NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A2393
SPONSOR: Ra TITLE OF BILL:
An act to amend the social services law, in relation to increasing the
aggregate amount of tax credits available for business entities who
provide child care services
PURPOSE OR GENERAL IDEA OF BILL::
To double the amount of credit available for the Child Care Creation and
Expansion Tax Credit from $25 million to $50 million.
SUMMARY OF PROVISIONS::
Section 1: Raises the total allocation of tax credits for the Child Care
Creation and Expansion Tax Credit from $25 million to $50 million during
Fiscal Year 2025 and Fiscal Year 2026.
Section 2: Sets forth the effective date.
JUSTIFICATION::
New Yorkers are facing significant challenges accessing affordable,
quality child care services for their children. This credit, originally
enacted in the 2023-24 Enacted Budget, aimed to address this critical
shortage by providing an incentive for businesses and employers to
create or expand their own child care services for their employees by
making available an aggregate of $50 million in tax credits. Doubling
the amount of tax credits available would allow more businesses to take
part in the program while also facilitating the creation of additional
child care services for families.
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS::
Increases State spending by $50 million.
LEGISLATIVE HISTORY::
A.9245 (2024) - referred to Ways and Means
EFFECTIVE DATE::
This Act shall take effect immediately.
