current and early childhood providers. And subsection a we're just setting it up that it's a need based scholarship program for individuals employed by a regulated privately operated center based program or family childcare home will acquire in credits and early childhood development, or that are related directly to working with children from birth through age eight. And then subsection be directs that the division is to contract for the administration of the program, adopt policies procedures and guidelines necessary for its implementation. And it tells us that scholarships are distributed on a first come first serve basis, until the funds are depleted. And then subsection see only allows somebody to participate in one program at a time. An individual can't participate in this program and also be receiving the loan repayment assistance from the program that we're going to look at in section 3543. The next program is the scholarships for prospective providers. And again, subdivision a one we're just setting this up that it is for individuals pursuing a college or graduate degree and early childhood education or early childhood special education. The program is to provide financial assistance up to the full cost of tuition for an eligible individual. And then we go on to define what who is eligible for this program. So at somebody who attends a Vermont college or university at least part time. They have to be pursuing an associate's bachelor's or master's degree in early childhood education or early childhood special education. And the person has to commit to working in early childhood education for at least three years after completion of their degree program. And again, the department is to adopt policies procedures and guidelines necessary for implementing the program, scholarship, excuse me scholarships are distributed on a first come first serve basis, until the funds are depleted. And again, and subsection see we have this language that limits somebody to participating in only one program at a time so a person who's taking advantage of this program can also be participating in the loan repayment assistance program. The last of these three programs is the student loan repayment assistance program there. Sub and subdivision a one we're setting up the program. This is for the purpose of providing student loan repayment to an individual employed by a regulated privately operated center based childcare program or home. And then we go on to list who is eligible somebody who is working in a privately operated center based childcare program as a lead or associate teacher, or in a family childcare home that is regulated by the division for at least an average of 30 hours a week for six weeks of the year. They have to receive an annual salary of not more than $60,000 and we have to have earned a bachelor's or master's degree in early childhood education, or early childhood special education within the proceeding five years. To this debate in the program the individual has to submit to DCF documentation expressing the individuals intent to work in a regulated privately operated center based program or family childcare home for at least the next 12 months. The participant may receive up to $4500 annually and repayment assistance, which is to be distributed by the department and for allowance. And the department shall distribute at least one quarter of the individuals total annual benefit after the individual has completed three months of employment in accordance with the program. The remainder of the individuals total annual benefit is distributed by the department every three months thereafter. Again, this authorizes or directs the department to adopt policies procedures and guidelines necessary to implement the provisions of the section. The funds are appropriated shall be expended for repayment of student loans, and this again is available on a first come first serve basis until the funds are depleted. Again we have this language and subdivision three that says if you're participating in this program you can't also be participating in the previous one of the previous two programs, the scholarships for current or perspective providers. So those are the three programs and then we have some language about funding them. So, basically a one two and three tracks the order of the programs that we just went through in the previous section so these are all appropriations for fiscal year 22 300,000 is appropriated for the current provider scholarship program. 200,000 for the perspective early childhood provider scholarship program. And in subdivision a three, we have 200,000. Oh, I'm sorry. I have been saying this wrong. No I was right 300,000 200,000. And then we have 2 million and loan repayment assistance. That was the last program we looked at. In section B we again have this intent language so as not to bind a future legislature to a certain appropriation, but it's the intent of the General Assembly that appropriations that me or exceed the amounts appropriated in fiscal year 2022 should be made in fiscal years 2023 through 2026. And then at the time limited nature of the programs that we just looked at. And then we get right into the repeals. So, the first program, the student loan repayment assistance program is repealed. Yes, we're only repealing subsection C of that program. Subsection C is the section that refers to the other two programs. So let me say that another way, the program that deals with current scholarships for current early childhood providers is an ongoing program that won't be repealed what will be repealed is subsection C that references the other two programs because the other two programs are going away. So in subsection B here and subsection C, you'll see that the perspective scholarship program goes away on July 1, 2026, and the student loan repayment assistance program is repealed on July 1, 2026. So those are the workforce supports. And then we move into a series of study groups and reports on various aspects of the childcare system. So first we have a governance study in subsection A gives the purpose in order to ensure that Vermont's governance for early childhood education effectively meets the needs for children families and providers. Right futures is to undertake an analysis that evaluates and makes recommendations of the following. So here are all the things that are going to be part of the analysis existing early childhood education governance and administrative stakeholders and structures. Early childhood education governance and administrative functions that are currently not staffed or understaffed emerging system needs stakeholder engagement and decision making processes and state plan development. In subdivision five line eight mechanisms to strengthen system oversight and leverage current system strengths identification of existing needs and challenges. And lastly ensuring that an anti racist approach is used and modifying existing policies and procedures and creating new policies and procedures. So this analysis and recommendations are to be submitted by January 15 of 2022 by building bright futures. Subsection C, instructs that building bright futures is to consult the early care and education advisory committee that is established in one of the coming sections that we'll look at and preparing the analysis. In subdivision D one we have