SECTION 1. The sixth paragraph of section 22N of chapter 7 of the General Laws, as appearing in the 2020 Official Edition, is hereby amended by adding the following sentence:- Notwithstanding any general or special law to the contrary, child care and school age programs contracting with the department of early education and care or their agents shall be exempt from the price limitations set forth by the bureau.

SECTION 2. Said section 22N of said chapter 7, as so appearing, is hereby amended by inserting after the sixth paragraph the following paragraph:-

“Annually, not later than July 1, the secretary of education shall submit a report to the clerks of the senate and the house of representatives, the senate and house committees on ways and means and the joint committee on education that details: (i) the number of child care and school age programs contracting with the department of early education and care or their agents; (ii) the rates charged for child care services; and (iii) any discounts, incentives or modifications allowable under the price limitation exception.

SECTION 3. Chapter 10 of the General Laws is hereby amended by adding the following section:-

Section 79. (a) There shall be established and set up on the books of the commonwealth a separate fund to be known as the Early Education and Child Care Workforce Development Trust Fund. The fund shall be administered by the secretary of education, in consultation with the commissioner of early education and care and the commissioner of higher education, for the purpose of strengthening the pipeline of early childhood educators and promoting professional development opportunities for child care providers. The fund shall be credited with: (i) appropriations, bond proceeds or other money authorized or transferred by the general court and specifically designated to be credited to the fund; (ii) funds from public and private sources, including, but not limited to, gifts, grants and donations; and (iii) any interest earned on such money. Revenues deposited in the fund that are unexpended at the end of a fiscal year shall not revert to the General Fund and shall be available for expenditure in the following fiscal year. No expenditure made from the fund shall cause the fund to become deficient.

(b) Annually, not later than July 1, the secretary of education shall submit a report detailing expenditures from the trust fund to the clerks of the senate and the house of representatives, the senate and house committees on ways and means and the joint committee on education.

SECTION 4. Chapter 15A of the General Laws is hereby amended by inserting after section 19E the following 2 sections:-

Section 19F.  (a) Subject to appropriation, the board shall, in coordination with the board of early education and care, establish an early education and child care educator scholarship program for early education and child care sector educators pursuant to clause (10) of section 5 of chapter 15D, including, but not limited to, standards and application criteria for the administration of the program including mechanisms to ensure the scholarship provides meaningful improvements in the delivery of high-quality early education and child care.

(b) The scholarship may be used to cover the cost of tuition, fees or course-related expenses, including, but not limited to, supports unique to the diverse learning needs of the field, including personal child care expenses in order to attend classes and class meetings, and other supports deemed appropriate by the boards, for credential, certificate or degree-granting programs for early educators who are pursuing early education credentials, associate-level or bachelor-level degrees to meet the teacher and program quality standards of the department of early education and care.

(c) The board of higher education and the board of early education and care shall determine the scholarship amount; provided, however, that each scholarship amount shall, at a minimum, be sufficient to cover the full cost of a credential or certificate at a boards approved provider; and provided further, that the cost of a municipally-owned college credential or certificate shall be considered when determining scholarship amounts.

(d) Eligible recipients shall be current or prospective early education and child care educators and providers employed in early education and child care programs in the commonwealth who commit to teaching in early education and child care programs for a term of service to be determined by the boards and shall reflect the diversity of the commonwealth’s early education and child care workforce.

(e) Preference shall be given to applicants identified as providers who have displayed a proven commitment to early childhood education.

(f) The program shall be administered by the department, in collaboration with the department of early education and care, in a manner that ensures recipients receive adequate support in selecting programs and courses that lead to credentials and further their career in early education and child care.

Section 19G. Subject to appropriation, the board shall, in coordination with the board of early education and care, establish an early education and child care educator loan forgiveness program for early education and child care sector educators in the commonwealth pursuant to clause (10) of section 5 of chapter 15D with preference given to applicants identified as providers who : (i) have displayed a proven commitment to early childhood education and who work in communities predominantly serving children and families with high needs, as defined under section 1A of said chapter 15D; (ii) are members of a group that is at a social or economic disadvantage or is underrepresented in the early education and child care sector; or (iii) other areas with a shortage of early education and child care slots.

