The childcare bills that failed to make it across the finish line in 2026

Last month, New Hampshire legislators took their final regular session vote, marking the end of the state’s 2026 legislative session. While a handful of childcare-related bills are awaiting a final verdict from the governor, about half of the filed bills failed to make it to the end. 

So far, Gov. Kelly Ayotte has signed bills regarding retired kinship caregivers’ access to the state childcare scholarship program and the continuation of an underutilized child-to-teacher ratio waiver program. House Bill 1515, related to “funding for certain child care workforce programs,” went into law without her signature. Not yet at Ayotte’s desk are bills that would create a childcare tax credit for businesses (which the governor endorsed), a self-insurance program, and one that would simplify zoning laws for home-based and small childcare centers.  

At the start of the session in January, there was little consensus on which childcare bills should be the priority. Ayotte endorsed bills that created incentives for businesses to invest in childcare, while advocates and teachers favored bills that ensured better funding and communication from the Department of Health and Human Services. Legislators were also split: Some wanted more state dollars directed into childcare, while others were openly worried about the fiscal ramifications of doing so.

Here’s a look at some of the bills that didn’t make it to the finish line this session.

Sex offenders can still loiter near childcare facilities

Senate Bill 460 and House Bill 1239 were twin bills — the same bill just proposed in both chambers — that sought to make it harder for registered sex offenders to loiter around childcare facilities, schools, and other places where underage children congregate. The bills were proposed after providers and local police voiced concerns about a gap in state law that allowed offenders who “warrant alarm” to repeatedly return to a location even after being told to move along by police.

HB 1239 died first during a floor vote in the House of Representatives in mid-March due to concerns among legislators that the bill would be subject to an ongoing lawsuit between the American Civil Liberties Union of New Hampshire and the state. 

Last September, the ACLU filed a lawsuit alleging that New Hampshire’s current loitering law is unconstitutional and unfairly targets homeless people. HB 1239 sought to change the state’s loitering laws, making it illegal for registered sex offenders to loiter within 1,000 feet of where minor children congregate. Despite the bill coming at the request of the Department of Safety, it was voted inexpedient to legislate in a 201-134 vote. 

While the Senate approved its version of the bill, an amendment added by House lawmakers led to the proposal’s defeat during the “committee of conference” process in late May. 

Negotiators from both chambers debated which statute, sex offender or loitering, the bill should alter and ultimately could not come to an agreement. After a singular hour-long conference session, legislators failed to reach an agreement, and SB 460 was deemed dead. 

The childcare workforce grant funding saga continues

Since the state’s biennial budget passed last July, the funding source for a childcare workforce grant program has been in question. The workforce program would give grants to eligible childcare programs to help them recruit and retain employees amid a statewide decline in childcare providers. 

The budget stated that the Department of Health and Human Services should use Temporary Assistance for Needy Families, or TANF, funds for the program, so long as the federal government allows it. In October and throughout the legislative session, the federal Administration for Children and Families said that under federal statute, TANF dollars could not be used for the program. 

Legislators have been trying to solve the problem since then. Twin bills, Senate Bill 483 and House Bill 1566, sought to use $15 million in state general funds, the amount proposed in the budget, to fund the program if the federal government does not authorize using TANF dollars by July 1. The Senate tabled SB 483 for “financial reasons” in March. 

The House Finance Committee amended HB 1566 to direct the department to go back to the Administration for Children and Families and “seek clarification” about its stance on using TANF funds and request a waiver to do so. It also repealed the requirement that the department include funding for certain childcare workforce programs in its biennial budget request. It passed the House but was tabled in the Senate, also for financial reasons, after a proposal to send the bill to interim study.

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Funding for the program remains up in the air. Despite the decision from the federal government, there is still disagreement about whether TANF can be used and if the state is required to give childcare programs the money allocated to them in the budget, regardless of the source. The issue has also reached the Executive Council, where one councilor questioned the Health and Human Services commissioner about why the program has not yet been funded. Even if TANF funds were to be approved, state officials have expressed concerns about tapping the low remaining balance in TANF.

No cash for DHHS system improvements or more scholarship eligibility

Two bills that would invest more state dollars into childcare also failed to make it to Ayotte’s desk. 

House Bill 1720 would have given the Department of Health and Human Services $230,000 to upgrade NH Connections and the NH Electronic Application System, two websites that parents and programs use for the state childcare scholarship program. 

The money would have allowed the department to implement system changes to communicate in a timely manner with programs about a family’s scholarship application. Programs have complained about losing needed tuition revenue when they have an open slot for a child, but are waiting for state scholarship approval. System changes would have required a decision in less time and would have allowed providers to be updated on the status of an application in the approval process.  

The bill never made it out of the House and was tabled for financial reasons in March. 

Despite a last-minute salvage attempt during the committee of conference week, Senate Bill 645 also died. 

The bill would have increased income eligibility for the scholarship program from 85% of the state median income to 95%. It also proposed that the increase be paid for by a small percentage of the state’s alcohol and tobacco tax fund. 

The bill was tabled in March for financial reasons, but was amended by the Senate and added to House Bill 1584, an unrelated bill about allowing immunization exemptions and prescription drug costs, right before committees of conference began. Negotiators opted to remove that part of the bill from the version agreed upon in conference. 

Ayotte-endorsed on-site childcare tax credit never made it out

In her State of the State speech earlier this year, Ayotte endorsed a tax credit for businesses that create new childcare slots and another for businesses that create childcare on-site. While the former passed both chambers and is on its way to the governor’s desk, the latter was killed. 

Senate Bill 654 would have created a tax credit for businesses that offer childcare services to their employees within a quarter-mile of their facilities. The credit would have been against the business profits tax, with businesses being eligible for up to a $100,000 credit each fiscal year. The bill also created a “parent hours” tax credit for businesses that allow employees with at least one child to work entirely during the hours of 9 a.m. to 3 p.m.

Like the majority of childcare bills this session, SB 654 died for financial reasons. It was tabled in March in its starting chamber, the Senate, and was not removed before the of the session. 

Lawmakers from both political parties spent the session talking about the importance of childcare for working families and the state’s economy. Republicans, who control the governor’s office and both chambers of the Legislature, cite the state’s financial situation for the lack of state investment.