North Carolina S594 increases child care subsidy rates to the 2023 market rate and appropriates funds for implementation.

North Carolina S594, the Care Center Cost Support Act, mandates the Department of Health and Human Services to raise child care subsidy rates for children aged birth through five to the 75th percentile as recommended by the 2023 Child Care Market Rate Study. It allocates $110 million annually for the 2025-2027 fiscal biennium to implement these rate increases and establish a floor for child care subsidy rates. The act becomes effective July 1, 2025.

North Carolina S594 increases child care subsidy rates to the 2023 market rate and appropriates funds for implementation.

North Carolina S594, the Care Center Cost Support Act, mandates the Department of Health and Human Services to raise child care subsidy rates for children aged birth through five to the 75th percentile as recommended by the 2023 Child Care Market Rate Study. It allocates $110 million annually for the 2025-2027 fiscal biennium to implement these rate increases and establish a floor for child care subsidy rates. The act becomes effective July 1, 2025.