Rep. Von Haefen files bill in North Carolina House to lower child care copayments

A new bill filed by State Rep. Julie von Haefen in the North Carolina House seeks to lower families’ financial burden for subsidized child care, according to the North Carolina State House.

The bill, filed as HB 1160 on April 30 during the 2025 regular session, was formally listed with the short title: ‘Reduce Parent Copays/Child Care Subsidy/Funds.’

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill lowers required parent copayments for subsidized child care by reducing the maximum share of gross family income from 10% to 7%, beginning Oct. 1, 2026. It keeps existing rules that copayments at the blended rate equal 83% of the full-time copayment and that copayments for part-time care equal 75% of the full-time copayment. The bill appropriates $25 million in recurring General Fund money starting in the 2026-27 fiscal year to fund the reduced copayments. The act takes effect July 1, 2026.

Of the four sponsors of this bill, Lindsey Prather proposed the most bills (48) during the 2025 regular session.

Bills in North Carolina follow a multi-step process before becoming law. A lawmaker starts by filing a bill, which is assigned to a committee for review. The bill must be read three times in each chamber. If one chamber changes the bill after the other passes it, both must agree on the final version. Once both chambers approve the same bill, it goes to the governor, who has 10 days (or 30 if the legislature is not in session) to sign, veto, or let it become law without a signature.

You can read more about the bills and other measures here.

Haefen graduated from Ohio University in 1992 with a BA and again in 1995 from Case Western Reserve University with a JD.

Haefen, a Democrat, was elected to the North Carolina State House in 2019 to represent the state’s 36th House district, replacing previous state representative Nelson Dollar.