In this final edition of Legislative Trends, we summarize trends in 2025 legislative action that affect infants, toddlers, and their families.
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In this final edition of Legislative Trends, we summarize trends in 2025 legislative action that affect infants, toddlers, and their families. Below are examples of bills we’ve tracked from across the country that have been enacted, vetoed, or advanced far along in the legislative process. We will continue to track state policy action and analyze the implications of federal changes throughout the summer in anticipation of the release of our 2025 State Policy Roadmap this fall! 

LEGISLATIVE UPDATES

Administrative Burden for SNAP

So far this session, at least 19 states introduced bills to prohibit the purchase of certain foods—often soft drinks and candy—using SNAP benefits, and a few states introduced bills to create more universal online case management systems.

  • Arizona Governor Hobbs vetoed H.B. 2165, which would have restricted the use of SNAP benefits to purchase soft drinks.
  • Idaho H.B. 109 was enacted to prohibit the purchase of candy and soda using SNAP benefits.
  • Kansas Governor Kelly vetoed S.B. 79, which would have restricted the use of SNAP benefits to purchase soft drinks or candy.
  • Oklahoma H.B. 1575 was enacted to establish a unified and streamlined eligibility and enrollment system in the Department of Human Services that would include SNAP, TANF, WIC, Medicaid, and energy assistance. The bill requires the agency to develop a single website and application that is mobile-friendly and available in multiple languages.

Child Care

States remain focused on supporting child care by creating dedicated funding streams, extending child care subsidy eligibility for child care workers, and encouraging employer support for child care.

  • Georgia H.B. 136 was enacted to create a child care contribution tax credit for employers effective tax year 2026.
  • Montana H.B. 924  would establish the Montana Growth and Opportunity Trust, allocating a portion of funds to a new Montana early childhood state special revenue account. H.B. 456 would make child care workers eligible for child care subsidies if their income is less than twice the state’s median income (SMI). These bills passed both chambers.
  • New Mexico H.B. 71 was enacted to increase the annual distribution from the Early Childhood Trust Fund to the Early Childhood Education and Care Department from $250 million to $500 million.
  • North Dakota S.B. 2282 was enacted to create a child care contribution tax credit for employers effective tax year 2025.
  • Oklahoma H.B. 1849 would make child care workers eligible for child care subsidies regardless of their income. Additionally, the bill would remove copayments for child care workers who are eligible for a subsidy under the state’s income eligibility requirements. The bill passed the House.
  • Utah H.B. 106 was enacted to create a tax credit for employer-provided child care, which includes child care construction expenditures and operating costs.

Doulas

States continue to expand access to doulas by requiring Medicaid coverage of doula services, developing the doula workforce, and requiring hospitals to develop policies to allow for doula attendance during delivery.

  • Arkansas H.B. 1252 was enacted to direct the Department of Health to oversee community-based doula certification and registry. The bill also requires the Department of Human Services to enact rules to reimburse doulas through Medicaid by Dec 31, 2025. The Healthy Moms, Healthy Babies Act (S.B. 213/H.B. 1427) was also enacted, to, among other things, require Medicaid coverage for doula home visitations for prenatal and postpartum care.
  • Maryland H.B 1251 was enacted to require hospitals to have a publicly posted policy that at least one doula is allowed to be present during births.
  • Montana S.B. 319 was enacted to create a licensing process for doulas and allow for Medicaid coverage of certified doula services.
  • New Mexico H.B. 214 was enacted to create guidelines for voluntary doula certification in the state, establish a doula credentialing advisory council, and create the doula fund in the state treasury.
  • New York S. 809/A. 1026 was enacted to require all maternal healthcare facilities to have a publicly posted policy that doulas are allowed to be present during delivery and post-delivery care.
  • Utah S.B. 284 was enacted to require Medicaid reimbursement for doula services.
  • Vermont S. 53 would create a voluntary certification process for community-based doulas and require Medicaid coverage for doula services. This bill passed both chambers.
  • Virginia H.B. 1614/S.B. 1418 was enacted to allow doulas to bill Medicaid for 10 doula visits. The state currently allows reimbursement for 8 total visits during the perinatal period. S.B. 1382 was also enacted to, among other protections for new parents, allow a doula to be present during births in healthcare facilities.  

Early Intervention (EI)

This session, EI bills focused largely on expanding eligibility for services.

