H.R. 7203: CHIPS Child Care Act
This bill, known as the CHIPS Child Care Act, proposes to establish a grant program aimed at supporting individuals participating in semiconductor-related workforce programs by improving access to child care services. Here are the main elements of the bill:
Grant Program
The bill allows the Secretary of Labor to award grants to states on a competitive basis. The funds are intended to:
- Provide monthly stipends to child care providers for individuals engaged in semiconductor workforce programs, or in apprenticeship programs related to construction projects in semiconductor manufacturing.
- Help child care providers in areas of significant investment in semiconductor manufacturing to enhance their facilities through construction, renovation, or expansion.
Grant Period and Application
Grants will be awarded for two years, with funds distributed in equal amounts each year. States wishing to receive grants must submit an application detailing their plans for distributing stipends and how they intend to utilize the funds for improving child care facilities.
Use of Funds
States receiving grants are required to prioritize:
- Individuals with dependent children participating in relevant programs.
- Child care providers primarily serving low-income populations or those with limited capacity to serve children.
A minimum stipend of $500 per month per child is established for eligible participants. The bill also mandates that laborers involved in construction funded by these grants should be paid wages that meet or exceed local prevailing wages.
Reports
States must submit reports detailing the impact of the stipends on retention and completion rates within workforce programs, as well as how the funds were used to assist child care providers. The Secretary of Labor will also compile reports on these findings to evaluate the effectiveness of the grant program.
Tax and Eligibility Considerations
Stipend amounts received under this program will be excluded from federal taxable income and will not affect eligibility for any other federal assistance programs. The bill aims to ensure that these funds support, rather than replace, any wages earned while participating in semiconductor workforce programs.
Funding Authorization
The Act authorizes appropriations of $10 million for each of the fiscal years 2025 and 2026 to carry out its provisions, with a portion reserved for reporting and evaluation purposes.
Definitions and Scope
The bill defines key terms such as semiconductor, semiconductor manufacturing, and eligible child care providers in order to clarify the scope and application of the grant program.
Relevant Companies
- INTC (Intel Corporation) - As a major semiconductor manufacturer, Intel could be significantly impacted by this bill through the workforce programs that may help train future employees in semiconductor technologies.
- TSM (Taiwan Semiconductor Manufacturing Company) - TSMC may find benefits in the development of trained labor in the U.S. due to potential expansions in semiconductor manufacturing capabilities.
- AMD (Advanced Micro Devices) - AMD may also see impacts from a better-trained labor force that supports increased production capacity and innovation within the semiconductor sector.
This is an AI-generated summary of the bill text. There may be mistakes.
Sponsors
1 sponsor
Actions
2 actions
| Date | Action |
|---|---|
| Jan. 22, 2026 | Introduced in House |
| Jan. 22, 2026 | Referred to the Committee on Education and Workforce, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned. |
Corporate Lobbying
0 companies lobbying
None found.
* Note that there can be significant delays in lobbying disclosures, and our data may be incomplete.
