On July 11, the Governor signed the FY 2023-24 State Budget. The budget includes big wins for early care and education. Here are some of the key child care provisions:
·Family Fee Reform: families who earn below 75% of the State Median Income (SMI) will not pay a family fee; families who do earn above 75% of the SMI will pay no more than 1% of their income in family fees.
·Forgiveness of Family Fee Debt: any family fee debt that was accumulated but uncollected prior to October 1, 2023 will be eliminated.
·Reimbursement Rates: one-time funding of $2.8 billion (over two years) was set aside to temporarily increase the reimbursement rate until the Administration and Legislature can approve a new methodology. (Note: these dollars will fund collective bargaining between Child Care Providers United (CCPU) and the Administration. Details of that agreement are pending union membership approval. We will share details once ratified.)
·Licensed-exempt Rate Sheet Requirements: Licensed-exempt providers (i.e., Family, Friend, and Neighbor) are no longer required to submit rate sheets.
|