  • Florida S.B. 112 was enacted to expand services and support for children with developmental disabilities, especially children with autism spectrum disorder. The bill will also create the Early Steps Extended Option to allow children to continue with the Early Steps Program until they are 4 years of age.

Medicaid

Throughout the 2025 legislative session, several states introduced bills to add work requirements, add federal matching rate trigger requirements, and restrict state agency authority over Medicaid.

  • Idaho H.B. 345 was enacted to require that the Department of Health and Welfare receive legislative approval before seeking Medicaid state plan amendments or waivers that expand coverage or increase net costs to the state. The bill also requires the state to seek a waiver for work requirements. The bill includes other changes to the Medicaid system, such as moving the state Medicaid system to managed care.
  • Kansas legislators overrode Governor Kelly's veto of H.B. 2240, which will restrict state agency authority to make changes to the Medicaid, SNAP, TANF, or child care programs without legislative approval.
  • Kentucky legislators overrode Governor Beshear’s veto of H.B. 695, which will require the Cabinet for Health and Family Services to receive authorization from the legislature before making any changes to Medicaid eligibility, coverage, benefits, or reimbursement rates.
  • South Dakota H.J.R. 5001, which would make continued implementation of Medicaid expansion in the state contingent on the 90% federal matching rate, was approved. This proposed amendment will head to voters in the next general election.

Paid Family and Medical Leave (PFML) 

This session, several states acted to either create statewide PFML programs or to establish, or expand access to, state employee programs.

  • Alabama S.B. 199 was enacted to provide paid parental leave for eligible state employees and teachers beginning July 1, 2025.
  • Indiana Governor Braun signed an executive order to expand paid parental leave for state employees following the birth of a child.
  • Iowa H.F. 889 was enacted to provide up to 4 weeks of paid parental leave for state employees who give birth or adopt a child and up to 1 week for state employees who do not give birth.
  • Mississippi H.B. 1063 was enacted to provide 6 weeks of paid parental leave for primary caregivers who are state employees for the birth or adoption of a child beginning on January 1, 2026.
  • Virginia Governor Youngkin vetoed H.B. 2531 which would have created a statewide PFML program providing up to 12 weeks of leave.
  • Wyoming adopted a new administrative policy which provides up to 6 weeks of paid family and medical leave to eligible Executive Branch employees.

State Minimum Wage 

In considering changes to the state minimum wage (SMW), state leaders are primarily focused on increasing the SMW or eliminating subminimum wages.

  • Georgia S.B. 55 was enacted to phase out and fully eliminate the subminimum wage for workers with disabilities by July 1, 2027.
  • Illinois H.B. 793 was enacted to phase out and fully eliminate the subminimum wage for workers with disabilities by January 1, 2030.
  • Michigan S.B. 8 was enacted to change the scheduled SMW increases such that the SMW will gradually increase to $15.00 by 2027 (current SMW is $10.33). The bill also repealed the elimination of the subminimum wage for tipped workers.
  • Virginia Governor Youngkin vetoed H.B. 1928 which would have gradually increased the state minimum wage until it reached $15.00 by 2027 (current SMW is $12.00).

Tax Credits 

States continue to adjust their tax credits by increasing the generosity of their state earned income tax credits (EITCs), reducing or removing state income taxes, and establishing state child tax credits (CTCs).

  • Georgia H.B. 136 was enacted to create a nonrefundable state CTC worth $250 per child under age 6 and increase the generosity of the state's nonrefundable child and dependent care tax credit (CDCTC) from 30% to 50% of the federal credit effective tax year 2026.
  • Mississippi H.B. 1 was enacted to reduce the personal income tax rate from 4% to 3% by 2030 and includes plans to fully eliminate the tax by 2037.
  • Montana H.B. 337 was enacted to increase the generosity of the state's refundable EITC from 10% to 20% of the federal credit and adjust income tax brackets and rates effective tax year 2026.
  • New Mexico Governor Lujan Grisham vetoed H.B. 14, a tax package that would have repealed the Working Families Tax Credit and introduced a new structure for the EITC that was not based on the federal credit.
  • 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 effective tax year 2025. Previously, the state’s EITC was 15% fully refundable or 20% nonrefundable. 

Thank you for following our weekly legislative updates to learn more about the 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 and be on the lookout for the release of our 2025 Roadmap in September! 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.

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Prenatal-to-3 Policy Impact Center, Vanderbilt University, Peabody College, Nashville, Tennessee 37203

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