Illinois Code § 325 ILCS 3/20-45

Home child care demonstration project; conversion and renovation grants; Department of Early Childhood.
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(a) The General Assembly finds that the demand for quality child care far outweighs the number of safe, quality spaces for our children. The purpose of this Section is to increase the number of child care providers by:
 
 
(1) developing a demonstration project to train 
 
individuals to become home child care providers who are able to establish and operate their own child care facility; and
 
 
(2) providing grants to convert and renovate existing 
 
facilities.
 
(b) On and after July 1, 2026, the Department of Early Childhood may from appropriations from the Child Care Development Block Grant establish a demonstration project to train individuals to become home child care providers who are able to establish and operate their own home-based child care facilities. On and after July 1, 2026, the Department of Early Childhood is authorized to use funds for this purpose from the child care and development funds deposited into the DHS Special Purposes Trust Fund as described in Section 12-10 of the Illinois Public Aid Code or deposited into the Employment and Training Fund as described in Section 12-10.3 of the Illinois Public Aid Code. As an economic development program, the project's focus is to foster individual self-sufficiency through an entrepreneurial approach by the creation of new jobs and opening of new small home-based child care businesses. The demonstration project shall involve coordination among State and county governments and the private sector, including but not limited to: the community college system, the Departments of Labor and Commerce and Economic Opportunity, the State Board of Education, large and small private businesses, non-profit programs, unions, and child care providers in the State.
 
(c) On and after July 1, 2026, the Department of Early Childhood may from appropriations from the Child Care Development Block Grant provide grants to family child care providers and center based programs to convert and renovate existing facilities, to the extent permitted by federal law, so additional family child care homes and child care centers can be located in such facilities.
 
 
(1) Applications for grants shall be made to the 
 
Department and shall contain information as the Department shall require by rule. Every applicant shall provide assurance to the Department that:
 
 
 
(A) the facility to be renovated or improved 
 
 
shall be used as family child care home or child care center for a continuous period of at least 5 years;
 
 
 
(B) any family child care home or child care 
 
 
center program located in a renovated or improved facility shall be licensed by the Department;
 
 
 
(C) the program shall comply with applicable 
 
 
federal and State laws prohibiting discrimination against any person on the basis of race, color, national origin, religion, creed, or sex;
 
 
 
(D) the grant shall not be used for purposes of 
 
 
entertainment or perquisites;
 
 
 
(E) the applicant shall comply with any other 
 
 
requirement the Department may prescribe to ensure adherence to applicable federal, State, and county laws;
 
 
 
(F) all renovations and improvements undertaken 
 
 
with funds received under this Section shall comply with all applicable State and county statutes and ordinances including applicable building codes and structural requirements of the Department; and
 
 
 
(G) the applicant shall indemnify and save 
 
 
harmless the State and its officers, agents, and employees from and against any and all claims arising out of or resulting from the renovation and improvements made with funds provided by this Section, and, upon request of the Department, the applicant shall procure sufficient insurance to provide that indemnification.
 
 
(2) To receive a grant under this Section to convert 
 
an existing facility into a family child care home or child care center facility, the applicant shall:
 
 
 
(A) agree to make available to the Department all 
 
 
records it may have relating to the operation of any family child care home and child care center facility, and to allow State agencies to monitor its compliance with the purpose of this Section;
 
 
 
(B) agree that, if the facility is to be altered 
 
 
or improved, or is to be used by other groups, moneys appropriated by this Section shall be used for renovating or improving the facility only to the proportionate extent that the floor space will be used by the child care program; and
 
 
 
(C) establish, to the satisfaction of the 
 
 
Department, that sufficient funds are available for the effective use of the facility for the purpose for which it is being renovated or improved.
 
 
(3) In selecting applicants for funding, the 
 
Department shall make every effort to ensure that family child care home or child care center facilities are equitably distributed throughout the State according to demographic need. The Department shall give priority consideration to rural/Downstate areas of the State that are currently experiencing a shortage of child care services.
 
 
(4) In considering applications for grants to 
 
renovate or improve an existing facility used for the operations of a family child care home or child care center, the Department shall give preference to applications to renovate facilities most in need of repair to address safety and habitability concerns. No grant shall be disbursed unless an agreement is entered into between the applicant and the State, by and through the Department. The agreement shall include the assurances and conditions required by this Section and any other terms which the Department may require.

individuals to become home child care providers who are able to establish and operate their own child care facility; and
facilities.
Department and shall contain information as the Department shall require by rule. Every applicant shall provide assurance to the Department that:
shall be used as family child care home or child care center for a continuous period of at least 5 years;
center program located in a renovated or improved facility shall be licensed by the Department;
federal and State laws prohibiting discrimination against any person on the basis of race, color, national origin, religion, creed, or sex;
entertainment or perquisites;
requirement the Department may prescribe to ensure adherence to applicable federal, State, and county laws;
with funds received under this Section shall comply with all applicable State and county statutes and ordinances including applicable building codes and structural requirements of the Department; and
harmless the State and its officers, agents, and employees from and against any and all claims arising out of or resulting from the renovation and improvements made with funds provided by this Section, and, upon request of the Department, the applicant shall procure sufficient insurance to provide that indemnification.
an existing facility into a family child care home or child care center facility, the applicant shall:
records it may have relating to the operation of any family child care home and child care center facility, and to allow State agencies to monitor its compliance with the purpose of this Section;
or improved, or is to be used by other groups, moneys appropriated by this Section shall be used for renovating or improving the facility only to the proportionate extent that the floor space will be used by the child care program; and
Department, that sufficient funds are available for the effective use of the facility for the purpose for which it is being renovated or improved.
Department shall make every effort to ensure that family child care home or child care center facilities are equitably distributed throughout the State according to demographic need. The Department shall give priority consideration to rural/Downstate areas of the State that are currently experiencing a shortage of child care services.
renovate or improve an existing facility used for the operations of a family child care home or child care center, the Department shall give preference to applications to renovate facilities most in need of repair to address safety and habitability concerns. No grant shall be disbursed unless an agreement is entered into between the applicant and the State, by and through the Department. The agreement shall include the assurances and conditions required by this Section and any other terms which the Department may require.
(325 ILCS 3/Art. 80 heading)
 

ARTICLE 80. 
 
TRANSITION PROVISIONS

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