(1) The department, in conjunction with an implementation team that includes providers, partners, and parents of children in child care, must develop a contract model for infant and toddler child care providers that can be funded within the federal child care and development block grant requirements.

    (2) Contracts created under subsection (1) must be awarded to providers in all regions in this state.

    (3) Contracts must be awarded to high-quality providers located in communities where demand for infant and toddler child care exceeds supply as determined by the department.