A Bill for an Act
Page 1, Line 101Concerning measures related to child care provider
Page 1, Line 102licensing, and, in connection therewith, expanding the
Page 1, Line 103use of a digital file system, increasing reliance on
Page 1, Line 104trained personnel from the department of early
Page 1, Line 105childhood for inspections and investigations, imposing
Page 1, Line 106certain requirements in connection with regulation by
Page 1, Line 107local governing authorities, and creating a task
Page 1, Line 108force.
Bill Summary
(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)
The bill requires the department of early childhood (department) to make reasonable efforts to expand and standardize the use of a digital data platform as a centralized digital file system for certain child care provider information (digital provider file system). The digital provider file system must integrate the professional development information system currently administered by the department and must house records related to staff background checks and child care provider policy documents, consistent with applicable privacy protections.
Current law permits the department to authorize or contract with a third party to investigate and inspect a facility applying for certain types of child care licenses. The bill requires the department, on or before July 1, 2026, to begin phasing out its reliance on third parties where feasible and to prioritize the use of department personnel to conduct the investigations and inspections instead. The department shall establish standardized training, protocols, and supervision for department personnel and authorized or contracted third parties.
The bill permits the department to grant a provisional license for up to 9 months to a child care facility that has satisfied all state-level licensing standards pending resolution of a delay or dispute with a statutory or home rule city, town, city and county, or county where the facility is situated (local governing authority) that prevents compliance with applicable zoning and land use development regulations. A local governing authority that imposes requirements related to the inspection, permitting, licensing, or approval of a child care center or family child care home beyond the state-level licensing standards (local approval process) shall prioritize provisionally licensed child care facilities so that the local approval process concludes within 9 months, and limit, or, in certain cases, provide exemptions from, associated fees.
The bill creates the child care licensure and quality task force (task force) to study and report on recommendations for a streamlined and easy-to-use child care licensure and quality system in the state (study). The task force shall report on its findings and recommendations before January 1, 2027, to the education committees of the house of representatives and the senate, the governor, and the department. The performance of the study is dependent upon the task force's receipt of sufficient gifts, grants, and donations.
Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:
Page 2, Line 2SECTION 1. In Colorado Revised Statutes, add 26.5-5-333 as
Page 2, Line 3follows:
Page 3, Line 126.5-5-333. Digital provider file system - rules.
Page 3, Line 2(1) (a) The department shall make reasonable efforts to
Page 3, Line 3expand and standardize the use of a digital data platform as a
Page 3, Line 4centralized digital file system for child care provider
Page 3, Line 5information as specified in this section. The digital provider file
Page 3, Line 6system must integrate the professional development
Page 3, Line 7information system administered by the department pursuant to
Page 3, Line 8section 26.5-1-106 (1)(a)(I).
Page 3, Line 9(b) The department shall make reasonable efforts to
Page 3, Line 10train a licensing specialist employed by the department or an
Page 3, Line 11entity authorized or contracted to perform an investigation or
Page 3, Line 12inspection pursuant to section 26.5-5-316 (3) to use the digital
Page 3, Line 13provider file system.
Page 3, Line 14(2) The digital provider file system must be used to store
Page 3, Line 15and manage, in accordance with all applicable privacy
Page 3, Line 16protections and the requirements of the federal "Child Care and
Page 3, Line 17Development Block Grant Act of 2014", 42 U.S.C. sec. 9858,
Page 3, Line 18licensing and compliance documentation that the department
Page 3, Line 19commonly requests from child care centers and family child
Page 3, Line 20care homes, including, but not limited to:
Page 3, Line 21(a) Records related to staff training, professional
Page 3, Line 22development, qualifications, and credentials, including
Page 3, Line 23recognized credentials through the department's voluntary
Page 3, Line 24credentialing system developed pursuant to section 26.5-6-102;
Page 3, Line 25(b) Records pertaining to criminal background checks
Page 3, Line 26required pursuant to section 26.5-5-316; and
Page 3, Line 27(c) Child care provider policies, including the contents of
Page 4, Line 1parent handbooks, and related documentation, but excluding
Page 4, Line 2records pertaining to the admission, progress, health, and
Page 4, Line 3discharge of children under the care of a facility; records
Page 4, Line 4protected pursuant to the federal "Health Insurance
Page 4, Line 5Portability and Accountability Act of 1996", 42 U.S.C. sec. 1320d;
Page 4, Line 6and records protected pursuant to other federal or state
Page 4, Line 7privacy laws.
