July 29, 2020 - Issue: Vol. 166, No. 134 — Daily Edition116th Congress (2019 - 2020) - 2nd Session
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CHILD CARE FOR ECONOMIC RECOVERY ACT; Congressional Record Vol. 166, No. 134
(House of Representatives - July 29, 2020)
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[Pages H3908-H3921] From the Congressional Record Online through the Government Publishing Office [www.gpo.gov] CHILD CARE FOR ECONOMIC RECOVERY ACT Mrs. LOWEY. Madam Speaker, pursuant to House Resolution 1053, I call up the bill (H.R. 7327) making additional supplemental appropriations for disaster relief requirements for the fiscal year ending September 30, 2020, and for other purposes, and ask for its immediate consideration in the House. The Clerk read the title of the bill. The SPEAKER pro tempore (Ms. Pressley). Pursuant to House Resolution 1053, the bill is considered read. The text of the bill is as follows: H.R. 7327 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Child Care for Economic Recovery Act''. SEC. 2. REFERENCES. Except as expressly provided otherwise, any reference to ``this Act'' contained in any division of this Act shall be treated as referring only to the provisions of that division. DIVISION A--EMERGENCY CHILD CARE SUPPORT APPROPRIATIONS The following sums in this Act are appropriated, out of any money in the Treasury not otherwise appropriated, for the fiscal year ending September 30, 2020, and for other purposes, namely: TITLE I--DEPARTMENT OF THE TREASURY Internal Revenue Services taxpayer services For an additional amount for ``Taxpayer Services'', $5,000,000, to remain available until expended, for making grants under the Community Volunteer Income Tax Assistance Matching Grants Program established under section 7526A of the Internal Revenue Code of 1986: Provided, That the matching funds requirement in section 7526A(b)(2) shall not apply to funds made available under this heading in this Act: Provided further, That such amount is designated by the Congress as being for an emergency requirement pursuant to section 251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit Control Act of 1985. TITLE II--DEPARTMENT OF HEALTH AND HUMAN SERVICES Administration for Children and Families social services block grant For an additional amount for ``Social Services Block Grant'', $850,000,000, to remain available until September 30, 2021, for making grants to States pursuant to section 2002 of the Social Security Act: Provided, That the amount made available under this heading in this Act shall be used for necessary expenses for family care for essential workers, pursuant to section 409 of division B this Act: Provided further, That such amount is designated by the Congress as being for an emergency requirement pursuant to section 251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit Control Act of 1985. child care and development fund For an additional amount for ``Child Care and Development Fund'', $10,000,000,000, to remain available until September 30, 2024, for necessary expenses for infrastructure grants to improve child care safety, including needs assessments, pursuant to section 418A of Part A of title IV of the Social Security Act, as added by division B of this Act: Provided, That funds made available under this heading in this Act may be used for grants for the construction, alteration, or renovation of non-federally owned facilities to improve child care safety: Provided further, That all construction, alteration, or renovation work, carried out in whole or in part with funds appropriated under this heading in this Act, [[Page H3909]] shall be subject to the requirements of subchapter IV of chapter 31 of title 40, United States Code (commonly referred to as the ``Davis-Bacon Act''): Provided further, That such amount is designated by the Congress as being for an emergency requirement pursuant to section 251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit Control Act of 1985. TITLE III--GENERAL PROVISIONS--THIS DIVISION Sec. 301. Each amount appropriated or made available by this Act is in addition to any amounts otherwise appropriated for the fiscal year involved. Sec. 302. No part of any appropriation contained in this Act shall remain available for obligation beyond the current fiscal year unless expressly so provided herein. Sec. 303. Unless otherwise provided for by this Act, the additional amounts appropriated by this Act to appropriations accounts shall be available under the authorities and conditions applicable to such appropriations accounts for fiscal year 2020. Sec. 304. Each amount designated in this Act by the Congress as being for an emergency requirement pursuant to section 251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit Control Act of 1985 shall be available (or rescinded or transferred, if applicable) only if the President subsequently so designates all such amounts and transmits such designations to the Congress. Sec. 305. Any amount appropriated by this Act, designated by the Congress as an emergency requirement pursuant to section 251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit Control Act of 1985 and subsequently so designated by the President, and transferred pursuant to transfer authorities provided by this Act shall retain such designation. budgetary effects Sec. 306. (a) Statutory PAYGO Scorecards.--The budgetary effects of division B shall not be entered on either PAYGO scorecard maintained pursuant to section 4(d) of the Statutory Pay-As-You-Go Act of 2010. (b) Senate PAYGO Scorecards.--The budgetary effects of division B shall not be entered on any PAYGO scorecard maintained for purposes of section 4106 of H. Con. Res. 71 (115th Congress). (c) Classification of Budgetary Effects.--Notwithstanding Rule 3 of the Budget Scorekeeping Guidelines set forth in the joint explanatory statement of the committee of conference accompanying Conference Report 105-217 and section 250(c)(8) of the Balanced Budget and Emergency Deficit Control Act of 1985, the budgetary effects of division B shall not be estimated-- (1) for purposes of section 251 of such Act; and (2) for purposes of paragraph (4)(C) of section 3 of the Statutory Pay-As-You-Go Act of 2010 as being included in an appropriation Act. This division may be cited as the ``Emergency Child Care Support Appropriations Act, 2020''. DIVISION B--WORKER ACCESS TO CHILD AND FAMILY CARE SEC. 401. SHORT TITLE. This division may be cited as the ``Worker Access to Child and Family Care Act''. SEC. 402. REFUNDABILITY AND ENHANCEMENT OF CHILD AND DEPENDENT CARE TAX CREDIT. (a) Treatment of Credit as Refundable.--Section 21 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection: ``(g) Treatment of Credit as Refundable.--In the case of an individual other than a nonresident alien, the credit allowed under subsection (a) shall be treated as a credit allowed under subpart C (and not allowed under this subpart).''. (b) Increase in Applicable Percentage.--Section 21(a)(2) of such Code is amended-- (1) by striking ``35 percent'' and inserting ``50 percent'', and (2) by striking ``$15,000'' and inserting ``$120,000''. (c) Increase in Dollar Limit on Amount Creditable.--Section 21(c) of such Code is amended-- (1) by striking ``$3,000'' in paragraph (1) and inserting ``$6,000'', and (2) by striking ``$6,000'' in paragraph (2) and inserting ``twice the amount in effect under paragraph (1)''. (d) Inflation Adjustment.--Section 21(e) of such Code is amended by adding at the end the following new paragraph: ``(11) Inflation adjustment.--In the case of any taxable year beginning after December 31, 2020, the $120,000 amount in subsection (a)(2) and the $6,000 amount in subsection (c)(1) shall each be increased by an amount equal to-- ``(A) such dollar amount, multiplied by ``(B) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting `2019' for `2016' in subparagraph (A)(ii) thereof. If any increase determined under this paragraph is not a multiple of $100, such increase shall be rounded to the next highest multiple of $100.''. (e) Conforming Amendment.--Section 1324(b)(2) of title 31, United States Code, is amended by inserting ``21 (by reason of subsection (g) thereof),'' before ``25A''. (f) Coordination With Possession Tax Systems.--Section 21(g)(1) of the Internal Revenue Code of 1986 (as added by this section) shall not apply to any person-- (1) to whom a credit is allowed against taxes imposed by a possession with a mirror code tax system by reason of the application of section 21 of such Code in such possession for such taxable year, or (2) to whom a credit would be allowed against taxes imposed by a possession which does not have a mirror code tax system if the provisions of section 21 of such Code had been in effect in such possession for such taxable year. (g) Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2019. SEC. 403. INCREASE IN EXCLUSION FOR EMPLOYER-PROVIDED DEPENDENT CARE ASSISTANCE. (a) In General.--Section 129(a)(2)(A) of the Internal Revenue Code of 1986 is amended by striking ``$5,000 ($2,500'' and inserting ``$10,500 (half such dollar amount''. (b) Inflation Adjustment.--Section 129(a)(2) is amended by adding at the end the following new subparagraph: ``(D) Inflation adjustment.--In the case of any taxable year beginning after December 31, 2020, the $10,500 amount in subparagraph (A) shall be increased by an amount equal to-- ``(i) such dollar amount, multiplied by ``(ii) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting `2019' for `2016' in subparagraph (A)(ii) thereof. Any increase determined under the preceding sentence which is not a multiple of $50, shall be rounded to the next highest multiple of $50.''. (c) Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2019. (d) Plan Amendments.--A plan or other arrangement that otherwise satisfies all applicable requirements of sections 106, 125, and 129 of the Internal Revenue Code of 1986 (including any rules or regulations thereunder) shall not fail to be treated as a cafeteria plan or dependent care flexible spending arrangement merely because such plan or arrangement is amended pursuant to the amendments made by this section and such amendment is retroactive, if-- (1) such amendment is adopted no later than the last day of the first plan year beginning after December 31, 2019, and (2) the plan or arrangement is operated consistent with the terms of such amendment during the period beginning on the effective date of the amendment and ending on the date the amendment is adopted. SEC. 404. PAYROLL CREDIT FOR CERTAIN FIXED EXPENSES OF CHILD CARE FACILITIES SUBJECT TO CLOSURE BY REASON OF COVID-19. (a) In General.--In the case of an eligible employer, there shall be allowed as a credit against applicable employment taxes for each calendar quarter an amount equal to 50 percent of the qualified fixed expenses paid or incurred by such employer during such calendar quarter. (b) Limitations and Refundability.-- (1) Overall quarterly dollar limitation.--The qualified fixed expenses which may be taken into account under subsection (a) (determined after the application of paragraph (2)) by any eligible employer for any calendar quarter shall not exceed the least of-- (A) the qualified fixed expenses paid by the eligible employer in the same calendar quarter of calendar year 2019, (B) $25,000,000, or (C) the greater of-- (i) 25 percent of the wages paid with respect to the employment of all the employees of the eligible employer for such calendar quarter, or (ii) 6.25 percent of the gross receipts of the eligible employer for calendar year 2019. (2) Per facility quarterly dollar limitation.--The qualified fixed expenses which may be taken into account under subsection (a) by any eligible employer for any calendar quarter with respect to any facility of such employer shall not exceed $50,000. (3) Credit limited to certain employment taxes.--The credit allowed by subsection (a) with respect to any calendar quarter shall not exceed the applicable employment taxes for such calendar quarter (reduced by any credits allowed under subsections (e) and (f) of section 3111 of such Code, sections 7001 and 7003 of the Families First Coronavirus Response Act, and section 2301 of the CARES Act, for such quarter) on the wages paid with respect to the employment of all the employees of the eligible employer for such calendar quarter. (4) Refundability of excess credit.-- (A) In general.--If the amount of the credit under subsection (a) exceeds the limitation of paragraph (3) for any calendar quarter, such excess shall be treated as an overpayment that shall be refunded under sections 6402(a) and 6413(b) of the Internal Revenue Code of 1986. (B) Treatment of payments.--For purposes of section 1324 of title 31, United States Code, any amounts due to an employer under this paragraph shall be treated in the same manner as a refund due from a credit provision referred to in subsection (b)(2) of such section. (c) Definitions.--For purposes of this section-- (1) Applicable employment taxes.--The term ``applicable employment taxes'' means the following: (A) The taxes imposed under section 3111(a) of the Internal Revenue Code of 1986. [[Page H3910]] (B) So much of the taxes imposed under section 3221(a) of such Code as are attributable to the rate in effect under section 3111(a) of such Code. (2) Eligible employer.-- (A) In general.--The term ``eligible employer'' means any employer-- (i) which was carrying on a trade or business engaged in the provision of child care assistance at a qualified child care facility (within the meaning of section 45F(c)(2)(A) of such Code without regard to the last sentence thereof) at any time during calendar year 2020, and (ii) with respect to any calendar quarter, for which-- (I) the operation of the trade or business described in clause (i) is fully or partially suspended during the calendar quarter due to orders from an appropriate governmental authority limiting commerce, travel, or group meetings (for commercial, social, religious, or other purposes) due to the coronavirus disease 2019 (COVID-19), or (II) such calendar quarter is within the period described in subparagraph (B). (B) Significant decline in gross receipts.--The period described in this subparagraph is the period-- (i) beginning with the first calendar quarter beginning after December 31, 2019, for which gross receipts (within the meaning of section 448(c) of the Internal Revenue Code of 1986) for the calendar quarter are less than 90 percent of gross receipts for the same calendar quarter in the prior year, and (ii) ending with the calendar quarter following the first calendar quarter beginning after a calendar quarter described in clause (i) for which gross receipts of such employer are greater than 90 percent of gross receipts for the same calendar quarter in the prior year. (C) Tax-exempt organizations.