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116th Congress }                                             { Report
                        HOUSE OF REPRESENTATIVES
 1st Session   }                                             { 116-160

======================================================================

 
               CHILD CARE QUALITY AND ACCESS ACT OF 2019

                                _______
                                

 July 18, 2019.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

Mr. Neal, from the Committee on Ways and Means, submitted the following

                              R E P O R T

                             together with

                            DISSENTING VIEWS

                        [To accompany H.R. 3298]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Ways and Means, to whom was referred the 
bill (H.R. 3298) to increase entitlement funding for child 
care, having considered the same, report favorably thereon with 
amendments and recommend that the bill as amended do pass.

                                CONTENTS

                                                                   Page
  I. SUMMARY AND BACKGROUND...........................................2
          A.Purpose and Summary..................................     2
          B. Background and Need for Legislation.................     2
          C. Legislative History.................................     3
 II. EXPLANATION OF THE BILL..........................................4
          A. Child Care Quality and Access Act of 2019...........     4
III. VOTES OF THE COMMITTEE...........................................4
 IV. BUDGET EFFECTS OF THE BILL.......................................6
          A. Committee Estimate of Budgetary Effects.............     6
          B. Statement Regarding New Budget Authority and Tax 
              Expenditures Budget Authority......................     6
          C. Cost Estimate Prepared by the Congressional Budget 
              Office.............................................     6
  V. OTHER MATTERS TO BE DISCUSSED UNDER THE RULES OF THE HOUSE.......8
          A. Committee Oversight Findings and Recommendations....     8
          B. Statement of General Performance Goals and 
              Objectives.........................................     8
          C. Information Relating to Unfunded Mandates...........     8
          D. Congressional Earmarks, Limited Tax Benefits, and 
              Limited Tariff Benefits............................     8
          E. Duplication of Federal Programs.....................     8
          F. Hearings............................................     8
 VI. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED............9
VII. DISSENTING VIEWS................................................12

    The amendments are as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Child Care Quality and Access Act of 
2019''.

SEC. 2. INCREASE IN ENTITLEMENT FUNDING TO MATCH STATE CHILD CARE 
                    INVESTMENTS.

  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 ``$3,917,000,000 for each of fiscal years 2020 and 
2021''.

    Amend the title so as to read:
    A bill to increase entitlement funding to match State child 
care investment.

                       I. SUMMARY AND BACKGROUND


                         A. Purpose and Summary

    H.R. 3298, the ``Child Care for Working Families Act,'' as 
amended and ordered favorably reported by the Committee on Ways 
and Means on June 20, 2019, increases federal dollars available 
to match state investments in child care quality and access for 
working families.

                 B. Background and Need for Legislation

    The cost of safe, good-quality child care prevents many low 
and middle-income parents from working, or forces them to work 
fewer hours, or accept lower wages. A year of child care in the 
United States costs an average of $9,000-$9,600, which means it 
would consume more than 10 percent of family income for the 
median married couple family with one child.\1\ Low-income 
families that use paid child care have to spend a greater share 
of their income--nearly a third--to purchase child care.\2\
---------------------------------------------------------------------------
    \1\ChildCare Aware of America, The U.S. and the High Cost of Child 
Care: 2018, October 22, 2018.
    \2\National Women's Law Center https://nwlc.org/resources/child-
care-is-fundamental-to-americas-children-families-and-economy/.
---------------------------------------------------------------------------
    At our March 7 Worker and Family Support Subcommittee 
hearing, Yvette McKinnie, a Chicago grandmother with custody of 
her grandsons, explained how the cost of child care forced her 
to move to a lower-paying job with more flexible hours. Mrs. 
McKinnie testified,

          ``If I could have received assistance with the $600 
        per month to pay for childcare, I could have kept 
        Elijah at Ms. McKinney's childcare program where he 
        could have continued speech and occupational therapy. I 
        also could have kept my job to help provide for our 
        family's needs.''\3\
---------------------------------------------------------------------------
    \3\https://waysandmeans.house.gov/sites/
democrats.waysandmeans.house.gov/files/documents/116-10%20WORKFAM.pdf.

