WASHINGTON – Today, Representative Chrissy Houlahan (D-PA) helped pass two child care bills through the U.S. House of Representatives.

H.R. 7027, the Child Care Is Essential Act, of which she is a cosponsor, would create a $50 billion Child Care Stabilization fund and invest in child care so that providers across Pennsylvania have the resources they need to safely reopen. Without adequate investments in the child care industry, families across the country will be unable to return to work.

The need for this federal funding is critical. Without sufficient support from the federal government, Pennsylvania stands to lose nearly 200,000 licensed child care slots, approximately 50% of the child care supply in the Commonwealth.

H.R. 7327, the Child Care for Economic Recovery Act, would provide ongoing federal investments and tax subsidies for working families, helping to bring quality child care within their reach to support ongoing employment and to provide tax credits to support child care providers affected by COVID-19 shutdowns.

Both bills passed the House with bipartisan support.

Representative Houlahan is also announcing her cosposnorship of H.R. 6958, the bipartisan COVID-19 Dependent Care Flexible Spending Arrangement Rollover Act of 2020. This bill would allow Dependent Child Assistant Plans (DCAPs) accounts to roll over from 2020 to 2021. Given the COVID-19 pandemic, it is becoming clearer that money already saved in employer-sponsored DCAPs to help pay for child care may not be able to be used completely before the end of 2020. As it stands, DCAP accounts don’t roll over, and families stand to lose hundreds if not thousands of unspent child care dollars given work from home orders. This bill would ensure that families can use those dollars in the next calendar year as we continue to navigate this global pandemic.

“Access to quality, affordable child care is paramount to a thriving and successful economy in which all Americans can participate,” said Houlahan. “During this COVID-19 crisis, many Pennsylvanian families have had to adapt to a new way of life, and as our economy begins to reopen, it’s crucial that our child care facilities are adequately funded so they’re able to safely care for our children.

“I had my first child while I was active duty in the Air Force. Part of the reason I chose to separate from the military was a lack of access to affordable child care. Child care has been an important issue to me ever since. No parent should have to choose between starting a family and having a career.

“In Congress, I have led a number of initiatives to increase access to child care, particularly for our military families, and I’m proud to help this legislation move one step closer to the president’s desk for signature. Working families should never have to choose between their job and their children.”

“Passage of the Child Care Is Essential Act sets the stage for crucial negotiations on a COVID-19 recovery package that will determine whether the child care industry can survive this economic crisis,” said First Five Years Fund Executive Director Sarah Rittling. “We are grateful to Congressional leaders like Representative Houlahan for prioritizing the dire needs of America’s child care providers, who say they cannot remain in business without significant financial relief. Now, as negotiations begin on a final economic recovery package, we look to House and Senate leadership to build off today’s bipartisan effort, and prioritize significant emergency funding to prevent the child care industry from collapsing at a time when our economy needs it most.”

The Child Care Is Essential Act includes:

• Stabilization grants for personnel costs, sanitation and cleaning, training and other goods and services needed to maintain or resume operation of the child care program.
• Support for child care workers. This bill requires employers to keep child care workers on payroll at the same compensation level as pre-COVID as a condition of receiving stabilization grant funds.
• Support for working families by requiring providers to relieve families of copayments or tuition.
• Promotion of health and safety through compliance with public health guidance. Under this legislation, open providers would be required to meet health and safety guidance from the Centers for Disease Control and Prevention and state and local authorities.