Establishing a graduated eligibility phase-out program for state child care assistance

Presentado por el comité Human Resources de la Cámara

Temas:Health care Child care

La misma legislación: HF 2203

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Dónde está ahora

Hecho: Presentado31 de enero de 2020
Hecho: Subcomité4 de febrero de 2020
Hecho: Comité de la Cámara13 de febrero de 2020
Hecho: Lo aprueba la Cámara9 de marzo de 2020
Se detuvo: Comité del SenadoMurió al terminar la Asamblea General
Sigue: Lo aprueba el Senado
Sigue: A gobernador(a)
Sigue: Firmado como ley

Murió al terminar la sesión La sesión de 2020 terminó el 14 de junio de 2020, la última sesión ordinaria de la Asamblea General. Los proyectos que no pasaron por ambas cámaras murieron. ¿Qué es el embudo (funnel)?

Qué contiene

La explicación oficial está en inglés; todavía no hay resumen en palabras sencillas.

This bill establishes a graduated eligibility phase-out program for state child care assistance. The bill provides that at the time of a 12-month eligibility redetermination for a family receiving state child care assistance, the family shall remain eligible for child care assistance, subject to the graduated eligibility phase-out program, if either the family’s nonexempt gross monthly income is at least 185 percent but less than 225 percent of the federal poverty level applicable to the family size for children needing basic care or the family’s nonexempt gross monthly income is at least 200 percent but less than 250 percent of the federal poverty level applicable to the family size for children needing special needs care.

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The bill provides that a family with an income at 225 percent of the federal poverty level applicable to the family size for children needing basic care or at 250 percent of the federal poverty level applicable to the family size for children needing special needs care shall be responsible for payment of percent of the cost of all children in the family participating in the child care assistance program. A family with an income of at least 185 percent but less than 225 percent of the federal poverty level applicable to the family size for children needing basic care or at least 200 percent but less than 250 percent of the federal poverty level applicable to the family size for children needing special needs care shall contribute to the costs of child care in accordance with a sliding fee schedule to be established by the department. The bill provides that child care provider reimbursement rates under the graduated eligibility phase-out program shall be the same rates as the child care assistance provider reimbursement rates in effect on July 1, 2020. The department of human services is directed to adopt rules in accordance with the provisions of the bill.

Cambiado después por las enmiendas H-8108, H-8087; vea Enmiendas.

Texto completo del proyecto (en inglés)¹

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Nota fiscal

Cost: up to $252,000 Compare con otros proyectos

Resumen con IA This bill creates a graduated eligibility phaseout for the Child Care Assistance Program for families with incomes above certain federal poverty levels. It is estimated to cost the state $252,000 in fiscal year 2021 for programming and project management, followed by increasing program costs of $300,000 in fiscal year 2022, $600,000 in fiscal year 2023, $900,000 in fiscal year 2024, and $1,200,000 in fiscal year 2025. (en inglés)²

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Description

House File 2424 as amended and passed by the House creates a graduated eligibility phaseout component for the Child Care Assistance (CCA) Program in the Department of Human Services (DHS).

The Bill as amended would provide that if families were previously eligible for the CCA Program, they would be eligible for a graduated eligibility phaseout program under the following conditions:

Their income is above 225.0% of the federal poverty level (FPL) but less than 250.0% FPL for basic care.
Their income is above 225.0% FPL but less than 275.0% FPL for special needs care. Families in the income ranges specified for their service care needs will be responsible for the following share of the cost of child care based on the cost of care currently reimbursed by the DHS.

The Graduated Phaseout Program is required to be implemented no later than FY 2022.

Background

The table below presents the FPL by family size and calculated percentages of FPL for FY 2020.Family's

Share of

Cost of Care Basic Care

Special Needs

Care

33.0% 225.1% to 234.9% 225.1% to 244.9% 45.0% 235.0% to 244.9% 245.0% to 264.9% 60.0% 245.0% to 250.0% 265.0% to 275.0%Family Size 100.0% 145.0% 225.0% 250.0% 275.0% Family of 2 17,240$ 24,998$ 38,790$ 43,100$ 47,410$ Family of 3 21,720 31,494 48,870 54,300 59,730 Family of 4 26,200 37,990 58,950 65,500 72,050 Family of 5 30,680 44,486 69,030 76,700 84,370 Family of 6 35,160 50,982 79,110 87,900 96,690 Federal Poverty Levels (FPL) Iowa’s Child Care Assistance Program currently has two main components: the CCA Program and the CCA Plus Program. Eligibility for the CCA Program is limited to families with income no more than 145.0% FPL and is limited to a 12-month eligibility segment. The CCA Plus Program has a 12-month eligibility segment and an income limit of above 145.0% FPL up to 85.0% of the State median income (approximately $49,800).

Final federal rules relating to the CCA Plus Program require that there be no time limit for eligibility, only an income limitation. The DHS Notice of Intended Action ARC 4937C brings the CCA Plus Program into federal conformity, covering families with an income not to exceed 225.0% FPL for an indefinite period of time for basic care and special needs care under the current copayment structure.

Currently, a copayment for services is required if a family’s income is at or above 100.0% FPL. The copayment scale starts at 1.0% of family income and increases up to 7.0% of family income. The DHS utilizes a provider billing portal for the CCA Program for payment of services and determination of copayment amounts.

Assumptions

The rulemaking proposed in ARC 4937C will be adopted and filed with an effective date no later than July 1, 2020 (FY 2021).
A significantly new copayment schedule based on the rate that providers charge cannot be implemented until programming changes to the provider billing portal are completed.
Programming changes will require 2,000 hours of programming time, plus part-time work from the DHS Bureau of Project Management. This will push the launch of the Graduated Phaseout Program into FY 2022.
An estimated 120 children will be eligible for the CCA phaseout program in FY 2022, and the same number will become eligible each year thereafter.
The current average cost of care for a child in the CCA Plus Program is $4,150 per year.
The exact point where eligible families will fall on the cost share table is unknown. The cost of care will also be dependent on the reimbursement rate of the child care provider type selected by the family. The estimate assumes that families will be responsible for 40.0% of the current average cost per child.

Fiscal Impact

Programming and project management costs for the provider billing portal in FY 2021 are estimated at $252,000. The following table outlines program cost increases by fiscal year after the programing changes are completed in FY 2021.IT Programming