SECTION 5. Section 1A of chapter 15D, as appearing in the 2020 Official Edition, is hereby amended by inserting after the definition of “Board” the following definition:-

“Caregiver”, a person living with, supervising and caring for at least 1 child whose parents are not living in the home with them.

SECTION 6. Said section 1A of said chapter 15D, as so appearing, is hereby further amended by inserting after the definition of “Child care center” the following 2 definitions:-

“Child care provider”, a licensed or exempt center-based child care program or a licensed family-based child care program located in the commonwealth.

“Child care subsidy”, financial assistance given to eligible parents for child care provided by a child care program pursuant to a contract or agreement with the department, a child care resource and referral agency or a contracted child care provider.             

SECTION 7. Said section 1A of said chapter 15D, as so appearing, is hereby further amended by inserting after the definition of “Group care facility” the following definition:-

“High needs”, a designation for those individuals or families whose income is not more than 85 per cent of the state median income and individuals with needs that may result in the individual or family needing more services, which may include, but shall not be limited to, an individual or family experiencing any physical, mental, emotional, intellectual, cognitive, behavioral or health-related disability or condition, exposure to domestic violence, trauma history, limited English proficiency, limited literacy, homelessness or housing instability.

SECTION 8. Said section 1A of said chapter 15D, as so appearing, is hereby further amended by inserting after the definition of “Mixed system” the following definition:-

“Operational grant”, financial assistance from the commonwealth to a child care program or provider used for those costs directly attributable to the financial sustainability of the program, such as educator salary and benefits, instructional materials and program quality improvements.

SECTION 9. Said section 1A of said chapter 15D, as so appearing, is hereby further amended by inserting after the definition of “Services” the following definition:-

“Subsidized child care provider”, an eligible child care provider, program or individual that holds a contract or voucher service agreement with the department for the provision of subsidized child care services.

SECTION 10. The second paragraph of section 2 of said chapter 15D, as so appearing, is hereby amended by striking out clause (e) and inserting in place thereof the following clause:-

(e) establish and develop a schedule for revising: (1) a rate structure for voucher and contracted payments to providers of subsidized early education and child care programs and services on behalf of income eligible and other at-risk children based on meeting the cost of providing high-quality early education and child care programs to such children in conformity with federal and state law, regulations and quality and safety standards; and (2) a sliding fee scale for participants in those programs, which is updated at least every 5 years to reflect affordability standards for participating families; provided, however, that recipients of subsidized child care services whose income is not more than 100 per cent of the federal poverty level shall not be charged fees for care; and provided further that, a public hearing under chapter 30A and the approval of the board shall be required before the establishment or revision of the rate structure and sliding fee scale.

SECTION 11. Said second paragraph of said section 2 of said chapter 15D, as so appearing, is hereby further amended by adding the following clause:-

(v) annually, in consultation with the data advisory commission established in section 12A, collect and make publicly available on the department’s website data that provides information on the cost and quality of early education and child care services; provided, however, that the data shall include, but not be limited to, the: (1) number of licensed or exempt child care providers; (2) total cost of subsidies provided by the department or its agents; (3) total number of all children receiving early education and care subsidies by region, age, type of care, race and ethnicity and disability status of the child, primary language of the household, number of adults in the household and the income range of the household; (4) average monthly number and percentage of utilized contracted slots and vouchers by region and type of care provided; (5) per cent of children enrolled in each subsidized child care program whose family has an income of not more than 85 per cent of the state median income; (6) tuition charged for full-time and part-time early education and child care services by age group; and (7) number of children enrolled by age group, family income range, race, ethnicity, country of origin and preferred language.

