Education (Early Childhood)

Establishes the Indiana bright start program (program) to support the early learning and child care needs of working families with eligible children. Provides that the office of the secretary of family and social services (office) shall develop and implement the program, and may contract with nonprofit corporations to facilitate the program. Establishes the Indiana bright start program fund. Requires the office, beginning October 1, 2027, to annually submit a report to the governor and legislative council with information concerning the program.

Requires the office of the secretary of family and social services (office) to apply to the United States Department of Health and Human Services to amend the state plan for the federal Child Care and Development Fund (CCDF) voucher program to increase the maximum initial eligibility limit for purposes of initial eligibility to 150% of the federal poverty level. Requires the office to fully fund: (1) each eligible applicant for a CCDF voucher payment; and (2) eligible CCDF provider reimbursement rates at a specified rate. Provides that the office may not place an eligible CCDF applicant on a waiting list. Provides that an eligible child for the prekindergarten program is an individual who, among other conditions, is a member of a household with an annual income that does not exceed 150% of the federal poverty level (instead of 135% for individuals enrolled on or after May 1, 2025, under current law). Removes the limitation on state money that may be used for a prekindergarten voucher during a state fiscal year. Requires the office of family and social services to establish reimbursement rates for prekindergarten providers that are equal to or greater than the rates established that were in effect on January 1, 2025. Makes an appropriation to the prekindergarten program fund.

Allows the legislative body of a county and certain cities to adopt a resolution to place a referendum on the ballot to impose a local preschool referendum tax levy (levy) to fund administration of a preschool program and provide tuition and other assistance. Allows a unit to impose a levy if approved by a majority of the voters. Provides that voters may not approve a levy that is imposed for more than eight years. Specifies procedures for the referendum. Provides that a unit that imposes a levy must establish a preschool education program and a local preschool education referendum tax levy fund.

Requires the early learning advisory committee to establish and publish kindergarten readiness indicators (indicators). Establishes requirements regarding the indicators, including publication of the indicators on a single and easy to access website page. Requires the department of education, the office of early childhood and out of school learning, and the Indiana department of health to display on certain website pages a link to the indicator web page.

Establishes an early childhood scholarship tax credit for contributions made to a scholarship granting organization that conducts a program to provide scholarships for children who attend a qualified early child care provider. Provides that the amount of the credit is equal to 50% of the amount of the contribution. Limits the total amount of tax credits awarded in a state fiscal year to not more than $100,000,000. Requires the department of education (department) to certify early childhood scholarship granting organizations that meet certain criteria. Requires qualified early childhood scholarship granting organizations to enter into an agreement with the department. Specifies conditions that must be included in the agreement. Provides that a school corporation that operates an early childhood education program may not limit consideration for participation in the program solely to those residing within the school district.