    The federal government provides direct support to improve 
child care quality and subsidize child care costs for low- and 
middle-income families through the Child Care and Development 
Block Grant (CCDBG), which is funded through annual 
appropriations and provided $5.276 billion in 2019,\4\ and the 
Child Care Entitlement to States (CCES), which is entitlement 
funding to provide fixed state grants and additional matching 
funds. CCES has been authorized at $2.917 billion per year 
since 2006.\5\ The two funding streams are administered 
together, as the Child Care and Development Fund (CCDF), 
providing one cohesive federal childcare program.
---------------------------------------------------------------------------
    \4\House Report 115-952.
    \5\Congressional Research Service. https://www.crs.gov/reports/pdf/
IF10511.
---------------------------------------------------------------------------
    CCDF provides assistance to approximately 1.4 million 
children, or about 1 in 6 children eligible for help. 450,000 
fewer children received federal childcare assistance in 2017 
than in 2006.\6\ CCDF is also the primary source of funding for 
a number of state activities that improve child care quality 
and access for all families, not just those receiving direct 
subsidies. More than two-thirds of states rely almost entirely 
on CCDF to pay for child care resource and referral systems, 
health and safety standards training, child care facility 
licensing and monitoring, and child care workforce professional 
development.\7\
---------------------------------------------------------------------------
    \6\https://www.cbpp.org/research/housing/child-care-and-housing-
big-expenses-with-too-little-help-available.
    \7\https://www.gao.gov/products/GAO-19-261.
---------------------------------------------------------------------------
    The National Academy of Sciences (NAS) recently estimated 
that improving access to direct and tax code subsidies that 
reduce out-of-pocket childcare costs would add more than half a 
million workers to the economy--a 2% increase in employment for 
every 10% reduction in out-of-pocket child care costs for 
families.\8\ The NAS further identified improving child care 
access as one of the most cost-effective approaches to reducing 
child poverty.\9\
---------------------------------------------------------------------------
    \8\https://www.nap.edu/read/25246/chapter/1.
    \9\https://www.nap.edu/read/25246/chapter/1.
---------------------------------------------------------------------------
    Because the CCES requires states to match new federal 
investments, CCES investments expand child care access by more 
than the increase in federal spending. The Congressional 
Research Service has estimated that a $1 billion annual 
increase in CCES funding would increase total CCES spending by 
$1.726 billion.\10\
---------------------------------------------------------------------------
    \10\LOC Staff, Cong. Research Serv., Memo to Committee Staff, 
Allocation Estimates and Required State Spending Under a Proposal to 
Increase Mandatory Appropriations for the Child Care Entitlement to 
States by 1.0 Billion (2019).
---------------------------------------------------------------------------

                         C. Legislative History


Background

    H.R. 3298 was introduced on June 18, 2019 and was referred 
to the Committee on Ways and Means.

Committee hearings

    On March 7, 2019, the Subcommittee on Worker and Family 
Support held a hearing entitled ``Leveling the Playing Field 
for Working Families: Challenges and Opportunities'' at which 
witnesses testified about the additional challenges working 
parents and grandparents face.

Committee action

    The Committee on Ways and Means marked up H.R. 3298, the 
``Child Care Quality and Access Act of 2019,'' on June 20, 
2019, and ordered the bill, as amended, favorably reported 
(with a quorum being present) by a recorded vote of 22 yeas to 
18 nays.

                      II. EXPLANATION OF THE BILL


              A. Child Care Quality and Access Act of 2019


                              CURRENT LAW

    The Child Care Entitlement to States (CCES) provides funds 
to states and tribes to subsidize child care costs for families 
with income that does not exceed 85 percent of the state's 
median income, and also to invest in child care quality. The 
Department of Health and Human Services is required to set 
aside between 1 and 2 percent of funds for tribal grants and 
use the first $1.2 billion to provide fixed allotments to all 
states and may reserve up to 0.5 percent for technical 
assistance and 0.5 percent for research. Any remaining funds 
are to be used to match state investments in child care at the 
federal medical assistance percentage (FMAP). In order to be 
eligible for federal matching funds states must also contribute 
a maintenance-of-effort fixed at about $888 million. CCES is 
authorized to receive $2.917 billion in direct appropriations 
in 2019.\11\
---------------------------------------------------------------------------
    \11\Section 418 of the Social Security Act.
---------------------------------------------------------------------------

                           REASONS FOR CHANGE

    The Committee believes that additional investment is needed 
to ensure that parents have access to safe, high-quality child 
care while they are working. Additional investment will 
increase workforce participation and earnings among parents and 
caregivers, reducing child and family poverty.