SECTION 12. Said chapter 15D is hereby further amended by inserting after section 5 the following section:-

Section 5A. (a) There shall be an early education and child care workforce development advisory council that shall consist of: the secretary of education or a designee, who shall serve as co-chair; the secretary of labor and workforce development or a designee, who shall serve as co-chair; the commissioner of early education and care or a designee; the commissioner of higher education or a designee; the chairs of the joint committee on education or their designees; the chairs of the joint committee on labor and workforce development or their designees; the chairs of the joint committee on higher education or their designees; 1 member who shall be appointed by the minority leader of the senate; 1 member who shall be appointed by the minority leader of the house of representatives; the president of the commonwealth corporation or a designee; 3 members with current early education and care experience appointed by the commissioner of early education and care, 1 of whom shall be a family child care provider, 1 of whom shall be a center-based provider and 1 of whom shall be an early education and care provider with not more than 6 years of classroom experience; and the following members who shall be appointed by the co-chairs, 1 of whom shall be a representative of the Massachusetts Child Care Resource and Referral Network, Inc., 1 of whom shall be a representative of the Massachusetts Association of Early Education & Care, 1 of whom shall be a representative of Jumpstart for Young Children, Inc., 1 of whom shall be a representative of the Common Start Coalition, 1 of whom shall be a representative of the Black Economic Council of Massachusetts, Inc., 1 of whom shall be a representative of the Massachusetts Afterschool Partnership, Inc., 1 of whom shall be a representative of the Massachusetts Association of Chamber of Commerce Executives, Inc., 1 of whom shall be a representative of Massachusetts Workforce Association, Inc., 1 of whom shall be a representative of the Massachusetts Association of Community Colleges, 1 of whom shall be a representative of the Public Higher Education Network of Massachusetts Inc., 1 of whom shall be the president of a community college or a designee, 1 of whom shall be a representative of the Massachusetts Head Start Association, Inc., 1 of whom shall be a representative of the Massachusetts Association for the Education of Young Children, Inc., 1 of whom shall be a representative of the Massachusetts Association of Early Childhood Teacher Educators, 1 of whom shall be a representative of the Massachusetts Business Coalition for Early Childhood Education, 1 of whom shall be a representative of Strategies for Children, Inc., 1 of whom shall be a representative of the Alliance of Massachusetts YMCAs, Inc., 1 of whom shall be a representative of the United Way of Massachusetts Bay, Inc., 1 of whom shall be a representative of the Massachusetts Business Roundtable, 1 of whom shall be a representative of Massachusetts Project Access: Coalition of Faith Based Schools, 1 of whom shall be a representative of the Greater Boston Chamber of Commerce, 1 of whom shall be a representative of Neighborhood Villages, Inc., 1 of whom shall be a representative of the Associated Industries of Massachusetts, Inc. and 1 of whom shall be a representative of the Service Employees International Union Local 509. Appointees on the advisory council shall reflect geographically diverse regions of the commonwealth to ensure regional equity within the council.

(b) The advisory council shall regularly make recommendations to the secretary of labor and workforce development, the secretary of education, the commissioner of early education and care and the commissioner of higher education on (i) the improvement of the design, oversight and implementation of workforce development programs for early childhood educators and (ii) enhancing professional development and higher education opportunities necessary for the growth and stability of a high quality early education and care workforce.

(c) There shall be an early education and care workforce development program to strengthen the pipeline of early educators and promote professional development opportunities for early education and child care providers. The secretary of education, in consultation with the secretary of labor and workforce development, the commissioner of early education and care and the commissioner of higher education, may expend funds from the Early Education and Child Care Workforce Development Trust Fund established in section 79 of chapter 10 to fund the program.

SECTION 13. Said chapter 15D is hereby further amended by inserting after section 12 the following section:-

Section 12A. (a) There shall be a data advisory commission to promote the improved use of state-level, provider-level and program-level data to inform the cost and quality of early education and child care services.

The data advisory commission shall assist the department in identifying, analyzing and making recommendations on high-impact, cost-effective data strategies for assessing the needs of families and children, including, but not limited to:

(i) establishing a data collection and reporting system to track: (A) the total number of children receiving child care subsidies, delineated by region, age, type of care, race and ethnicity, country of origin and disability status of the child, primary language of the household, number of adults in the household and income range of the household and other demographic characteristics; (B) the utilization of available contracted slots and vouchers by region and type of care provided; and (C) the monthly average number of children on the department’s waitlist for subsidized care, delineated by region, age, type of care, race and ethnicity, country of origin and disability status of the child, primary language of the household, adults in the household and income range of the household; (D) the total cost of the subsidies provided; and (E) the average monthly number and percentage of utilized contracted slots by region;

(ii) strengthening the department’s capacity to analyze and report on staffing, scheduling and financial data in ways that support strategic resource allocation decisions, including a review of national best practice models that ensure greater financial transparency;

(iii) strengthening the department’s capacity to use data to inform strategic resource allocation and implementation decisions; and

(iv) streamlining data reporting, eliminating duplicative reporting requirements and improving data quality.

