if the President subsequently so designates such amount 
and transmits such designation to the Congress. 
CHILD CARE STABILIZATION FUND 
SEC. 1. (a) DEFINITIONS.—In this section: 
(1) CCDBG TERMS.—The terms ‘‘eligible child 
care provider’’, ‘‘Indian tribe’’, ‘‘lead agency’’, ‘‘trib-
al organization’’, ‘‘Secretary’’, and ‘‘State’’ have the 
meanings given the terms in section 658P of the 
Child Care and Development Block Grant Act of 
1990 (42 U.S.C. 9858n) except as otherwise pro-
vided in this section. 
(2) COVID–19 PUBLIC HEALTH EMERGENCY.— 
The term ‘‘COVID–19 public health emergency’’ 
means the public health emergency declared by the 
Secretary of Health and Human Services under sec-
tion 319 of the Public Health Service Act (42 
U.S.C. 247d) on January 31, 2020, with respect to 
COVID–19, including any renewal of the declara-
tion. 
(b) GRANTS.—From the amounts appropriated to 
carry out this section and under the authority of section 
658O of the Child Care and Development Block Grant Act 
of 1990 (42 U.S.C. 9858m) and this section, the Secretary 
shall award child care stabilization grants to the lead 
agency of each State (as defined in that section 658O), 
territory described in subsection (a)(1) of such section, In-
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dian tribe, and tribal organization from allotments and 
payments made under subsection (c)(2), not later than 30 
days after the date of enactment of this Act. 
(c) 
SECRETARIAL
RESERVATION
AND
ALLOT-
MENTS.— 
(1) RESERVATION.—The Secretary shall reserve 
not more than 1 percent of the funds appropriated 
to carry out this section for the Federal administra-
tion of grants described in subsection (b). 
(2) ALLOTMENTS.—The Secretary shall use the 
remainder of the funds appropriated to carry out 
this section to award allotments to States, as defined 
in section 658O of the Child Care Development 
Block Grant Act of 1990 (42 U.S.C. 9858m), and 
payments to territories, Indian tribes, and tribal or-
ganizations in accordance with paragraphs (1) and 
(2) of subsection (a), and subsection (b), of section 
658O of the Child Care and Development Block 
Grant Act of 1990 (42 U.S.C. 9858m). 
(d) STATE RESERVATIONS AND SUBGRANTS.— 
(1) RESERVATION.—A lead agency for a State 
that receives a child care stabilization grant pursu-
ant to subsection (b) shall reserve not more than 10 
percent of such grant funds— 
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(A) to administer subgrants made to quali-
fied child care providers under paragraph (2), 
including to carry out data systems building 
and other activities that enable the disburse-
ment of payments of such subgrants; 
(B) to provide technical assistance and 
support in applying for and accessing the 
subgrant opportunity under paragraph (2), to 
eligible child care providers (including to family 
child care providers, group home child care pro-
viders, and other non-center-based child care 
providers and providers with limited administra-
tive capacity), either directly or through re-
source and referral agencies or staffed family 
child care networks; 
(C) to publicize the availability of sub-
grants under this section and conduct wide-
spread outreach to eligible child care providers, 
including family child care providers, group 
home child care providers, and other non-cen-
ter-based child care providers and providers 
with limited administrative capacity, either di-
rectly or through resource and referral agencies 
or staffed family child care networks, to ensure 
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eligible child care providers are aware of the 
subgrants available under this section; 
(D) to carry out the reporting require-
ments described in subsection (f); and 
(E) to carry out activities to improve the 
supply and qualify of child care during and 
after the COVID–19 public health emergency, 
such as conducting community needs assess-
ments, carrying out child care cost modeling, 
making improvements to child care facilities, in-
creasing access to licensure or participation in 
the State’s tiered quality rating system, and 
carrying out other activities described in section 
658G(b) of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858e(b)), 
to the extent that the lead agency can carry out 
activities described in this subparagraph with-
out preventing the lead agency from fully con-
ducting the activities described in subpara-
graphs (A) through (D). 
