Relating to early childhood and family services, including the creation of an early childhood and family services system, state child care assistance for the child care workforce, making appropriations, and including effective date provisions

_____ age. The ECFS system must be administered in a manner that maximizes funding opportunities, interagency collaboration, public-private partnerships, and the integration of the early care, education, and health and human services systems. The bill details actions HHS must perform, to the extent funding is available, to develop and administer the ECFS system. The bill directs HHS to establish an ECFS district advisory council (council) in each district, and develop policies and procedures for the operational functions of the councils. A council shall consist of members appointed by HHS. The bill specifies individuals who are eligible for appointment, and the duties of a council. The bill specifies the duties of HHS related to data collection and use for the ECFS system. The bill requires HHS to maintain compliance with applicable federal and state privacy laws to ensure the confidentiality and integrity of individually identifiable data related to the ECFS system collected by HHS.106 (healthy opportunities for parents to experience success – healthy families Iowa (HOPES-HFI)) is placed in the new Code chapter and becomes part of the ECFS system. The bill specifies the requirements for the HOPES-HFI program and directs HHS to develop and administer the HOPES-HFI program, in whole or in part, by contracting with local organizations that use evidence-based home visiting models. The bill establishes an ECFS system fund (ECFS fund) consisting of moneys appropriated to HHS for the ECFS fund’s purposes by the general assembly and any other moneys available and obtained or accepted by HHS for deposit in the ECFS fund. Moneys in the ECFS fund are appropriated to HHS for the purposes of implementing and administering the ECFS system. _____ of the state, and interest or earnings on moneys in the fund shall be credited to the ECFS fund. The bill repeals Code chapter 256I (early childhood Iowa initiative). The section of the division that establishes the ECFS fund takes effect upon enactment. All other sections in the division take effect July 1, 2027. DIVISION II —— DECATEGORIZATION INITIATIVE. The bill eliminates the decategorization initiative. DIVISION III —— CHILD ABUSE PREVENTION PROGRAM. The bill eliminates the child abuse prevention program, fund, and advisory committee. A taxpayer may still receive a nonrefundable reduction in the taxpayer’s income taxes for contributing one or more dollars to child abuse prevention, but the moneys received will be administered through the ECFS system instead of the child abuse prevention program fund. Funding for child abuse prevention and moneys in the current child abuse prevention fund are directed to the ECFS fund to be used by HHS for child abuse prevention. This division of the bill takes effect upon enactment. DIVISION IV —— TRANSITION PROVISIONS. The bill defines terms used in the division, including “transition period”, which means the period beginning on the date of enactment of the division and concluding on June 30, 2027. The bill allows HHS to exercise all policymaking functions and regulatory powers as necessary to establish the ECFS system during the transition period. _____ receiving ECFS system-related services under the purview of HHS or services provided through the initiative have uninterrupted continuity of care; and submit a report to the general assembly no later than January 15, 2027, that details the administrative and operational costs to establish, implement, and administer the ECFS system. The bill requires HHS to request any federal waivers or authorizations (waivers) necessary to implement the ECFS system. Notwithstanding other effective dates stated in the bill, any provision of the bill HHS determines necessitates a waiver is effective upon receipt of the federal approval of the waiver. The bill requires each early childhood Iowa area board (area board) that maintains a financial account to transfer all unencumbered and unobligated moneys remaining in the account on June 30, 2027, to the treasurer of state for deposit in the ECFS fund. The bill provides that all debts, claims, or other liabilities owed to an early childhood Iowa area (area), area board, or the state due to services rendered pursuant to Code chapter 256I at the conclusion of the transition period shall remain due and owing after the transition period concludes. After the transition period concludes, all fiscal agents contracted with an area board shall assist HHS in collecting outstanding debts, claims, or other liabilities owed to the areas or area boards for allowable activities and services that were provided or rendered before the transition period concluded. Reimbursement for allowable activities and services shall only be paid if accompanied by sufficient supporting documentation. With input from appropriate stakeholders, the bill requires HHS to identify each contract that will be impacted by the provisions relating to the ECFS system and the initiative. _____ terms of the contract, to terminate the contract. Contracts that do not provide for termination shall not be renewed or extended at the end of the current contract term. An area board, an area director, or any agent of an area or area board, and any subdivision of the state, shall not enter into, renew, or extend a contract related to the initiative or related activities if the term period of the contract would extend, or the deliverables under the contract would be provided, beyond June 30, 2027.11, shall not revert but shall be transferred to and deposited in the ECFS fund. The bill provides HHS with emergency rulemaking authority during the transition period. This division of the bill takes effect upon enactment. DIVISION V —— HEALTH AND HUMAN SERVICES DISTRICTS. The bill directs HHS to divide the state into health and human services districts (districts), as that term is defined in the bill, to be used by HHS for statewide delivery of programs and services. The initial district boundaries shall be the same as the behavioral health district boundaries, as the behavioral health district boundaries existed on July 1, 2025. HHS must review the designation of the districts at least once every seven consecutive fiscal years. The bill provides factors HHS must consider when modifying a district, and modification is not subject to judicial review.1B are enacted on or before July 1, 2026. DIVISION VI —— CONFORMING CHANGES. The bill includes conforming changes and this division takes effect July 1, 2027. _____ ASSISTANCE ELIGIBILITY.14 (child care assistance —— graduated eligibility phase-out) if a parent, guardian, or custodian (custodian) is employed at a child care facility or child care home that has an agreement with HHS to accept reimbursement from the CCA program; works an average minimum of hours per week in a position with a primary duty of providing child care directly to children; and meets several other requirements specified in the bill. A child of a director, co-director, or other administrative staff member (staff member) may be eligible if the staff member is regularly counted in the child-to-staff ratio established by the department. A custodian of a child participating in the CCA program under the bill shall make copayments as specified by HHS by rule. The bill requires HHS to adopt rules to administer this division of the bill. The division provides HHS with emergency rulemaking authority. This division of the bill takes effect upon enactment. DIVISION VIII —— CODE EDITOR DIRECTIVES. The bill provides Code editor directives.