(b) The data advisory commission shall consist of: the commissioner of early education and care or a designee, who shall serve as chair; the secretary of education or a designee; 14 members who shall have demonstrated knowledge and experience in data collection and analysis for the purpose of improving access to high-quality and affordable early education and child care services, 1 of whom shall be appointed by the Massachusetts Association for Early Education & Care, Inc., 1 of whom shall be appointed by the Massachusetts Budget and Policy Center, Inc., 1 of whom shall be appointed by Neighborhood Villages Inc., 1 of whom shall be appointed by the Alliance of Massachusetts YMCAs, Inc., 1 of whom shall be appointed by the Massachusetts Head Start Association, Inc., 1 of whom shall be appointed by the Massachusetts Afterschool Partnership, Inc., 1 of whom shall be appointed by the Common Start Coalition, 1 of whom shall be appointed by the Massachusetts Early Childhood Funder Collaborative, 1 of whom shall be appointed by the Massachusetts Business Roundtable, 1 of whom shall be appointed by the Massachusetts Business Coalition for Early Childhood Education, 1 of whom shall be appointed by the Boston Foundation, Inc., 1 of whom shall be appointed by Jumpstart for Young Children, Inc., 1 of whom shall be appointed by Strategies for Children, Inc. and 1 of whom shall be appointed by Massachusetts Taxpayers Foundation, Inc.; and 5 members who shall be appointed by the commissioner, 1 of whom shall be a family child care provider, 1 of whom shall be a center-based provider, 1 of whom shall be a parent of a child currently enrolled in an early education and child care program and 2 of whom shall have professional experience and knowledge in the area of data collection, quality and usage in establishing education policy and improving child and family outcomes. Appointees on the advisory commission shall reflect geographically-diverse regions of the commonwealth to ensure regional equity within the commission.

(c) Annually, not later than December 1, the data advisory commission shall report on its progress to the clerks of the senate and house of representatives, the house and senate committees on ways and means and the joint committee on education. The report shall be made publicly available on the department's website.

SECTION 14. Said chapter 15D is hereby further amended by inserting after section 13 the following section:-

Section 13A. (a) The department shall use funding that is appropriated or otherwise provided to it for the purpose of subsidizing education and care to fulfill the requirements of this section, including, but not limited to, increasing per child rates set by the department.

(b) Subject to appropriation, the child care subsidy program shall provide sufficient subsidies to enable eligible families to afford and access high-quality early education and child care for infants, toddlers, preschool-age children and school-age children; provided, however, that a school-age child’s subsidy shall continue until at least the end of the school year in which the child reaches the maximum age. Notwithstanding any general or special law to the contrary, reimbursement for voucher and contracted payments to child care providers of subsidized early education and child care programs and services on behalf of income eligible and other at-risk children shall be based on quarterly enrollment rather than the daily attendance of participants.

(c) The department shall subsidize early education and care through means including, but not limited to: (i) providing vouchers for payment to child care providers, enabling families to access child care providers of their choice; or (ii) offering families the alternative of an open space with a child care provider that is subsidized under the provider’s contract with the department.

(d) Subsidies may be used for early education and child care provided by public, private, non-profit and for-profit entities licensed or approved by the department, including, but not limited to, preschools, child care centers, nursery schools, before-school programs and after-school programs, out-of-school time programs, Head Start and Early Head Start programs, informal childcare providers and independent and system-affiliated family child care homes.

(e) The department shall provide subsidies to families receiving services from the department of children and families as provided in section 2 of chapter 18B.

(f) The department shall provide subsidies to families currently involved with, or transitioning from, transitional aid to families with dependent children; provided, however, that early education and care benefits shall be available to: (i) recipients of transitional aid to families with dependent children benefits; (ii) former participants who are working or are engaged in an approved service need activity for up to 1 year after termination of their benefits; (iii) participants who are working or are engaged in an approved service need activity for up to 1 year after the transitional period; and (iv) parents who are under 18 years of age who are currently enrolled in a job training program and who would qualify for benefits under chapter 118 of the General Laws if not for the consideration of the grandparents’ income; provided further, that early education and care benefits shall be made available to recipients of  the supplemental nutrition assistance program who are participating in education and training services approved by the department of transitional assistance.