an appropriation for fiscal year 2022 $150,000 is appropriated from the general fund to building bright futures to implement this section to do this work. And in subdivision to building bright futures may use appropriated funds to cover administrative needs associated with the study and to contract a consultant with experience and organizational or administrative governance administration or system management experience. And then we have a definition of early care and education. It means programming provided at center based programs or family childcare homes regulated by the department for children and families and child development division that serves children from birth to five years of age we have this definition for no longer operating in the green books this would be in session law. In general the language is starting to move towards early care and education, and those types of terms are not currently reflected in the green books so I wanted to make sure since these are the terms that are being used and the various studies and work groups that we're going to be looking at that we're defining what that term means and kind of tying it back into the terms that we're familiar with from the green books. In section 13. This is a financing study. In January 15 of 2022, the state treasure auditor, jfo commissioner finance and commissioner of taxes is to deliver the general assembly a comprehensive report, identifying and intermitting the feasibility of implementing a stable long term funding source to finance affordable high quality early childhood care system, given childcare's role and post pandemic stimulus and long term economic development. So this group of individuals is to consider stable ongoing funding necessary to achieve a system in which a family does not spend more than 10% of its gross annual income on childcare. In which childcare providers receive compensation on par with their peers and other fields, in which Vermont children below five years of age have access to a childcare space that meets their needs. And in which early care and education programs are able to support families access to coordinating services. And the report required is to determine a stable long term funding source to fund the system, the optimum design of a stable long term funding source, the feasibility of such a stable long term funding source in terms of sustainability equity and appropriateness and the feasibility of dedicating revenue from a stable long term funding source to a dedicated early care and education fund create basically creation of a special fund and the most efficient methods of administering and distribution of this special fund. In subsection C, this group of individuals we've identified beginning of this section is to include input from state or contracted economists and analysts are both including an economist or analysts with expertise that specifically related to early care and education issues. So part of this report required under this section, the same group of individuals and any contracted advisors are to produce a consensus evaluation of the economic impact of investment in high quality affordable childcare for children birth through age five years of age, through a long stable funding source. So the consensus evaluation is to include both micro economic and macro economic simulations, looking at individual and economy wide impacts and responses, and the allocation of such impacts across economic sectors including direct and direct and induced results. Section two goes into the data tools to be used to do this consensus evaluation. It shall include Moody's analytics and customized customized Moody's online Vermont models, as well as dynamic and other input and output based models, including those regional economic models. Dynamics in in plan I am PLN and other models as advised, the consensus evaluation is to consider demographic impacts, workforce impacts, warnings savings and multiplier effects for parents and guardian or guardians, childcare providers, early care and education programs, and it is providing supplies and services for early care and education programs. Children receiving childcare as future members of the workforce. General business earnings and multipliers stemming from increased workforce participation, community development, increased tax revenue, and social service savings including care education and corrections. And the consensus evaluation shall present findings on the following. First, the efficacy of the infrastructure investment and high quality affordable early care and education as a short term stimulus to enhance Vermont's economic well being and the immediate aftermath of the pandemic. And the efficacy of the infrastructure investment and high quality affordable early care and education as a long term economic development tool, and to the extent possible to quantify long term return on investments. And subsection either secretary of administration. Shall be allowed to accept philanthropic contributions to underwrite the cost of hiring economists and analysts to do this work. In the end of the section is the same definition we've already seen in the previous section the definition of early care and education. The next section creates an advisory committee early care and education governance and administration. So first we're just kind of setting up the purpose. We're creating an advisory committee to advise this child development division on all services pertaining to children and early education regulation, including licensing rules policies and procedures, administration of the early childcare education system. CC FAP rules policies and procedures and plans childcare provider credentialing and compensation standards. Early childhood care and education curricula standards including anti racist early childhood education practices and standards. And the early care and education governance and administration study that we already looked at in section 12. The members of this advisory committee they're all pointed by building bright futures and it's most of the long numbers. A parent or caregiver from a large town or city, a parent or caregiver from a rural community, a family childcare home provider, a center based childcare and preschool childcare provider, a head start family policy advisory council member, a head start early childhood provider or program director, a representative of the Vermont Association for the education of young children, early childhood education, higher education consortium, a representative of the parent child center network, or representative of a community childcare resource agency, a provider of children's integrated services, a provider of childhood special education services, a regional universal pre K coordinator, a pre a pediatrician and a community member. The committee is to have the administrative assistance of building bright futures and the technical and legal assistance of the child development division. There is a report required annually on or before January 15, a written report is due to this committee and Senate health and welfare with a summary of its annual activities findings and recommendations for legislative action. The meeting's building bright futures is to call the first meeting by September 1 of this year. The committee would select a chair from among its members. The majority