Page 4, Line 8(3) The department shall require a licensing specialist
Page 4, Line 9employed by the department or an entity authorized or
Page 4, Line 10contracted to perform an investigation or inspection pursuant
Page 4, Line 11to section 26.5-5-316 (3) to use the digital provider file system to
Page 4, Line 12the maximum extent practicable, consistent with applicable
Page 4, Line 13federal and state privacy protections, to reduce reliance on
Page 4, Line 14duplicative paper documentation during an annual licensing
Page 4, Line 15inspection conducted pursuant to this part 3.
Page 4, Line 16(4) Licensed child care centers and family child care
Page 4, Line 17homes are not required to submit or produce the same licensing
Page 4, Line 18and compliance documentation multiple times if the information
Page 4, Line 19is already included in the digital provider file system.
Page 4, Line 20(5) On or before December 31, 2026, the executive director
Page 4, Line 21shall adopt rules for the implementation of this section,
Page 4, Line 22including notifying licensed child care centers and family child
Page 4, Line 23care homes about the process for uploading specific records to
Page 4, Line 24and the timeline for expanding the use of the centralized digital
Page 4, Line 25provider system and requirements for standardizing and
Page 4, Line 26updating its contents.
Page 4, Line 27SECTION 2. In Colorado Revised Statutes, 26.5-5-316, amend
Page 5, Line 1(3)(a)(I); and add (3)(a)(III) and (3)(a)(IV) as follows:
Page 5, Line 226.5-5-316. Investigations and inspections - local authority -
Page 5, Line 3reports - rules.
Page 5, Line 4(3) (a) (I) Except as otherwise provided in
subsection (3)(a)(II)Page 5, Line 5subsections (3)(a)(II) and (3)(a)(III) of this section, the department may
Page 5, Line 6authorize or contract with any county department, the county department
Page 5, Line 7of health, or any other publicly or privately operated organization that has
Page 5, Line 8a declared interest in children and experience working with children or on
Page 5, Line 9behalf of children to investigate and inspect the facilities applying for an
Page 5, Line 10original or renewal license or applying for a permanent license following
Page 5, Line 11the issuance of a probationary or provisional license
underPage 5, Line 12this part 3 and may accept reports on
suchPage 5, Line 13from
suchsuch licensingPage 5, Line 14making licensing decisions. When contracting for investigations and
Page 5, Line 15inspections, the department shall assure that the contractor is qualified by
Page 5, Line 16training and experience and has no conflict of interest with respect to the
Page 5, Line 17facilities to be inspected.
Page 5, Line 18(III) Notwithstanding subsection (3)(a)(I) of this section,
Page 5, Line 19on or before July 1, 2026, the department shall, where feasible,
Page 5, Line 20begin phasing out its reliance on persons authorized or
Page 5, Line 21contracted pursuant to subsection (3)(a)(I) of this section to
Page 5, Line 22investigate and inspect the facilities applying for an original or
Page 5, Line 23renewal license or applying for a permanent license following
Page 5, Line 24the issuance of a probationary or provisional license pursuant
Page 5, Line 25to this part 3, and shall prioritize the use of licensing specialists
Page 5, Line 26employed by the department to conduct the investigations and
Page 5, Line 27inspections instead.
Page 6, Line 1(IV) The department shall establish standardized
Page 6, Line 2training, protocols, and supervision for department personnel
Page 6, Line 3and any persons authorized or contracted pursuant to
Page 6, Line 4subsection (3)(a)(I) of this section to promote consistency in the
Page 6, Line 5interpretation and application of licensing requirements and the
Page 6, Line 6standardization of investigations and enforcement actions
Page 6, Line 7across the state.
Page 6, Line 8SECTION 3. In Colorado Revised Statutes, 26.5-5-310, add
Page 6, Line 9(1)(c) and (4) as follows:
Page 6, Line 1026.5-5-310. Compliance with local government zoning
Page 6, Line 11regulations - notice to local governments - provisional licensure -
Page 6, Line 12rules.