                       EXPLANATION OF PROVISIONS

    Section 1. Short Title. Child Care Quality and Access Act 
of 2019.
    Section 2. Increase in Entitlement Funding for Child Care. 
This section amends Section 418 of the Social Security Act to 
provide $3.917 billion for the Child Care Entitlement to States 
in both 2020 and 2021.

                             EFFECTIVE DATE

    The bill is effective upon enactment.

                      III. VOTES OF THE COMMITTEE

    In compliance with clause 3(b) of rule XIII of the Rules of 
the House of Representatives, the following statement is made 
concerning the vote of the Committee on Ways and Means in its 
consideration of H.R. 3298, the Child Care Quality and Access 
Act of 2019, on June 20, 2019.
    An amendment to the amendment in the nature of a substitute 
by Jackie Walorski, which would increase total mandatory 
funding for child care by $3 billion, was withdrawn and no vote 
was taken.
    The vote on Mr. Thompson's motion to table Mr. LaHood's 
appeal of the ruling of the Chair was agreed to by a vote of 25 
yeas to 16 nays. The vote was as follows:

----------------------------------------------------------------------------------------------------------------
         Representative             Yea       Nay     Present     Representative      Yea       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Neal.......................        X   ........  .........  Mr. Brady........  ........        X   .........
Mr. Lewis......................        X   ........  .........  Mr. Nunes........  ........  ........  .........
Mr. Doggett....................        X   ........  .........  Mr. Buchanan.....  ........        X   .........
Mr. Thompson...................        X   ........  .........  Mr. Smith........  ........        X   .........
Mr. Larson.....................        X   ........  .........  Mr. Marchant.....  ........        X   .........
Mr. Blumenauer.................        X   ........  .........  Mr. Reed.........  ........        X   .........
Mr. Kind.......................        X   ........  .........  Mr. Kelly........  ........        X   .........
Mr. Pascrell...................        X   ........  .........  Mr. Holding......  ........        X   .........
Mr. Davis......................        X   ........  .........  Mr. Smith........  ........        X   .........
Ms. Sanchez....................        X   ........  .........  Mr. Rice.........  ........        X   .........
Mr. Higgins....................        X   ........  .........  Mr. Schweikert...  ........        X   .........
Ms. Sewell.....................        X   ........  .........  Ms. Walorski.....  ........        X   .........
Ms. DelBene....................        X   ........  .........  Mr. LaHood (IL)..  ........        X   .........
Ms. Chu (CA)...................        X   ........  .........  Mr. Wenstrup.....  ........        X   .........
Ms. Moore......................        X   ........  .........  Mr. Arrington....  ........        X   .........
Mr. Kildee.....................        X   ........  .........  Mr. Ferguson.....  ........        X   .........
Mr. Boyle......................        X   ........  .........  Mr. Estes........  ........        X   .........
Mr. Beyer......................        X   ........  .........
Mr. Evans......................        X   ........  .........
Mr. Schneider..................        X   ........  .........
Mr. Suozzi.....................        X   ........  .........
Mr. Panetta....................        X   ........  .........
Ms. Murphy.....................        X   ........  .........
Mr. Gomez......................        X   ........  .........
Mr. Horsford...................        X   ........  .........
----------------------------------------------------------------------------------------------------------------

    The amendment in the nature of a substitute to H.R. 3298 
was agreed to by voice vote (with a quorum being present).
    H.R. 3298 was ordered favorably reported to the House of 
Representatives as amended by a roll call vote of 22 yeas to 18 
nays. The vote was as follows:

