HB2856 - 572R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, section 8-1195, Arizona Revised Statutes, is amended to read:

START_STATUTE8-1195. Executive director compensation; duties; regional and board staff; central office; expenditure of funds

A. The board shall appoint and set the compensation of the executive director.

B. The executive director is responsible for managing, administering and supervising the activities of the board's staff, including regional directors and staff hired pursuant to section 8-1163.

C. The executive director shall appoint and set the compensation of:

1. Regional directors and staff as authorized by the board pursuant to section 8-1163.

2. Additional board staff necessary to perform the duties specified by this chapter.

D. The executive director, regional directors, regional staff and other board staff are eligible to receive compensation pursuant to section 38-611 and are public employees for purposes of title 38. Their compensation may only be paid from the administrative costs account established by section 8-1181.

E. The executive director shall establish, equip and maintain a central office and such field offices as the executive director deems necessary, except that the executive director shall share offices and staff with the department of early childhood education established by section 15-281 to the greatest extent possible.

F. The executive director or his designee shall authorize all expenditures of money under this chapter, which shall be paid as other claims against this state out of the early childhood development and health fund established by section 8-1181. END_STATUTE

Sec. 2. Title 15, chapter 2, Arizona Revised Statutes, is amended by adding article 4.1, to read:

ARTICLE 4.1. DEPARTMENT OF EARLY CHILDHOOD EDUCATION

START_STATUTE15-281. Department; director; appointment; compensation

A. The department of early childhood education is established.

B. The governor shall appoint a director of the department pursuant to section 38-211. The direction, operation and control of the department are the responsibility of the director, who serves at the pleasure of the governor.

C. The director shall receive compensation as determined pursuant to section 38-611. END_STATUTE

START_STATUTE15-282. Powers and duties

Notwithstanding any other law, the department of early childhood education shall:

1. Establish and administer a voluntary early learning institution certification program.

2. Provide training for certified early learning institutions.

3. Enter into a memorandum of understanding with the department of public safety to create a priority channel for processing fingerprint clearance card applications for childcare workers and reduce processing times for the private sector.

4. Develop and maintain an online platform that enables business owners to do any of the following:

(a) Apply for an initial license or license renewal pursuant to title 36, chapter 7.1.

(b) Manage subsidy payments and reimbursements pursuant to title 46, chapter 7.

(d) Submit any reports or documentation required to demonstrate compliance with legal requirements, including compliance with requirements relating to the voluntary early learning institution certification program established pursuant to section 15-283.

5. Coordinate with other public bodies to avoid duplicate inspections relating to the same safety or facility standards.

6. Serve as the primary strategic partner for the early childhood development and health board established by title 8, chapter 13.

7. Coordinate with the early childhood development and health board to avoid duplicating services. END_STATUTE

START_STATUTE15-283. Early learning; academic standards; institutions; certification program

A. The state board of education shall adopt academic standards and prescribe minimum competency requirements for children who are at least three years of age but not more than five years of age and that include all of the following:

1. Age-appropriate instruction in science, technology, engineering and mathematics concepts.

2. Phonics and pre-reading skills that are essential for entry into a kindergarten program.

3. Classroom behavior and peer interaction skills.

B. Notwithstanding any other law, the department of early childhood education shall Establish and administer a voluntary early learning institution certification program. The department shall:

1. Exercise general supervision over and regulate certified early learning institutions.

2. Annually audit each certified early learning institution to verify that that certified early learning institution is both:

(a) Using state monies for only educational purposes.

(b) Meeting or exceeding the minimum competency requirements prescribed by the state board of education pursuant to subsection A of this section.

3. If a certified early learning institution fails to meet the minimum competency requirements prescribed by the state board of education pursuant to subsection A of this section, the department shall either:

(a) PLACE the certified early learning institution on probation.

(b) Revoke the certification.

C. A person may apply to be certified as an early learning institution by submitting an application to the department of early childhood education in a form and manner prescribed by the department. The department may approve an application submitted pursuant to this subsection only if the applicant meets all of the following requirements:

1. Is licensed pursuant to title 36, chapter 7.1 and in good standing.

2. Prescribe curricula requirements that include the academic standards adopted by the state board of education pursuant to subsection A of this section.

D. Notwithstanding any other law, a certified early learning institution is eligible for the same educational grants, tax credits and streamlined zoning privileges for which public schools are eligible. END_STATUTE

Sec. 3. Section 36-881, Arizona Revised Statutes, is amended to read:

START_STATUTE36-881. Definitions

In this article, unless the context otherwise requires:

1. "Child" means any person through the age of fourteen years. Child also means a person who is under eighteen years of age if the child has a developmental disability as defined in section 36-551 or has at least one of the disabilities listed in section 15-761, paragraph 2 and requires special education as defined in section 15-761.

2. "Child care" means the care, supervision and guidance of a child or children, unaccompanied by a parent, guardian or custodian, on a regular basis, for periods of less than twenty-four hours per day, in a place other than the child's or the children's own home or homes.

3. "Child care facility" means any facility in which child care is regularly provided for compensation for five or more children not related to the proprietor.

4. "Controlling person" means a person who:

(a) Through ownership, has the power to vote at least ten per cent percent of the outstanding voting securities.

(b) If the applicant or licensee is a partnership, is the general partner or a limited partner who holds at least ten per cent percent of the voting rights of the partnership.

(c) If the applicant or licensee is a corporation, an association or a limited liability company, is the president, the chief executive officer, the incorporator, an agent or any person who owns or controls at least ten per cent percent of the voting securities.

(d) Holds a beneficial interest in ten per cent percent or more of the liabilities of the applicant or the licensee.