makes up a quorum and the committee would cease to exist on January 1, 2024. This is a compensation and reimbursement for not more than six meetings annually and fiscal year 2022 that appropriation is 25,000 for the year appropriated to building bright futures. And again, we have the same definition of early care and education that we've seen the previous two sections. And we've made it to the end the effective day section. The bill takes effect July 1 2021, with the exception of that duplicate section in the subsidy program that we looked at, which takes effect July 1 2022. And that is it. Okay, I'll entertain a motion to this bill just kidding. Just kidding. This is the beginning of our exploration of this and it really is a walkthrough of it. Representative Rosenquist. Thank you. I just wanted to make sure I understand the changes that are made or it changes to what are an underlying bill or this bill from last year. Maybe I didn't understand that, but you know, you showed a lot of changes to different things here and what are we changing. So this was a new bill that was introduced in this biennium. Some of the changes, particularly the changes in the first half of bill are changes made to existing law like the subsidy program. So those are already in the green books are existing law that have been in, you know, been law for a number of years they've been amended over the years, some of the latter language the language that is all underlined, particularly the study groups, the financing group, the advisory committee that's all proposed. That's all a proposal new law that isn't amending anything. And the same is true of the workforce supports that's a proposal for for new law it's not amending anything. Thank you. That helps me put it in perspective. Thank you. We've got at this juncture, a couple of minutes for questions of content to Katie. Thank you madam chair. I have one question. On page 15 line 11. And on page 20 line 21. A term as you was there. And the term is anti racist. Do we have a definition of either racist or anti racist. I couldn't find one in the bill. There's not a definition of the bill of either racist or anti racist is there a definition, some place in the existing law. And so to that I would have to look and get back to you. Thank you. Jessica. Thanks. Something I didn't think of Katie when we were originally working on this was part time do we have a definition of what equals part time, like it's not just five hours or I don't have anything specific in the bill but I'm guessing if I were to consult with Damien Leonard who deals with labor law that he might be able to direct us to the right place and statute. And it could be that we could out of cross reference and depending if the committee liked that definition or if you wanted to kind of come up with your own. But I can reach out to him and I'll ask that question. Great. Thank you. Are we at the after lunch law. Just so folks know this is a the beginning. I mean, I thought, you know, it's clearly it's important that we know have a walkthrough of what the language is. And there are this is a piece of legislation that I want to say the overall concept of the importance of childcare is very important to 90 some odd if not more members of the House and Senate. That doesn't mean of the house that does not mean that 90 members agree with all the aspects of the 23 pages. And so that is part and parcel of what we will need to be doing is hearing, not necessarily from representatives but from the stakeholders and from people who will be impacted. In terms of house human services will we will be starting tomorrow as you see on the agenda, hearing from what I would say, three of the major three of the provider or advocacy organizations that have been that will be either impacted by language of this or and have some views one of which is clearly let's grow kids who help set the framework for some of this. Clearly, clearly it is our Department of Children and Families, because there are, there's language in here that is assumes a direction that may or may not be consistent with the direction of the administration. So, a couple of you have wondered how and when we might be looking at the governor's proposal. This is one place, because there are things in here that may not be consistent with what the governor is proposing and so we're going to begin with that and then there are there's a significant role for building bright futures in this bill and so we want to hear from then that you know then I think it's important that we all figure out what how how who else we need who do we need to hear from what our providers or groups or individuals who we may never who we may not usually hear from that it is important that we hear from in terms of childcare and then to know that this bill has a long way to go, or shall I say has lots of stops before it gets to the floor. So it's a very likely education. And if you look at some by by the appropriation of money, it will have to go to buy by House rules. It will have to go to appropriations, and in terms of some of the aspects of the study it very well may need to formally go to raise and means. And then there is whether or not it formally or informally goes to commerce and economic development. In terms of of that. Those are the committees that have been identified as potential interests as a committee not as individuals, in terms of, shall I say, policy interests, whether or not all will take whether whether some will just will will take possession or whether for instance, or whether they will just do a look see is another question. The crossover has not been identified yet. But when that is identified, we're going to need to be doing some backward planning. And given, given the path that this bill needs to go, we'll need to focus a lot on this bill in the coming weeks, after we do the budget. I know that we would that in terms of setting the agenda and thinking about who we want to hear from. I don't know if right now you have some ideas off the top of your head. But keep that in mind in terms of what are the perspectives and voices that will be important to hear. And while while Katie has I think other places to go this afternoon it will not be the last time that she is available to us for questions about content or what things mean. And how to make sense of some of the, the language. Before we take a 15 minute break, because we're going to go on to some other things as well. Are there some quick questions for Katie in terms of content. I think Robert wants to know if there are places anywhere definition of what racism and Jessica asked about what does part time mean. Okay. Katie, thank you. Thank you very much. And we will see you on shore very soon. And now, let's take a look at the committee. Let's take a be back my clock says it's 202. And how about we take come back by 215. So a 13 minute break. And when we come back, we're going to do the big reveal on what the committee priorities were in terms of the voting and expectations. After that we'll be having a presentation and information from Jen around advanced directives and some requested changes as it relates to COVID-19 needs. So let's take a break and as we are taking a break we will be I believe still on YouTube. So please keep your voice off and turn off your picture and I'll see you now in 12 minutes.