Senate Bill 688 - Child Care Act Summary

• Reenacts the child care tax credit with tiered percentages based on dependent age (7-18, 12-18, 6-12, and other qualifying individuals) and adjusts applicable percentages downward across all income brackets.

• Appropriates $200,000,000 in recurring funds annually for the 2023-2025 biennium to expand the NC Pre-K program by 32,000 slots to cover all eligible 4-year-old children.

• Appropriates $35,000,000 in recurring funds annually for the 2023-2025 biennium to increase funding for subsidized child care services.

• Requires public schools to provide lunch at no cost to students through state-allocated funding based on school food authority evaluations; appropriates $105,000,000 for 2023-2024 and $3,166,600 to satisfy outstanding nutrition program debt.

• Appropriates $10,000,000 in nonrecurring funds to community college child care programs and requires feasibility reports on child care programs at community colleges and a high school child care apprenticeship program by December 2024.