5. "Department" means the department of health services early childhood education established by section 15-281.

6. "Director" means the director of the department of health services.

7. "Person" means an individual, partnership, corporation, limited liability company, association, day nursery, nursery school, day camp, kindergarten, child care agency, school governing board, charter school or child care center that operates a child care facility.

8. "Substantial compliance" means that the nature or number of violations revealed by any type of inspection or investigation of an applicant for licensure or a licensed child care facility does not pose a direct risk to the life, health or safety of children. END_STATUTE

Sec. 4. Section 36-897, Arizona Revised Statutes, is amended to read:

START_STATUTE36-897. Definitions

In this article, unless the context otherwise requires:

1. "Child care group home" means a residential facility in which child care is regularly provided for compensation for periods of less than twenty-four hours per day for not less than five children but no more than ten children through the age of twelve years.

2. "Department" means the department of health services early childhood education established by section 15-281.

3. "Provider" means the certificate holder or a person the certificate holder designates in writing who, pursuant to applicable statutes and rules, is to be responsible for direct daily supervision, operation and maintenance of the child care group home.

4. "Substantial compliance" means that the nature or number of violations revealed by any type of inspection or investigation of an applicant for certification as a child care group home or a certified child care group home does not pose a direct risk to the life, health or safety of children. END_STATUTE

Sec. 5. Section 46-801, Arizona Revised Statutes, is amended to read:

START_STATUTE46-801. Definitions

In this chapter, unless the context otherwise requires:

1. "Caretaker relative" means a relative who exercises responsibility for the day-to-day physical care, guidance and support of a child who physically resides with the relative and who is by affinity or consanguinity or by court decree a grandparent, great-grandparent, sibling of the whole or half blood, stepbrother, stepsister, aunt, uncle, great-aunt, great-uncle or first cousin.

2. "Cash assistance" has the same meaning prescribed in section 46-101.

3. "Child" means a person who is under thirteen years of age.

4. "Child care" means the compensated service that is provided to a child who is unaccompanied by a parent or guardian during a portion of a twenty-four hour day.

5. "Child care assistance" means any money payments for child care services that are paid by the department and that are paid for the benefit of an eligible family.

6. "Child care home provider" means a person who is at least eighteen years of age, who is not the parent, guardian, caretaker relative or noncertified relative provider of a child needing child care and who is certified by the department to care for four or fewer children for compensation with child care assistance monies.

7. "Child care providers" means child care facilities licensed pursuant to title 36, chapter 7.1, article 1, child care group homes certified pursuant to title 36, chapter 7.1, article 4, child care home providers, in-home providers, noncertified relative providers and regulated child care on military installations or for federally recognized Indian tribes.

8. "Department" means the department of early childhood education established by section 15-281.

8. 9. "Eligible family" means citizens or legal residents of the United States or individuals who are otherwise lawfully present in the United States and who are parents, legal guardians or caretaker relatives with legal residence in this state and children in their care who meet the eligibility requirements for child care assistance.

9. 10. "Federal poverty level" means the poverty guidelines that are issued by the United States department of health and human services pursuant to section 673(2) of the omnibus budget reconciliation act of 1981 and that are reported annually in the federal register.

10. 11. "In-home provider" means a provider who is certified by the department to care for a child of an eligible family in the child's own home and is compensated with child care assistance monies.

11. 12. "Noncertified relative provider" means a person who is at least eighteen years of age, who provides child care services to an eligible child, who is by affinity or consanguinity or by court decree the grandparent, great-grandparent, sibling not residing in the same household, aunt, great-aunt, uncle or great-uncle of the eligible child and who meets the department's requirements to be a noncertified relative provider.

12. 13. "Parent" or "parents" means the natural or adoptive parents of a child. END_STATUTE

Sec. 6. Transfer; effect; succession

A. The department of early childhood education succeeds to the powers and duties of the following:

1. Child care licensing services in the department of health services.

2. The child care services program established by the department of economic security pursuant to title 46, chapter 7, Arizona Revised Statutes.

B. All matters, including contracts, orders and judicial or quasi-judicial actions. Whether completed or pending, of child care licensing services in the department of health services and the child care services program established by the department of economic security are transferred, on the effective date of this act, and maintain the same status with the department of early childhood education.

C. Rules adopted by the department of health services relating to licensing pursuant to title 36, chapter 7.1, Arizona Revised Statutes, or by the department of economic security relating to the child care services program established pursuant to title 46, chapter 7, Arizona Revised Statutes, are effective until superseded by rules adopted by the department of early childhood education.

D. All personnel, property, records, data and investigative findings, obligations and appropriated monies remaining unspent and unencumbered for child care licensing services in the department of health services and the child care services program established by the department of economic security are transferred to the department of early childhood education and may be used for the purposes of this act.

E. All certificates, licenses, registration, permits and other indicia of qualification and authority for child care licensing issued by the department of health services or the child care services program established by the department of economic security retain their validity for the duration of their terms of validity as provided by law.

Sec. 7. Conforming legislation

The legislative council staff shall prepare proposed legislation conforming the Arizona Revised Statutes to the provisions of this act for consideration in the fifty-eighth legislature, first regular session.

Sec. 8. Short title

This act may be cited as the "Arizona Early Childhood Efficiency and Modernization Act".

Sec. 9. Requirements for enactment; three-fourths vote

Pursuant to article IV, part 1, section 1, Constitution of Arizona, section 8-1195, Arizona Revised Statutes, as amended by this act, is effective only on the affirmative vote of at least three-fourths of the members of each house of the legislature.