(g)(1) The department shall provide subsidies pursuant to this section to families eligible under income limits under this subsection.

(2) Subject to appropriation, the department shall subsidize the cost of early education and child care services to all families in need of these services with an income of not more than 85 per cent of the state median income; provided, however, that if appropriations are insufficient to subsidize the cost of early education and child care services to all families in need of these services with an income of not more than 85 per cent of the state median income, first priority shall be provided to those children whose family’s household income is not more than 50 per cent of the state median income or children with a documented disability whose family’s household income is not more than 85 per cent of the state median income and to all children in families who are experiencing homelessness or who are headed by a parent under the age of 20; and provided further, that second priority shall be given to children whose family’s household income is greater than 50 per cent but not more than 85 per cent of the state median income; provided, however, that a family below the federal poverty limit shall not have its priority status on a waitlist negatively impacted by a family with income above the federal poverty limit.

(3) If additional state or federal funds are available or the federal government otherwise obligates itself to release additional funding for the purpose of expanding access to child care services, the department shall, in a manner consistent with any requirements or conditions placed on the receipt or expenditure of the relevant federal funds, allocate funding to increase the numbers of families receiving subsidies based on income eligibility in the following order of priority: (i) to those eligible for subsidies as stipulated in paragraph (2); (ii) to subsidize the cost of early education and child care services to all families in need of such services, whose income is above 85 per cent, but not exceeding 100 per cent, of the state median income; (iii) to subsidize the cost of early education and child care services to all families in need of these services, whose income is above 100 per cent, but not exceeding 110 per cent, of the state median income; and (iv) to subsidize the cost of early education and child care services to all families in need of these services, whose income is above 110 per cent, but not exceeding 125 per cent, of the state median income.

(h) For the purposes of eligibility for child care subsidies, “family income” shall include income of parents living with the child receiving subsidized care but shall not include: (i) any form of income of foster parents, caregivers or other adult family members; (ii) income of or for siblings who are not receiving subsidized care; or (iii) earned income of any minor child.

(i) As a condition for receiving subsidies from the department under this section, child care providers shall enter into and comply with a contract with the department or its agents. The department shall develop the contract and the contract shall include a requirement that the child care provider comply with all applicable requirements of this chapter and any other federal or state requirements necessary to receive funding for subsidies provided to families under this section.

(j) The department or its agents shall not reduce, terminate or deny continued subsidies to a family unless and until the family is determined to be ineligible and is given the opportunity for an administrative review. If the department or its agents, after such administrative review, reduce, terminate or deny a family’s child care subsidy, the department shall provide the family with an opportunity for an administrative appeal hearing and shall process the appeal within 60 days from the date the request is made. While an administrative review, or, if applicable, an administrative appeal hearing, subject to rules and regulations promulgated by the department, is pending and until a final determination is made, subsidized child care services shall continue after receipt of a notice of reduction, termination or denial of continued subsidies

(k) The department or its agents shall not reduce, terminate or deny continued child care subsidies to a family based solely on a family’s household income unless and until the family’s household income exceed not less than 85 per cent of the state median income or the income threshold for currently eligible families as prioritized in subsection (f), whichever is higher.

(l) The department shall review the child care subsidy program not less than annually to identify access barriers to families and opportunities to improve families’ experience with the child care subsidy process, including, but not limited to, department paperwork and verification requirements. The department shall take action to remove any access barriers, including, but not limited to: (i) making technological improvements; (ii) streamlining the application and renewal processes; (iii) improving outreach to potentially eligible families regarding the availability of subsidies and the process for applying; and (iv) improving access for families whose primary language is not English.

(m) To the extent allowable under federal law and regulation, no subsidy provided under this section shall be counted as income or assets for the purpose of disqualifying any person from eligibility for any other government benefit for which the person is otherwise eligible, including, but not limited to, transitional aid to families with dependent children benefits.