--In the case of an organization which is described in section 501(c) of the Internal Revenue Code of 1986 and exempt from tax under section 501(a) of such Code-- (i) any reference in this section to a trade or business shall be treated as a reference to the operations of such organization which are related to the provision of child care assistance (within the meaning of subparagraph (A)(i)), and (ii) any reference in this section to gross receipts shall be treated as a reference to gross receipts within the meaning of section 6033 of the Internal Revenue Code of 1986. (D) Phase-in of credit where business not suspended and reduction in gross receipts less than 50 percent.-- (i) In general.--In the case of any calendar quarter with respect to which an eligible employer would not be an eligible employer if subparagraph (B)(i) were applied by substituting ``50 percent'' for ``90 percent'', the amount of the credit allowed under subsection (a) shall be reduced by the amount which bears the same ratio to the amount of such credit (determined without regard to this subparagraph) as-- (I) the excess gross receipts percentage point amount, bears to (II) 40 percentage points. (ii) Excess gross receipts percentage point amount.--For purposes of this subparagraph, the term ``excess gross receipts percentage point amount'' means, with respect to any calendar quarter, the excess of-- (I) the lowest of the gross receipts percentage point amounts determined with respect to any calendar quarter during the period ending with such calendar quarter and beginning with the first calendar quarter during the period described in subparagraph (B), over (II) 50 percentage points. (iii) Gross receipts percentage point amounts.--For purposes of this subparagraph, the term ``gross receipts percentage point amount'' means, with respect to any calendar quarter, the percentage (expressed as a number of percentage points) obtained by dividing-- (I) the gross receipts (within the meaning of subparagraph (B)) for such calendar quarter, by (II) the gross receipts for the same calendar quarter in calendar year 2019. (3) Qualified fixed expenses.-- (A) In general.--The term ``qualified fixed expenses'' means the payment or accrual, in the ordinary course of the eligible employer's trade or business, of any covered mortgage obligation, covered rent obligation, or covered utility payment. Such term shall not include the prepayment of any obligation for a period in excess of a month unless the payment for such period is customarily due in advance. Such term shall not include any payment or accrual of any obligation or payment which is with respect to property which is not located in the United States or any possession of the United States. (B) Application of definitions.--The terms ``covered mortgage obligation'', ``covered rent obligation'', and ``covered utility payment'' shall each have the same meaning as when used in section 1106 of the CARES Act. (4) Secretary.--The term ``Secretary'' means the Secretary of the Treasury or the Secretary's delegate. (5) Wages.-- (A) In general.--The term ``wages'' means wages (as defined in section 3121(a) of the Internal Revenue Code of 1986) and compensation (as defined in section 3231(e) of such Code). For purposes of the preceding sentence (other than for purposes of subsection (b)(2)), wages as defined in section 3121(a) of such Code shall be determined without regard to paragraphs (1), (8), (10), (13), (18), (19), and (22) of section 3121(b) of such Code. (B) Allowance for certain health plan expenses.-- (i) In general.--Such term shall include amounts paid or incurred by the eligible employer to provide and maintain a group health plan (as defined in section 5000(b)(1) of the Internal Revenue Code of 1986), but only to the extent that such amounts are excluded from the gross income of employees by reason of section 106(a) of such Code. (ii) Allocation rules.--For purposes of this section, amounts treated as wages under clause (i) shall be treated as paid with respect to any employee (and with respect to any period) to the extent that such amounts are properly allocable to such employee (and to such period) in such manner as the Secretary may prescribe. Except as otherwise provided by the Secretary, such allocation shall be treated as properly made if made on the basis of being pro rata among periods of coverage. (6) Employer.--The term ``employer'' means any employer (as defined in section 3401(d) of such Code) of at least one employee on any day in calendar year 2020. (7) Other terms.--Except as otherwise provided in this section, any term used in this section which is also used in chapter 21 or 22 of the Internal Revenue Code of 1986 shall have the same meaning as when used in such chapter. (d) Aggregation Rule.--All persons treated as a single employer under subsection (a) or (b) of section 52 of the Internal Revenue Code of 1986, or subsection (m) or (o) of section 414 of such Code, shall be treated as one employer for purposes of this section. (e) Denial of Double Benefit.--For purposes of chapter 1 of such Code, the gross income of any eligible employer, for the taxable year which includes the last day of any calendar quarter with respect to which a credit is allowed under this section, shall be increased by the amount of such credit. (f) Certain Governmental Employers.-- (1) In general.--The credit under this section shall not be allowed to the Federal Government, the government of any State, of the District of Columbia, or of any possession of the United States, any tribal government, or any political subdivision, agency, or instrumentality of any of the foregoing. (2) Exception.--Paragraph (1) shall not apply to any organization described in section 501(c)(1) of the Internal Revenue Code of 1986 and exempt from tax under section 501(a) of such Code. (g) Election Not To Have Section Apply.--This section shall not apply with respect to any eligible employer for any calendar quarter if such employer elects (at such time and in such manner as the Secretary may prescribe) not to have this section apply. (h) Transfers to Certain Trust Funds.--There are hereby appropriated to the Federal Old-Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund established under section 201 of the Social Security Act (42 U.S.C. 401) and the Social Security Equivalent Benefit Account established under section 15A(a) of the Railroad Retirement Act of 1974 (45 U.S.C. 231n-1(a)) amounts equal to the reduction in revenues to the Treasury by reason of this section (without regard to this subsection). Amounts appropriated by the preceding sentence shall be transferred from the general fund at such times and in such manner as to replicate to the extent possible the transfers which would have occurred to such Trust Fund or Account had this section not been enacted. (i) Treatment of Deposits.--The Secretary shall waive any penalty under section 6656 of such Code for any failure to make a deposit of applicable employment taxes if the Secretary determines that such failure was due to the anticipation of the credit allowed under this section. (j) Third-Party Payors.--Any credit allowed under this section shall be treated as a credit described in section 3511(d)(2) of such Code. (k) Regulations and Guidance.--The Secretary shall issue such forms, instructions, regulations, and guidance as are necessary-- (1) to allow the advance payment of the credit under subsection (a), subject to the limitations provided in this section, based on such information as the Secretary shall require, (2) regulations or other guidance to provide for the reconciliation of such advance payment with the amount of the credit at the time of filing the return of tax for the applicable quarter or taxable year, (3) with respect to the application of the credit under subsection (a) to third-party payors (including professional employer organizations, certified professional employer organizations, or agents under section 3504 of the Internal Revenue Code of 1986), including regulations or guidance allowing such payors to submit documentation necessary to substantiate the eligible employer status of employers that use such payors, (4) for application of subsection (b)(1)(A) and subparagraphs (A)(ii)(II) and (B) of subsection (c)(2) in the case of any employer which was not carrying on a trade or business for all or part of the same calendar quarter in the prior year, and (5) for recapturing the benefit of credits determined under this section in cases where there is a subsequent adjustment to the credit determined under subsection (a). (l) Application of Section.--This section shall apply only to qualified fixed expenses [[Page H3911]] paid or accrued in calendar quarters beginning on or after the date of the enactment of this Act and before January 1, 2021. SEC. 405. PAYROLL CREDIT FOR CERTAIN EMPLOYEE DEPENDENT CARE EXPENSES PAID BY EMPLOYERS. (a) In General.--In the case of an employer, there shall be allowed as a credit against applicable employment taxes for each calendar quarter an amount equal to 30 percent of the qualified employee dependent care expenses paid by such employer with respect to such calendar quarter. (b) Limitations and Refundability.-- (1) Dollar limitation per employee.--The qualified employee dependent care expenses which may be taken into account under subsection (a) with respect to any employee for any calendar quarter shall not exceed $2,500. (2) Credit limited to certain employment taxes.--The credit allowed by subsection (a) with respect to any calendar quarter shall not exceed the applicable employment taxes for such calendar quarter (reduced by any credits allowed under subsections (e) and (f) of section 3111 of such Code, sections 7001 and 7003 of the Families First Coronavirus Response Act, section 2301 of the CARES Act, and section 4 of this Act, for such quarter) on the wages paid with respect to the employment of all the employees of the employer for such calendar quarter. (3) Refundability of excess credit.-- (A) In general.--If the amount of the credit under subsection (a) exceeds the limitation of paragraph (2) for any calendar quarter, such excess shall be treated as an overpayment that shall be refunded under sections 6402(a) and 6413(b) of the Internal Revenue Code of 1986. (B) Treatment of payments.--For purposes of section 1324 of title 31, United States Code, any amounts due to an employer under this paragraph shall be treated in the same manner as a refund due from a credit provision referred to in subsection (b)(2) of such section. (4) Coordination with government grants.--The qualified employee dependent care expenses taken into account under this section by any employer shall be reduced by any amounts provided by any Federal, State, or local government for purposes of making or reimbursing such expenses. (c) Qualified Employee Dependent Care Expenses.--For purposes of this section, the term ``qualified employee dependent care expenses'' means any amount paid to or for the benefit of an employee in the employment of the employer if-- (1) such amount is dependent care assistance (as defined in section 129(e)(1) of the Internal Revenue Code of 1986), and (2) the employer elects (at such time and in such manner as the Secretary may provide) to treat such amount as a qualified employee dependent care expense. (d) Special Rules; Other Definitions.-- (1) Application of certain non-discrimination rules.--No credit shall be allowed under this section to any employer for any calendar quarter if qualified employee dependent care expenses are provided by such employer to employees for such calendar quarter in a manner which discriminates in favor of highly compensated individuals (within the meaning of section 125) as to eligibility for, or the amount of, such benefit expenses. (2) Denial of double benefit.--For purposes of chapter 1 of such Code, no deduction or credit (other than the credit allowed under this section) shall be allowed for so much of qualified employee dependent care expenses as is equal to the credit allowed under this section. (3) Third-party payors.--Any credit allowed under this section shall be treated as a credit described in section 3511(d)(2) of such Code. (4) Applicable employment taxes.--For purposes of this section, the term ``applicable employment taxes'' means the following: (A) The taxes imposed under section 3111(a) of the Internal Revenue Code of 1986. (B) So much of the taxes imposed under section 3221(a) of such Code as are attributable to the rate in effect under section 3111(a) of such Code. (5) Secretary.--For purposes of this section, the term ``Secretary'' means the Secretary of the Treasury or the Secretary's delegate. (6) Certain terms.-- (A) In general.--Any term used in this section which is also used in chapter 21 or 22 of such Code shall have the same meaning as when used in such chapter (as the case may be). (B) Certain provisions not taken into account except for purposes of limiting credit to employment taxes.--For purposes of subparagraph (A) (other than with respect to subsection (b)(2)), section 3121(b) of such Code shall be applied without regard to paragraphs (1), (5), (6), (7), (8), (10), (13), (18), (19), and (22) thereof (except with respect to services performed in a penal institution by an inmate thereof) and section 3231(e)(1) shall be applied without regard to the sentence that begins ``Such term does not include remuneration''. (e) Certain Governmental Employers.-- (1) In general.--The credit under this section shall not be allowed to the Federal Government or any agency or instrumentality thereof. (2) Exception.--Paragraph (1) shall not apply to any organization described in section 501(c)(1) of the Internal Revenue Code of 1986 and exempt from tax under section 501(a) of such Code. (f) Treatment of Deposits.--The Secretary shall waive any penalty under section 6656 of such Code for any failure to make a deposit of applicable employment taxes if the Secretary determines that such failure was due to the anticipation of the credit allowed under this section. (g) Regulations.--The Secretary shall prescribe such regulations or other guidance as may be necessary to carry out the purposes of this section, including regulations or other guidance-- (1) to allow the advance payment of the credit determined under subsection (a), subject to the limitations provided in this section, based on such information as the Secretary shall require, (2) to provide for the reconciliation of such advance payment with the amount of the credit at the time of filing the return of tax for the applicable quarter or taxable year, (3) for recapturing the benefit of credits determined under this section in cases where there is a subsequent adjustment to the credit determined under subsection (a), and (4) with respect to the application of the credit to third party payors (including professional employer organizations, certified professional employer organizations, or agents under section 3504 of such Code), including to allow such payors to submit documentation necessary to substantiate eligibility for, and the amount of, the credit allowed under this section. (h) Application of Section.