H.R. 5363: Expanding Childcare in Rural America Act of 2025
Sponsor
Marie Perez
Democrat · WA-3
Bill Progress
Latest Action · Sep 15, 2025
Referred to the House Committee on Agriculture.
Rural childcare gets first dibs on USDA funding
Why it matters
For five years, from 2026 through 2030, childcare projects would move to the front of the line across six USDA rural lending and grant programs. There's no new money attached — just a reordering of who gets funded first in farm country, with extra weight given to farming-dependent counties.
H.R. 5363 sets up the Expanding Childcare in Rural America Initiative inside the USDA. For each year from 2026 through 2030, the Secretary of Agriculture would have to give priority to applicants who want to use a USDA loan or grant to improve the availability, quality, or cost of childcare in rural and farming communities.
There's no new grant fund and no dollar figure in the bill. Instead, childcare becomes a preferred use inside money USDA already hands out. That's the whole design — steer existing programs toward childcare rather than build a new one.
The priority runs through six existing USDA programs, including community facilities loans and grants, rural business development grants, business and industry loans, the rural microentrepreneur program, and the RISE grant program. A childcare project competing for any of those would get bumped up the list.
The bill points USDA toward farm country specifically. It tells the Secretary to give priority to communities in "farming-dependent counties," using the Economic Research Service's county typology codes, while still spreading the benefits across different regions so awards don't pile up in one place.
To qualify, a childcare provider has to be licensed, regulated, or registered where it operates and meet health and safety rules. USDA can also route money through intermediaries like community development financial institutions and nonprofit childcare networks, as long as they've proven they can build facilities, support providers, or raise private capital. And there's a clock: USDA has to evaluate the results within two years and report to the House and Senate Agriculture committees within three.
H.R. 5363 Bill Summary
What H.R. 5363 actually does.
Childcare moves to the front of the USDA line
The bill creates the Expanding Childcare in Rural America Initiative and, for each year from 2026 through 2030, requires USDA to give priority to applicants using its loans or grants to improve the availability, quality, or cost of childcare in rural and farming communities.
A priority, not a new grant pot
The bill doesn't authorize a new dollar amount or create a stand-alone fund. It makes childcare a preferred use inside programs USDA already operates, so the effect depends on how the agency allocates its existing dollars.
Priority runs through six existing programs
Childcare projects would get priority within six USDA programs: essential community facilities loans and grants, technical assistance and training grants, rural business development grants, business and industry direct and guaranteed loans, the rural microentrepreneur assistance program, and the RISE grant program.
Farm-dependent counties get first look
The Secretary must prioritize communities in farming-dependent counties, identified through the Economic Research Service's 2015 county typology codes, while ensuring a balanced geographic spread so awards aren't concentrated in one region.
Funding can flow through intermediaries
USDA may make awards through childcare resource and referral organizations, staffed family child care networks, community development financial institutions, and nonprofit networks — but only those with proven expertise in building facilities, assisting providers, or securing private capital financing.
A two-year evaluation and three-year report
USDA must complete a comprehensive quantitative and qualitative evaluation within two years of enactment and report the results to the Senate Committee on Agriculture, Nutrition, and Forestry and the House Committee on Agriculture within three years.
Who benefits from H.R. 5363?
Rural families with kids in kindergarten or younger
Parents raising young children in farm country, where open childcare slots can be scarce. The initiative targets the availability, quality, and cost of care for exactly this group.
Communities in farming-dependent counties
Farm-reliant counties, identified by the Economic Research Service's typology codes, move closer to the front of the line for USDA-backed childcare projects.
Rural childcare providers
Licensed, regulated, or registered providers that meet health and safety rules could find it easier to tap USDA capital and technical support through six programs over five years.
Childcare-focused lenders and nonprofits
Community development financial institutions, childcare resource and referral organizations, staffed family child care networks, and nonprofit networks could win awards to finance facilities and support providers.
Who is affected by H.R. 5363?
