April 22, 2026
Mrs. McClain Delaney (for herself, Mrs. Miller-Meeks, and Mr. Sorensen) introduced the following bill; which was referred to the Committee on Agriculture
To establish a low-interest loan program to support the renovation, retrofit, expansion, and adaptation of structures to increase the availability of child care in rural communities.
Section 1. Short title
This Act may be cited as the Rural Child Care Facility Expansion Act
.
Sec. 2. Low-interest loan program to support the renovation, retrofitting, expansion, and adaptation of structures to increase the availability of child care in certain rural areas
(a) In general
Beginning 1 year after the date of the enactment of this Act, the Secretary may, subject to this section, make a low-interest loan to a covered child care provider in accordance with this section.
(b) Definitions
In this Act:
(1) Covered child care provider
The term covered child care provider means—
(A)
a child care service provider who—
(i)
is primarily engaged in providing child care services for children from birth to compulsory school age;
(ii)
(I)
provides child care services for school-age children outside of school hours or outside of the school year; or
(II)
offers pre-school or pre-kindergarten educational programs;
(iii)
is in compliance with the licensing requirements for child care services providers of the State in which the provider is located; and
(iv)
has conducted a criminal background check that meets the requirements of section 658H(b) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858f(b)) with respect to each employee and regular volunteer of the provider; and
(B)
any other child care service provider that the Secretary deems to be qualified to receive a loan under this section.
(2) Child care desert
The term child care desert means a census tract in which—
(A)
the number of residents who are children is not less than 3 times the number of children for whom the licensed child care providers in the census tract are capable of providing child care; or
(B)
there are no licensed child care providers.
(3) Rural community
(A) In general
The term rural community means any census designated place with a population of less than 20,000, subject to subparagraph (B).
(B) Authority to modify definition
The Secretary may, as the Secretary deems necessary, modify the definition set forth in subparagraph (A).
(4) Low-interest loan
The term low-interest loan means a loan which bears interest, at a rate fixed at the time of each advance, equal to the Treasury constant maturity rate, as published by the Department of the Treasury for a maturity comparable to the term of the loan on the business day that precedes the advance date, plus 1/8 of 1 percent.
(5) Secretary
The term Secretary means the Secretary of Agriculture, acting through the Deputy Under Secretary for Rural Development.
(c) Application
An entity desiring a loan under this section may submit to the Secretary an application for the loan, at such time, in such manner, and containing such information as the Secretary deems appropriate.
(d) Application processing
(1) Notice of application status
Within 30 days after receipt of an application for a loan under this section, the Secretary shall provide to the applicant a written notice as to whether the application is complete or additional information is needed to complete the application.
(2) Notice of approval or disapproval
Within 90 days after receipt of an application for a loan under this section, the Secretary shall provide to the applicant a written notice as to whether the application has been approved or disapproved.
(e) Approval
The Secretary may approve an application for a loan under this section for a project if the Secretary determines that—
(1)
the applicant is a covered child care provider; and
(2)
the application demonstrates that completion of the project will increase the availability of child care in a child care desert in a rural community.
(f) Use of loan
(1) In general
An entity to which a loan is made under this section may use the loan to facilitate the renovation, retrofitting, expansion, and adaptation of a structure to increase the availability of child care services in a rural community.
(2) Limitation on use for pre-development activities
Such an entity may use not more than 10 percent of the loan to facilitate the pre-development phase of a new facility, including planning and design.
(g) Loan term
(1) In general
A loan under this section shall be made for such term as the Secretary may determine, which shall not exceed 25 years.
(2) Repayment schedule
The Secretary shall establish a repayment schedule for a loan made under this section.
(h) Reports to Congress
Within 1 year after the date of the enactment of this Act, and annually thereafter, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a written report regarding implementation of this section, which shall—
(1)
specify the number of loans awarded under this section;
(2)
describe the activities funded under this section;
(3)
specify the number of child care slots created as a result of providing loans under this section, including the number of child care slots serving children from low-income families or children who are dual language learners;
(4)
specify the number of child care slots at risk of elimination due to a child care center closing or proposed price increases, that have been preserved as a result of providing loans under this section;
(5)
specify the number of staff employed by covered child care providers to whom a loan has been made under this section;
(6)
include demographic data about the communities served by the covered child care providers to whom a loan has been made under this section; and
(7)
specify the number of providers of pre-kindergarten child care services to whom a loan has been made under this section.