Colorado lawmakers kill bill that would have imposed new regulations on private-equity-owned day cares
House Bill 1011 would have required daycare chains to be more transparent about pricing and to notify parents prior to layoffs. But opponents said it'll discourage operators from opening up centers.
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The Colorado Senate rejected a bill Tuesday that would’ve imposed the state’s first regulations on investor-owned daycares.
This story was produced as part of the Colorado Capitol News Alliance. It first appeared at kunc.org.
Centers owned by private equity or institutional investment firms would’ve had to post their prices online and notify parents before laying off staff.
State Sen. Scott Bright, a Platteville Republican who owns two daycare centers, said the rules would discourage operators from opening in Colorado.
“This bill, House Bill 1011, I promise you will reduce childcare supply and will increase childcare costs,” Bright said. “Guarantee it. I’ve seen it every single time, and I’ve been in this business for 35 years.”
The bill was just one more House vote away from being sent to Gov. Jared Polis when it was killed by the Senate.
Opponents argued investor-owned facilities tend to outperform mom-and-pop centers because they have more resources. They also said a requirement to post rates would make it hard for operators to scale their pricing.
Investor-owned daycares operating in Colorado include KinderCare, the Primrose School and Everbrook Academy.
This story was produced by the Capitol News Alliance, a collaboration between KUNC News, Colorado Public Radio, Rocky Mountain PBS and The Colorado Sun, and shared with Rocky Mountain Community Radio and other news organizations across the state. Funding for the Alliance is provided in part by the Corporation for Public Broadcasting.
