Family Opportunities for Child Care Act of 1987

Family Opportunities for Child Care Act of 1987 - Establishes programs to provide recipients of aid to families with dependent children with affordable quality child care services while they participate in education, training, and employment programs.

Directs the Secretary of Labor (Secretary) to allot to each State from appropriated funds an amount based on the State's proportion of the number of children receiving aid to families with dependent children (AFDC) nationwide. Requires, as a condition for fund eligibility, that a State provide an increasing percentage of matching funds from non-Federal sources in each succeeding fiscal year of fund allotment, to a maximum of 50 percent for the fourth year and thereafter.

Limits administrative costs to ten percent of funds received. Earmarks a minimum percentage of administrative funds for information and referral services to AFDC recipients.

Requires, as a condition for eligibility, that a State submit to the Secretary a plan for a given fiscal year. Details the obligatory contents of such a plan, including: (1) provision for the designation of a State agency to carry out the relevant functions and duties; (2) assurances that the State will perform certain need assessment, coordination of programs, and resource and referral activities; (3) an agreement as to recipient priorities in the event of inadequate funding; (4) an agreement as to services the State will pay for when adequate resources are provided; (5) certification that public comment about the plan has been solicited; (6) agreement as to priorities in the awarding of contracts to certain service providers, such as those providing care on an extended-day full-year basis; and (7) agreements to submit required reports and to correct and evaluate data.

Requires the Secretary to assess a State plan within 45 days of its receipt. Prohibits disapproval of a plan unless the Secretary has provided to the State notice of any deficiencies and an opportunity to correct them.

Directs the Secretary to make grants to States to carry out approved plans. Provides for: (1) recordkeeping by States and their contract partners; (2) compliance audits of funds received for child care services under this Act; (3) the revocation of a State plan in the event of substantial violations of this Act; (4) the repayment to the Federal Government of misspent funds; and (5) mandatory investigation by the Secretary, under certain circumstances, of possible noncompliance with this Act or with a State plan.

Permits the Secretary to terminate a grant if, after notice and an opportunity for a hearing on the record, the Secretary determines that a State did not comply with this Act or with its plan. Requires State repayment of misspent funds in such cases.

Requires each recipient State to submit to the Secretary an annual report describing and evaluating the activities it carried out under this Act.

Establishes a child care demonstration program under which the Secretary shall make grants to public and private entities that operate various child care facilities in order to increase the supply of affordable quality child care services that will enable AFDC recipients to participate in education, training, and employment programs.

Instructs the Secretary, in making grants, to give special consideration to proposals that emphasize serving the child care needs of qualified young parents targeted under this Act.

Sets forth required grant application contents.

Directs the Secretary to establish a National Commission on Child Care and Work (Commission) to: (1) coordinate Federal education, training, and employment programs with Federally-assisted child care services; and (2) assess the nationwide need for child care services as it relates to employment.

Mandates that the Commission: (1) make recommendations with respect to Federal child care policies and programs related to employment; (2) review and evaluate existing policies to determine their effectiveness; (3) identify arrangements that increase the supply of quality child care services through private-public partnerships; (4) collect and disseminate information about the availability of affordable child care services; and (5) conduct studies and public forums concerning the needs of working adults for child care services.

Requires the Commission, by August 1, 1991, to submit to the President and to specified congressional leadership a report on its findings and conclusions, including recommendations for appropriate legislative and administrative action. Terminates the Commission 60 days following the submission of its report.

Authorizes appropriations.