----------------------------------------------------------------------------------------------------------------
         Representative             Yea       Nay     Present     Representative      Yea       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Neal.......................        X   ........  .........  Mr. Brady........  ........        X   .........
Mr. Lewis......................        X   ........  .........  Mr. Nunes........  ........  ........  .........
Mr. Doggett....................  ........        X   .........  Mr. Buchanan.....  ........        X   .........
Mr. Thompson...................        X   ........  .........  Mr. Smith (NE)...  ........        X   .........
Mr. Larson.....................        X   ........  .........  Mr. Marchant.....  ........        X   .........
Mr. Blumenauer.................        X   ........  .........  Mr. Reed.........  ........        X   .........
Mr. Kind.......................  ........        X   .........  Mr. Kelly........  ........        X   .........
Mr. Pascrell...................        X   ........  .........  Mr. Holding......  ........        X   .........
Mr. Davis......................        X   ........  .........  Mr. Smith (MO)...  ........        X   .........
Ms. Sanchez....................        X   ........  .........  Mr. Rice.........  ........  ........  .........
Mr. Higgins....................        X   ........  .........  Mr. Schweikert...  ........        X   .........
Ms. Sewell.....................        X   ........  .........  Ms. Walorski.....  ........        X   .........
Ms. DelBene....................        X   ........  .........  Mr. LaHood.......  ........        X   .........
Ms. Chu........................        X   ........  .........  Mr. Wenstrup.....  ........        X   .........
Ms. Moore......................        X   ........  .........  Mr. Arrington....  ........        X   .........
Mr. Kildee.....................        X   ........  .........  Mr. Ferguson.....  ........        X   .........
Mr. Boyle......................        X   ........  .........  Mr. Estes........  ........        X   .........
Mr. Beyer......................        X   ........  .........
Mr. Evans......................        X   ........  .........
Mr. Schneider..................        X   ........  .........
Mr. Suozzi.....................        X   ........  .........
Mr. Panetta....................        X   ........  .........
Ms. Murphy.....................  ........        X   .........
Mr. Gomez......................        X   ........  .........
Mr. Horsford...................        X   ........  .........
----------------------------------------------------------------------------------------------------------------

                     IV. BUDGET EFFECTS OF THE BILL


               A. Committee Estimate of Budgetary Effects

    In compliance with clause 3(d) of rule XIII of the Rules of 
the House of Representatives, the following statement is made 
concerning the effects on the budget of the bill, H.R. 3298, as 
reported. The Committee agrees with the estimate prepared by 
the Congressional Budget Office (CBO), which is included below.

B. Statement Regarding New Budget Authority and Tax Expenditures Budget 
                               Authority

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee states that the 
Congressional Budget Office has estimated that the bill would 
increase budget authority by $5 billion over the five-year 
period from 2019-2024, and by $10 billion over the 2019-2029. 
The Committee states further that the bill involves no new or 
increased tax expenditures.

      C. Cost Estimate Prepared by the Congressional Budget Office

    In compliance with clause 3(c)(3) of rule XIII of the Rules 
of the House of Representatives, requiring a cost estimate 
prepared by the CBO, the following statement by CBO is 
provided.

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, June 26, 2019.
Hon. Richard Neal,
Chairman, Committee on Ways and Means,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 3298, the Child 
Care Quality and Access Act of 2019.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Susanne S. 
Mehlman.
            Sincerely,
                                             Mark P. Hadley
                                 (For Phillip L. Swagel, Director).
    Enclosure.

    [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
    

    H.R. 3298 would amend title IV of the Social Security Act 
to appropriate $3.9 billion for the Child Care Entitlement 
program in each of fiscal years 2020 and 2021, providing a 
total appropriation of $7.8 billion. Consistent with the rules 
specified in section 257 of the Balanced Budget and Emergency 
Deficit Control Act of 1985 (Deficit Control Act), CBO assumes 
that the changes made to that program would continue after 
2021, the final year of authorization under the bill. The child 
care program is currently authorized through June 30, 2019, at 
an annualized rate of $2.9 billion. CBO's baseline projections 
include the assumption that the program will continue at that 
level of funding consistent with the rules in the Deficit 
Control Act.
    Thus, relative to CBO's baseline, H.R. 3298 would increase 
funding for the program by $1 billion annually. Accordingly, 
and based on historical spending patterns for that program, CBO 
estimates that enacting H.R. 3298 would increase direct 
spending by $9.7 billion over the 2019-2029 period.
    CBO estimates that enacting H.R. 3298 would increase net 
direct spending and on-budget deficits by more than $5 billion 
in all four consecutive 10-year periods beginning in 2030.
    The estimated budgetary effects of H.R. 3298 is shown in 
Table 1. The costs of the legislation, detailed in Table 1, 
fall within budget function 600 (income security).