Page 6, Line 13(1) (c) Notwithstanding subsection (1)(a) of this section to
Page 6, Line 14the contrary, the availability of safe, affordable, and licensed
Page 6, Line 15family child care homes and licensed child care centers is a
Page 6, Line 16matter of statewide concern. Therefore, permitting fragmented
Page 6, Line 17regulation among jurisdictions impedes and infringes upon the
Page 6, Line 18department's appropriate and consistent licensing and
Page 6, Line 19regulation of family child care homes and child care centers
Page 6, Line 20throughout the state. Accordingly, a local governing
Page 6, Line 21authority that imposes requirements in addition to the
Page 6, Line 22state-level licensing standards required pursuant to this part
Page 6, Line 233 related to the inspection, permitting, licensing, or approval of
Page 6, Line 24a child care center or family child care home shall:
Page 6, Line 25(I) Prioritize the inspection, permitting, licensing, or
Page 6, Line 26approval process of a child care center or family child care
Page 6, Line 27home that has been granted a provisional license pursuant to
Page 7, Line 1subsection (4) of this section so that the inspection, permitting,
Page 7, Line 2licensing, or approval process is completed within nine months;
Page 7, Line 3(II) Limit, to a reasonable maximum established by
Page 7, Line 4department rule, the fees associated with any inspection, permit,
Page 7, Line 5license, or approval that is required by the local governing
Page 7, Line 6authority but that is not required by the state-level licensing
Page 7, Line 7standards established in this part 3; and
Page 7, Line 8(III) Exempt from the fees specified in subsection (1)(c)(II)
Page 7, Line 9of this section a child care provider:
Page 7, Line 10(A) Serving infants and toddlers;
Page 7, Line 11(B) Serving families that are eligible for temporary
Page 7, Line 12assistance for needy families or for subsidies through the
Page 7, Line 13Colorado child care assistance program pursuant to part 1 of
Page 7, Line 14article 4 of this title 26.5; or
Page 7, Line 15(C) Opening a child care facility in a community or area
Page 7, Line 16of the state that is a child care desert, where there are more
Page 7, Line 17than three children under five years old for each available
Page 7, Line 18child care slot.
Page 7, Line 19(4) Notwithstanding the requirement in subsection (1)(a)
Page 7, Line 20of this section, in the event that a child care facility has
Page 7, Line 21satisfied all state-level licensing standards required pursuant
Page 7, Line 22to this part 3 but a delay or dispute between the child care
Page 7, Line 23facility and the statutory or home rule city, town, city and
Page 7, Line 24county, or county where the facility is situated prevents
Page 7, Line 25compliance with applicable zoning and land use development
Page 7, Line 26regulations in accordance with subsection (1)(a) of this section,
Page 7, Line 27the department may grant a provisional license for up to nine
Page 8, Line 1months to the child care facility pending resolution of the
Page 8, Line 2delay or dispute.
Page 8, Line 3SECTION 4. In Colorado Revised Statutes, add 26.5-5-322.5 as
Page 8, Line 4follows:
Page 8, Line 526.5-5-322.5. Child care licensure and quality task force -
Page 8, Line 6created - membership - reporting - repeal.
Page 8, Line 7(1) (a) The child care licensure and quality task force is
Page 8, Line 8created in the department to study and develop
Page 8, Line 9recommendations for a new, streamlined, efficient, and
Page 8, Line 10easy-to-use child care licensure and quality system in
Page 8, Line 11Colorado.
Page 8, Line 12(b) The work of the task force must be grounded in the
Page 8, Line 13principle that all licensed child care centers and family child
Page 8, Line 14care homes meeting standards for protecting child health, life,
Page 8, Line 15and safety are providing quality care, and that additional
Page 8, Line 16quality enhancement efforts must be distinguished from
Page 8, Line 17baseline licensure requirements rather than embedded in a way
Page 8, Line 18that creates unnecessary regulatory burden or confusion.
Page 8, Line 19(2) (a) The child care licensure and quality task force
Page 8, Line 20consists of the following members:
Page 8, Line 21(I) The president of the senate shall appoint the following
Page 8, Line 22members:
Page 8, Line 23(A) A representative from an association of child care
Page 8, Line 24providers;
Page 8, Line 25(B) A representative of a licensed child care center; and
Page 8, Line 26(C) A representative of a licensed family child care home;
Page 8, Line 27(II) The speaker of the house of representatives shall
Page 9, Line 1appoint the following members:
Page 9, Line 2(A) One member from the house of representatives;
Page 9, Line 3(B) A representative of a community-based or early
Page 9, Line 4childhood advocacy organization; and
Page 9, Line 5(C) A representative of a school district;
Page 9, Line 6(III) The minority leader of the senate shall appoint the
Page 9, Line 7following members:
Page 9, Line 8(A) One member of the senate;
Page 9, Line 9(B) A representative from an association of child care
Page 9, Line 10providers; and
Page 9, Line 11(C) A representative of a licensed child care center;
Page 9, Line 12(IV) The minority leader of the house of representatives
Page 9, Line 13shall appoint the following members:
Page 9, Line 14(A) A representative from a rural child care provider;
Page 9, Line 15(B) An individual with expertise in early childhood
Page 9, Line 16workforce development; and
Page 9, Line 17(C) The parent of a child cared for in a licensed child care
Page 9, Line 18center or licensed family child care home; and
Page 9, Line 19(V) The governor shall appoint one member who is a
Page 9, Line 20representative of the department.
