As Introduced

136th General Assembly

Regular Session H. B. No. 2

2025-2026

Representative Johnson

A BILL

To enact section 5180.41 of the Revised Code to establish the Child Care Cred Program and to make an appropriation.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That section 5180.41 of the Revised Code be enacted to read as follows:

Sec. 5180.41. (A) As used in this section, "child care" has the same meaning as in section 5104.01 of the Revised Code.

(B) The child care cred program is created in the department of children and youth, under which the costs of child care are shared equally by participating employees, their employers, and, subject to available funds, the department. The program has all of the following goals: enabling employers to attract and retain talent; assisting employees with child care costs; and sustaining the businesses of child care providers.

(C) To be eligible to participate in the program, all of the following apply:

(1) In the case of an employee, the employee shall reside in this state and have been selected for participation by the employee's employer.

(2) In the case of an employer, the employer shall be located in this state and have selected one or more of its employees to participate in the program.

(3) In the case of a child care provider, the provider shall either hold a license issued under Chapter 5104. of the Revised Code or be certified by a county department of job and family services under section 5104.12 of the Revised Code.

(D) Each employee and employer seeking to participate in the program shall together submit an application to the department in a manner prescribed by the department. The department shall review each application as soon as practicable after it is received and shall determine if the employee and employer are both eligible to participate.

(E) After an employee and employer are both determined eligible and agree to participate in the program, all of the following apply:

(1) The employee, with the assistance of the department, shall select a child care provider for the employee's child and shall enroll the child with the provider. An employee may opt to select the employee's existing child care provider so long as that provider is licensed or certified as described in this section.

(2) In addition to the employer's share, the employer may agree to contribute some or all of an employee's share of child care costs.

(3) As a condition of participation, the department may require the employee, employer, and child care provider to each sign a memorandum of understanding with the department.

(4) The department is responsible for coordinating and performing all administrative activities associated with the sharing of child care costs and making payments to child care providers.

(F) An eligibility determination made under division (D) of this section remains valid as long as the employee, employer, and child care provider continue to satisfy the eligibility conditions described in division (C) of this section.

(G) If the department finds that an employee or employer has committed fraud, misrepresentation, or deception in applying to participate, or in participating, in the program, the employee or employer is permanently ineligible to participate, or continue to participate, in the program.

(H)(1) The department may adopt rules as necessary to implement this section. Any rules shall be adopted in accordance with Chapter 119. of the Revised Code.

(2) Notwithstanding any provision of section 121.95 of the Revised Code to the contrary, a regulatory restriction contained in a rule adopted under division (H)(1) of this section is not subject to sections 121.95 to 121.953 of the Revised Code.

Section 2. All items in this act are hereby appropriated as designated out of any moneys in the state treasury to the credit of the designated fund. For all operating appropriations made in this act, those in the first column are for fiscal year 2026 and those in the second column are for fiscal year 2027. The operating appropriations made in this act are in addition to any other operating appropriations made for these fiscal years.

Section 3.

CHILD CARE CRED PROGRAM

The foregoing appropriation item 830414, Child Care Cred Program, shall be used for the Child Care Cred Program established in section 5180.41 of the Revised Code.

Section 4. Within the limits set forth in this act, the Director of Budget and Management shall establish accounts indicating the source and amount of funds for each appropriation made in this act, and shall determine the manner in which appropriation accounts shall be maintained. Expenditures from operating appropriations contained in this act shall be accounted for as though made in, and are subject to all applicable provisions of, the main operating appropriations act of the 136th General Assembly.