Bill Summary for S 561 (2025-2026)

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Summary date: 

Mar 27 2025

Bill Information:

View NCGA Bill Details(link is external)2025-2026 Session
Senate Bill 561 (Public) Filed Tuesday, March 25, 2025
AN ACT INTEGRATING AND EXPANDING HEALTHCARE, CHILD CARE, NUTRITIONAL ASSISTANCE, AND PREVENTIVE CARE PROGRAMS TO STRENGTHEN SUPPORT FOR WORKING FAMILIES IN NORTH CAROLINA; AND APPROPRIATING FUNDS FOR THESE PURPOSES.
Intro. by Theodros.

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Bill summary

Contains whereas clauses.

Section 1.

Titles the act “The Working Hearts, Empowered Homes Act.”

Section 2.

Defines three terms. Requires the Department of Health and Human Services (DHHS) to coordinate all family support contracts and activities across divisions to address duplication, cost efficiency, and effectiveness and ensure compliance with federal requirements while maximizing State and federal resources. Requires DHHS to develop a family support coordination system that integrates family support programs, services, and activities offered throughout the state to ensure streamlined access for working families by consolidating application processes, eligibility requirements, and service delivery methods for family support programs and services.

Section 3.

Effective July 1, 2025, appropriates $3 million from the General Fund to DHHS for each year of the 2025-27 biennium to establish and administer a Regional Hubs Pilot Program (Pilot Program) in up to three different regions of the state to evaluate the effectiveness of utilizing regional hubs that are available in person, through the World Wide Web, or through any other means of electronic access to assist working families with gaining access to family support programs and services in one setting. Authorizes DHHS to use the appropriated funds to enter into a contract with a third-party entity to assist with the design, implementation, and operation of these regional hubs. Requires DHHS to conduct and submit to the specified NCGA committee and the Fiscal Research Division (FRD) a comprehensive evaluation of the Pilot Program, as described, by February 1, 2028. Sunsets the Pilot Program upon the filing of that report.

Section 4.

Effective July 1, 2025, appropriates $7 million from the General Fund to DHHS’s Division of Child Development and Early Education (Division) for each year of the 2025-27 biennium to establish and administer a Child Care Innovation Pilot Program (CCIPP) to evaluate the effectiveness of targeted child care interventions in improving access for working families, especially those employed in industries with nontraditional work hours or employed by small businesses. Authorizes three uses of the funds, including (1) to award grants on a competitive basis to small and midsize nonprofit employers that establish or contract for on-site or near-site child care services for their employees; (2) to award directed grants of up to $1,000 each on a first come, first serve basis to nonprofit or faith-based child care centers located in rural or underserved communities to expand their child caring capacity or extend their hours of operation; and (3) to fund smaller, innovative child care pilot projects in up to five counties determined by DHHS to have the greatest need for expanded access to child care, based on child care availability and economic data. Provides for an application process for the grant programs. Requires the Division to report on the outcomes of the CCIPP, including the four matters specified, to the specified NCGA committee and the FRD, by February 1, 2028. Sunsets CCIPP upon the filing of that report.

Effective July 1, 2025, appropriates $5 million from the General Fund to DHHS’s Division of Child and Family Well-Being (DCFW) for each year of the 2025-27 biennium to establish a Targeted Food Access Pilot Program (Food Access Pilot Program) to improve food security and nutritional outcomes for working families through targeted, community-based strategies. Limits use of appropriated funds to the following purposes: (1) to support produce prescription programs (defined) administered in partnership with  local health clinics or federally qualified health centers, targeting working families who have at least one family member with a chronic health condition or that is actively engaged in workforce training; (2) to support the establishment or expansion of mobile food markets or food delivery programs for working families in areas of the state with food deserts (defined); (3) to support local partnerships with farmers markets, food co-ops, and culturally appropriate food providers to improve food security for working families; and (4) to provide the State contribution necessary to draw down federal matching funds available through the Food and Nutrition Services Program or nutrition initiatives supported by the United States Department of Agriculture, or both, for the previously described purposes. Requires DCFW to report on the Food Access Pilot Program to the specified NCGA committee and the FRD to include the five specified matters by February 1, 2028. Sunsets the Food Access Pilot Program upon the filing of that report.

To the extent funds are made available for the purpose, the Department of Public Instruction (DPI) will establish and administer the Year-Round Nutrition Service Pilot Program (SPP) to enable select local school administrative units to provide free meals to students through the summer. Specifies that any local school administrative unit that is or contains schools eligible for and participating in the Community Eligibility Provision Program is eligible to apply for the SPP. Provides for an application to be developed by DPI. Requires DPI to notify selected local school administrative units selected to participate in SPP by July 15. Requires local school administrative units participating in SPP to (1) participate in the National School Lunch Program, School Breakfast Program, and Summer Food Service Program and (2) provide two meals per day, breakfast and lunch, to students at no cost to the students year-round, regardless of the school's instructional calendar. Appropriates $5 million from the General Fund to DPI for 2025-26 to establish the SPP. Requires DPI to report to the specified NCGA committee on the SPP for each year of the program. Effective July 1, 2025, and applies beginning with the 2025-26 school year.

Section 5.

Effective July 1, 2025, appropriates $2 million from the General Fund to DHHS’s Division of Central Management and Support, Office of Rural Health (ORH) in recurring funds for each year of the 2025-27 biennium to be used to provide grants to local health departments, federally qualified health centers, community health centers, and other safety-net providers to expand telehealth services in up to ten counties to enable working families to participate in virtual preventative care services, including wellness checkups, mental health counseling, and pediatric consultations. Requires ORH to prioritize safety-net providers located in low-wealth counties in selecting grant recipients.

Effective July 1, 2025, appropriates $3 million from the General Fund to DHHS’s Division of Central Management in recurring funds for each year of the 2025-27 biennium to be used to offer employers with 50 or more employees an incentive to offer on-site child care and flexible work hours to accommodate working families.

Section 6.

Declares the General Assembly’s intent that DHHS and DPI pursue all available federal matching funds to supplement State investments in integrated family support services.

Section 7.

Establishes the nine-member Family Support Advisory Board (Advisory Board) within the Department of Health and Human Services, with membership as described. Provides for a chairperson, administrative support from DHHS, at least quarterly meetings, quorum, and reimbursement of expenses for those members of the Advisory Board that are not full-time salaried public officers or employees other than State officers or employees. Requires the Advisory Board to provide consultation with respect to the fulfillment of DHHS’s obligations under the Pilot Program described in Section 3. Beginning May 1, 2027, requires the Advisory Board to annually conduct a comprehensive evaluation of family support services in North Carolina and submit a report of its findings and recommendations to the specified NCGA committee and the FRD on the three specified matters. Requires the evaluation to be made publicly available on DHHS’s website.

Section 8.

Contains a severability clause.