The Commerce Department was set to officially announce and clarify requirements for chip makers to receive U.S. funding, and it will require access to affordable childcare.
The department confirmed the news to multiple U.S. outlets on Monday saying if these U.S. manufacturing operations want to use part of the billions of dollars allocated to semiconductor companies, families will need access to economically sound child care.
The move comes after failed efforts by the Biden administration to pass federal policy to make access to child care more affordable nationwide.
The Commerce Department confirmed to the media that it would officially make an announcement on the plan by Tuesday on the requirements to access some $40 billion in federal subsidies.
It's uncertain how companies would offer child care access as the department hasn't given specifics on that element of the plan.
It's expected that companies could implement a number of methods including sponsoring child care options or creating on-site facilities.
The bipartisan CHIPS Act was passed last year to boost semiconductor manufacturing in the United States.
The U.S. Commerce Department didn't immediately provide additional details on plan to Scripps News ahead of its planned announcement.