2025-2026 Bill 770: Childcare Assistance Program - South Carolina Legislature Online

Date	Body	Action Description with journal page number
1/13/2026	Senate	Introduced and read first time
1/13/2026	Senate	Referred to Committee on Family and Veterans' Services

A bill

TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING ARTICLE 13 TO CHAPTER 13, TITLE 63 SO AS TO ESTABLISH EMPLOYMENT REQUIREMENTS FOR INDIVIDUALS APPLYING FOR FEDERALLY FUNDED CHILDCARE ASSISTANCE BENEFITS AVAILABLE TO FAMILIES WITH LOW INCOMES TO HELP COVER THE COSTS OF CHILDCARE; AND FOR OTHER PURPOSES.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. Chapter 13, Title 63 of the S.C. Code is amended by adding:

Article 13

Childcare Assistance Program

Section 63-13-1410. For purposes of this article:

(1) "Applicant" means a child's natural or adoptive parent or an individual caring for a child in loco parentis who is applying for CCAP.

(2) "Change in circumstance" means a change that may affect eligibility or benefit amounts, such as:

(a) beginning or ending employment;

(b) change in an employer or obtaining additional employment;

(d) increase or decrease in the rate of pay;

(e) increase or decrease in family members;

(f) change in self-employment activity;

(g) change in scheduled hours care is needed;

(h) beginning or ending an educational activity;

(i) change in childcare operator;

(j) change in address or residence;

(k) change in marital status;

(l) beginning or ending receipt of unearned income; or

(m) enrollment in a certified trade school or an accredited college or university.

(3) "Child protective services" has the same meaning as defined in Section 63-7-20.

(4) "Childcare" has the same meaning as defined in Section 63-13-20.

(5) "Childcare Assistance Program" or "CCAP" means South Carolina's childcare subsidy program providing families, who meet the eligibility requirements of this administrative regulation, with the financial resources to find and afford quality childcare.

(6) "Childcare operator" has the same meaning as defined in Section 63-13-20.

(7) "Department" means the Department of Social Services.

(8) "Employment" means public or private, permanent or temporary work for an average of twenty hours per week for compensation or as an unpaid job requirement.

(9) "Family" means an applicant or parent, a child, and another responsible adult if present, residing in the same home.

(10) "Family childcare home" has the same meaning as defined in Section 63-13-20.

(11) "Family Independence" or "FI" means South Carolina's Temporary Assistance for Needy Families money payment program established pursuant to Article 9, Chapter 5, Title 43.

(12) "Good academic standing" means a student is meeting the trade school, college, or university's requirements for attendance and satisfactory progress toward the completion of coursework.

(13) "Health professional" means a person actively licensed as a:

(a) physician;

(b) physician assistant;

(d) mental health professional; or

(e) registered nurse.

(14) "Homeless" means an individual or a family lacking a fixed, regular, and adequate nighttime residence, including a child experiencing homelessness as defined by 45 C.F.R. 98.2.

(15) "In loco parentis" means a person acting in place of a parent, including:

(a) a legal guardian;

(b) an individual related by blood, marriage, or adoption to the child; or

(16) "Parent" means the same as defined by 45 C.F.R. Section 98.2.

(17) "Preventive services" means those services which are designed to help maintain and strengthen the family unit by preventing or eliminating the need for removal of children from the family.

(18) "Qualified immigrant" means a child lawfully admitted to permanent residence pursuant to 8

U.S.C. Sections 1101 to 1524.

(19) "Related" means having one of the following relationships:

(a) child;

(b) stepchild;

(d) great-grandchild;

(e) niece;

(f) nephew;

(g) sibling;

(h) child in legal custody; or

(i) child living in loco parentis.

(20) "Responsible adult" means a person other than the applicant who is in the child's household and who is:

(a) the natural parent, adoptive parent, or stepparent; or

(b) the spouse of an individual caring for a child in loco parentis.

(21) "State median income" or "SMI" means the estimated median income of households in the State.

(22) "Supplemental Nutrition Assistance Program" or "SNAP" means the federal food assistance program defined by 7 U.S.C. Section 2012.

(23) "Teen parent" means a head of household under the age of twenty and attending high school or obtaining a GED.