                                                   TABLE 1.--ESTIMATED BUDGETARY EFFECTS OF H.R. 3298
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                By fiscal year, millions of dollars--
                                            ------------------------------------------------------------------------------------------------------------
                                              2019   2020    2021    2022    2023    2024    2025    2026    2027    2028    2029   2019-2024  2019-2029
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                              Increases in Direct Spending
 
Child Care Entitlement:
    Budget Authority.......................      0   1,000   1,000   1,000   1,000   1,000   1,000   1,000   1,000   1,000   1,000     5,000     10,000
    Estimated Outlays......................      0     770     970     995   1,000   1,000   1,000   1,000   1,000   1,000   1,000     4,735      9,735
--------------------------------------------------------------------------------------------------------------------------------------------------------

    The CBO staff contact for this estimate is Susanne S. 
Mehlman. The estimate was reviewed by H. Samuel Papenfuss, 
Deputy Assistant Director for Budget Analysis.

     V. OTHER MATTERS TO BE DISCUSSED UNDER THE RULES OF THE HOUSE


          A. Committee Oversight Findings and Recommendations

    With respect to clause 3(c)(1) of rule XIII and clause 
2(b)(1) of rule X of the Rules of the House of Representatives, 
the Committee made findings and recommendations that are 
reflected in this report.

        B. Statement of General Performance Goals and Objectives

    With respect to clause 3(c)(4) of rule XIII of the Rules of 
the House of Representatives, the Committee advises that the 
bill is intended to increase the share of eligible children who 
receive child care assistance under the Child Care Entitlement 
to States.

              C. Information Relating to Unfunded Mandates

    This information is provided in accordance with section 423 
of the Unfunded Mandates Reform Act of 1995 (Pub. L. No. 104-
4).
    The Committee has determined that the bill does not contain 
Federal mandates on the private sector. The Committee has 
determined that the bill does not impose a Federal 
intergovernmental mandate on State, local, or tribal 
governments.

  D. Congressional Earmarks, Limited Tax Benefits, and Limited Tariff 
                                Benefits

    With respect to clause 9 of rule XXI of the Rules of the 
House of Representatives, the Committee has carefully reviewed 
the provisions of the bill, and states that the provisions of 
the bill do not contain any congressional earmarks, limited tax 
benefits, or limited tariff benefits within the meaning of the 
rule.

                   E. Duplication of Federal Programs

    In compliance with clause 3(c)(5) of rule XIII of the Rules 
of the House of Representatives, the Committee states that no 
provision of the bill establishes or reauthorizes: (1) a 
program of the Federal Government known to be duplicative of 
another Federal program; (2) a program included in any report 
to Congress pursuant to section 21 of Public Law 111-139; or 
(3) a program related to a program identified in the most 
recent Catalog of Federal Domestic Assistance, published 
pursuant section 6104 of title 31, United States Code.

                              F. Hearings

    In compliance with Sec.103(i) of H. Res. 6 (116th Congress) 
the following hearing was used to develop or consider H.R. 
3298: Leveling the Playing Field for Working Families: 
Challenges and Opportunities, held on March 7, 2019.

       VI. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

    In compliance with clause 3(e)(1)(B) of rule XIII of the 
Rules of the House of Representatives, changes in existing law 
proposed by the bill, as reported, are shown as follows 
(existing law proposed to be omitted is enclosed in black 
brackets, new matter is printed in italic, existing law in 
which no change is proposed is shown in roman):

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

                          SOCIAL SECURITY ACT




           *       *       *       *       *       *       *
TITLE IV--GRANTS TO STATES FOR AID AND SERVICES TO NEEDY FAMILIES WITH 
CHILDREN AND FOR CHILD-WELFARE SERVICES

           *       *       *       *       *       *       *



   PART A--BLOCK GRANTS TO STATES FOR TEMPORARY ASSISTANCE FOR NEEDY 
FAMILIES

           *       *       *       *       *       *       *


SEC. 418. FUNDING FOR CHILD CARE.