(n) The department shall, in accordance with chapter 30A, promulgate any regulations necessary to implement this section

SECTION 15. Said chapter 15D is hereby further amended by adding the following 2 sections:-

Section 19. Notwithstanding any general or special law to the contrary and subject to appropriation, the department shall establish, distribute and maintain an operational grant program for child care providers. Annually, the department shall review and update the operational grant formula to ensure continued equity and effectiveness in promoting the financial sustainability and viability of child care providers.

The department shall require early education and care providers, as a condition for receiving funding under this section, to: (i) enter into and comply with contractual agreements with the department or its agents, which shall be developed by the department; (ii) continue or begin to enroll children with subsidies through the department, provided  the family chooses the provider and the provider has an available opening; (iii) comply with any recommended salaries or compensation put forth by the department; and (iv) provide data that the department requires, as needed to carry out the department’s assessment and reporting requirements under this chapter. Absent any changes in circumstances, assuming compliance with this section and as otherwise determined as necessary by the department, operational grants shall, subject to appropriation and the methodology, be renewed to each provider annually.

The department shall annually review and update the operational grant formula to ensure continued equity and effectiveness in promoting the financial sustainability and viability of child care providers

A public hearing under chapter 30A and the approval of the board shall be required before the establishment or revision of the operational grant formula.

Section 20. The department shall develop the early education and care career ladder considered under clause (11) of the second paragraph of section 5. The department shall review the career ladder’s compensation structure and benefits guidelines annually and update them, as needed, based on increased cost of living and other factors deemed relevant by the department to determine appropriate compensation for the field.

SECTION 16. Chapter 154 of the acts of 2018 is hereby amended by striking out section 79.

SECTION 17. (a) The department of early education and care shall submit a report for the implementation of the permanent operational grant program for child care providers under section 19 of chapter 15D of the General Laws that shall include recommendations and proposed methodology.

(b) The department shall make recommendations on: (i) a formula for the distribution of the grants to child care providers; (ii) criteria for determining eligible grant recipients; (iii) allowable uses for the grants; (iv) the incorporation of the cost of quality care methodology to be proposed by the department; (v) opportunities for collaboration and mentorship between grant recipients and vocational schools with curriculums that include early education and care; and (v) developing enforceable compliance standards that demonstrate that program openings are accessible to children receiving subsidies with a goal of increasing subsidy utilization and methods for ensuring that programs receiving operational grant funding meet the standards before receiving or renewing their funding.

(c) In developing recommendations for the distribution formula for operational grants, the department shall consider the following factors: (i) provider licensed capacity and enrollment; (ii) employee staffing costs and benefits; (iii) the number of children enrolled in the child care program receiving a child care subsidy; (iv) the number of children enrolled in the child care program identified as high needs; (v) the cost of goods and services necessary for the operation of a child care program, including rent, utilities, maintenance and facility improvements; (vi) the cost of quality care methodology developed by the department and until such time as the methodology is established, any available information regarding the cost of quality early education and care including available credentialling frameworks and applicable salary guidelines; and (vii) any other factors impacting the cost to child care providers of providing quality care, including, but not limited to, serving infants and toddlers, providing non-standard hours of care and providing care in socially and economically disadvantaged and historically underrepresented communities with shortages of early education and care slots. The department shall also incorporate geographic equity into the development of the distribution formula.

(d) In developing its recommendations regarding the grants recipient eligibility, the department shall require that, as a condition for receiving funding under this section, child care providers: (i) enter into and comply with contracts with the department that shall be developed by the department; (ii) continue or begin to enroll children with subsidies through the department if the family chooses the provider and the provider has an available opening; (iii) comply with any recommended salaries or compensation put forth by the department; and (iv) provide the department with data that the department needs to carry out the department’s assessment and reporting requirements under said chapter 15D.

(e) Prior to filing the report, the department shall solicit public comment.

(f)The department shall file the report with the clerks of the senate and the house of representatives, the senate and house committees on ways and means and the joint committee on education not later than June 30, 2023.

(g) The operational grant program for child care providers under said section 19 of said chapter 15D shall be established based on the recommendations and proposed methodology in the report required under this section.

