HB1132 enacts a childcare assistance program to allow certain childcare workers to qualify for help with their own childcare costs. Employees who work at least 30 hours per week at licensed or registered daycare programs and whose household income is at or below 300 percent of the federal poverty level can qualify, and their household income will not be counted when determining eligibility. The law also updates rules for program administration, funding, and oversight.
The South Dakota State Senate passed HB1132 on March 4, 2025 by a vote of 20 to 14. We have assigned pluses to the nays because rather than promoting personal responsibility and a limited government role in the economy, HB1132 props up a specific industry—childcare—through taxpayer-funded subsidies and expanding government welfare. By excluding the household income of applicants from eligibility calculations, the program artificially qualifies more recipients, further distorting the market. A truly free and constitutional system would allow the private sector to respond to childcare needs without state interference or redistribution schemes that pick winners and losers.