--This section shall apply only to qualified employee dependent care expenses paid in calendar quarters beginning on or after the date of the enactment of this Act and before January 1, 2021. (i) Transfers to Certain Trust Funds.--There are hereby appropriated to the Federal Old-Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund established under section 201 of the Social Security Act (42 U.S.C. 401) and the Social Security Equivalent Benefit Account established under section 15A(a) of the Railroad Retirement Act of 1974 (45 U.S.C. 231n-1(a)) amounts equal to the reduction in revenues to the Treasury by reason of this section (without regard to this subsection). Amounts appropriated by the preceding sentence shall be transferred from the general fund at such times and in such manner as to replicate to the extent possible the transfers which would have occurred to such Trust Fund or Account had this section not been enacted. SEC. 406. FLEXIBILITY FOR DEPENDENT CARE FLEXIBLE SPENDING ARRANGEMENTS. (a) Carryover of Unused Benefits.--A plan or other arrangement that otherwise satisfies all applicable requirements of sections 106, 125, and 129 of the Internal Revenue Code of 1986 (including any rules or regulations thereunder) shall not fail to be treated as a cafeteria plan or dependent care flexible spending arrangement merely because such plan or arrangement permits participants to carry over (under rules similar to the rules applicable to health flexible spending arrangements) an amount, not in excess of the amount in effect under section 129(a)(2)(A) of such Code, of unused benefits or contributions remaining in a dependent care flexible spending arrangement from the plan year ending in 2020 to the plan year ending in 2021. (b) Extension of Grace Periods.--A plan or other arrangement that otherwise satisfies all applicable requirements of sections 106, 125, or 129 of the Internal Revenue Code (including any rules or regulations thereunder) shall not fail to be treated as a cafeteria plan or dependent care flexible spending arrangement merely because such plan or arrangement extends the grace period for the plan year ending in 2020 to 12 months after the end of such plan year, with respect to unused benefits or contributions remaining in a dependent care flexible spending arrangement. (c) Definitions.--Any term used in this section which is also used in section 106, 125, or 129 of the Internal Revenue Code of 1986 or the rules or regulations thereunder shall have the same meaning as when used in such section or rules or regulations. (d) Plan Amendments.--A plan or other arrangement that otherwise satisfies all applicable requirements of sections 106, 125, and 129 of the Internal Revenue Code of 1986 (including any rules or regulations thereunder) shall not fail to be treated as a cafeteria plan or dependent care flexible spending arrangement merely because such plan or arrangement is amended pursuant to a provision under this section and such amendment is retroactive, if-- (1) such amendment is adopted no later than the last day of the plan year in which the amendment is effective, and (2) the plan or arrangement is operated consistent with the terms of such amendment during the period beginning on the effective date of the amendment and ending on the date the amendment is adopted. SEC. 407. EMPLOYEE RETENTION CREDIT ALLOWED WITH RESPECT TO EMPLOYMENT OF DOMESTIC WORKERS. (a) In General.--Section 2301(c)(2) of the CARES Act is amended by adding at the end the following new subparagraph: ``(D) Employers of domestic workers.--In the case of an employer with one or more employees who perform domestic service (within the meaning of section 3121(a)(7) of such Code) in the private home of such employer, with respect to such employees-- ``(i) subparagraph (A) shall be applied-- ``(I) by substituting `employing an employee who performs domestic service in the [[Page H3912]] private home of such employer' for `carrying on a trade or business' in clause (i) thereof, and ``(II) by substituting `such employment' for `the operation of the trade or business' in clause (ii)(I) thereof, ``(ii) subclause (II) of subparagraph (A)(ii) shall not apply, and ``(iii) such employer shall be treated as a large employer.''. (b) Denial of Double Benefit.--Section 2301(h)(2) of the CARES Act is amended-- (1) by striking ``shall not be taken into account for purposes of'' and inserting ``shall not be taken into account-- ``(A) for purposes of'', (2) by striking the period at the end and inserting ``, and'', and (3) by adding at the end the following: ``(B) if such wages are paid for domestic service described in subsection (c)(2)(E), as employment-related expenses for purposes of section 21 of such Code. In the case of any individual who pays wages for domestic service described in subsection (c)(2)(E) and receives a reimbursement for such wages which is excludible from gross income under section 129 of such Code, such wages shall not be treated as qualified wages for purposes of this section.''. (c) Effective Date.--The amendments made by this section shall take effect as if included in section 2301 of the CARES Act. SEC. 408. CHILD CARE STABILIZATION FUNDS. (a) In General.--Section 418(a)(3) of the Social Security Act (42 U.S.C. 618(a)(3)) is amended by striking ``$2,917,000,000 for each of fiscal years 2017 and 2018'' and inserting ``$10,000,000,000 for each of fiscal years 2020 through 2024''. (b) Additional Funds Not Subject to State Match Requirement.--With respect to the amounts appropriated in section 418(a)(3) of the Social Security Act in excess of $2,917,000,000 for each of fiscal years 2020 and 2021, section 418(a)(2)(C) of such Act shall be applied and administered with respect to any State that is entitled to receive the entire amount that would be allotted to the State under section 418(a)(2)(B) of such Act for the fiscal year in the absence of this section, as if the Federal medical assistance percentage for the State for the fiscal year were 100 percent. SEC. 409. FAMILY CARE FOR ESSENTIAL WORKERS. (a) Increase in Funding.--The amount specified in subsection (c) of section 2003 of the Social Security Act for purposes of subsections (a) and (b) of such section is deemed to be $2,550,000,000 for fiscal year 2020, of which $850,000,000 shall be obligated by States during calendar year 2020 in accordance with subsection (b) of this section. (b) Rules Governing Use of Additional Funds.-- (1) In general.--Funds are used in accordance with this subsection if-- (A) the funds are used for-- (i) child care services for a child of an essential worker; or (ii) daytime care services or other adult protective services for an individual who-- (I) is a dependent, or a member of the household of, an essential worker; and (II) requires the services; (B) the funds are provided to reimburse an essential worker for the cost of obtaining the services (including child and adult care services obtained on or after the date the Secretary of Health and Human Services declared a public health emergency pursuant to section 319 of the Public Health Service Act on January 31, 2020, entitled ``Determination that a Public Health Emergency Exists Nationwide as the Result of the 2019 Novel Coronavirus''), to a provider of child or adult care services, or to establish a temporary child care facility operated by a State or local government; (C) eligibility for the funds or services, and the amount of funds or services provided, is not conditioned on a means test; (D) the funds are used in consultation with the lead agency designated pursuant to section 658D(a) of the Child Care and Development Block Grant Act of 1990 by the State involved and subject to the limitations in section 2005 of the Social Security Act, except that, for purposes of this subparagraph-- (i) paragraphs (3), (5), and (8) of section 2005(a) of such Act shall not apply; and (ii)(I) the limitation in section 2005(a)(7) of such Act shall not apply with respect to any standard which the State involved determines would impede the ability of the State to provide emergency temporary care to a child, dependent, or household member referred to in subparagraph (A) of this paragraph if the emergency temporary care would not endanger the health, safety, or development of children who received the care and care would otherwise not be available to support the immediate, short-term family care needs of essential workers; and (II) if the State determines that such a standard would be so impeding, the State shall report the determination to the Secretary, including a description of how exempting standards that may impede the ability of the State to provide emergency temporary care did not endanger the health, safety, or development of children who received emergency temporary care, separately from the annual report to the Secretary by the State; (E) the funds are used to supplement, not supplant, State general revenue funds for child care assistance; and (F) the funds are not used for child care costs that are-- (i) covered by funds provided under the Head Start Act, a preschool development grant under section 9121 of the Every Student Succeeds Act (42 U.S.C. 9831 note), the Child Care and Development Block Grant Act of 1990, section 418 of the Social Security Act, or another federally funded dependent care program; or (ii) reimbursable by the Federal Emergency Management Agency. (2) Essential worker defined.--In paragraph (1), the term ``essential worker'' means-- (A) a health sector employee; (B) an emergency response worker; (C) a child care worker; (D) a sanitation worker; (E) a worker at a business which a State or local government official has determined must remain open to serve the public during the emergency referred to in paragraph (1)(B); and (F) any other worker who cannot telework, and whom the State deems to be essential during the emergency referred to in paragraph (1)(B). SEC. 410. INFRASTRUCTURE GRANTS TO IMPROVE CHILD CARE SAFETY. (a) In General.--Part A of title IV of the Social Security Act (42 U.S.C. 601 et seq.) is amended by inserting after section 418 the following: ``SEC. 418A. INFRASTRUCTURE GRANTS TO IMPROVE CHILD CARE SAFETY. ``(a) Short Title.--This section may be cited as the `Infrastructure Grants To Improve Child Care Safety Act of 2020'. ``(b) Needs Assessments.-- ``(1) Immediate needs assessment.-- ``(A) In general.--The Secretary shall conduct an immediate needs assessment of the condition of child care facilities throughout the United States (with priority given to child care facilities that receive Federal funds), that-- ``(i) determines the extent to which the COVID-19 pandemic has created immediate infrastructure needs, including infrastructure-related health and safety needs, which must be addressed for child care facilities to operate in compliance with public health guidelines; ``(ii) considers the effects of the pandemic on a variety of child care centers, including home-based centers; and ``(iii) considers how the pandemic has impacted specific metrics, such as-- ``(I) capacity; ``(II) investments in infrastructure changes; ``(III) the types of infrastructure changes centers need to implement and their associated costs; ``(IV) the price of tuition; and ``(V) any changes or anticipated changes in the number and demographic of children attending. ``(B) Timing.--The immediate needs assessment should occur simultaneously with the first grant-making cycle under subsection (c). ``(C) Report.--Not later than 1 year after the date of the enactment of this section, the Secretary shall submit to the Congress a report containing the result of the needs assessment conducted under subparagraph (A), and make the assessment publicly available. ``(2) Long-term needs assessment.-- ``(A) In general.--The Secretary shall conduct a long-term assessment of the condition of child care facilities throughout the United States (with priority given to child care facilities that receive Federal funds). The assessment may be conducted through representative random sampling. ``(B) Report.--Not later than 4 years after the date of the enactment of this section, the Secretary shall submit to the Congress a report containing the results of the needs assessment conducted under subparagraph (A), and make the assessment publicly available. ``(c) Child Care Facilities Grants.-- ``(1) Grants to states.-- ``(A) In general.--The Secretary may award grants to States for the purpose of acquiring, constructing, renovating, or improving child care facilities, including adapting, reconfiguring, or expanding facilities to respond to the COVID-19 pandemic. ``(B) Prioritized facilities.--The Secretary may not award a grant to a State under subparagraph (A) unless the State involved agrees, with respect to the use of grant funds, to prioritize-- ``(i) child care facilities primarily serving low-income populations; ``(ii) child care facilities primarily serving children who have not attained the age of 5 years; ``(iii) child care facilities that closed during the COVID- 19 pandemic and are unable to open without making modifications to the facility that would otherwise be required to ensure the health and safety of children and staff; and ``(iv) child care facilities that serve the children of parents classified as essential workers during the COVID-19 pandemic. ``(C) Duration of grants.--A grant under this subsection shall be awarded for a period of not more than 5 years. ``(D) Application.--To seek a grant under this subsection, a State shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, which information shall-- ``(i) be disaggregated as the Secretary may require; and [[Page H3913]] ``(ii) include a plan to use a portion of the grant funds to report back to the Secretary on the impact of using the grant funds to improve child care facilities. ``(E) Priority.--In selecting States for grants under this subsection, the Secretary shall prioritize States that-- ``(i) plan to improve center-based and home-based child care programs, which may include a combination of child care and early Head Start or Head Start programs; ``(ii) aim to meet specific needs across urban, suburban, or rural areas as determined by the State; and ``(iii) show evidence of collaboration with-- ``(I) local government officials; ``(II) other State agencies; ``(III) nongovernmental organizations, such as-- ``(aa) organizations within the philanthropic community; ``(bb) certified community development financial institutions as defined in section 103 of the Community Development Banking and Financial Institutions Act of 1994 (12 U.S.C. 4702) that have been certified by the Community Development Financial Institutions Fund (12 U.S.C. 4703); and ``(cc) organizations that have demonstrated experience in-- ``(AA) providing technical or financial assistance for the acquisition, construction, renovation, or improvement of child care facilities; ``(BB) providing technical, financial, or managerial assistance to child care providers; and ``(CC) securing private sources of capital financing for child care facilities or other low-income community development projects; and ``(IV) local community organizations, such as-- ``(aa) child care providers; ``(bb) community care agencies; ``(cc) resource and referral agencies; and ``(dd) unions. ``(F) Consideration.