(2) SUBGRANTS
TO
QUALIFIED
CHILD
CARE 
PROVIDERS.— 
(A) IN GENERAL.—The lead agency shall 
use the remainder of the grant funds awarded 
pursuant to subsection (b) to make subgrants 
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to qualified child care providers described in 
subparagraph (B), to support the stability of 
the child care sector during and after the 
COVID–19 public health emergency. The lead 
agency shall provide the subgrant funds in ad-
vance of provider expenditures for costs de-
scribed in subsection (e), except as provided in 
subsection (e)(2). 
(B) QUALIFIED CHILD CARE PROVIDER.— 
To be qualified to receive a subgrant under this 
paragraph, a provider shall be an eligible child 
care provider that— 
(i) was providing child care services 
on or before March 1, 2020; and 
(ii) on the date of submission of an 
application for the subgrant, was either— 
(I) open and available to provide 
child care services; or 
(II) closed due to the COVID–19 
public health emergency. 
(C) SUBGRANT AMOUNT.—The lead agency 
shall make subgrants, from amounts awarded 
pursuant to subsection (b), to qualified child 
care providers, and the amount of such a 
subgrant to such a provider shall— 
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(i) be based on the provider’s stated 
average operating expenses during the pe-
riod (of not longer than 6 months) before 
March 1, 2020 and at minimum cover such 
operating expenses for the intended length 
of the subgrant; 
(ii) account for increased costs of pro-
viding or preparing to provide child care as 
a result of the COVID–19 public health 
emergency, such as provider and employee 
compensation and existing benefits (exist-
ing as of March 1, 2020) and the imple-
mentation of new practices related to sani-
tization, group size limits, and social 
distancing; 
(iii) be adjusted for payments or reim-
bursements made to an eligible child care 
provider to carry out the Child Care and 
Development Block Grant Act of 1990 (42 
U.S.C. 9858 et seq.) or the Head Start 
Act (42 U.S.C. 9831 et seq.); and 
(iv) be adjusted for payments or reim-
bursements made to an eligible child care 
provider through the Paycheck Protection 
Program set forth in section 7(a)(36) of 
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the Small Business Act (15 U.S.C. 
636(a)(36)), as added by section 1102 of 
the Coronavirus Aid, Relief, and Economic 
Security Act (Public Law 116–136). 
(D) APPLICATION.— 
(i) ELIGIBILITY.—To be eligible to re-
ceive a subgrant under this paragraph, a 
child care provider shall submit an applica-
tion to a lead agency at such time and in 
such manner as the lead agency may re-
quire. Such application shall include— 
(I) a good-faith certification that 
the ongoing operations of the child 
care provider have been impacted as a 
result of the COVID–19 public health 
emergency; 
(II) for a provider described in 
subparagraph (B)(ii)(I), an assurance 
that, for the duration of the COVID– 
19 public health emergency— 
(aa) the provider will give 
priority for available slots (in-
cluding slots that are only tempo-
rarily available) to— 
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(AA) children of essen-
tial workers (such as health 
care sector employees, emer-
gency responders, sanitation 
workers, farmworkers, child 
care employees, and other 
workers determined to be es-
sential during the response 
to coronavirus by public offi-
cials), children of workers 
whose places of employment 
require 
their 
attendance, 
children experiencing home-
lessness, children with dis-
abilities, children at risk of 
child abuse or neglect, and 
children in foster care, in 
States where stay-at-home 
or related orders are in ef-
fect; or 
(BB) children of work-
ers whose places of employ-
ment require their attend-
ance, children experiencing 
homelessness, children with 
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disabilities, children at risk 
of child abuse or neglect, 
children in foster care, and 
children whose parents are 
in school or a training pro-
gram, in States where stay- 
at-home or related orders 
are not in effect; 
(bb) the provider will imple-
ment policies in line with guid-
ance from the Centers for Dis-
ease Control and Prevention and 
the corresponding State and local 