Section 63-13-1420. (A) A child is eligible to receive CCAP if the child meets the requirements specified in Section 63-13-1430 and resides with:

(1) an applicant who has employment an average of twenty hours per week;

(2) an applicant and a responsible adult who have employment an average of forty hours per week combined, if the individual with the least employment has an average of at least five hours of employment per week;

(3) an applicant and a responsible adult if either the applicant or the responsible adult has employment an average of twenty hours per week, and the other is physically or mentally unable to provide adequate care or supervision as documented by a written statement from a health professional;

(4) a relative or fictive kin caregiver pursuant to Chapter 7 of this title who meets:

(a) all requirements in this section; and

(b) income eligibility standards established in Section 63-13-1450;

(5) a teen parent attending high school or pursuing a general equivalency degree (GED), including a period of recess or temporary break; or

(6) an applicant who meets the eligibility requirements specified in Section 63-13-1440.

(B) A child is eligible to receive CCAP for a minimum of three months or in accordance with Section 63-13-1480 if the child meets the requirements specified in Section 63-13-1430 and resides with:

(1) an applicant who is homeless;

(2) an applicant who is engaged in job search; or

(3) a recipient after the loss of employment or cessation of attendance at a job training or educational program in accordance with 42 U.S.C. Section 9858c(c)(2)(N)(iii), to allow for job search or resumption of work or attendance at job training or educational program.

(C) A child is eligible to receive CCAP for a minimum of three months if the child meets the requirements established in Section 63-13-1430 and resides with an applicant who provides identification and reports that he or she is:

(1) working; or

(2) attending an educational program.

(D) To the extent funds are available, a household shall have all earned and unearned income excluded from the eligibility determination if an applicant or responsible adult meets the requirements of subsection (A) and has verified employment in a regulated:

(1) licensed childcare center; or

(2) registered family childcare home.

(E) To the extent funds are available, a household shall have all earned and unearned income excluded from the eligibility determination for a child under the care of a foster parent who is working outside the home or teleworking inside the home and meets the requirements of subsection (A).

(F) Compliance with subsection (A) for an applicant or a responsible adult who is self-employed shall be determined by dividing income calculated in accordance with Section 63-13-1450(F)(4) by an hourly pay rate of no less than minimum wage.

Section 63-13-1430. (A) A child is eligible for childcare assistance, if the child:

(1) is a:

(a) resident of South Carolina; and

(b) U.S. citizen or qualified immigrant;

(2) is under the age of:

(a) thirteen at the time of application or recertification; or

(b) nineteen at the time of application or recertification and is:

(i) physically or mentally incapable of caring for themselves, as demonstrated by a written document provided by a health professional;

(ii) under court supervision; or

(iii) identified as a priority by federal statute, regulation, or funding source; and

(3) has a current immunization certificate showing that the child is immunized, unless:

(a) there is an exception pursuant to law; or

(b) the child is attending:

(i) a licensed childcare center;

(ii) a registered family childcare home;

(iii) a public school;

(iv) a Head Start program; or

(v) another entity that requires the immunization record.

(B) If a child served by the CCAP is not immunized, childcare assistance benefits shall be available or continue for a period of thirty calendar days following the notification of the needed immunization while the family takes necessary action to comply with the immunization requirement.

(1) a parent or stepparent;

(2) a legal guardian;

(3) a member of the FI or SNAP case in which the child in need of childcare assistance is included;

(4) a person living in the same residence as the child in need of care;

(5) a childcare operator that is:

(a) not licensed as a private childcare center or group childcare home pursuant to Article 3 of this chapter;

(b) not approved as a public childcare center or group childcare home pursuant to Article 5 of this chapter;

(d) not registered as a church or religious childcare center or group childcare home pursuant to Article 9 of this chapter;

(6) a Head Start program unless the childcare is provided before, after, or in between the Head Start program's operating hours as wrap-around childcare; or

(7) another childcare operator if the family operates the childcare business in the home.

(D) If the restrictions specified in subsection (C) do not apply to the childcare operator related to the child, the childcare operator related to the child may be eligible for payment from CCAP if the requirements of Article 7 of this chapter are met.

