An Act to Ensure Subsidy Reimbursements and Emergency Financial Assistance for Certain Child Care Providers
Maine Legislature, Session 131, LD 2199
Committee: Health and Human Services
Sponsors: JACKSON, TALBOT ROSS, BALDACCI, DAUGHTRY, INGWERSEN, MOORE, VITELLI, CRAVEN, GRAHAM
Amends: 22 MRSA §3737, 22 MRSA §3737-B

Legislative Document
No. 2199
S.P. 935
In Senate, February 1, 2024
An Act to Ensure Subsidy Reimbursements and Emergency 
Financial Assistance for Certain Child Care Providers
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
203.
Reference to the Committee on Health and Human Services suggested and ordered printed.
DAREK M. GRANT
Secretary of the Senate
Presented by President JACKSON of Aroostook.
Cosponsored by Speaker TALBOT ROSS of Portland and
Senators: BALDACCI of Penobscot, DAUGHTRY of Cumberland, INGWERSEN of York, 
MOORE of Washington, VITELLI of Sagadahoc, Representatives: CRAVEN of Lewiston, 
GRAHAM of North Yarmouth.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  22 MRSA §3737, sub-§6 is enacted to read:
6.  Reimbursements for subsidies.  The department shall reimburse a provider of child 
care services provided under this chapter for subsidy payments under the child care subsidy 
program in section 3737-B administered by the department pursuant to rules adopted by 
the department. Reimbursement under the program to a child care provider must be based 
on generally accepted payment practices for private-pay families for child care, including 
enrollment-based rather than attendance-based practices, and may not be reduced or 
eliminated based on a child's attendance. Reimbursement based on generally accepted 
payment practices must support child care provider stability and encourage more child care 
providers to serve children receiving child care services. In developing the program, the 
department shall identify the practices common for child care providers serving private-
pay families and determine which practices are most important to meet the goals of 
ensuring that high-quality child care providers will participate in the subsidy program and 
make a plan to align requirements for providers accepting children receiving federal Child 
Care and Development Fund child care assistance to the practices of private-paying child 
care providers. The department shall examine generally accepted payment practices 
regarding paying prospectively based on enrollment and practices related to separating 
provider closure limits for holidays or vacations or to compensate for inclement weather 
from child absence allowances. The department shall adopt rules to implement this 
subsection. Rules adopted pursuant to this subsection are routine technical rules as defined 
in Title 5, chapter 375, subchapter 2-A.
For the purposes of this subsection, "generally accepted payment practices" are practices 
that align with the private-paying child care market in order to encourage providers to 
accept children receiving federal Child Care and Development Fund child care assistance 
and enable families to retain child care services.
Sec. 2.  22 MRSA §3737-B is enacted to read:
§3737-B.  Emergency financial assistance to child care providers
1.  Program created.  The department shall establish a program to provide short-term 
emergency financial assistance to child care providers. The program must be designed to 
provide emergency financial assistance to child care providers on a one-time basis, based 
on need. The financial assistance may consist of grants or loans to support short-term 
facility or operational costs. The department shall provide technical assistance for providers 
to support their financial planning, capacity and stability.
2.  Rules.  The department shall adopt rules to implement this section. Rules adopted 
pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, 
subchapter 2-A.
SUMMARY
This bill requires the Department of Health and Human Services to reimburse child 
care providers for subsidies based on enrollment rather than attendance. The bill also directs 
the department to create a program to provide short-term, one-time emergency financial 
assistance to child care providers based on need to support short-term facility or operational 
costs, and to provide technical assistance to support their financial planning, capacity and 
stability.