authorities, and in accordance 
with State and local orders, for 
child care providers that remain 
open, including guidance on sani-
tization practices, group size lim-
its, and social distancing; 
(cc) for each employee, the 
provider will pay the full com-
pensation described in subsection 
(e)(1)(C), including any benefits, 
that was provided to the em-
ployee as of March 1, 2020 (re-
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ferred to in this clause as ‘‘full 
compensation’’), and will not take 
any action that reduces the week-
ly amount of the employee’s com-
pensation 
below 
the 
weekly 
amount of full compensation, or 
that reduces the employee’s rate 
of compensation below the rate of 
full compensation; and 
(dd) the provider will pro-
vide relief from copayments and 
tuition payments for the families 
enrolled in the provider’s pro-
gram and prioritize such relief 
for families struggling to make 
either type of payments; 
(III) for a provider described in 
subparagraph (B)(ii)(II), an assur-
ance that— 
(aa) for the duration of the 
provider’s closure due to the 
COVID–19 public health emer-
gency, for each employee, the 
provider will pay full compensa-
tion, and will not take any action 
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that reduces the weekly amount 
of the employee’s compensation 
below the weekly amount of full 
compensation, or that reduces 
the employee’s rate of compensa-
tion below the rate of full com-
pensation; 
(bb) children enrolled as of 
March 1, 2020, will maintain 
their slots, unless their families 
choose to disenroll the children; 
(cc) for the duration of the 
provider’s closure due to the 
COVID–19 public health emer-
gency, the provider will provide 
relief from copayments and tui-
tion payments for the families 
enrolled in the provider’s pro-
gram and prioritize such relief 
for families struggling to make 
either type of payments; and 
(dd) the provider will re-
sume operations when the pro-
vider is able to safely implement 
policies in line with guidance 
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from the Centers for Disease 
Control and Prevention and the 
corresponding State and local au-
thorities, and in accordance with 
State and local orders; 
(IV) information about the child 
care provider’s— 
(aa) program characteristics 
sufficient to allow the lead agen-
cy to establish the child care pro-
vider’s priority status, as de-
scribed in subparagraph (F); 
(bb) 
program 
operational 
status on the date of submission 
of the application; 
(cc) type of program, includ-
ing whether the program is a 
center-based child care, family 
child care, group home child care, 
or other non-center-based child 
care type program; 
(dd) total enrollment on the 
date of submission of the applica-
tion and total capacity as allowed 
by the State; and 
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(ee) receipt of assistance, 
and 
amount 
of 
assistance, 
through a payment or reimburse-
ment described in subparagraph 
(C)(iv), and the time period for 
which the assistance was made; 
(V) information necessary to de-
termine the amount of the subgrant, 
such as information about the pro-
vider’s stated average operating ex-
penses over the period before March 
1, 2020, described in subparagraph 
(C)(i); and 
(VI) such other limited informa-
tion as the lead agency shall deter-
mine to be necessary to make sub-
grants to qualified child care pro-
viders. 
(ii) FREQUENCY.—The lead agency 
shall accept and process applications sub-
mitted under this subparagraph on a roll-
ing basis. 
(iii) 
UPDATES.—The 
lead 
agency 
shall— 
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(I) at least once a month, verify 
by obtaining a self-attestation from 
each qualified child care provider that 
received such a subgrant from the 
agency, whether the provider is open 
and available to provide child care 
services or is closed due to the 
COVID–19 public health emergency; 
(II) allow the qualified child care 
provider to update the information 
provided in a prior application; and 
(III) adjust the qualified child 
care provider’s subgrant award as 
necessary, based on changes to the 
application 
information, 
including 
changes to the provider’s operational 
status. 