Section 63-13-1440. (A) To the extent funds are available, a child is eligible for CCAP if the child:

(1) resides with an applicant who:

(a) is enrolled in:

(i) a certified trade school or an accredited college or university; or

(ii) a program that leads to a degree or certification; and

(b) in accordance with subsection (B);

(i) is in good academic standing with the trade school, college, or university in which the applicant is enrolled;

(ii) provides verification of enrollment and good academic standing from the trade school, college, or university in which the applicant is enrolled;

(iii) meets income eligibility criteria of Section 63-13-1450; and

(iv) has not received CCAP for more than sixty months due to enrollment in a certified trade school or an accredited college or university; and

(2) meets the requirements established in Section 63-13-1430.

(B) While an applicant is enrolled in a certified trade school or an accredited college or university:

(1) the applicant's coursework must be completed in-person or online; and

(2) the applicant must be classified as a part-time or full-time student as defined by the trade school, college, or university, and enrolled in at least the equivalent of six credit hours.

(C) An applicant who does not complete a term at a trade school, college, or university is responsible for the cost of childcare tuition for the term.

Section 63-13-1450. (A) A child is eligible for CCAP if the family's income is less than or equal to eighty-five percent of the SMI as prepared by the U.S. Census Bureau at initial application, recertification, or recalculation.

(B) Except for a child who is eligible as specified in Section 63-13-1460, gross income received or anticipated to be received by the applicant and responsible adult shall be considered when the department determines the family's eligibility for the CCAP.

(C) A child who is eligible for CCAP as specified in Section 63-13-1460 is eligible without regard to the family's income.

(D) Excluded income includes:

(1) FI child only payments, including back payment;

(2) a payment received from the kinship care program, pursuant to Chapter 7 of this title, including back payment;

(3) educational grant, loan, scholarship, and work-study income;

(4) the value of a:

(a) SC Works Program supportive services payment pursuant to law; or

(b) SNAP E&T transportation payment pursuant to law;

(5) The value of United States Department of Agriculture program benefits including:

(a) donated food;

(b) supplemental food assistance received pursuant to 42 U.S.C. Section 1771;

(d) nutrition program for the elderly pursuant to 42 U.S.C. Section 3001; and

(e) the monthly allotment pursuant to SNAP;

(6) payment made directly to a third party on behalf of the applicant or recipient by a nonresponsible person;

(7) in-kind income;

(8) reimbursement for transportation in performance of an employment duty, if identifiable;

(9) nonemergency medical transportation payment;

(10) highway relocation assistance;

(11) urban renewal assistance;

(12) federal disaster assistance and state disaster grant;

(13) home produce utilized for household consumption;

(14) housing subsidy received from federal, state, or local governments;

(15) receipt distributed to a member of certain Native American tribes by the federal government pursuant to 25 U.S.C. Sections 1261, 1401, and 5501;

(16) funds distributed per capita to or held in trust for a member of a Native American tribe by the federal government pursuant to 25 U.S.C. Sections 1261, 1401, and 5501;

(17) payment for supporting services or reimbursement of out-of-pocket expenses made to an individual volunteering as a:

(a) senior health aide; or

(b) member of the:

(i) Service Corps of Retired Executives; or

(ii) Active Corps of Executives;

(18) payment made to an individual from a program pursuant to 42 U.S.C. Section 4950 to 5085 if less than the minimum wage pursuant to state or federal law, whichever is greater, including:

(a) Volunteers in Service to America (VISTA);

(b) foster grandparents;

(d) Seniors Companion Program of AmeriCorps Seniors;

(19) payment from the department for:

(a) child foster care; or

(b) adult foster care;

(20) energy assistance payment made pursuant to:

(a) the Low Income Home Energy Assistance Program (LIHEAP) pursuant to 42 U.S.C. Section 8621; or

(b) other energy assistance payment made to an energy provider or provided in-kind;

(21) the principal of a verified loan;

(22) up to twelve thousand dollars to Aleuts and twenty thousand dollars to an individual of Japanese ancestry for payment made by the United States Government to compensate for a hardship experienced during World War II;

(23) the advance payment or refund of earned income tax credit;

(24) payment made from the Agent Orange Settlement Fund;

(25) payment made from the Radiation Exposure Compensation Trust Fund;

(26) up to two thousand dollars per year of income received by individual Native Americans denied from a lease or other use of individually owned trust or restricted lands;

(27) payment made to an individual because of the individual's status as a victim of Nazi persecution;

(28) income received from temporary employment from the United States Department of Commerce, Bureau of the Census;

(29) a payment received from the National Tobacco Growers Settlement Trust;