--In selecting States for grants under this subsection, the Secretary shall consider-- ``(i) whether the applicant-- ``(I) has or is developing a plan to address child care facility needs; and ``(II) demonstrates the capacity to execute such a plan; and ``(ii) after the date the report required by subsection (b)(1)(C) is submitted to the Congress, the needs of the applicants based on the results of the assessment. ``(G) Diversity of awards.--In awarding grants under this section, the Secretary shall give equal consideration to States with varying capacities under subparagraph (F). ``(H) Matching requirement.-- ``(i) In general.--As a condition for the receipt of a grant under subparagraph (A), a State that is not an Indian tribe shall agree to make available (directly or through donations from public or private entities) contributions with respect to the cost of the activities to be carried out pursuant to subparagraph (A), which may be provided in cash or in kind, in an amount equal to 10 percent of the funds provided through the grant. ``(ii) Determination of amount contributed.--Contributions required by clause (i) may include-- ``(I) amounts provided by the Federal Government, or services assisted or subsidized to any significant extent by the Federal Government; or ``(II) philanthropic or private-sector funds. ``(I) Report.--Not later than 6 months after the last day of the grant period, a State receiving a grant under this paragraph shall submit a report to the Secretary as described in subparagraph (D)-- ``(i) to determine the effects of the grant in constructing, renovating, or improving child care facilities, including any changes in response to the COVID-19 pandemic and any effects on access to and quality of child care; and ``(ii) to provide such other information as the Secretary may require. ``(J) Amount limit.--The annual amount of a grant under this paragraph may not exceed $35,000,000. ``(2) Grants to intermediary organizations.-- ``(A) In general.--The Secretary may award grants to intermediary organizations, such as certified community development financial institutions, tribal organizations, or other organizations with demonstrated experience in child care facilities financing, for the purpose of providing technical assistance, capacity building, and financial products to develop or finance child care facilities. ``(B) Application.--A grant under this paragraph may be made only to intermediary organizations that submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require. ``(C) Priority.--In selecting intermediary organizations for grants under this subsection, the Secretary shall prioritize intermediary organizations that-- ``(i) demonstrate experience in child care facility financing or related community facility financing; ``(ii) demonstrate the capacity to assist States and local governments in developing child care facilities and programs; ``(iii) demonstrate the ability to leverage grant funding to support financing tools to build the capacity of child care providers, such as through credit enhancements; ``(iv) propose to meet a diversity of needs across States and across urban, suburban, and rural areas at varying types of center-based, home-based, and other child care settings, including early care programs located in freestanding buildings or in mixed-use properties; and ``(v) propose to focus on child care facilities primarily serving low-income populations and children who have not attained the age of 5 years. ``(D) Amount limit.--The amount of a grant under this paragraph may not exceed $10,000,000. ``(3) Report.--Not later than the end of fiscal year 2024, the Secretary shall submit to the Congress a report on the effects of the grants provided under this subsection, and make the report publically accessible. ``(d) Limitations on Authorization of Appropriations.-- ``(1) In general.--To carry out this section, there is authorized to be appropriated $10,000,000,000 for fiscal year 2020, which shall remain available through fiscal year 2024. ``(2) Reservations of funds.-- ``(A) Indian tribes.--The Secretary shall reserve 3 percent of the total amount made available to carry out this section, for payments to Indian tribes. ``(B) Territories.--The Secretary shall reserve 3 percent of the total amount made available to carry out this section, for payments to territories. ``(3) Grants for intermediary organizations.--Not less than 10 percent and not more than 15 percent of the total amount made available to carry out this section may be used to carry out subsection (c)(2). ``(4) Limitation on use of funds for needs assessments.-- Not more than $5,000,000 of the amounts made available to carry out this section may be used to carry out subsection (b). ``(e) Definition of State.--In this section, the term `State' has the meaning provided in section 419, except that it includes the Commonwealth of the Northern Mariana Islands and any Indian tribe.''. (b) Exemption of Territory Grants From Limitation on Total Payments to the Territories.--Section 1108(a)(2) of such Act (42 U.S.C. 1308(a)(2)) is amended by inserting ``418A(c),'' after ``413(f),''. The SPEAKER pro tempore. The bill shall be debatable for 1 hour, equally divided among and controlled by the chair and ranking minority member of the Committee on Appropriations and the chair and ranking minority member of the Committee on Ways and Means. The gentlewoman from New York (Mrs. Lowey), the gentlewoman from Texas (Ms. Granger), the gentleman from Massachusetts (Mr. Neal), and the gentleman from Texas (Mr. Brady) each will control 15 minutes. The Chair recognizes the gentlewoman from New York. General Leave Mrs. LOWEY. Madam Speaker, I ask unanimous consent that all Members have 5 legislative days in which to revise and extend their remarks and include extraneous material on the measure under consideration. The SPEAKER pro tempore. Is there objection to the request of the gentlewoman from New York? There was no objection. Mrs. LOWEY. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, I am pleased to offer H.R. 7327, the Child Care for Economic Recovery Act, which I introduced with our exceptional Labor, Health and Human Services, Education, and Related Agencies Subcommittee chairwoman, Rosa DeLauro; our esteemed Appropriations Committee colleague, Congresswoman Clark; and our Ways and Means colleagues, Chairman Neal, Chairman Davis, and Congresswoman Sanchez. It is no secret, with quality childcare, children enter kindergarten ready to learn; hardworking families have better job security, knowing their children are healthy and safe; and our communities thrive. But even before COVID-19, millions of hardworking families, disproportionately families of color, struggled to find and afford quality care that matched their work hours and ZIP Codes. At the height of the pandemic, more than half of childcare providers--many of them women, minority-owned small businesses operating on razor-thin margins--closed their doors. We risk losing more permanently. Every single industry counts on childcare. In order to save our economy, we need to save childcare. {time} 1245 The Child Care for Economic Recovery Act would: More than triple mandatory funds for the childcare entitlement to States; [[Page H3914]] Invest $10 billion in new infrastructure grants so providers have the resources to address hazardous conditions like broken heaters, mold, and lead paint, as well as necessary modifications to protect our children and caretakers from the risk of coronavirus; Reimburse child and dependent care costs incurred by essential workers who have sacrificed so much to keep us safe; Make the child and dependent care tax credit fully refundable for the first time; keep the lights on and doors open with a new tax credit for childcare providers to help cover costs for rent, mortgages, and utilities; and Recognize childcare workers as essential. What is good for our babies is good for our budget. With this bill, we can do what is good for our babies and the budget. Madam Speaker, I urge support, and I reserve the balance of my time. Ms. GRANGER. Madam Speaker, I yield myself such time as I may consume. I rise in opposition to H.R. 7327. American parents want and need reliable and safe childcare options for their children while they are at work. Access to childcare is especially important for those on the front lines addressing the coronavirus. Providers face many new challenges during this pandemic as they seek to understand new regulations and provide a healthy environment for the children in their care. Unfortunately, instead of helping American families and childcare providers, this bill misses the mark. The bill includes an increase of more than $7 billion in childcare funds, even though we know the CARES Act funding still has not been made to some providers who need it. There are also no safeguards to accompany the changes that are made to the child and dependent care tax credit. We saw with the rollout of the Paycheck Protection Program just how important it is to ensure programs are targeted and tailored to help those who need it most. Finally, programs for children have had a long history of bipartisan support, so I am disappointed to see that end today. We need to take a step back and ensure that any bill we pass addresses the problem without creating more bureaucratic red tape for the childcare industry. We must support parents and childcare providers so that they can get our economy up and running again. Instead of passing partisan bills made behind closed doors, we should be working together with the administration on a proposal that can be signed into law. Madam Speaker, I reserve the balance of my time. Mrs. LOWEY. Madam Speaker, I yield 2 minutes to the distinguished gentlewoman from New Mexico (Ms. Haaland). Ms. HAALAND. Madam Speaker, childcare is a vital part of economic recovery. I know what it is like to struggle to make ends meet as a parent. I raised my daughter, Somah, on my own. And as a single mother working my way through law school, it was very hard to find childcare. In fact, I could never afford childcare. When she was 2, I found a preschool where I could volunteer in exchange for lower tuition so that she would have a place to learn while I worked. It was helpful and shows just how much New Mexicans are willing to support each other. But that should not be the reality for parents and kids across the country. During the pandemic, our State has helped childcare providers stay open by paying licensed providers a premium, but many of them still had to lay off employees because fewer children were showing up. As we look to a future when more parents get back to working outside their home, the childcare industry needs Federal support to safely adapt to the new normal and welcome families and employees back. That is why I am supporting the Child Care for Economic Recovery Act. This bill funds upgrades in childcare centers that are needed to meet new health and safety measures for the pandemic; it provides refundable tax credits for parents to return to their jobs; and, most importantly, it ensures a satisfactory, affordable, and guaranteed future for the childcare industry. Madam Speaker, by investing in the childcare industry, we invest in our economic future. I urge my colleagues to vote ``yes'' on this bill. Ms. GRANGER. Madam Speaker, I reserve the balance of my time. Mrs. LOWEY. Madam Speaker, I yield 2 minutes to the gentleman from Massachusetts (Mr. Kennedy). Mr. KENNEDY. Madam Speaker, I want to thank Chairwoman Lowey for her leadership on this important piece of legislation. Madam Speaker, already in this country, the skyrocketing cost of childcare was solidifying deep economic and racial inequities that have plagued us for decades. Already, many childcare workers were living in poverty because astronomical tuition rates are not enough to pay teachers the salary that they deserve. Already, working moms and dads pause promising careers because their wages didn't match the cost of childcare. Already, inability to find childcare locked many parents out of the workforce altogether. And already, children were denied access to high-quality early learning programs because of a broken childcare system. Then COVID-19 completely obliterated a faulty system for parents, for childcare providers, for educators, and for children. Providers are going out of business completely, which will make it even harder for parents to find the childcare that they need. Costs will skyrocket as class sizes shrink. State budgets that are already stretched thin will undoubtedly decide childcare is dispensable, despite big talk about how essential it is to our economic recovery. Madam Speaker, we will look back at this moment and regret that we are not doing more because, ultimately, this decision will leave families with young children behind. This is a decision to hollow out an entire generation of parents' employment stability and economic opportunity. We have a decision as to whether to widen the achievement gap, because our children will not be going to preschool programs that set them up to thrive over the long term. It is a decision to perpetuate systemic racism, because it is Black and Latinx women who are suffering the most from our failure to act decisively. Madam Speaker, we need to pass this bill, and then we need universal childcare. I want to thank the chair for her leadership. Ms. GRANGER. Madam Speaker, I yield back the balance of my time. Mrs. LOWEY. Madam Speaker, I yield myself the balance of my time. Madam Speaker, I am enthusiastically supporting this bill. Childcare is essential for every woman who has ever raised children with the struggling days that she manages to work and take care of the children, so I am a very strong supporter of this bill. Madam Speaker, I yield back the balance of my time. The SPEAKER pro tempore. The time of the Committee on Appropriations has expired. The gentleman from Massachusetts (Mr. Neal) and the gentleman from New York (Mr. Reed) each will control 15 minutes. The Chair recognizes the gentleman from Massachusetts. Mr. NEAL. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, we are considering H.R. 7327, the Child Care for Economic Recovery Act, which I introduced with my friend and colleague Chairwoman Lowey, as well as Representatives Davis, Clark, DeLauro, and Sanchez. This legislation is particularly important as our country continues to face a national emergency. All around America, our constituents, are struggling to cope with the consequences of the pandemic, consequences made worse because of the policies of this current administration. People have lost loved ones and livelihoods. Many faced obstacles to working: pandemic restrictions and health conditions that make them vulnerable to COVID and, for millions of families, a lack of reasonable childcare options. Today, we have the opportunity to help Americans overcome one of the hurdles to work. By supporting meaningful childcare relief, we can go a long way. [[Page H3915]] Even before the onset of the coronavirus pandemic, our Nation's childcare system was strained. Millions of families had trouble finding quality dependent care, and when they did manage to locate it, they often discovered long waiting lists and out-of-reach prices. As it has with so many other preexisting challenges, the pandemic has greatly intensified the stress on our childcare system. Now, daycare facilities are closing. In April, the National Association for the Education of Young Children conducted a survey of more than 5,000 providers and learned that nearly half had completely closed. The Center for American Progress estimates that, without Federal support, the pandemic could result in the loss of 4.5 million childcare slots, which is almost half the national capacity. Last week, I spoke with a group of working mothers. One told me that she fears we are at risk of losing a generation of working parents. Others emphasized how terrifying their situations are and how they lack choices that are needed to continue their careers and protect their children. Their words echo what we have heard from constituents all over this country. Today's bill tackles these problems through a combination of tax relief for parents and childcare providers, grants to States, and support for essential workers and their childcare needs. Specifically, it will double the child and dependent care tax credit and, for the first time, make it fully refundable so that low-income parents can access it like everyone else. It also establishes a refundable tax credit to help childcare providers cover their fixed costs. It will help parents carry over their dependent care flexible spending account contributions to next year and expand the employee retention tax credit, which is so important to help employers of domestic workers retain those employees. This bill triples the guaranteed Federal childcare funding from $2.9 billion to $10 billion a year for the next 5 years. It suspends State match requirements and will also help more low- and middle-income families afford care. In sum, I want to say to the parents of this country: We have heard you loudly and clearly. This childcare crisis is untenable, and it is pushing many of you to the breaking point. Nothing cuts deeper than worry over kids' safety and well-being, and the choices you face are simply too hard. You need and deserve help accessing safe and affordable care for your kids, and your ability to obtain it is an essential precondition of helping the economy move forward and helping it to grow in the future. This bill provides unprecedented Federal support for childcare because we are all in this together, and we have got your back. Madam Speaker, I urge our colleagues to support this important legislation, and I reserve the balance of my time. {time} 1300 Mr. REED. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, we agree. Families need access to childcare. It is key to making America's recovery stronger. Childcare is an economic, education, and public health issue that demands our full attention, particularly now that millions of Americans want to return to work. Unfortunately, this crisis has hit childcare providers across the country especially hard. Many are facing an acute set of financial challenges. We must address this problem in a bipartisan manner if we are to ensure our Nation's children and the working families that support them are not left behind during this crisis. Unfortunately, my colleagues on the other side of the aisle today have decided to throw bipartisanship out the window, knowing that by doing so they are dooming their own legislation. They have once again shut us out of the process and crafted a bill that is out of touch with America's needs. This is no more than a copy-paste of various Democratic childcare proposals superficially edited to link to the pandemic. This bill contains six childcare tax provisions that, combined, would cost more than $100 billion. Simply throwing as much money as you can at the problem with no thought into the actual policy itself won't work. These provisions haven't been through our regular order in the committee of jurisdiction. This package has not been the subject of a single committee hearing, let alone, a committee markup. It is abundantly clear, Democrats were so eager to achieve a messaging victory, they felt they could skip the whole policymaking process that is fundamental to how Congress is supposed to work. We have been down this road before. In multiple States, the additional childcare funding we have already provided through the CARES Act still has not made its way down to childcare providers on the ground. In my home State of New York, one of my constituents, Beth Starks, testified in front of the New York State Assembly on childcare issues. She highlighted that of the $164.6 million in Childcare Development Block Grants for New York State, less than half have gone out to the communities and providers who needed it yesterday. Her testimony also underscores the negative impact State leaders, like our Governor, have had by withholding Federal grants to families and providers. Madam Speaker, I include in the Record a copy of her testimony. Testimony of Beth Starks, Founder and Executive Director of Chautauqua Lake Child Care Center Before The NYS Assembly, Standing Committee on Small Business, Standing Committee on Ways and Means, Standing Committee on Agriculture, Standing Committee on Banks, Office of State-Federal Relations, Task Force on Food, Farm & Nutrition Policy Good morning! Thank you for inviting me to testify today. I am Beth Starks, the founder and Executive Director of Chautauqua Lake Child Care Center. I am a third-generation Early Childhood Educator and have experience in everything from infant rooms all the way up through higher education. I am proud to serve on both the Governor's Early Childhood Advisory Council and the Child Care Availability Task Force. I come to you today to speak about child care as a small business. Below, in my written testimony, you will find links to a lot of statistics and additional information on the topics that I will be discussing today. I know that time is of the essence and I am making an appeal to all of you. I come to you as the founder of a non- profit child care center and a supporter of public education. I come to you as a leader, a public servant and a voice for children and families. Other small businesses, and families need your help now by supporting childcare providers. Our small businesses are especially strained right now when it comes to their workforce. Workers need child care to do their jobs. I implore you to ensure more decisive steps are taken in NYS to assist families in paying for child care and to safeguard the safety and health of child care providers and the families they serve. We need you to ensure that New York's child care providers are ready and able to play their vital role in restarting the economy as we emerge from this pandemic. In the past months, I have listened to our Governor and to many other leaders talk about the reality of this situation. We know this is a situation like no other, and there was nothing we could have planned for. We are building the plane as we fly it and we have true budgetary constraints. I do understand that NYS has had the most cases and the most deaths. The health and medical crisis and the medical decisions needed to come first. I understand that the decisions involving child care needed to come a little bit later. Yet child care providers are essential and have been on the front-line providing care for children of essential workers so that they can do their jobs--as nurses, doctors, law enforcement, and so on. Child care providers have allowed essential workers to work every day knowing that their children are healthy, safe and happy. I come to you today frustrated, heartbroken, sad, exhausted, scared, discouraged and so close to giving up. I am frustrated at the lack of support, the lack of supplies and the lack of financial resources. I am heartbroken. Heartbroken for the child care facilities that have already closed, most never to reopen. I am heartbroken for the mom of the 9-week-old who just started in my care on Good Friday as she had to return to work as an essential worker. I'm sad for the staff that I have lost, for the parents crying in my office because they can't afford child care. I am scared for my business of 14 years that I am trying to keep afloat and I am scared for every child care provider and for our industry. I am discouraged at the lack of acknowledgement and awareness of the importance of Early Childhood and the lack of investment in children. First of all, I want all of you to understand that child care is a business that supports all [[Page H3916]] other small businesses. We are an essential business that has remained open throughout the COVID-19 emergency. By doing so, we have allowed all other small businesses (as well as all other industries) to remain open and now to re-open. So, all of your medical providers, restaurant workers, hospital staff and even farm workers have child care (& workers) thanks to our centers. As mentioned by our previous speaker, a farm needs workers in order to operate, there are child care centers that specifically serve migrant workers. Child care is an industry that is different from other small businesses because we enable other small businesses to operate. I chose to begin my verbal testimony by telling a few stories. The things that I told included: why I started my child care facility, the problems that child care had pre- COVID and what we've gone through during this COVID-19 Pandemic. I founded my center as a non-profit 14 years ago while I was working at SUNY Fredonia in the Education Department. While I was there, I had my first son (who just turned 16) and could not find child care for him. I brought him with me to Fredonia every day and I found an incredible in-home child care provider for him. Soon, I decided to stop working at the college and became a licensed in-home child care provider myself. In NYS, an in-home licensed day care facility is also a small business and there are a lot of them in WNY and across the state. After having my in-home facility for two years, realizing the need for child care in Mayville was so great, I then became incorporated and opened my center. Chautauqua Lake Child Care Center (CLCCC) provides care and education for over 100 children ages 6 weeks to 12 years. CLCCC is a non-profit child care center leasing space inside Chautauqua Lake Central School. The partnership with the public school allows families to drop off & pick up their children all in one place. We provide full time care, part time care, UPK, before school and after school programming as well as a full day summer camp for school aged children. We also employ 11 full time staff and 10-15 part time staff, depending on the time of year. I've also been a part of a lot of initiatives in our County and across NYS. I serve on our Education Coalition here in Chautauqua County where we focus on bringing together educators & industries to meet the needs of the County. I lead the K-readiness subgroup where we focus on young children specifically. Our Education Coalition has had a lot of efforts county-wide to try to support child care. We started an initiative in the City of Dunkirk, as there are no licensed child care centers in the City of Dunkirk. Initially, Mayor Willie Rosas called together a Business Roundtable, focused on child care. It was his most well attended roundtable discussion, which demonstrates the need for child care in the area. Our County Executive at the time, George Borrello, now a NYS Senator, made child care a county- wide priority. He recognized how important child care is as an industry and how interconnected it is to businesses and economic development. Last year, then-County Executive Borrello (in collaboration with the City of Dunkirk, private sector business, the County Chamber, and the County Planning office and also with the help and support of Assemblyman Andrew Goodell) was able to apply for some funding through the Governor's Workforce Development Initiative/Economic Development Council to work on obtaining additional funding for child care. Unfortunately, we were unsuccessful in obtaining funding, even though it was greatly needed. My point is that child care was in a crisis situation here, preventing people from going to work, pre-COVID. We are in what's called a child care desert because there isn't enough child care here in Chautauqua County (or in much of NYS). According to the Center for American Progress, 64 percent of New Yorkers lived in a child care desert (before the Pandemic), which means that there are more than 50 children under the age of 5 in a census tract that contains either no child care providers or so few options that there are more than three times as many children as licensed child care slots. The past 3 months, the situation has gotten much worse. Over 50% of my colleagues in Chautauqua County have closed their doors. Nationally, it is estimated that about \1/2\ of them will never open again. We cannot re-open our county or NY without child care because there is nowhere for children to go and that includes children from infants all the way up through the teenage years. We're an industry that needs financial support. My colleagues will tell you that they stayed open during COVID because it was what was right for children and families. I will tell you that we all made poor business decisions because we operated our businesses by leading with our hearts, instead of making financially-based decisions. We are all fulfilling our mission in serving children and families. We remained open serving on the front lines, but every single day we are open we continue to lose money and there is very little support. I was fortunate enough to be able to get the PPP (Paycheck Protection Plan) and I will tell you my story in being able to do so. I had to find the only lender in Chautauqua County that was able to allow