A Bill for an Act
Page 1, Line 101Concerning regulating fees licensed child care programs
Page 1, Line 102may charge families.
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 limits the amount a licensed child care center, family child care home, or substitute placement agency (child care center) may charge for a wait list fee or an application fee to $25.
A child care center shall use a wait list fee or an application fee to cover only the administrative burdens of managing a wait list or processing an application.
A child care center shall credit a deposit fee toward the family's first month of child care if the family secures a position with the child care center.
For transparency and accountability to families, a child care center shall create and publish a policy for establishing fees. Each child care center shall make the information available to families in a clear and understandable format before families apply to and enroll in the child care center. Each child care center shall display the information in a prominent and conspicuous location:
- On the child care center's website, if applicable;
- In the child care center's facility at all times during operational hours; and
- On the child care center's application.
During the department of early childhood's (department) periodic inspections, or if a complaint is filed regarding fees, the department shall review the information in the child care center's policy for establishing fees to confirm the child care center is complying with the law. If the department finds the child care center is not compliant, the child care center has 30 days after the date of inspection to comply. If the child care center does not comply within 30 days after the date of inspection, the department may take further disciplinary action.
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 26.5-5-332 as follows:
Page 2, Line 326.5-5-332. Regulation of child care program fees - complaints
Page 2, Line 4- enforcement - definitions. (1) As used in this section, unless the context otherwise requires:
Page 2, Line 5(a) "Child care program" means a child care center, family child care home, or neighborhood youth organization.
Page 2, Line 6(b) "Child careprogram application fee" or "application
Page 2, Line 7fee" means a sum of money, however denominated, that is
Page 2, Line 8charged or accepted by a child care program from a prospective
Page 2, Line 9family in connection with the prospective family's submission of
Page 2, Line 10a child care program application.
Page 3, Line 1(c) "Child care program deposit fee" or "deposit fee" means
Page 3, Line 2a sum of money, however denominated, that is charged or
Page 3, Line 3accepted by a child care program from a family in connection with the family securing a guaranteed child care position.
Page 3, Line 4(d) "Child care program wait list fee" or "wait list fee"
Page 3, Line 5means a one-time fee charged or accepted by a child care
Page 3, Line 6program from a prospective family in connection with the
Page 3, Line 7prospective family joining a wait list for a potential child care position that is not yet available.
Page 3, Line 8(2) (a) If a prospective family pays a child care program a
Page 3, Line 9child care program application fee, deposit fee, or wait list fee
Page 3, Line 10and is not enrolled in the child care program after six months
Page 3, Line 11of paying the fee, the fee is refundable. A child care program
Page 3, Line 12may retain a reasonable administrative fee, as determined by
Page 3, Line 13the department, from a refundable fee before issuing a refund to
Page 3, Line 14the prospective family. Refunds may be issued only after the
Page 3, Line 15deduction of the reasonable administrative fee. The prospective
Page 3, Line 16family must submit a written request to the child care program to receive a refund.
Page 3, Line 17(b) Upon receiving the written request from the
Page 3, Line 18prospective family as described in subsection (2)(a) of this
Page 3, Line 19section, the child care program shall refund the fees to the
Page 3, Line 20prospective family as described in subsection (2)(a) of this
Page 3, Line 21section and may remove the prospective family from the wait list.
Page 3, Line 22(c) Prospective families who are offered a child care slot
Page 3, Line 23with a child care program and who refuse the child care slot
Page 4, Line 1shall not receive a refund as described in subsections (2)(a) and (2)(b) of this section.
Page 4, Line 2(3) (a) If a family enrolls in a child care program and signs
Page 4, Line 3a contract with the child care program provider, the terms of
Page 4, Line 4the contract, including fees outlined in the contract, are not subject to this section.
Page 4, Line 5(b) A fee to hold a child care slot that has been offered to a family is not subject to this section.
Page 4, Line 7(4) A child care program may charge a child care program
Page 4, Line 8deposit fee to a family to secure a guaranteed child care
Page 4, Line 9position. The child care program shall credit the deposit fee
Page 4, Line 10toward the family's tuition of child care following the acceptance of child care services.
Page 4, Line 11(5) (a) For transparency and accountability to
Page 4, Line 12prospective families, a child care program shall provide a fee
Page 4, Line 13schedule and the process on fee refunds described in subsection (2) of this section to a prospective family upon:
Page 4, Line 14(I) Joining a wait list;
(II) Registration; and
Page 4, Line 15(III) Request of the family.
Page 4, Line 16(b) For transparency and accountability to an enrolled
Page 4, Line 17family, a child care program shall provide a fee schedule and
Page 4, Line 18the process on fee refunds described in subsection (2) of this section to an enrolled family upon:
Page 4, Line 19(I) Enrollment;
Page 4, Line 20(II) Amendments to the fee schedule; and
(III) Amendments to the process on fee refunds.
Page 5, Line 1(c) A child care program may publish the fee schedule
Page 5, Line 2described in subsections (5)(a) and (5)(b) of this section digitally on the child care program's website.
Page 5, Line 4(6) (a) During an inspection conducted pursuant to section
Page 5, Line 526.5-5-316 (1), or if a complaint regarding fees is filed with the
Page 5, Line 6department through the complaint procedures described in
Page 5, Line 7section 26.5-5-316 (1)(b)(II),the department shall determine
Page 5, Line 8whether the child care program is complying with the requirements of this section.
Page 5, Line 9(b) If the department finds the child care program is not
Page 5, Line 10compliant with this section following the inspection described
Page 5, Line 11in subsection (6)(a) of this section, the child care program has
Page 5, Line 12thirty days after the date of inspection to comply with the requirements of this section.
Page 5, Line 13(c) If the child care program does not comply with the
Page 5, Line 14requirements of this section within thirty days after the date of
Page 5, Line 15inspection described in subsection (6)(a) of this section, the
Page 5, Line 16department may take further disciplinary action pursuant to
Page 5, Line 17section 26.5-5-317 (2).The department shall not take disciplinary
Page 5, Line 18action against a child care program that makes a good-faith
Page 5, Line 19administrative error or is not in compliance for the first time.
Page 5, Line 20The department's enforcement shall focus on deliberate violations of this section.
Page 5, Line 21(7) This section does not restrict or affect the powers,
Page 5, Line 22duties, or functions of the department as authorized pursuant to this title 26.5.
Page 6, Line 2SECTION 2. Act subject to petition - effective date. This act
Page 6, Line 3takes effect January 1, 2026; except that, if a referendum petition is filed
Page 6, Line 4pursuant to section 1 (3) of article V of the state constitution against this
Page 6, Line 5act or an item, section, or part of this act within such period, then the act,
Page 6, Line 6item, section, or part will not take effect unless approved by the people
Page 6, Line 7at the general election to be held in November 2026 and, in such case,
Page 6, Line 8will take effect on the date of the official declaration of the vote thereon by the governor.