(30) a Tobacco Loss Assistance Program payment pursuant to 7 C.F.R. Section 1463;

(31) a payment received from a crime victim compensation program according to the Antiterrorism and Effective Death Penalty Act of 1996 pursuant to 34 U.S.C. Section 20102(c);

(32) a payment made, pursuant to 38 U.S.C. Section 1815 by the Veteran's Administration, to children of female Vietnam veterans;

(33) a discount or subsidy provided to Medicare beneficiaries pursuant to 42 U.S.C. Section 1395w-141;

(34) any cash grant received by the applicant under the Department of State or Department of Justice Reception and Placement Programs pursuant to 45 C.F.R. Section 400.66(d);

(35) reimbursement payment for a vocational rehabilitation individual participating in Preparing Adults for Competitive Employment pursuant to 29 U.S.C. Section 723(a)(5);

(36) income or earnings from a program funded under the Workforce Innovation and Opportunity Act pursuant to 20 C.F.R. Parts 676-678 or 34 C.F.R. Part 361 or 463;

(37) waiver reimbursement in accordance with the South Carolina Medicaid Home and Community-Based Waiver program to a parent for the care of a child in the home; or

(38) Supplemental Security Income (SSI) for a child.

(E) Deductions from gross income include:

(a) actual, legally obligated child support payment made by the applicant or responsible adult to a

party not living in the family's residence; and

(b) operating costs to determine adjusted gross income from self-employment.

(F)(1) Gross income shall be computed by using a best estimate of income that may exist in the benefit month.

(2) The following method shall be used to calculate a best estimate of earned income other than earned self-employment:

(a) Cents shall:

(i) not be rounded to the nearest dollar before adding or multiplying hourly or daily earnings; and

(ii) be rounded to the nearest dollar before adding or multiplying weekly, biweekly, semimonthly, monthly, quarterly, or annual earnings.

(b) Unless it does not represent the ongoing situation, income from all pay periods in the preceding two calendar months shall be used.

(c) A monthly amount shall be determined by adding gross income from each pay period, dividing by the total number of pay periods considered, and converting the pay period figure to a monthly figure by multiplying a:

(i) weekly amount by four and one-third;

(ii) biweekly amount by two and one-sixth; or

(iii) semimonthly amount by two.

(d) If income has recently begun and the applicant or recipient has not received a calendar month of earned income, the anticipated monthly income shall be computed by:

(i) multiplying the:

(A) hourly rate by the estimated number of hours to be worked in a pay period; or

(B) daily rate by the estimated number of days to be worked in the pay period;

(ii) converting the resulting pay period figure to a monthly amount pursuant to subitem (c)(3); and

(iii) rounding to the nearest dollar.

(3) For a case with unearned income, other than unearned self-employment income, a monthly

amount shall be determined by:

(a) using the gross monthly amount of continuing, stable unearned income received on a monthly basis; and

(b) averaging the amount of unstable unearned income received in the three prior calendar months, unless it does not represent the ongoing situation.

(4) For a case with self-employment income, a monthly amount shall be determined as follows:

(a) If the self-employment enterprise has been in operation for at least a year, the income shall be prorated by dividing the income from the last calendar year by twelve.

(b) If the self-employment enterprise has been in operation for less than a year, the income shall be prorated by dividing by the number of months the business has been in existence.

(i) rounding the total gross income to the nearest dollar;

(ii) rounding the total amount of allowable expenses to the nearest dollar;

(iii) dividing total gross income and total amount of allowable expenses separately by twelve or the appropriate number of months, and rounding the quotients to the nearest dollar; and

(iv) subtracting the rounded monthly allowable expense quotient from the rounded monthly gross income quotient.

(5) If the department becomes aware of a change in circumstance, the best estimate shall be recalculated.

Section 63-13-1460. (A) A child is eligible to receive CCAP if the child:

(1) resides with an applicant who:

(a) receives child protective or preventive services; or

(b) needs to receive child protective or preventive services based upon an assessment conducted by child protective services' staff pursuant to Chapter 7 of this title; and

(2) meets the requirements listed in Section 63-13-1430.

(B) A child must be approved for childcare assistance by the department in accordance with subsection (A) without a separate application, as an integral part of:

(1) a protective or preventive services plan in accordance with Chapter 7 of this title;

(2) an assessment in accordance with Chapter 7 of this title;

(3) an aftercare plan in accordance with Chapter 7 of this title; or

(4) services offered to a relative or fictive kin caregiver in accordance with Chapter 7 of this title.

