$2.5-Billion Child-Care Bill May Pass as Part of Tax Plan
Key House and Senate sponsors said Thursday that they had reached agreement on a new $2.5-billion grant program for child-care assistance, apparently breaking a months-long deadlock over the issue.
Differences remained over additional elements, including an expansion of tax credits for low-income families. But congressional sponsors said those differences would be resolved and the program will be incorporated in the pending deficit-reduction tax package.
The agreement calls for establishment of a new program of block grants to the states to provide direct assistance to low-income families for child care and support to schools and community agencies that provide child care.
The Senate passed a first version of the bill a year ago, and the House approved a more ambitious bill earlier this year.
Sen. Christopher J. Dodd (D-Conn.) told reporters that final negotiations had gained the support of House leaders for the child-care agreement he worked out with Bush Administration officials earlier this month.
Still to be worked out, however, were details of a roughly $13-billion expansion of the earned income tax credit sought by congressional tax writers.
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