SECTION 18. (a) There shall be a special commission to study and make recommendations on employer-supported child care benefits.

The commission shall consist of: the chairs of the joint committee on education or their designees, who shall serve as co-chairs; 1 member who shall be appointed by the minority leader of the senate; 1 member who shall be appointed by the minority leader of the house of representatives; the chairs of the joint committee on labor and workforce development or their designees; the secretary of education or a designee; the secretary of housing and economic development or a designee; the secretary of labor and workforce development or a designee; 15 members appointed by the co-chairs, 1 of whom shall be a representative of the Massachusetts Association for Early Education & Care, Inc., 1 of whom shall be a representative of Massachusetts Budget and Policy Center, Inc., 1 of whom shall be a representative of the Common Start Coalition, 1 of whom shall be a representative of the Massachusetts Early Childhood Funder Collaborative, 1 of whom shall be a representative of the Massachusetts Business Roundtable, 1 of whom shall be a representative of the Greater Boston Chamber of Commerce, 1 of whom shall be a representative of the Massachusetts Association of Chamber of Commerce Executives, Inc., 1 of whom shall be a representative of the Massachusetts Taxpayers Foundation, Inc., 1 of whom shall be a representative of the Associated Industries of Massachusetts, Inc., 1 of whom shall be a representative of the Boston Foundation, Inc., 1 of whom shall be a representative of Neighborhood Villages, Inc., 1 of whom shall be a representative of Strategies for Children, Inc., 1 of whom shall be a representative of the Service Employees International Union Massachusetts State Council, 1 of whom shall be appointed by the Alliance of Business Leadership and 1 of whom shall be a representative of Massachusetts Business Coalition for Early Childhood Education; provided, however, that at least 1 member appointed by the co-chairs shall work at a company that does not offer employer-supported child care benefits; 1 member who shall be appointed by the Retailers Association of Massachusetts, Inc., who shall be an owner of a small business; and 2 members who shall be appointed by the commissioner of early education and care, 1 of whom shall be a family child care provider and 1 of whom shall be a center-based provider. Appointees on the commission shall reflect geographically diverse regions of the commonwealth to ensure regional equity within the commission.

(b) In making its recommendations, the commission shall consider the feasibility and economic impact of employer-supported early education and care benefits in the commonwealth, including, but not limited to: (i) on-site child care; (ii) financial assistance stipends for child care services; (iii) pre-tax spending child care spending accounts; (iv) partnerships with child care programs to provide child care services for employees; and (iv) flexible work schedules.

The commission shall make recommendations on: (i) encouraging employers to provide employer-supported early education and care benefits to employees; (ii) requirements for specific subgroups of employers to provide employer-supported early education and care benefits to employees; and (iii) other matters related to the expansion of employer-supported early education and care benefits in the commonwealth.

(c) The commission shall hold not less than 3 public meetings and may hold additional meetings, hearings and other forums that is considers necessary. The commission shall file its report and recommendations with the clerks of the senate and the house of representatives, the senate and house committees on ways and means and the joint committee on education not later than June 30, 2023.

SECTION 19. The department of early education and care shall file a report: (i) detailing a plan to expand local partnerships, including strategies and resources necessary to address community-based program expansion plans currently in development under the Commonwealth Preschool Partnership Initiative grant; (ii) identifying means by which existing programming may be continued using existing resources available to child care providers in the mixed delivery system; (iii) identifying strategies for expanding the number of slots available in communities currently receiving Commonwealth preschool partnership initiative grants; and (iv) identifying best practices to expand local partnerships to more communities, including through mixed delivery programs administered by the local school system, municipal scholarship programs provided directly to families based on successful models already being implemented in certain municipalities and other approaches to expand access to public high-quality care. The report shall be filed with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on education not later than December 31, 2022.

SECTION 20. Not later than December 31, 2022, the department of early education and care, in consultation with the Children’s Investment Fund and the Community Economic Development Assistance Corporation, shall file a report with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on education detailing proposed improvements to the Early Education and Out of School Time Capital fund. The report shall include,  but not be limited to: (i) eligibility criteria; (ii) size of grants; (iii) ways to streamline the application process; (iv) any other parameters to increase the impact of the fund;  and (iv) any data available on unmet needs for early education and care facilities improvements.