Page 9, Line 21(b) The appointing authorities shall make their initial
Page 9, Line 22appointments to the task force no later than July 1, 2026.
Page 9, Line 23(3) Each member of the task force who is appointed
Page 9, Line 24pursuant to subsection (2) of this section serves at the pleasure
Page 9, Line 25of the appointing official. The term of appointment for task
Page 9, Line 26force members expires on July 1, 2027.
Page 9, Line 27(4) Notwithstanding section 2-2-326, each legislative
Page 10, Line 1member of the task force serves without compensation but is
Page 10, Line 2entitled to be reimbursed for actual and necessary expenses
Page 10, Line 3incurred in the performance of the member's duties on the task
Page 10, Line 4force to the extent that the task force receives gifts, grants, or
Page 10, Line 5donations to cover the cost of reimbursement. The
Page 10, Line 6nonlegislative members of the task force serve without
Page 10, Line 7compensation and without reimbursement for expenses.
Page 10, Line 8(5) (a) The executive director of the department shall
Page 10, Line 9convene the first meeting of the task force no later than three
Page 10, Line 10weeks after the executive director has determined that the task
Page 10, Line 11force has received an amount of gifts, grants, and donations
Page 10, Line 12sufficient to begin its work described in this section or August
Page 10, Line 131, 2026, whichever is later.
Page 10, Line 14(b) The task force shall elect a chair from among the task
Page 10, Line 15force's members.
Page 10, Line 16(c) The task force shall meet at least four times in 2026 to
Page 10, Line 17complete the duties specified in this section. The chair may call
Page 10, Line 18additional meetings, subject to available money, as necessary
Page 10, Line 19for the task force to complete its duties. The task force shall
Page 10, Line 20establish procedures to allow members of the task force to
Page 10, Line 21participate in the meetings remotely.
Page 10, Line 22(6) The task force shall study, evaluate, and recommend
Page 10, Line 23reforms to Colorado's child care licensure and quality rating
Page 10, Line 24and improvement systems with the goal of creating a coherent,
Page 10, Line 25streamlined framework that:
Page 10, Line 26(a) Focuses primarily on child health, life, and safety;
Page 10, Line 27(b) Is efficient, consistent, and predictable for providers;
Page 11, Line 1(c) Is easy for families to understand and navigate;
Page 11, Line 2(d) Supports provider sustainability and growth; and
Page 11, Line 3(e) Improves child care availability for families and
Page 11, Line 4communities.
Page 11, Line 5(7) The task force shall conduct an integrated study
Page 11, Line 6that includes, but is not limited to, the following elements:
Page 11, Line 7(a) A comprehensive review of the state's child care
Page 11, Line 8licensing requirements and processes for child care centers and
Page 11, Line 9family child care homes that:
Page 11, Line 10(I) Identifies redundant, outdated, or inefficient
Page 11, Line 11requirements that burden child care providers unnecessarily;
Page 11, Line 12and
Page 11, Line 13(II) Evaluates inconsistencies in licensing interpretation,
Page 11, Line 14monitoring, and enforcement;
Page 11, Line 15(b) Recommendations for designing a streamlined
Page 11, Line 16licensure system for child care centers and family child care
Page 11, Line 17homes that:
Page 11, Line 18(I) Prioritizes child health, life, and safety as the core
Page 11, Line 19regulatory function;
Page 11, Line 20(II) Simplifies documentation, inspections, and compliance
Page 11, Line 21processes and that shortens associated timelines;
Page 11, Line 22(III) Is easy for child care providers to use, easy for
Page 11, Line 23families to understand, and clearly communicates what
Page 11, Line 24licensure means in terms of its:
Page 11, Line 25(A) Protocols and requirements for providers; and
Page 11, Line 26(B) Health and safety protections and accountability
Page 11, Line 27assurances for families and communities; and
Page 12, Line 1(IV) Improves the availability of high quality child care
Page 12, Line 2by reducing the administrative barriers associated with opening
Page 12, Line 3new facilities while maintaining high standards for quality;
Page 12, Line 4(c) An evaluation of how to define quality and distinguish
Page 12, Line 5it from the baseline requirements for licensure for child care
Page 12, Line 6centers and family child care homes. The quality definition must
Page 12, Line 7take into consideration input from the department.