(iv) EXISTING
APPLICATIONS.—If a 
lead agency has established and imple-
mented a grant program for child care pro-
viders that is in effect on the date of en-
actment of this Act, and an eligible child 
care provider has already submitted an ap-
plication for such a grant to the lead agen-
cy containing the information specified in 
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clause (i), the lead agency shall treat that 
application as an application submitted 
under this subparagraph. If an eligible 
child care provider has already submitted 
such an application containing part of the 
information specified in clause (i), the pro-
vider may submit to the lead agency an ab-
breviated application that contains the re-
maining information, and the lead agency 
shall treat the 2 applications as an applica-
tion submitted under this subparagraph. 
(E) MATERIALS.— 
(i) IN
GENERAL.—The lead agency 
shall provide the materials and other re-
sources related to such subgrants, includ-
ing a notification of subgrant opportunities 
and application materials, to qualified child 
care providers in the most commonly spo-
ken languages in the State. 
(ii) APPLICATION.—The application 
shall be accessible on the website of the 
lead agency within 30 days after the lead 
agency receives grant funds awarded pur-
suant to subsection (b) and shall be acces-
sible to all eligible child care providers, in-
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cluding family child care providers, group 
home child care providers, and other non- 
center-based child care providers and pro-
viders with limited administrative capacity. 
(F) 
PRIORITY.—In 
making 
subgrants 
under this section, the lead agency shall give 
priority to qualified child care providers that, 
prior to or on March 1, 2020— 
(i) provided child care during non-
traditional hours; 
(ii) served dual language learners, 
children with disabilities, children experi-
encing homelessness, children in foster 
care, children from low-income families, or 
infants and toddlers; 
(iii) served a high proportion of chil-
dren whose families received subsidies 
under the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858 
et seq.) for the child care; or 
(iv) operated in communities, includ-
ing rural communities, with a low supply 
of child care. 
(G) PROVIDERS RECEIVING OTHER ASSIST-
ANCE.—The lead agency, in determining wheth-
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er a provider is a qualified child care provider, 
shall not take into consideration receipt of a 
payment or reimbursement described in sub-
paragraph (C)(iii) or subparagraph (C)(iv). 
(H) AWARDS.—The lead agency shall equi-
tably make subgrants under this paragraph to 
center-based child care providers, family child 
care providers, group home child care providers, 
and other non-center-based child care providers, 
such that qualified child care providers are able 
to access the subgrant opportunity under this 
paragraph regardless of the providers’ setting, 
size, or administrative capacity. 
(I) OBLIGATION.—The lead agency shall 
obligate at least 50 percent of funds available 
to carry out this section for subgrants described 
in this paragraph, by December 31, 2020. 
(e) USES OF FUNDS.— 
(1) IN GENERAL.—A qualified child care pro-
vider that receives funds through such a subgrant 
may use the funds for the costs of— 
(A) payroll; 
(B) employee benefits, including group 
health plan benefits during periods of paid sick, 
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medical, or family leave, and insurance pre-
miums; 
(C) employee salaries or similar compensa-
tion, including any income or other compensa-
tion to a sole proprietor or independent con-
tractor that is a wage, commission, income, net 
earnings from self-employment, or similar com-
pensation; 
(D) payment on any mortgage obligation; 
(E) rent (including rent under a lease 
agreement); 
(F) utilities; 
(G) insurance; 
(H) providing premium pay for child care 
providers and other employees who provide 
services during the COVID–19 public health 
emergency; 
(I) sanitization and other costs associated 
with cleaning; 
(J) personal protective equipment and 
other equipment necessary to carry out the 
functions of the child care provider; 
(K) training and professional development 
related to health and safety practices, including 
the proper implementation of policies in line 
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with guidance from the Centers for Disease 
Control and Prevention and the corresponding 
State and local authorities, and in accordance 
with State and local orders; 
(L) modifications to child care services as 
a result of the COVID–19 public health emer-
gency, such as limiting group sizes, adjusting 
staff-to-child ratios, and implementing other 
heightened health and safety measures; 
(M) mental health supports for children 
and employees; and 
(N) other goods and services necessary to 
maintain or resume operation of the child care 
program, or to maintain the viability of the 
child care provider as a going concern during 
and after the COVID–19 public health emer-
gency. 