SECTION 21. Not later than January 15, 2023, the department of higher education shall file a report with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on education, on the design, eligibility criteria and implementation plans for the early education and care educator scholarship program and the early education and care educator loan forgiveness program established in sections 19F and 19G of chapter 15A of the General Laws.

SECTION 22. Not later than June 30, 2023, the department of early education and care shall file a report with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on education that assesses the extent of current supply and the unmet needs of families, taking into account relevant differences among geographic locations within the commonwealth including: (i) subsidized transportation of children to and from child care providers; (ii) early education and care services for time periods outside standard hours; (iii) substitute care on days on which the family’s regular child care provider is unavailable; and (iv) any other factors that prevent families from accessing state early education and care subsidies and to assess the cost of addressing these unmet needs.

SECTION 23. Not later than June 30, 2023, the department of early education and care shall submit a report to the clerks of the house of representatives and the senate, the house and senate committees on ways and means and the joint committee on education on a proposed methodology to calculate and assess the cost to provide high-quality early education and care. The methodology shall take into consideration the full cost of service delivery, including, but not limited to, costs that vary based on: (i) geographic region; (ii) child care provider type and size; (iii) age ranges of children served; (iv) group size and ratios; and (v) the demographics of the populations served by child care providers; and (vi) costs of additional services to children and families with high needs, as defined under section 1A of said chapter 15D of the General Laws, including staff and staff training needed for accommodating children with disabilities or other high needs, interpreter services, mental health supports for children and staff, trauma-informed care practice, and staff time required to provide comprehensive family engagement and services to ensure effective early education and promote multi-generational success.

In developing the proposed methodology, the department shall consider the categories that affect the cost of service delivery, including, but not limited to: (i) administration; (ii) staff pay and benefits; (iii) professional development and instructional coaching; (iv) operations and maintenance, including, but not limited to, rent, furniture and utility costs; (v) equipment, office supplies and technology; (vi) educational supplies and curricula; (vii) food services; and (viii) transportation services.

In the report, the department shall include recommendations to annually assess and update the methodology to ensure continued alignment with the cost of providing high-quality early education and care in the commonwealth and compliance with federal regulations. The department shall also include recommendations regarding the use of the proposed methodology to inform the development of subsidy reimbursement rates.

SECTION 24. Not later than March 31, 2023, the department of early education and care shall develop the early education and care career ladder required by section 20 of chapter 15D of the General Laws. The department shall file a report with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on education that includes: (i) a copy of the career ladder; (ii) recommendations for linking professional development and educational credentials to increased compensation and leadership opportunities in the field of early education and care; (iii) minimum recommended salaries and compensation for each level of the career ladder that are commensurate with the salaries of public school teachers with equivalent credentials and training when required for a position; and (iv) minimum recommended benefits for child care provider staff, including, but not limited to, health insurance, retirement benefits, paid vacation and other leave time.

SECTION 25. Not later than October 1, 2023, the department of early education and care shall file a report detailing a plan to pilot, scale and regularly evaluate shared services and quality licensed hubs for early education and care programs, including family child care providers with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on education.

SECTION 26. Not later than 180 days after the effective date of this act, the department of early education and care shall file a report with the clerks of the house and the senate, the senate and house committees on ways and means and the joint committee on education on the steps required to implement this act and a preliminary assessment of the funding and administrative resources that would aid the department in implementing this act, such as technological resources, technical expertise and staffing of the department. The report shall be made publicly available on the department’s website.

SECTION 27. Unless otherwise specified, the reports required pursuant to sections 19 to 26, inclusive, shall be made publicly available on the department of early education and care’s website.

SECTION 28. The first annual publication of the data required pursuant to clause (v) of the second paragraph of section 2 of chapter 15D of the General Laws shall be made publicly available on the department’s website not later than June 30, 2023.

SECTION 29. Not later than January 15, 2023, the department of early education and care, in conjunction with the executive office of administration and finance, shall file a report on the feasibility and implementation of a tax credit for early educators with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on education.

SECTION 30. Section 14 shall take effect 1 year after the effective date of this act.

SECTION 31. Section 15 shall take effect on January 15, 2024.