Universal child care and pre-k.

Establishes a nonrefundable tax credit for an employer with 25 or fewer employees that makes contributions of at least $10,000 during the calendar year toward a qualified employee's cost for a qualified preschool program. Defines "qualified employee" and "qualified preschool program". Provides that the amount of the credit is equal to the lesser of: (1) $5,000; or (2) the taxpayer's adjusted gross income tax liability. Provides that a child who is otherwise eligible for participation in the federal Child Care and Development Fund voucher program may continue to participate unless the child's family income exceeds 185% of the federal income poverty level. Increases the income cap of a family, from 125% to 185% of the federal poverty level, that may participate in the prekindergarten program (On My Way Pre-K program). Removes references in provisions pertaining to the On My Way Pre-K program as being a pilot program. Phases in a reduction in the age of compulsory school attendance, from seven years of age to four years of age. Establishes the prekindergarten capacity expansion grant program and fund. Provides that the program and fund are administered by the department of education (department). Provides that the department shall award grants to school corporations to increase the capacity of facilities to provide prekindergarten education. Repeals provisions defining a "limited eligibility child", "pilot fund" and "extended enrollment period" for purposes of the On My Way Pre-K program. Repeals the expiration date for the On My Way Pre-K program. Makes conforming amendments. Makes appropriations.