Amends TCA Title 4; Title 5; Title 6; Title 7; Title 68 and Title 71.

This bill requires the department of human services to develop an enrollment-based alternative payments pilot program that seeks to provide adequate, stable payments to providers of day care services by establishing effective payment practices based upon accurate time and attendance systems; and requires the department to implement the pilot program in Davidson County beginning on January 1, 2022, and continuing through December 31, 2023. Additionally, this bill requires the department to: (1) Establish program standards and criteria for the program. This bill lists criteria for the department to consider in developing such standards and criteria; and (2) No later than February 1 following the conclusion of each calendar year of the pilot program, publish on the department's publicly accessible website an annual report on the status of the program. This bill sets out in detail the required minimum contents the report must include. For the purpose of rulemaking, this bill will take effect upon becoming a law. For all other purposes, this bill will take effect January 1, 2022. ON APRIL 27, 2021, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 1105, AS AMENDED. AMENDMENT #1 rewrites this bill and authorizes the department of human services to utilize an enrollment-based child care subsidy payments program that complies with all applicable federal funding requirements and legal authority and that seeks to provide adequate, stable payments to providers of child care services by establishing effective payment practices based upon accurate time and attendance systems. This amendment requires the department to consider program standards, such as, but not limited to, the following: (A) The child's developmental and educational goals when authorizing care periods eligible for reimbursement; (B) Accommodation of variable parent schedules; (C) Authorizing pay based upon enrollment rather than attendance; (D) Using a range of hours to determine authorized care amounts; and (E) Simplifying and streamlining payment processes with providers. This amendment requires the department to publish on the department's publicly accessible website an overview of child care services and the methodology used to issue payments to providers of child care services, including any changes to the methodology during the previous year, if applicable.