(2) REIMBURSEMENT.—The qualified child care 
provider may use the subgrant funds to reimburse 
the provider for sums obligated or expended before 
the date of enactment of this Act for the cost of a 
good or service described in paragraph (1) to re-
spond to the COVID–19 public health emergency. 
(f) REPORTING.— 
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(iv) within each of the groups listed in 
clause (iii), the number of such applicants 
and recipients that are, on the date of sub-
mission of the application— 
(I) open and available to provide 
child care services; or 
(II) closed due to the COVID–19 
public health emergency; 
(B) the total capacity of child care pro-
viders that are licensed, regulated, or registered 
in the State on the date of the submission of 
the report; 
(C) a description of— 
(i) the efforts of the lead agency to 
publicize the availability of subgrants 
under this section and conduct widespread 
outreach to eligible child care providers 
about such subgrants, including efforts to 
make materials available in languages 
other than English; 
(ii) the lead agency’s methodology for 
determining amounts of subgrants under 
subsection (d)(2); 
(iii) the lead agency’s timeline for dis-
bursing the subgrant funds; and 
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(iv) the lead agency’s plan for ensur-
ing that qualified child care providers that 
receive funding through such a subgrant 
comply with assurances described in sub-
section (d)(2)(D) and use funds in compli-
ance with subsection (e); and 
(D) such other limited information as the 
Secretary may require. 
(2) QUARTERLY
REPORT.—The lead agency 
shall, following the submission of such initial report, 
submit to the Secretary a report that contains the 
information described in subparagraphs (A), (B), 
and (D) of paragraph (1) once a quarter until all 
funds allotted for activities authorized under this 
section are expended. 
(3) FINAL REPORT.—Not later than 60 days 
after a lead agency receiving a grant under this sec-
tion has obligated all of the grant funds (including 
funds received under subsection (h)), the lead agen-
cy shall submit a report to the Secretary, in such 
manner as the Secretary may require, that in-
cludes— 
(A) the total number of eligible child care 
providers who were providing child care services 
on or before March 1, 2020, in the State and 
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the number of such providers that submitted an 
application under subsection (d)(2)(D); 
(B) the number of qualified child care pro-
viders in the State that received funds through 
the grant; 
(C) the lead agency’s methodology for de-
termining amounts of subgrants under sub-
section (d)(2); 
(D) the average and range of the subgrant 
amounts by provider type (center-based child 
care, family child care, group home child care, 
or other non-center-based child care provider); 
(E) the percentages of the child care pro-
viders that received such a subgrant, that, on or 
before March 1, 2020— 
(i) provided child care during non-
traditional hours; 
(ii) served dual language learners, 
children with disabilities, children experi-
encing homelessness, children in foster 
care, children from low-income families, or 
infants and toddlers; 
(iii) served a high proportion of chil-
dren whose families received subsidies 
under the Child Care and Development 
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Block Grant Act of 1990 (42 U.S.C. 9858 
et seq.) for the child care; and 
(iv) operated in communities, includ-
ing rural communities, with a low supply 
of child care; 
(F) the number of children served by the 
child care providers that received such a 
subgrant, for the duration of the subgrant; 
(G) the percentages, of the child care pro-
viders that received such a subgrant, that are— 
(i) center-based child care providers; 
(ii) family child care providers; 
(iii) group home child care providers; 
or 
(iv) other non-center-based child care 
providers; 
(H) the percentages, of the child care pro-
viders listed in subparagraph (G) that are, on 
the date of submission of the application— 
(i) open and available to provide child 
care services; or 
(ii) closed due to the COVID–19 pub-
lic health emergency; 
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(I) information about how child care pro-
viders used the funds received under such a 
subgrant; 
(J) information about how the lead agency 
used funds reserved under subsection (d)(1); 
and 
(K) information about how the subgrants 
helped to stabilize the child care sector. 