Page 12, Line 8(d) Recommendations for establishing a separate quality
Page 12, Line 9enhancement model beyond the baseline requirements for
Page 12, Line 10licensure;
Page 12, Line 11(e) An evaluation of how licensure and quality
Page 12, Line 12enhancement systems can better serve families by:
Page 12, Line 13(I) Improving transparency and clarity;
Page 12, Line 14(II) Making it easier to find, compare, and access child
Page 12, Line 15care options; and
Page 12, Line 16(III) Supporting a mixed-delivery system, including child
Page 12, Line 17care centers; family child care homes; and family, friend, and
Page 12, Line 18neighbor providers; and
Page 12, Line 19(f) A review of child care licensure and quality
Page 12, Line 20enhancement systems in other states to identify:
Page 12, Line 21(I) Best practices and innovative models that reduce
Page 12, Line 22burdens for child care providers while maintaining or improving
Page 12, Line 23quality;
Page 12, Line 24(II) Examples of streamlined systems that distinguish
Page 12, Line 25baseline licensure from optional quality enhancement; and
Page 12, Line 26(III) Examples of streamlined systems that families find
Page 12, Line 27transparent, accessible, and easy to navigate.
Page 13, Line 1(8) The task force shall contract with an independent
Page 13, Line 2third-party entity to assist in the conduct of the study pursuant
Page 13, Line 3to subsection (7) of this section and to prepare a final report
Page 13, Line 4summarizing the study's findings and the recommendations of
Page 13, Line 5the task force issued pursuant to subsection (9) of this section.
Page 13, Line 6(9) On or before January 1, 2027, the task force shall
Page 13, Line 7report to the education committees of the house of
Page 13, Line 8representatives and the senate, or any successor committees;
Page 13, Line 9the governor; and the department. The report must include the
Page 13, Line 10findings and recommendations of the task force, including
Page 13, Line 11recommendations for legislative and administrative changes
Page 13, Line 12regarding:
Page 13, Line 13(a) The creation of a new, streamlined system for
Page 13, Line 14licensing child care centers and family child care homes that
Page 13, Line 15focuses primarily on protecting child health, life, and safety;
Page 13, Line 16(b) The creation of a clearly defined, optional quality
Page 13, Line 17enhancement framework that provides quality endorsements or
Page 13, Line 18recognitions beyond baseline licensure; and
Page 13, Line 19(c) Changes necessary to reduce the burdens on Colorado
Page 13, Line 20child care providers and improve transparency and clarity for
Page 13, Line 21Colorado families that are informed by what has worked
Page 13, Line 22effectively in other states.
Page 13, Line 23(10) (a) It is the intent of the general assembly that the
Page 13, Line 24implementation of this section be funded entirely by gifts,
Page 13, Line 25grants, and donations, and that gifts, grants, and donations
Page 13, Line 26will be received throughout the course of the study. The
Page 13, Line 27general assembly shall not appropriate money from the general
Page 14, Line 1fund for the implementation of this section, and the department
Page 14, Line 2and appointing authorities shall carry out their duties set forth
Page 14, Line 3in this section within existing appropriations.
Page 14, Line 4(b) The department may seek, accept, and expend gifts,
Page 14, Line 5grants, or donations from private or public sources to
Page 14, Line 6implement this section. The task force shall not implement this
Page 14, Line 7section unless the task force receives an amount of gifts,
Page 14, Line 8grants, and donations that the executive director deems
Page 14, Line 9necessary to implement this section.
Page 14, Line 10(c) The study described in subsection (7) of this section
Page 14, Line 11and final report described in subsection (9) of this section are
Page 14, Line 12contingent on money being available to carry out the study and
Page 14, Line 13final report. If money is not available for the task force or any
Page 14, Line 14other entity to carry out its duties required pursuant to this
Page 14, Line 15section, the task force or the entity is not required to carry out
Page 14, Line 16the duties. A contract with a third-party entity that will
Page 14, Line 17provide services related to the study and final report must be
Page 14, Line 18contingent on gifts, grants, and donations being available for
Page 14, Line 19that purpose.
Page 14, Line 20(11) This section is repealed, effective July 1, 2028.
Page 14, Line 21SECTION 5. Safety clause. The general assembly finds,
Page 14, Line 22determines, and declares that this act is necessary for the immediate
Page 14, Line 23preservation of the public peace, health, or safety or for appropriations for
Page 14, Line 24the support and maintenance of the departments of the state and state
Page 14, Line 25institutions.