  (a) General Child Care Entitlement.--
          (1) General entitlement.--Subject to the amount 
        appropriated under paragraph (3), each State shall, for 
        the purpose of providing child care assistance, be 
        entitled to payments under a grant under this 
        subsection for a fiscal year in an amount equal to the 
        greater of--
                  (A) the total amount required to be paid to 
                the State under section 403 for fiscal year 
                1994 or 1995 (whichever is greater) with 
                respect to expenditures for child care under 
                subsections (g) and (i) of section 402 (as in 
                effect before October 1, 1995); or
                  (B) the average of the total amounts required 
                to be paid to the State for fiscal years 1992 
                through 1994 under the subsections referred to 
                in subparagraph (A).
          (2) Remainder.--
                  (A) Grants.--The Secretary shall use any 
                amounts appropriated for a fiscal year under 
                paragraph (3), and remaining after the 
                reservation described in paragraph (4) and 
                after grants are awarded under paragraph (1), 
                to make grants to States under this paragraph.
                  (B) Allotments to states.--The total amount 
                available for payments to States under this 
                paragraph, as determined under subparagraph 
                (A), shall be allotted among the States based 
                on the formula used for determining the amount 
                of Federal payments to each State under section 
                403(n) (as in effect before October 1, 1995).
                  (C) Federal matching of state expenditures 
                exceeding historical expenditures.--The 
                Secretary shall pay to each eligible State for 
                a fiscal year an amount equal to the lesser of 
                the State's allotment under subparagraph (B) or 
                the Federal medical assistance percentage for 
                the State for the fiscal year (as defined in 
                section 1905(b), as such section was in effect 
                on September 30, 1995) of so much of the 
                State's expenditures for child care in that 
                fiscal year as exceed the total amount of 
                expenditures by the State (including 
                expenditures from amounts made available from 
                Federal funds) in fiscal year 1994 or 1995 
                (whichever is greater) for the programs 
                described in paragraph (1)(A).
                  (D) Redistribution.--
                          (i) In general.--With respect to any 
                        fiscal year, if the Secretary 
                        determines (in accordance with clause 
                        (ii)) that any amounts allotted to a 
                        State under this paragraph for such 
                        fiscal year will not be used by such 
                        State during such fiscal year for 
                        carrying out the purpose for which the 
                        such amounts are allotted, the 
                        Secretary shall make such amounts 
                        available in the subsequent fiscal year 
                        for carrying out such purpose to one or 
                        more States which apply for such funds 
                        to the extent the Secretary determines 
                        that such States will be able to use 
                        such additional amounts for carrying 
                        out such purpose. Such available 
                        amounts shall be redistributed to a 
                        State pursuant to section 403(n) (as 
                        such section was in effect before 
                        October 1, 1995) by substituting ``the 
                        number of children residing in all 
                        States applying for such funds'' for 
                        ``the number of children residing in 
                        the United States in the second 
                        preceding fiscal year''.
                          (ii) Time of determination and 
                        distribution.--The determination of the 
                        Secretary under clause (i) for a fiscal 
                        year shall be made not later than the 
                        end of the first quarter of the 
                        subsequent fiscal year. The 
                        redistribution of amounts under clause 
                        (i) shall be made as close as 
                        practicable to the date on which such 
                        determination is made. Any amount made 
                        available to a State from an 
                        appropriation for a fiscal year in 
                        accordance with this subparagraph 
                        shall, for purposes of this part, be 
                        regarded as part of such State's 
                        payment (as determined under this 
                        subsection) for the fiscal year in 
                        which the redistribution is made.
          (3) Appropriation.--For grants under this section, 
        there are appropriated [$2,917,000,000 for each of 
        fiscal years 2017 and 2018] $3,917,000,000 for each of 
        fiscal years 2020 and 2021.
          (4) Indian tribes.--The Secretary shall reserve not 
        less than 1 percent, and not more than 2 percent, of 
        the aggregate amount appropriated to carry out this 
        section in each fiscal year for payments to Indian 
        tribes and tribal organizations.
          (5) Data used to determine state and federal shares 
        of expenditures.--In making the determinations 
        concerning expenditures required under paragraphs (1) 
        and (2)(C), the Secretary shall use information that 
        was reported by the State on ACF Form 231 and available 
        as of the applicable dates specified in clauses (i)(I), 
        (ii), and (iii)(III) of section 403(a)(1)(D).
  (b) Use of Funds.--
          (1) In general.--Amounts received by a State under 
        this section shall only be used to provide child care 
        assistance. Amounts received by a State under a grant 
        under subsection (a)(1) shall be available for use by 
        the State without fiscal year limitation.
          (2) Use for certain populations.--A State shall 
        ensure that not less than 70 percent of the total 
        amount of funds received by the State in a fiscal year 
        under this section are used to provide child care 
        assistance to families who are receiving assistance 
        under a State program under this part, families who are 
        attempting through work activities to transition off of 
        such assistance program, and families who are at risk 
        of becoming dependent on such assistance program.
  (c) Application of Child Care and Development Block Grant Act 
of 1990.--Notwithstanding any other provision of law, amounts 
provided to a State under this section shall be transferred to 
the lead agency under the Child Care and Development Block 
Grant Act of 1990, integrated by the State into the programs 
established by the State under such Act, and be subject to 
requirements and limitations of such Act.
  (d) Definition.--As used in this section, the term ``State'' 
means each of the 50 States and the District of Columbia.