(4) REPORTS TO CONGRESS.— 
(A) FINDINGS FROM INITIAL REPORTS.— 
Not later than 60 days after receiving all re-
ports required to be submitted under paragraph 
(1), the Secretary shall provide a report to the 
Committee on Education and Labor of the 
House of Representatives, to the Committee on 
Health, Education, Labor and Pensions of the 
Senate, and to the Committees on Appropria-
tions of the House of Representatives and the 
Senate, summarizing the findings from the re-
ports received under paragraph (1). 
(B) FINDINGS
FROM
FINAL
REPORTS.— 
Not later than 36 months after the date of en-
actment of this Act, the Secretary shall provide 
a report to the Committee on Education and 
Labor of the House of Representatives, to the 
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Committee on Health, Education, Labor and 
Pensions of the Senate, and to the Committees 
on Appropriations of the House of Representa-
tives and the Senate, summarizing the findings 
from the reports received under paragraph (3). 
(g) SUPPLEMENT NOT SUPPLANT.—Amounts made 
available to carry out this section shall be used to supple-
ment and not supplant other Federal, State, and local 
public funds expended to provide child care services for 
eligible individuals, including funds provided under the 
Child Care and Development Block Grant Act of 1990 (42 
U.S.C. 9858 et seq.) and State child care programs. 
(h) REALLOTMENT OF UNOBLIGATED FUNDS.— 
(1) UNOBLIGATED
FUNDS.—A State, Indian 
tribe, or tribal organization shall return to the Sec-
retary any grant funds received under this section 
that the State, Indian tribe, or tribal organization 
does not obligate by September 30, 2021. 
(2) REALLOTMENT.—The Secretary shall award 
new allotments and payments, in accordance with 
subsection (c)(2), to covered States, Indian tribes, or 
tribal organizations from funds that are returned 
under paragraph (1) within 60 days of receiving 
such funds. Funds made available through the new 
allotments and payments shall remain available to 
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each covered State, Indian tribe, or tribal organiza-
tion until September 30, 2022. 
(3) COVERED STATE, INDIAN TRIBE, OR TRIBAL 
ORGANIZATION.—For purposes of paragraph (2), a 
covered State, Indian tribe, or tribal organization is 
a State, Indian tribe, or tribal organization that re-
ceived an allotment or payment under this section 
and was not required to return grant funds under 
paragraph (1). 
(i) EXCEPTIONS.—The Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858 et seq.), exclud-
ing requirements in subparagraphs (C) through (E) of sec-
tion 658E(c)(3), section 658G, and section 658J(c) of 
such Act (42 U.S.C. 9858c(c)(3), 9858e, 9858h(c)), shall 
apply to child care services provided under this section to 
the extent the application of such Act does not conflict 
with the provisions of this section. Nothing in this Act 
shall be construed to require a State to submit an applica-
tion, other than the application described in section 658E 
or 658O(c) of the Child Care and Development Block 
Grant Act of 1990 (42 U.S.C. 9858c, 9858m(c)), to re-
ceive a grant under this Act. 
(j) AUTHORIZATION OF APPROPRIATION.— 
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(1) IN GENERAL.—There is authorized to be 
appropriated to carry out this Act $50,000,000,000 
for fiscal year 2020. 
(2) APPLICATION.—In carrying out the Child 
Care and Development Block Grant Act of 1990 
with funds other than the funds appropriated under 
paragraph (1), the Secretary shall calculate the 
amounts of appropriated funds described in sub-
sections (a) and (b) of section 658O of such Act (42 
U.S.C. 9858m) by excluding funds appropriated 
under paragraph (1). 
SEC. 2. Each amount appropriated or made available 
by this Act is in addition to any amounts otherwise appro-
priated for the fiscal year involved. 
SEC. 3. Unless otherwise provided for by this Act, 
the additional amounts appropriated by this Act to appro-
priations accounts shall be available under the authorities 
and conditions applicable to such appropriations accounts 
for fiscal year 2020. 
This Act may be cited as the ‘‘Child Care Is Essential 
Act’’. 
Æ 
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