This Week in Legislative Trends: March 3, 2025

Welcome to Legislative Trends, your go-to source for the latest updates on state policy action affecting infants, toddlers, and their families during legislative sessions. Each week, our team of policy analysts tracks key legislative movements, from state budget proposals impacting Medicaid and SNAP to bills advancing paid family leave, child care, and other critical prenatal-to-3 policies. Below is a sampling of legislation we’re tracking from across the country, all grounded in the evidence-based policies highlighted in our Prenatal-to-3 Policy Roadmap. Stay informed and ahead of the curve with our timely analysis of the trends shaping early childhood policy.

KEY HIGHLIGHTS

Child Care: Several states are working on bills to implement cost-share models and to alter early childhood governance.
Medicaid: A handful of states introduced bills to limit the authority of state agencies to make changes to Medicaid programs without legislative approval.
State Minimum Wage: Bills to increase states’ minimum wage are on the move.

LEGISLATIVE UPDATES

Child Care

Connecticut H.B. 6899 would establish a child care workforce salary enhancement program and H.B. 5003 would expand the subsidy income eligibility to 85% of the SMI and improve salaries and benefits for the workforce, among other actions.
Idaho H.B. 243 would remove state requirements on child-adult ratios in child care programs, allowing child care providers to set their own ratios. The bill passed out of committee.
Kansas S.B. 69 would create a cost-share program in which the cost of care is shared between the county and the state in rural counties, up to a maximum of $15,000 over 5 years or $3,000 per year.
Maine L.D. 555/S.P. 217 would create the Department of Child and Family Services, to oversee child care, Head Start, early intervention, child welfare, home visiting, among others.
Montana H.B. 457, which would increase income eligibility for subsidies from 185% of the FPL to 85% of the SMI, and appropriate $17 million for the biennium for subsidies, advanced out of committee.
New Mexico H.B. 71 and S.B. 167 which would increase allocations from the Early Childhood Trust Fund to the ECECD from $250 million to $500 million annually, advanced out of committee.
Oregon S.B. 1097 would create a cost-share program in which the state, employers, and employees share the cost of child care for families with incomes at or below 300% of the federal poverty level (FPL).
Tennessee H.B. 1238/S.B. 1378 would create the Division of Early Childhood Care and Education under the Department of Education, to oversee child care, pre-K, early intervention, Head Start, and programs under ESSA.
Texas H.B. 3191 would create a cost-share program in which the state, employers, and employees share the cost of child care for families with incomes at or below 300% of the state median income (SMI).
West Virginia H.B. 2730 and H.B. 2731 would create cost-share programs in which the state, employers, and employees share the cost of child care, with varying requirements on income.

Doulas

Arkansas enacted the Healthy Moms, Healthy Babies Act (S.B. 213/H.B. 1427) to make multiple changes to improve maternal health including Medicaid coverage for doula home visitations for prenatal and postpartum care.
Kentucky H.B. 814 would require Medicaid coverage for doula services and outlines requirements for doulas to enroll as Medicaid providers.
Montana S.B. 319 would create a voluntary certification process for doulas and allow for Medicaid coverage of certified doula services.
New Mexico H.B. 214, the Doula Credentialing and Access Act, would create guidelines for voluntary doula certification in the state.
Texas H.B. 3121 would require Medicaid coverage for doula services with annual reports required to evaluate the costs and impacts on birth outcomes.
Utah S.B. 284 would require Medicaid reimbursement for doula services.
Vermont S.B. 53 outlines a voluntary certification process for community-based doulas and would require Medicaid coverage for doula services.

Medicaid

Arkansas H.B. 1588 would require legislative approval for the state to make any changes to Medicaid that increase reimbursement rates, expand coverage, or increase costs to the state.
Idaho H.B. 328 would require legislative approval for the state to submit any waiver or state plan amendment for the Medicaid program that either expands eligibility or increases costs to the state.
Kansas H.B. 2240 would restrict the state agency from making changes to the Medicaid program without legislative approval.
Kentucky H.B. 695 would require that the Cabinet for Health and Family Services receive authorization from the legislature before making any changes to Medicaid eligibility, coverage, benefits, or reimbursement rates.
Montana H.B. 245, which would remove the sunset date for Medicaid expansion, passed both chambers and is scheduled for a final vote in the Senate.
South Dakota H.J.R. 5001 would make continued implementation of Medicaid expansion in the state contingent on the 90% federal matching rate (FMAP).
Texas H.B. 3072 and H.B. 3216 would expand Medicaid coverage to specific populations, including women of reproductive age (19 to 49) and working parents with children, each with incomes below 138% of the FPL.

Paid Family and Medical Leave

Alabama S.B. 199 and H.B. 327 would provide paid parental leave for eligible state employees and public school teachers.
Nebraska L.B. 189 would create a PFML program providing up to 10 weeks of leave.
Pennsylvania H.B. 200 would create a PFML program providing up to 20 weeks of leave.
West Virginia H.B. 2900 would create a PFML program providing up to 12 weeks of leave and H.B. 2850 would create a paid parental leave pilot program in which eligible state employees could receive up to 12 weeks of parental leave.

State Minimum Wage

Kentucky H.B. 564 would gradually increase the SMW to $17.00 on July 1, 2029, with annual cost of living adjustments thereafter.
Tennessee H.B. 1216/S.B. 1190 would increase the SMW to $20.00 on January 1, 2026.
Texas H.B. 2836 would increase the SMW to $13.00 on September 1, 2025.
Vermont H. 347 would increase the SMW to $20.00 on January 1, 2026, and would eliminate the subminimum wage for tipped workers.

Tax Credits

Missouri H.B. 1478 and  H.B. 1479 would make Missouri's nonrefundable earned income tax credit (EITC), currently worth 20% of the federal credit, fully refundable effective tax year 2026.
Ohio H.B. 140 would establish a refundable credit worth $1000 per child under age 6 and $500 per child aged 6 to 18. The value of the credit would begin phasing out for incomes above $65,000 and be fully phased out at $85,000.
Rhode Island H.B. 5760 would increase the generosity of the state's refundable EITC from 16% to 20% of the federal credit effective tax year 2026. S.B. 447 would establish a refundable state child tax credit (CTC) equal to $1,000 per child (up to age 18).
Virginia lawmakers passed budget amendments to increase the generosity of the state's EITC, making it fully refundable and worth 20% of the federal EITC.

Thank you for staying up to date with this week’s legislative updates. Our team is dedicated to monitoring the policies and trends that impact the prenatal-to-3 space and beyond. For deeper insights into the evidence-based policies driving early childhood progress, explore our Prenatal-to-3 Policy Roadmap. If you have any questions or have an important update from your state, please contact Alyssa Rafa, Assistant Policy Director, at alyssa.rafa@vanderbilt.edu. Let’s work together to drive lasting progress for young children and their families.

Did someone forward you this email? You can sign up for the newsletter here.

Prenatal-to-3 Policy Impact Center