           *       *       *       *       *       *       *


                         VII. DISSENTING VIEWS

    Committee Republicans opposed Worker and Family Support 
Chairman Davis' bill, H.R. 3298, the Child Care Quality and 
Access Act of 2019.
    On June 3, 2019, the House voted again, for the 39th time, 
to extend the Temporary Assistance for Needy Families, or TANF 
program. During Floor debate on the bill, Committee Republicans 
called on Democratic leadership to allow this Committee to work 
in a bipartisan manner to develop a long-term extension to TANF 
that focuses giving families and individuals the tools, 
including increased child care benefits, so they can prepare 
for, find and keep a good job.
    Given the chance to work together, we have the opportunity 
to make economic and social gains in ways not seen in decades, 
so families are better off financially. Better wages and stable 
work bring along a host of benefits, most importantly, the 
positive impact on children who are spared the trauma that 
comes from unrest in the home.
    Instead of focusing on a permeant solution that is fully 
offset by other spending, like what we've offered in H.R. 1753, 
the Jobs and Opportunity with Benefits and Services (JOBS) for 
Success Act, the Committee moved a temporary, unpaid-for 
increase in child care. We've seen the impact of temporary 
funding over the last two years: states know they can't rely on 
the dollars, so instead of helping more families, the increased 
dollars go into temporary items. The goal should be to increase 
the number of eligible families being served, providing real 
help to those that need it most. The JOBS for Success Act 
increases resources available to support child care to more 
than $14 billion annually, better utilizing existing funds and 
allowing up to half of a state's annual allocation to be used 
for child care in a fiscally responsible way.
    Everyone on this Committee should agree that hard-working 
families trying to move out of poverty should have access to 
child care, an important work support that helps families climb 
the economic ladder and achieve the American Dream.
    Unfortunately, the bill approved by the Committee does not 
do that, and instead adds $9.734 billion to the debt without a 
spending offset. Committee Republicans want to work on 
bipartisan changes to improve child care under TANF and have 
come forward with a viable plan to improve support for families 
in need by nearly doubling historic funding levels, with 
appropriate spending offsets.
    We look forward to working together and moving a bill to 
the floor prior to the program's expiration at the end of the 
fiscal year.

                                   Kevin Brady,
                                           Republican Leader,
                                           Committee on Ways and Means.
                                   Jackie Walorski,
                                           Worker and Family Support, 
                                               Republican Leader.