S.F. 352 Section 1. Section 237A.13, subsection 5, Code 2025, is 1 amended by striking the subsection and inserting in lieu 2 thereof the following: 3 5. a. The department shall remit payment to a provider 4 prior to the provider rendering child care to a child enrolled 5 in the state child care assistance program. 6 b. The department shall remit payment on a monthly basis and 7 the payment shall be based on the number of hours a child is 8 scheduled to receive child care from the provider, and not the 9 number of hours a child actually receives child care services 10 from the provider. 11 c. Any copayment a family participating in the state child 12 care assistance program is required to pay as a condition of 13 participation in the state child care assistance program shall 14 be made after the family’s child receives child care services. 15 Sec. 2. Section 237A.13, subsection 8, Code 2025, is amended 16 by adding the following new paragraph: 17 NEW PARAGRAPH . e. A temporarily enrolled child under 18 section 237A.15. 19 Sec. 3. Section 237A.13, Code 2025, is amended by adding the 20 following new subsection: 21 NEW SUBSECTION . 9A. State child care assistance benefits 22 for a child enrolled in the state child care assistance program 23 shall not terminate unless all of the following apply: 24 a. The department sent written notification to the child’s 25 family and the child’s child care provider explaining the 26 reasons for terminating the child’s benefits. 27 b. At least thirty calendar days have passed since the date 28 the department sent the written notice required under paragraph 29 “a” . 30 Sec. 4. NEW SECTION . 237A.15 Child care assistance —— 31 temporary enrollment. 32 1. Notwithstanding section 237A.13, subsections 1 and 2, 33 a child shall be temporarily enrolled in the state child care 34 assistance program if all of the following apply: 35 -1- LSB 1290XS (7) 91 dg/ko 1/ 4

S.F. 352 a. The child has at least one sibling that is currently 1 enrolled in the state child care assistance program. 2 b. The provider providing child care to the child’s sibling 3 agreed to provide child care to the child and notified the 4 department of the provider’s agreement. The department shall 5 approve a child as temporarily enrolled in the state child 6 care assistance program within one business day of the date 7 the department received notification, and shall send notice of 8 approval to the provider and the child’s family. 9 c. The child’s family shall have twenty-one calendar days 10 from the date the department approved the child’s temporary 11 enrollment to submit an application to enroll the child in the 12 state child care assistance program under section 237A.13. The 13 department shall have five business days from the date the 14 department receives the application to render a decision on the 15 application. 16 d. A child’s temporary enrollment shall end if the child’s 17 family does not apply for the state child care assistance 18 program under paragraph “c” , or the department renders a 19 decision on the child’s application for the state child care 20 assistance program. 21 2. Notwithstanding section 237A.13, subsection 5, the 22 department shall remit payment to a provider for child care 23 provided to a temporarily enrolled child within one calendar 24 week of either of the following, whichever occurs earlier: 25 a. Twenty-one calendar days after the date the department 26 approved the child’s temporary enrollment. 27 b. The date the child’s temporary enrollment ends. 28 3. This section shall not be construed to require a provider 29 to provide child care to a child prior to the department 30 approving the child as temporarily enrolled pursuant to 31 subsection 1. 32 EXPLANATION 33 The inclusion of this explanation does not constitute agreement with 34 the explanation’s substance by the members of the general assembly. 35 -2- LSB 1290XS (7) 91 dg/ko 2/ 4

S.F. 352 This bill relates to state child care assistance (CCA) 1 program benefits. 2 Under current law, the CCA program reimburses child care 3 providers (providers) after the department of health and human 4 services (HHS) receives a bill from the provider based on 5 the amount of time a child enrolled in the program actually 6 attended child care with that provider. The bill requires HHS 7 to remit payment to a provider prior to the provider rendering 8 child care to a child enrolled in the CCA program. Payments 9 must be made on a monthly basis and must be based on the amount 10 of hours a child is scheduled to receive child care from the 11 provider and not the number of hours a child actually receives 12 child care services. Any copayment a family participating 13 in the CCA program is required to pay as a condition of 14 participation must be made after the family’s child receives 15 child care. 16 The bill prohibits a child’s CCA benefits from terminating 17 unless HHS sends written notification to the child’s family and 18 the child’s provider explaining the reasons for terminating the 19 child’s benefits, and at least 30 calendar days have passed 20 since the date HHS sent the written notices. 21 The bill temporarily enrolls a child in the CCA program if 22 the child has at least one sibling that is currently enrolled 23 in the CCA program, the provider providing child care to the 24 child’s sibling agreed to provide child care to the child, 25 and the provider notified HHS of the provider’s agreement. 26 HHS must approve a child as temporarily enrolled in the CCA 27 program within one business day of receiving the provider’s 28 notification. HHS must send notification of approval to 29 the provider and the child’s family. The bill provides a 30 temporarily enrolled child’s family 21 calendar days from the 31 date HHS approved the child’s temporary enrollment to submit 32 an application to enroll the child in the CCA program. HHS has 33 five business days from the date HHS receives the application 34 to render a decision. 35 -3- LSB 1290XS (7) 91 dg/ko 3/ 4

S.F. 352 The bill ends a child’s temporary enrollment if the 1 child’s family does not apply for the CCA program within 21 2 calendar days from the date HHS approves the child’s temporary 3 enrollment or HHS renders a decision on the child’s application 4 for the CCA program. 5 The bill requires HHS to make payment to a provider for 6 child care provided to a temporarily enrolled child within one 7 calendar week of the 21st day after HHS approved the child’s 8 temporary enrollment or when the child’s temporary enrollment 9 ends, whichever is earlier. 10 The bill is not to be construed to require a provider to 11 provide child care to a child prior to HHS approving the child 12 as temporarily enrolled. 13 The bill makes temporarily enrolled children exempt from 14 waiting list requirements for the CCA program. 15 -4- LSB 1290XS (7) 91 dg/ko 4/ 4