me to apply for a PPP loan; there was only one. I searched all weekend to find the lender and it was KeyBank. The manager let me call her on a Sunday and come to meet with her first thing on a Monday morning to open an account with her. None of the other lenders would let me apply and/or open an account with them. Once I was able to open an account, we were able to apply for the PPP and were thankfully approved. If you look at child care centers statewide, I was told that only 10% received the PPP, and that's just for the centers. None of the in-home providers were eligible because they are sole proprietors. So, the PPP money has only helped a few of us. The EIDL (Economic Injury Disaster Loan) money I was able to apply for, but I was denied. I don't know the rationale behind it, but we just received the email that told us we were not eligible for that funding. As far as federal funding, there was CARES Act money that was set aside for child care federally and we were really excited because we were told we would receive $164.6 million in NYS specifically for child care, but we have yet to receive that funding. Of that $164.6 million in CARES funding, only $30 million was allocated, $20 million was designated for scholarships for families (the scholarship only assists families making up to 300% of the poverty level and luckily in Chautauqua County we were already serving that population. So, very few families here were able to take advantage of this money.) and $8 million for supplies. We are so thankful for the supplies, which just came this past Saturday. Beyond that there has been no help directly to child care facilities. The biggest need is purely financial. We need working capital. Most of the remaining providers in Chautauqua County literally have weeks left until they too close their doors. We cannot look at supporting childcare as a ``subsidy''. It is truly an investment in economic development and infrastructure. We cannot rebuild our economy without an investment in something as critical as childcare. In closing, I will tell you that there are also bright spots. In the beginning, I spoke about feeling frustrated, heartbroken, exhausted, scared, discouraged and so close to giving up. Well, I also come to you energized, inspired, hopeful and encouraged and determined to never to give up. I am energized by my insightful colleagues, in my community, across the state and across the nation. I am energized by my staff who are incredible and dedicated and selfless. I am energized by my students who are the future educators. I am inspired by my community coming together in a way that it never has and bridging divides. I am hopeful for our future and a chance to fix all of this. I am encouraged by the hard- working families, the families struggling to go to work every day to provide the best opportunities for their children. I am encouraged by the child I sat with yesterday talking about the people he loves and I am encouraged with the knowledge that he is healthy, happy and safe in our care. This issue to me is not political. It is very much bipartisan and I believe that we have to all come together to support children and families. In doing so, we support our economic infrastructure and the future of our state. If we aren't making decisions based on what is best for our youngest citizens, then we are doing a disservice to our entire population. So, I offer to you my assistance as part of the solution. I trust your leadership. I trust your judgement. Families and providers need to be heard. They need your support and they need it now. I recognize the need for funding and the CARES Act allows emergency federal funds to be used to provide child care to the essential worker keeping us safe and to every other worker trying to go back to work. We need to follow the lead of many other states around the country and use that funding immediately to assist families and providers. We need additional funding for child care in the next round of CARES relief from the federal government. There are also so many other sources of funding that could be used for child care in our state. We need to do innovative things like use FEMA dollars, community development block grant funds, and economic development money to invest in child care. We have to try to find other funding sources and make NYS the leader in early childhood education during this time and in the future. I will always believe every challenge is an opportunity and we have the opportunity now to do the right thing for our current workforce and for our state's youngest citizens, our future. Thank you for your time. Mr. REED. Madam Speaker, up until now, Republicans and Democrats have consistently worked together to provide additional support for childcare. Again, this is an issue we fundamentally all agree on. On the Committee on Ways and Means, we have demonstrated time and time again our commitment to improving access to high quality childcare. That is why we are disappointed today. Today's vote is a wasted opportunity. I started today by saying we all care deeply about childcare. As COVID continues to disrupt American life, that focus has only grown. As co-chair of the Problem Solvers Caucus, I can tell you we are committed to reaching across the aisle and actively looking for issues where we can come together to find common ground. Leader McCarthy has further made clear his support for prioritizing childcare as part of COVID relief and more than 40 Republican Members, including myself, echoed that support in a letter to leadership. [[Page H3917]] In addition, Republicans have introduced a number of bills that include smart provisions, such as the bills introduced by my colleagues, Representative Walorski of Indiana and Mr. Wenstrup of Ohio. Earlier this week, we led the introduction of a bill called the Back to Work Child Care Grants Act of 2020 to support working families, advance our Nation's economic recovery, and help those parents who want to go back to work. The bill provides a framework for childcare providers to access the resources they need to reopen and stay open. We are proud that we were able to make this bill bipartisan because we care about getting results, not headlines. Thanks to the leadership of folks like Senator Ernst and Senator Alexander in the U.S. Senate, this proposal has a real chance of moving forward. Clearly, there is some common ground and shared goals among us, but Democrats have skipped regular order and any semblance of meaningful bipartisan discussion and compromise. There is an important role for Congress to play in alleviating the economic stress COVID has placed on American families. To the reasonable Members of my colleagues across the aisle, come work with us. Our door is always open. Until you do, Congress will continue to waste these good opportunities of good will to bring the American people together. Madam Speaker, I reserve the balance of my time. Mr. NEAL. Madam Speaker, in the spirit of bipartisanship, the Record should note that the second to the gentleman's request came from the Democratic side. Madam Speaker, I yield 1 minute to the gentleman from Illinois (Mr. Danny K. Davis), chairman of the Worker and Family Support Subcommittee, and original cosponsor of this legislation. Mr. DANNY K. DAVIS of Illinois. Madam Speaker, I sincerely believe that the best way to evaluate the effectiveness and greatness of a society is by how well it treats its old, how well it treats its young, and what it does for those who have difficulty caring for themselves. Childcare is one of the most essential needs that exists in our community. And I have just heard my colleague say $100 billion helps to put childcare on the map. I know individuals who work in the childcare industry who cannot put their own children in the programs that they work for because they earn so little. Madam Speaker, if we are to move America as we confront the pandemic, as we deal with racism, as we deal with structures that have kept disadvantaged people and communities disadvantaged, nothing would do it better than making sure that every individual who needs childcare will have it available. Madam Speaker, events of the past few months have shown the need for policies to strengthen child well-being as thousands of youth across America marched and demonstrated as they challenged our systems of social, educational and economic justice. Child care powers both family economic well-being and our national economic growth. Prior to the pandemic, federal funding only provided child care for one in six eligible children. And parents in communities weighed down by poverty and systemic racism experienced a shortage of high-quality, affordable child care. Today, we face a global pandemic that has disproportionately infected and killed people in these same struggling communities, and the child care crisis we had before is now much, much worse. Now, parents have lost millions of additional child care options, and providers confront new costs to keep children and workers safe, risking financial losses for businesses already operating on the knife's edge of profitability. In Illinois, nearly half of all previously available child care slots are at risk of disappearing altogether due to the pandemic, and sixty percent of child care programs are fully-closed. In Chicago, we did not have much to lose. Pre-pandemic, five out of six Chicago children lived in a ``child care desert'' where children outnumbered child care slots by 3 to 1, or more. The high cost of quality child care disproportionately affects Black families because Black children are disproportionately likely to live in homes with only working parents, but Black working parents earn 40 percent less, on average, than white working parents. For workers with low wages, work is impossible without child care subsidies, and difficult even with assistance. Latinx and Black workers are more likely to work nonstandard schedules than their peers, which often makes child care harder to find and more expensive. Moreover, people of color are disproportionately represented in the child care workforce. About 40 percent of the child care workforce are people of color who are concentrated in low-level positions with lower credential requirements and relatively low pay. The child care workforce alone is 94% female and 40% persons of color. Latinas--who represent 15% of all workers--comprise 21% of child care workers, and Black women represent 15% of all child care workers. These data demonstrate that protecting the child care industry is key to both economic priority and racial equity. As states lift stay-at-home orders and other economic restrictions, more parents are returning to work, if they can. Quality, affordable child care is a cornerstone of parents' ability to work and move up the economic ladder. I know essential workers who couldn't work because they had no one to watch their kids. I know parents who have lost so much income that they can't afford child care to work. As a Black man living in Chicago, I have grieved at far too many funerals for friends lost to COVID-19, and I know far too many parents who legitimately fear for their family's health when they return to work and their children go back to child care. When I see the devastation caused by this pandemic and the barriers to working due to child care, I am offended by claims that people will refuse to work because of the availability of supplemental unemployment benefits. This charge is simplistic, insulting, and refuted by data showing that low- wage workers stay at work and return to work even when faced with unsafe working conditions and inadequate wages. As our nation grapples with structural racism, policymakers need to enact policies that support workers and address the barriers they face, taking care not to penalize communities weighed down by poverty and racism. Big challenges call for big solutions. Now is the time for this Committee and this Congress to take meaningful action to ensure that high-quality child care is available to all who need it. The two bills before us today demonstrate Democratic commitment to growing our workforce and our economy by investing in families and in our child care infrastructure--both the people and the buildings. I am extremely proud to co-lead the Child Care for Economic Recovery Act and to cosponsor the Child Care is Essential Act. Together, these bills parents afford and help businesses provide safe, quality child care. In addition to increasing the guaranteed investment in child care via the Child Care Entitlement to States funds to states from $2.9 billion to $10 billion for the next 5 years, the Child Care for Economic Recovery Act helps ensure states can use these funds by waiving the requirement that states match the funds for the first two years. The bill includes critical investments in child care infrastructure to help states and providers adapt, expand, and reconfigure child care facilities and infrastructure in response to coronavirus. Further, it helps qualified child care facilities weather the pandemic with targeted tax benefits to help cover rent, mortgage, and utility costs. The bill also includes two bills I have championed to substantially help families afford child care. One centers on providing targeted support to essential workers who need care for children or adults so they can work, and the other modernizes the Child and Dependent Care Tax Credit to provide tens of billions of dollars to help working family cover child care costs. Specifically, there is an additional $850 million in funding for the Social Services Block Grant to help essential workers pay for family care. Importantly, states can use the funding to support child care for any group of workers they deem essential for in-person work, including sanitation and public safety workers, grocery store employees and other workers designated by the state. Further, the bill makes the full amount of the Child and Dependent Care Tax Credit available to more families by raising the current phase-out of $15,000 to $120,000, almost triples the maximum credit from $1,050 to $3,000 per child, and it ensures that families with the greatest need benefit by making the credit fully refundable. The Child Care is Essential Act creates a $50 billion Child Care Stabilization Fund to help stabilize the child care sector and help providers reopen and operate safely. These grants will support providers' ability to maintain employee benefits and salaries; follow Center for Disease Control and Prevention health and safety guidelines in the classroom; train employees on health and safety standards; make mortgage, rent, and utility payments; and modify child care services as needed as a result of the pandemic. Substantively investing in child care is the right thing for our economy, the right thing for our children, and the right way to give everyone a fair shot in America. [[Page H3918]] Mr. REED. Madam Speaker, I yield 1 minute to the gentleman from Nebraska (Mr. Smith). Mr. SMITH of Nebraska. Madam Speaker, I do have to say that I am disappointed and, frankly, saddened to stand here today to point out my disappointment that we are debating a bill that I think many would consider to be unrealistic and certainly highly unlikely to become designated as a solution or even achieved to be a solution to the issues we are facing today. Madam Speaker, as my colleague from New York already pointed out, no Republican input was sought on this--zero. Zilch. And it is unfortunate, especially at a time such as this where our country is wanting us to come together to form solutions that are effective and can positively impact our country. We, on the Republican side, stand ready on a bipartisan basis to accomplish our goals of safely reopening schools, safely reopening childcare centers so that our children can learn, grow, develop, and their parents can return to work. We agree. Access to safe, affordable childcare is essential to getting Americans back to work and a strong economic recovery. The SPEAKER pro tempore. The time of the gentleman has expired. Mr. REED. Madam Speaker, I yield an additional 15 seconds to the gentleman. Mr. SMITH of Nebraska. Madam Speaker, the bill we are considering today is not a path forward. It is a rehash of partisan ideas. We can do better. The American people expect us to do better. Republicans have constructive ideas to offer with demonstrated bipartisan support. Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Texas (Mr. Doggett). Mr. DOGGETT. Madam Speaker, childcare is so very neglected--a neglect that has been amplified by this pandemic. Without adequate care, parents simply cannot go back to work. Always essential for economic development, adequately funded, quality childcare is more than daycare, more than babysitting. It should play a key role in educating the next generation. The National Association for the Education of Young Children has estimated that without adequate Federal support, over 4 million American children will lose their childcare this year. In Texas, with Governor Abbott offering inadequate State support, and temporarily, but recklessly, suspending facility safety precautions, like taking temperatures, the lives of children and their families have been endangered with coronavirus infections at more than 1,400 childcare facilities. Our two-pronged legislative approach today cannot undo such ineptness, but it does offer much-needed resources for both childcare providers and parents in making one of their most important investments. This is the first of many steps needed to build an early learning system truly worthy of our youngest children. Mr. REED. Madam Speaker, I yield 2 minutes to the great gentleman from Kansas (Mr. Estes). Mr. ESTES. Madam Speaker, I rise today in opposition to H.R. 7237 and H.R. 7027. As a father of three, I understand how important it is that our children are cared for in a nurturing, loving environment. For many working parents, that means utilizing quality, affordable daycare for all or part of the week. My wife and I utilized daycare for our children when they were younger. It provided a beneficial, educational experience for them. Republicans in the House know that when it comes to childcare, we have to get this right and we have to do it together. In that spirit, we have been working with our colleagues on the other side of the aisle during the past 5 years to pass meaningful legislation, like doubling the Childcare and Development Block Grant funding, and including support for childcare providers in the CARES Act. Yet, now, when our country needs us to put politics aside and focus on the actual needs of families, we are debating partisan bills that do not go through regular order, had no input from Republicans, put future taxpayers on the line for billions of dollars without addressing the childcare needs of today and have no safeguards to prevent wealthy Americans from hiring maids and butlers instead of helping everyday families. Madam Speaker, that is right. My colleagues on the left are more interested in throwing money at a problem to score political points rather than making sure hurting families and childcare facilities receive needed assistance. But it doesn't have to be that way. Instead of debating another political messaging bill, we should be working together on commonsense measures, like the Back to Work Child Care Grants Act, which provides 9 months financial assistance to providers to safely open, disburses more funds quickly without administrative red tape, and requires providers receiving support to follow State and local safety guidelines. Democrats and Republicans have common ground here. We want to provide relief to childcare facilities and families during this healthcare crisis. Unfortunately, the bills we are debating today don't rise to the challenge we face. We can and must do better. Madam Speaker, I urge my colleagues to reject these partisan bills and pursue bipartisan legislation, like the Back to Work Child Care Grants Act. Our families deserve it. Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from California (Mr. Thompson). Mr. THOMPSON of California. Madam Speaker, as communities across our country continue to battle COVID-19 and as school districts around the country continue to plan for virtual-only education, it is more important than ever for parents, healthcare professionals, essential workers, and our children to have access to quality, affordable childcare. This bill helps families by making the childcare tax credit fully refundable and offers new assistance to childcare facilities to help them weather the storm and continue providing the vital services our children need. Every Member of this House has heard from constituents who are grappling with this challenge. Americans need our help. Madam Speaker, I urge everyone to vote for this important bill. Mr. REED. Madam Speaker, I yield 1 minute to the gentleman from Ohio (Mr. Wenstrup). Mr. WENSTRUP. Madam Speaker, I thank the gentleman for yielding. Madam Speaker, I rise today in thoughtful opposition to H.R. 7327. Everyone in this Chamber agrees that protecting our children is our top priority and that childcare is one of the most critical pieces of the equation in getting our economy back to the record levels that we had achieved earlier this year. I have talked to parents across my district in Ohio who want to go back to work but don't have reliable care options available for their children. It is about more than just returning to work. Children need to be able to grow socially and emotionally by interacting with their peers regularly. Instead of rushed partisan legislation, we need bipartisan solutions, like my Family Savings Flexibility Act that I introduced with Representatives Kelly and Axne. Our bill allows parents to increase the contribution limit to their Dependent Care Flexible Spending Accounts, as well as roll over the funds from the 2020 plan year--a huge help to working parents. Madam Speaker, I ask my colleagues on the other side of the aisle to work with us on finding bipartisan solutions, and I oppose this bill. {time} 1315 Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Oregon (Mr. Blumenauer). Mr. BLUMENAUER. Madam Speaker, I appreciate the gentleman's courtesy in permitting me to speak on this, as I applaud his leadership. Under his leadership, the Ways and Means Committee has been in the middle of the recovery efforts. There are many of these elements that we are proud of, but none is more significant than what we are doing here today to strengthen the opportunities for childcare. I hear my friends on the other side of the aisle lament the fact that they feel, well, this is not going to go anywhere; they would like to work with us. Well, work with us. The Senate is moving in our direction, as they have with the major package. If you would come work with us, move this forward, we would be able to accomplish it. [[Page H3919]] Putting at risk half our childcare slots is unacceptable. This is essential if we are going to recover, protect our families, move forward. Childcare is an essential service for workers today, for families tomorrow, for children for generations to come. I am proud to lend my support. I appreciate what our Ways and Means Committee has done, and I anticipate we have got more in store. Mr. REED. Madam Speaker, I reserve the balance of my time. Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from California (Ms. Sanchez), who is an original cosponsor of this legislation. Ms. SANCHEZ. Madam Speaker, I rise today in strong support of the Child Care for Economic Recovery Act. I want to thank Chairman Neal, Chairwoman Lowey, Chairman Davis, Chairwoman DeLauro, and Vice Chair Clark for working with me on this critical bill. Access to quality, affordable childcare was out of reach for many parents before the COVID pandemic, and now our childcare crisis is far worse. Families juggling full-time jobs and caring for their kids at home desperately need our help. And millions of healthcare, grocery store, and other essential workers who cannot work from home are out of options. Thankfully, this package includes a bill I coauthored with Chairman Davis to help States provide childcare for essential workers. It also provides long-term support to help working families afford childcare. Finally, it invests in facilities to help them adapt to serve families safely. This pandemic is nowhere near under control, and it isn't safe for many to return to work. But parents must have access to safe and affordable childcare before our economy can reopen. I urge my colleagues to support this bill, and, again, I thank those involved with the writing of it. Mr. REED. Madam Speaker, I reserve the balance of my time. Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from Alabama (Ms. Sewell). Ms. SEWELL of Alabama. Madam Speaker, I rise today in support of H.R. 7327, the Child Care for Economic Recovery Act. In my State of Alabama, 52 percent of the supply of childcare is projected to be lost as a result of this pandemic. This is a crisis that is not only dire today but may hold lasting damage in our communities without bold actions. We know, Madam Speaker, that the pandemic has disproportionately affected African-American communities and that so often Black workers are on the front lines of being essential workers, especially Black women. They are in greater need of safe, affordable childcare. At the same time, there are many more that are likely to live in underserved and rural communities that simply do not have childcare options. I am proud that this bill will make important investments in our childcare system, including making the child care tax credit fully refundable, expanding funds for the Child Care Entitlement to States program, and expanding childcare tax incentives. These bold investments are critical for the well-being of working parents and their children, especially in underserved communities that I represent. I urge the passage of this bill. Let's protect our children by making sure they have adequate childcare. Mr. REED. Madam Speaker, I reserve the balance of my time. Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from California (Ms. Judy Chu). Ms. JUDY CHU of California. Madam Speaker, I stand today in support of the Child Care for Economic Recovery Act. As families juggle working from home and childcare, this pandemic has made it clear just how vital childcare is to our economy. If we want to prioritize economic growth and improve outcomes moving forward, we will have to make investments that improve quality and access today. Even before the COVID-19 crisis, many families of color were not able to access childcare. In fact, only 3 percent of federally eligible Asian children, 6 percent Latinx children, and 15 percent of Black children were able to access childcare based on Federal eligibility. This bill helps by adding billions of dollars to our childcare infrastructure. It also makes the child and dependent care tax credit refundable so families could receive a childcare credit of up to $6,000. Finally, the bill ensures that essential workers have access to safe care for their children while they are providing invaluable services to our communities. Without investments in childcare, our economy cannot recover. Mr. REED. Madam Speaker, I reserve the balance of my time. Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Maryland (Mr. Hoyer), the distinguished majority leader. Mr. HOYER. Madam Speaker, the Bible tells us: ``Raise up a child in the way they should go, and they will not depart from it.'' As a parent, I have sometimes, if not always, reflected that that seems to be the case. But it surely is the case that we need to provide our families and our children with safe and positive places so that we can raise them up in the way they should go. Madam Speaker, I rise in strong support of the bills on the floor today to protect childcare workers from losing their jobs and to help more families afford the cost of childcare. They build on provisions that we had in the HEROES Act. First, the Child Care Is Essential Act would create a $50 billion childcare stabilization fund to keep childcare providers from going out of business. I want to thank Chairwoman DeLauro of the Subcommittee on Labor, Health and Human Services, Education, and Related Agencies, as well as Chairman Bobby Scott of the Education and Labor Committee. Secondly, the Child Care for Economic Recovery Act takes a long-term approach by improving infrastructure and designating childcare providers as essential and providing tax credits to help more families qualify for and afford safe and accessible childcare. I want to thank Chairwoman Lowey of the Appropriations Committee and my dear friend Chairman Neal, chairman of the Ways and Means Committee, for sponsoring this legislation. As noted yesterday, in an editorial by The Washington Post: ``The childcare industry is collapsing under pandemic-inflicted financial pressure.'' They went on to say: ``Without swift action from Congress, childcare centers are at risk of permanent closures that could severely undermine the country's economic recovery.'' Madam Speaker, I am the father of three daughters and a granddaughter who has four children, my four great-grandchildren. She is fortunate that she is able to stay home with those children. Three of them are in school. I have two other daughters who are now older, and their children are older. But when they had children at a young age, childcare was critical and very difficult to obtain and very expensive. Dad and mom helped out. But there are so many millions who don't have a dad or mom or a grandfather or grandmother to help out. And when we don't help them, the cost is to everybody. Governor Agnew was elected