Secretary of Agriculture and USDA rural development staff
They would have to stand up the initiative, apply the childcare priority across six programs for fiscal years 2026 through 2030, balance it geographically, evaluate the results within two years, and report to Congress within three.
Other applicants to these USDA programs
Organizations competing for the same six programs face a changed playing field, since childcare proposals would be moved up the priority list.
States, territories, and Indian Tribes that license providers
Their licensing and registration systems become the gatekeeper, since a provider qualifies partly by being licensed, regulated, or registered where it operates and meeting applicable health and safety requirements.
House and Senate Agriculture committees
They would receive USDA's report within three years of enactment and use it to decide whether to expand, change, or end the initiative.
HR5363 Legislative Journey
House: Committee Action
Sep 15, 2025
Referred to the House Committee on Agriculture.
About the Sponsor
Marie Perez
Democrat, Washington's 3rd congressional district · 3 years in Congress
Committees: Appropriations
View full profile →
Cosponsors (5)
This bill has 5 cosponsors: 3 Democrats, 2 Republicans, reflecting bipartisan support. Cosponsors represent 4 states: Illinois, Indiana, Kansas, and 1 more.
Committee Sponsors
Agriculture Committee
4 of 53 committee members cosponsored
22 Democrats across this committee haven't cosponsored yet. Mobilize their constituents
H.R. 5363 Quick Facts
- Committee
- Agriculture
- Chamber
- House
- Policy
- Agriculture and Food
- Introduced
- Sep 15, 2025
Referred to the House Committee on Agriculture.
Sep 15, 2025
Official Sources
Official bill page with text, actions, sponsors, and status for the Expanding Childcare in Rural America Act of 2025.
One of the six USDA programs the bill would direct the Secretary to prioritize for childcare-related rural projects.
This official USDA program page covers another named funding stream that would give priority to childcare proposals under the bill.
The bill specifically includes the Business and Industry direct and guaranteed loan program among the USDA authorities subject to childcare priority.
RMAP is expressly listed in the bill as one of the six existing USDA programs where childcare-related applications would move up in priority.
The bill tells USDA to prioritize communities in farming-dependent counties using the Economic Research Service county typology codes.
The bill's childcare definition cross-references the Child Care and Development Block Grant Act, which the HHS Office of Child Care administers, for what counts as an eligible childcare provider.
H.R. 5363 Common Questions
What does H.R. 5363 actually do?
It sets up the Expanding Childcare in Rural America Initiative and tells the USDA to give childcare projects priority across six of its rural loan and grant programs, for each year from 2026 through 2030.
Does H.R. 5363 add new childcare funding?
No. The bill doesn't create a new grant fund or set a dollar amount. It makes childcare a priority use inside USDA programs that already exist, so the money comes from current program budgets.
Which USDA programs would prioritize rural childcare under H.R. 5363?
Six of them: community facilities loans and grants, technical assistance and training grants, rural business development grants, business and industry loans, the rural microentrepreneur program, and the RISE grant program.
How long would the childcare priority last under H.R. 5363?
Five years. USDA would prioritize childcare-related loans and grants for each of fiscal years 2026 through 2030.
Which communities get priority for the funding?
Farm country gets first look. USDA must prioritize communities in farming-dependent counties, identified by the Economic Research Service's county typology codes, while still spreading awards across different regions.
What counts as childcare under H.R. 5363?
Programs offering quality care and early education for kids in kindergarten or younger, including school-based programs and the facilities and services that go with them.
Which childcare providers can qualify under H.R. 5363?
Providers that are licensed, regulated, or registered where they operate — including by a state, territory, or Indian Tribe — and that meet applicable health and safety requirements.
When would we know if the rural childcare initiative is working?
USDA has to complete a comprehensive evaluation within two years of enactment and report the results to the House and Senate Agriculture committees within three years.
Based on H.R. 5363 bill text
H.R. 5363 Bill Text
“To authorize the Secretary of Agriculture to carry out an initiative to develop, expand, and improve rural childcare, and for other purposes.”
Source: U.S. Government Publishing Office
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