Overview: HR 4330 - To amend the Internal Revenue Code of 1986 to establish the Early Childhood Education Trust Fund consisting of amounts paid for the estate tax and made available to fund child care services, and for other purposes.
Purpose and Intent: The primary purpose of this bill is to create a dedicated funding source for early childhood education and child care services by establishing the Early Childhood Education Trust Fund. The goal is to improve access to affordable, high-quality care and education for young children across the United States.
Key Provisions:
- Amends the Internal Revenue Code to create the Early Childhood Education Trust Fund, funded by a portion of the estate tax revenue
- Directs the Secretary of the Treasury to transfer a percentage of estate tax receipts (not to exceed 50%) into the Trust Fund on an annual basis
- Authorizes the use of Trust Fund monies to provide grants to states, local governments, and nonprofit organizations for the expansion and improvement of child care and early learning programs
- Requires the Department of Health and Human Services to develop and implement a national strategy to increase the availability and affordability of child care services
- Provides tax credits and other financial incentives to encourage businesses to offer on-site child care for their employees
Affected Parties and Impacts: This bill would primarily benefit young children and their families by improving access to affordable, high-quality early childhood education and care. It would also support child care providers, early learning centers, and businesses that offer child care services to their employees.
Procedural and Timeline Considerations: HR 4330 was introduced in the House of Representatives on July 10, 2025 and is currently in the early stages of the legislative process.
