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Summary: HB 743 would require all child care facilities that offer before and after-school care under contract with and on the premises of a facility accredited by the Texas Education Agency or the Southern Association of Colleges and Schools, to apply for and operate under a license and a system of regulations.
Analysis: Currently, some before and after-school child care providers operate on public school facilities. Due to a loophole in the law, these entities are not required to be licensed in the same way as child care providers operating off campus. This legislation would require the private businesses providing child care on campus under contract with the school to apply for a license and be regulated in the same way as their off campus competitors.
We do not generally favor occupational licensing, however this legislation seeks to ensure that some private businesses do not benefit from what is effectively a twofold public subsidy that gives them a competitive advantage; they don't have to pay for the cost of the public facilities they use and they are currently exempt from the cost associated with licensure. Because this bill would add new regulations but also remove a public subsidy, this places our liberty principles in conflict. We are neutral on HB 743.