Governor the same year I was elected in the State of Maryland. I remember a line from his inaugural address: ``The cost of failure far exceeds the price of progress.'' Failure to bring up these children in the way they should go and have them in safe childcare settings will result in a cost far higher than providing that service. If the Congress fails to take actions like those, like the House is taking today, we risk our economic recovery by forcing parents to drop out of the workforce or lose work hours due to the demands of dependent care. It would place a substantial burden on working families with young children or elderly parents to care for, and it would disproportionately hurt minority workers and their families because, as The Washington Post editorial further pointed out, minority parents ``are more likely than White parents to experience job disruptions due to childcare.'' That is not good for them; it is not good for their children. Madam Speaker, it is not good for America. House Democrats are determined to help families get through this public health and economic crisis, but we must have a longer vision, as Chairman Neal pointed out, because it is not just [[Page H3920]] the pandemic that caused this problem. It has been a problem that has been with us for a long period of time. We refuse to do what some have suggested, again and again, for the past decade, which is to tell the American people: You are on your own. ``You are on your own'' is not a moral stance. It is not. Am I my brother's keeper? The answer to that is yes, I am my brother's keeper because I want my brother healthy; I want my brother educated; and I want my brother well-housed. Why? Because my brother affects my life and my children's lives and my grandchildren's lives and my great- grandchildren's lives. If you are going to make America great, you need to make all our people great. So, I am here in support of this legislation. It is critical legislation for our country--yes, for the children, yes, for the families, but for our country. I hope all of my colleagues, Republicans and Democrats, will join us in passing these bills. Let's do that today to keep childcare providers open, expand the availability of childcare for working families, and help workers return to their jobs when it is safe to do so. Vote ``yes'' for America's families and for America. Mr. REED. Madam Speaker, I reserve the balance of my time. Mr. NEAL. Madam Speaker, I yield 1 minute to the distinguished gentleman from Pennsylvania (Mr. Evans). Mr. EVANS. Madam Speaker, I rise today in strong support of the Child Care for Economic Recovery Act. Even before the pandemic, childcare in Pennsylvania cost twice what is considered affordable, and working families struggled with a shortage of quality care. Now, Pennsylvania could lose half of its childcare supply due to the pandemic. This bill funds improvements to help childcare centers reopen and operate safely and addresses longstanding barriers to help families secure quality care. We should invest now to upgrade childcare facilities of all sizes and ensure children have a safe place to be. We must act to protect children and the providers who care for them. I would like to close by thanking all the childcare workers who provide essential services to American families. Now, let's pass this bill. Mr. REED. Madam Speaker, I reserve the balance of my time. Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Illinois (Mr. Schneider). Mr. SCHNEIDER. Madam Speaker, I rise today in strong support of two important bills, H.R. 7027, the Child Care Is Essential Act, and H.R. 7327, the Child Care for Economic Recovery Act. The COVID-19 pandemic has exacerbated the gaps in America's childcare system. Even before the current crisis, America faced a dire shortage of quality, affordable childcare. Now, with daycares closed, schools out, and many working from home, parents are struggling between fully attending to their kids' needs and focusing on their jobs. These two bills will lend a hand to working parents. The Child Care for Economic Recovery Act will help ensure parents have quality childcare within their reach. The Child Care Is Essential Act will provide necessary emergency funding for childcare providers, the majority of which are small businesses. Adequate, quality childcare for every working family is critical to successfully opening our economy. Passing these bills will help our children, our working parents, and the countless businesses dependent on their talents. I urge my colleagues to support this important legislation. Mr. REED. Madam Speaker, I reserve the balance of my time. {time} 1330 Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from California (Mr. Gomez). Mr. GOMEZ. Madam Speaker, today I rise in support of these important pieces of legislation. The coronavirus pandemic has highlighted the challenges that working families have always faced in the American economy: that the economy is not structured around the needs of working families and that the solutions that do exist, like childcare, are not sufficiently funded. As such, our Nation's lack of support for affordable childcare forces many working families to make an impossible choice: either go to work to support your family to put a roof over their head, food on their table, or clothes on their backs, or not in order to stay at home to make sure that they are safe and well taken care of. Unfortunately, parents don't face an even playing field when it comes to childcare. For example, Latino and Asian children are most likely to have a lack of childcare options in their communities and face long waits and long lines to get a spot. Despite the fact that quality childcare is a cost-effective way to reduce poverty, funding for childcare is simply not enough. I am proud to support this important piece of legislation and these two pieces of legislation. It is a way forward, and I look forward to voting on it later today. Mr. REED. Madam Speaker, I am ready to close. The SPEAKER pro tempore. The time of the gentleman from Massachusetts has expired. Mr. NEAL. Madam Speaker, I was prepared to close after Mr. Reed. The SPEAKER pro tempore. The gentleman from Massachusetts has no time remaining. Mr. REED. Madam Speaker, I would inquire as to how much time I have remaining. The SPEAKER pro tempore. The gentleman from New York has 5\3/4\ minutes remaining. Mr. REED. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, to restart the economy in the wake of COVID-19, parents will need sufficient childcare to return to the workplace. A lack of childcare options could keep parents from returning to work or could force parents to cut back the amount of time spent at work. Either of these scenarios would cripple our households' finances and a healthy economic recovery. New requirements for childcare providers in schools, including smaller class sizes, enhanced cleaning requirements, new and likely evolving teacher education on new protocols, and liability risks, will also increase costs. Policy interventions are needed to increase both the supply of affordable childcare and working families' demand for childcare. As you have heard from my colleagues here today, Republicans share concerns about the impact of the pandemic on the childcare industry and lives of working families across the country. We have bipartisan, feasible, commonsense solutions to address this problem. Whether it is tax relief for families and businesses to purchase childcare or additional support to keep existing childcare providers in business, our solutions would have an immediate impact on the industry and parents. Successful childcare solutions have received bipartisan support in the past, and they will moving forward. It is a shame we can cooperate in good times but not in the midst of a global pandemic. Our families and children deserve better. Madam Speaker, I strongly urge all my colleagues to oppose this bill, and let's come together to pass a bill that will help the American people in a true bipartisan fashion. Madam Speaker, I yield the remainder of my time to the gentleman from Massachusetts (Mr. Neal). Mr. NEAL. Madam Speaker, I spoke with a group of working mothers. One told me that she fears we are at risk of losing a generation of working parents. Others emphasized how terrifying their situations are and how they lacked choices that will allow them to continue their careers and protect their children. Parents all across the country have been doing the hard work of holding their families together while the White House ignores the plight and exacerbates the public health crisis. We owe it to these parents to show that we in Congress hear them and that we are going to do something about it. Madam Speaker, I urge my colleagues to support this important legislation. Mr. REED. Madam Speaker, I yield back the balance of my time. Ms. JACKSON LEE. Madam Speaker, as a senior member of the Judiciary, Homeland, and Budget Committees, and Founding Chair of the Congressional Children's Caucus, I rise [[Page H3921]] in strong support of H.R. 7327, the ``Child Care for Economic Recovery Act'', which expands the availability of quality child care, helps workers return to their jobs when it is safe, and enables America's economy to recover from the COVID-19 recession. The Child Care for Economic Recovery Act creates a new tax credit that helps employees access quality, affordable child care, and by expanding the employee retention tax credit, it incentivizes employers to keep child care workers on payroll. Further, this bill provides $850 million to states, the District of Columbia, and all U.S. territories to fill in the gaps in dependent care for essential workers during the COVID-19 pandemic as well as invests $10 billion in infrastructure to improve child care safety. Madam Speaker, just last week, the United States reached a historic and unfortunate milestone with over 4,000,000 confirmed coronavirus cases. Today, there are over 4,400,000 cases nationwide and 151,000 deaths. In my home state of Texas, a current hotspot, there are over 413,000 cases and 6,500 deaths. At the county level, Harris County, which includes my district, has approximately 67,660 cases and 1,127 deaths. As we seek to regain control over this virus and poise our economy to rebound from the effects of the coronavirus, we must take the necessary steps to address the cracks and disparities that have come to light by way of the pandemic. The child care industry has served as a crucial backbone to the United States' economy for many years, and it too continues to be rocked by the coronavirus. Child care facilities provide an immense and unquestionable public value. This was demonstrated by the key role child care centers had as they continued to provide child care for essential workers who continued to work at the beginning of the pandemic. According to the Washington Post, before the coronavirus pandemic, approximately one-third of all children under 5 attended a paid care facility, day-care center, preschool or prekindergarten. Workers in every industry rely on child care centers to provide capable care for their children, helping them juggle both parenting and employment responsibilities. The child care industry is even more essential to single parent households. In 2019, 15.76 million children lived with a single mother and approximately 3.23 million children lived with a single father. For these millions of families, child care is a lifeline. However, as millions of businesses continue to feel the economic effects of the coronavirus and fight for survival, the child care industry is facing its own crisis. Nationwide, an estimated 1.5 million childcare workers have lost their jobs. Before the pandemic, Texas had more than 11,000 child care operations. Yet, as a result of this disease, there were only 883 facilities still operating in the state as of early this month, according to CNN. Madam Speaker, I stand here today, voicing my support for H.R. 7327 because it serves as a vital component to our nation's economic reopening strategy. The federal government must do everything in its power to ensure that the child care industry remains available to all who need it, and that means voting yes on this bill. By enacting this piece of legislation, Congress commits to ensuring the long-term success of the child care industry by investing $10 billion over the 2020-2024 period to improve child care facilities and infrastructure. Doing so will address longstanding inadequacies of child care facilities as well as respond to the immediate infrastructure needs that the COVID-19 pandemic has caused, including structural changes to facilitate social distancing and improve sanitation. Madam Speaker, this legislation also requires the U.S. Department of Health and Human Services (HHS) to conduct a first-ever comprehensive inventory of the structural challenges facing child care in the United States and its territories. For far too long, the child care industry has been overlooked and undervalued, and it is no coincidence that this industry is comprised of 94 percent women, a majority of whom are women of color. But child care is not just a woman's issue. Everyone has a stake in ensuring the viability of the child care industry. I have been a long-standing advocate for the child care industry because I understand the challenges many working families face when it comes to obtaining reliable, affordable, and quality child care. Prior to the pandemic, HHS considered childcare affordable if no more than 10 percent of a family's income was put towards it, but parents were ultimately spending much more, on average. However, because of the coronavirus and the economic devastation it has caused, what was once deemed affordable is bound to change. By passing H.R. 7327, we have the opportunity to bring much-needed relief to financially struggling child care providers, to families who need child care in order to return to work, and to the U.S. economy. With this legislation, we will expand access to care and ease the financial burdens placed on parents and employers, so that we can reopen and recover from this public health crisis without leaving kids, parents, and businesses behind. I urge all Members to join me in voting for H.R. 7327, the ``Child Care for Economic Recovery Act.'' The SPEAKER pro tempore. All time for debate has expired. Pursuant to House Resolution 1053, the previous question is ordered on the bill. The question is on the engrossment and third reading of the bill. The bill was ordered to be engrossed and read a third time, and was read the third time. The SPEAKER pro tempore. The question is on the passage of the bill. Pursuant to clause 10 of rule XX, the yeas and nays are ordered. Pursuant to clause 8 of rule XX, further proceedings on this question are postponed. ____________________
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