Signed! New Law Will Address High Cost of Child Care

SB25-004 improves transparency in application and waitlist fees for private child care centers

DENVER, CO – Legislation sponsored by Senators Janice Marchman, D-Loveland, and Faith Winter, D-Broomfield, and Representatives Jenny Willford, D-Northglenn, and Lorena García, D-Unincorporated Adams County, to address the high cost of child care was recently signed into law.

SB25-004 requires private child care centers to provide a transparent fee schedule upon registration, when joining a waitlist, or at the request of the family. The law also requires application or waitlist fees to be refundable after six months if the child is not admitted and remains on the waitlist. 

“The rising cost of child care is a significant hurdle for countless families across Colorado,” said Marchman. “By establishing clear guidelines for application and waitlist fees as well as deposits, we can provide tangible relief to working families. With application fees often exceeding $175 per child, these costs add up quickly and put unnecessary pressure on household budgets. This new law will ensure child care becomes more affordable and accessible, empowering more families to find the care they need without financial hardship.”

“It’s expensive to raise children in 2025, and families shouldn’t have to shell out thousands of dollars on waitlist fees and deposits for child care centers that don’t even offer their child a spot,” said Willford. “This bill allows families to recover some of the fees associated with the application and waitlist processes to save hardworking families money on child care. Colorado Democrats are committed to making our state a more affordable place to live, and this legislation is one of the many steps we’re taking to save Coloradans money.”

“The lack of transparency on child care fees burdens families with unexpected expenses,” said Winter. “I hear from so many parents in my community that they are struggling to find child care. Limiting waitlist fees and adding transparency to application fees on child care center websites and forms reduces financial uncertainty and helps parents make informed decisions about what’s best for them.” 

“Families shouldn’t have to budget for thousands of dollars worth of child care deposit and waitlist fees,” said García. “It can be difficult to clear a child care waitlist, which is why some families are spending thousands of dollars on numerous child care deposits and waitlists despite the uncertainty of whether or not their application will be accepted. Our legislation allows families to receive a refund for fees and deposits if they are not offered enrollment within six months, allowing families to save their hard-earned money.”

These requirements apply to private child care programs outside the Universal Preschool Program, Colorado Child Care Assistance Program, and Head Start. A center may charge a deposit, but if admitted, the deposit must go towards tuition of child care.