WV HB5659

Requires the Department of Human Services to contract with an independent expert entity to develop a child care cost estimation model for setting subsidy reimbursement rates, with completion required by July 1, 2027

Mandates the cost model incorporate factors including fair wages and benefits for staff, staffing levels for licensing compliance, program type variations (centers vs. family homes), children's ages, curriculum costs, facilities/utilities/insurance expenses, and regional cost differences

Establishes legislative findings that current subsidy rates do not reflect actual costs of quality child care and that market rate surveys alone are inadequate, particularly for rural and underserved areas

Requires the Department to present a report to legislative interim committees prior to the 2028 session comparing existing reimbursement rates to estimated true costs and including a proposed implementation plan for the FY 2029 budget

Permits phased implementation strategies to align available funding with the full cost of care