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HB 1018

TO CREATE THE STRONG FAMILIES ACT; AND TO CREATE AN INCOME TAX CREDIT FOR EMPLOYERS THAT PROVIDE PAID FAMILY AND MEDICAL LEAVE FOR CERTAIN EMPLOYEES.

2025 Regular Session Introduced by Andrew Collins and 2 co-sponsors

House Bill 1018 offers a 25% tax credit for employers providing at least four weeks of paid family leave, supporting employees during major life events like childbirth or illness.

Died in House Committee at Sine Die adjournment.
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WeVote Research Nonpartisan
Bill Summary · HB 1018

Summary of House Bill 1018: The Strong Families Act

Purpose and Intent

House Bill 1018, titled the Strong Families Act, aimed to establish an income tax credit for employers who provide paid family and medical leave to certain employees. The bill sought to encourage businesses to support their employees during significant life events, such as childbirth, adoption, or serious health conditions affecting themselves or family members.

Key Provisions

The bill proposed several important provisions:

  • Definition of Family and Medical Leave:

    • Leave taken for:
    • A serious health condition of the employee.
    • The birth or adoption of a child.
    • The care of a child, spouse, or parent with a serious health condition.
    • Exclusions included earned sick leave, annual leave, or compensatory leave.

  • Eligibility for Employers:

    • Employers must provide:
    • At least four weeks of paid family and medical leave for full-time employees over a twelve-month period.
    • A pro-rated amount for part-time employees.
    • Leave in the smallest increment allowed by their payroll system.
    • A written policy that complies with the act.

  • Tax Credit Details:

    • The tax credit would be 25% of wages paid to a qualified employee during their leave, capped at $4,000 per employee per year.
    • The maximum duration for which the credit could be claimed was twelve weeks of leave in a twelve-month period.
    • The credit was non-refundable and could not exceed the employer's tax liability.

  • Effective Date:

    • The provisions of the act were set to take effect for tax years beginning on or after January 1, 2025.

Impact

  • Employers: The bill was designed to incentivize employers to offer paid family and medical leave, potentially improving employee retention and satisfaction.
  • Employees: Qualified employees would benefit from financial support during critical life events, promoting family well-being.
  • Fiscal Impact: The estimated reduction in general revenue for FY2026 was projected at $850,000, based on scaled estimates from federal tax credits.

Procedural Aspects

  • Legislative Journey:
    • Introduced on November 20, 2024.
    • The bill underwent several readings and amendments, including the adoption of Amendment No. 1 on January 16, 2025.
    • Ultimately, the bill died in the House Committee at Sine Die adjournment on May 5, 2025.

Conclusion

While HB 1018 aimed to provide significant support for families and encourage employers to adopt more flexible leave policies, it did not advance through the legislative process. The proposed tax credit and associated provisions reflect ongoing discussions about work-life balance and employee support in the workplace.

Compiled from official sources — confirm details with the bill’s official record.

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