1 Child Care Financial Assistance – System Reform: State Trends & Strategies, How Effective TA Can and Will Support States Dallas Cross-Regional Meeting April 8-10, 2015 National Center on Child Care Subsidy Innovation and Accountability

2 Child Care Subsidy: Reauthorization Topics Eligibility Payment Rates and Policies Serving Vulnerable Populations including Homeless Children Increasing the Supply of Quality Care

3 Eligibility Policies: Family Friendly/Continuity of Care No Less than 12 month redetermination Authorization periods Aligning with other programs Eligibility processes – Reporting Requirements Protections for Working Families No less than 3 Month Job Search Graduated Phase Out

4 Eligibility: Where States are Now 29 States/Territories have 12 month eligibility period – Over half align with other programs 7 with EHS/HS 15 with TANF and/or SNAP – Actual periods much shorter due to “churn” – One State with 12 month eligibility found 35% of children had actual eligibility > 4 months 18 States have “tiered eligibility” – Family > 150% FPL is not eligible in 15 States – Family > 200% FPL is not eligible in 38 States – Per Economic Policy Institute, 200% FPL is necessary to meet basic needs

5 Eligibility: Where States are Now 48 States/Territories provide some assistance for Job Search – 38 include new applicants Length of Job Search varies: – 1 – remainder of the month – 5 – fewer than 30 days – 16 – 30 days – 21 –30-90 days – 3 – more than 90 days Actual unemployment episodes average 3.5 months

6 Eligibility: Child Care Subsidy TA Regional Webinars – 3-4 in July 2015 Review and Feedback on State Policy Changes – One-on-one discussions Peer to Peer discussions – Small group – Similar States Written products

7 Payment Rates/Policies Timely Payments Generally Accepted Payment Practices Methods of Payment Absence Days Market Rate Survey & Alternative Methodologies Linking Rates to Quality

8 Payment Rates/Policies: Where States are Now 39 States allow absence days o Number of days allowed varies significantly o Many States have restrictions around claiming absence days Differential and tiered rates: o 36 States/Territories have higher rates linked to quality (as defined by State) o Even with Tiered Payments, most still fall short of the 75th Percentile o 11 States/Territories have differential rates for non-traditional hours

9 Payment Rates/Policies: Child Care Subsidy TA Regional Webinars – 3-4 in June/July 2015 – Focus on implementation Review and Feedback on State Policy Changes Peer to Peer discussions BUILD Initiative meeting – July 2015 Written products

10 Serving Vulnerable/Homeless Children: Serving homeless families Identifying vulnerable populations – Children in Underserved Areas – Infants and Toddlers – Children with Disabilities – Children with non-traditional hour needs Eligibility processes – Presumptive eligibility

11 Serving Vulnerable/Homeless Children: Where States are Now 37 States/Territories have differential rates for children with special needs Definition of Homelessness – McKinney-Vento Homelessness Act of 1987 Most States do not have policies specific to Homeless Children and Families in Shelters – Hardship of application and eligibility processes

12 Serving Vulnerable/Homeless Children: Child Care Subsidy TA Regional Webinars o 2-3 in August 2015 o Focus on implementation issues and strategies Resource Materials on Homelessness and Families in Shelters Peer to peer discussions Policy/procedure review and feedback Written products

13 Increasing Supply of Quality Care Understanding the Current Supply Issues Market rate survey/alternative methodologies Evaluating and setting payment rates Sliding fees and affordability Grants and contracts Early Head Start and Head Start partnerships Payment practices

14 Increasing Supply of Quality Care: Where States are Now 43 States/Territories use grants or contracts to: o Increase the supply of specific types of care o Support higher quality programs o Support programs offering comprehensive services o Serve underserved families Of the States that use grants or contracts: o 8 – serve children with special needs o 9 – provide wrap-around/integrated care (EHS, HS, pre-k) o 9 – serve infant/toddlers o 6 – serve specific geographical areas

15 Increasing Supply of Quality Care: Child Care Subsidy TA Regional Webinars – 3 in May 2015 – Focus on implementation strategies Peer to peer discussions Policy/procedure review and feedback Written products

16 DISCUSSION