(C) The department shall waive the family copayment required by Section 63-13-1470 for a child who participates in CCAP as a result of child protective services authorization for either protective or preventive CCAP.

Section 63-13-1470. (A) Unless a family copayment has been waived in accordance with Section 63-13-1460(C), a family of a child served by the CCAP is responsible for a copayment in accordance with the family copayment table in subsection (C).

(B) If a court orders a parent of a CCAP-eligible child to pay a portion of the child's childcare expenses, the court-ordered payment is in lieu of the family copayment required by subsection (C).

(C)(1) The department or its designee shall determine a copayment that a family must pay to the childcare operator for the cost of childcare, based on the following table:

12	CCAP Daily Copayment Chart
13 14 15 16 17	Gross Monthly Income Range ($)		Household (HH) of 2	HH of 3		HH of 4		HH of 5	HH of 6	Deduct $1 for each additional household member over age 6, with 0 being the lowest
18	0	1599.99	$0		$0	$0	$0		$0	$0
19	1,600	1,899.99	$4		$3	$2	$1		$0	$0
20	1,900	2,199.99	$5		$4	$3	$2		$1	$0
21	2,200	2,499.99	$6		$5	$4	$3		$2	$1
22	2,500	2,799.99	$7		$6	$5	$4		$3	$2
23	2,800	3,099.99	$8		$7	$6	$5		$4	$3
24	3,100	3,399.99	$9		$8	$7	$6		$5	$4
25	3,400	3,699.99	$10		$9	$8	$7		$6	$5
26	3,700	3,999.99	$11		$10	$9	$8		$7	$6
27	4,000	4,299.99	$12		$11	$10	$9		$8	$7
28	4,300	4,599.99	$13		$12	$11	$10		$9	$8
29	4,600	4,899.99	$14		$13	$12	$11		$10	$9
30	4,900	5,199.99	$15		$14	$13	$12		$11	$10
31	5,200	5,499.99	$16		$15	$14	$13		$12	$11
32	5,500	5,799.99	$17		$16	$15	$14		$13	$12
33	5,800	6,099.99	$18		$17	$16	$15		$14	$13
34	6,100	6,399.99	$19		$18	$17	$16		$15	$14
35	6,400	6,699.99	$20		$19	$18	$17		$16	$15

1	6,700	6,999.99	$21	$20	$19	$18	$17	$16
2	7,000	7,299.99	$22	$21	$20	$19	$18	$17
3	7,300	7,599.99	$23	$22	$21	$20	$19	$18
4	7,600	7,899.99	$24	$23	$22	$21	$20	$19
5	7,900	8,199.99	$25	$24	$23	$22	$21	$20
6 7	For every $300 over $8,199.99, add $1 to the HH size amount

(2) The maximum copayment for an eligible family with more than five members is twenty-five dollars.

(3) In accordance with 45 C.F.R. Section 98.21, a copayment for an eligible family shall:

(a) be determined at initial application or recertification; and

(b) not increase during the twelve-month eligibility period.

Section 63-13-1480. (A) Continued eligibility under the CCAP must be recertified at least every twelve months.

(B) Eligibility must be reviewed at each twelve-month recertification for a child who is placed with a relative or fictive kin caregiver. A child who is placed with a relative or fictive kin caregiver remains eligible pursuant to Section 63-13-1460 for as long as the department determines that childcare is necessary in order to prevent child maltreatment or entry into the foster care system.

(1) continue for twelve months unless a nontemporary circumstance is reported, including:

(a) a change in income, with income exceeding eighty-five percent of South Carolina's SMI;

(b) the end of a recipient's eligible activity; or

(2) be readjusted to twelve months from the date of the reported change or verification of a new child in the household.

(D) Unless a nonrelative is approved as fictive kin pursuant to Chapter 7 of this title, and Section 63-13-1460, a nonrelative who is acting in loco parentis for a child must be required to show proof of efforts to seek permanent custody of the child or adopt the child as a condition of continued eligibility for CCAP.

(E) In accordance with 42 U.S.C. Section 9858c(c)(2)(N), if a family's income does not exceed eighty-five percent of South Carolina's SMI, the family remains eligible for CCAP until recertification in accordance with this section.