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SOESD / School Improvement Services / Child Care Resource Network / Child Care Subsidies

Child Care Subsidies

DHS INTEGRATED CHILD CARE PROGRAMS (ICCP)
 
Employment Related Day Care (ERDC)
The ERDC program provides child care subsidies for families that have accepted employment and have a child care need in order to remain employed.  This program is expected to serve an average of 11,800 families per month.  Families are required to choose their own provider.  To be eligible for ERDC, child care must be needed in order for the parent(s) to accept or maintain employment.  The familyís income must be less than 165% of FPL and the family must pay a co-payment based on the family size and family income ($43 is the minimum co-payment).  Families at or below 100% FPL have a co-payment of no more than 10% of their income.  Those who have an un-met co-payment obligation are not eligible for the program until it is met.  Families must also pay the difference between the ERDC payment (minus co-pay) and the providerís rate.
 
TANF/JOBS/OFSET program child care as a Support Service
Parents who receive Temporary Assistance to Needy Families (TANF) and are in high school, working, or participating in the JOBS programs are provided with a support service payment for child care.  Families who are participating in the Food Stamps OFSET program can also receive help with child care.  These families do not have a co-payment but are  responsible for the difference between the DHS payment and the providerís rate.
 
Child Care Resource & Referral (CCR&R)
DHS has contracts with CCR&R agencies to provide services to subsidy families and providers.  These local partners are an integral resource in planning and providing services to meet the child care needs of families.  They play a critical role in our effort to help families reach and maintain their self-sufficiency.
 
Providers
Currently about 10,000 providers are providing child care services to subsidy families.  To become an approved DHS ICCP listed provider, the provider (and others in their household) must pass a criminal history and child protective services records check, meet basic safety standards, and be age 16 or older.  Providers are encouraged to obtain training and education related to child care issues in order to be eligible for the Enhanced Rate.  The Enhanced Rate is 7% above the standard rate paid to all other providers.  The amount of the payment is based on the age of the child, type of provider, and geographic area of the state.
 
Direct Pay Unit (DPU)
Direct Pay Unit (DPU) processes child care billing forms for all programs and issues payments directly to providers on behalf of the family.  Providers are considered self-employed and payments are reported to IRS as income. 
 
Child Care Website
The DHS has more detailed information about child care programs, including a Provider Guide and copies of DHS child care policy.  See the Web Links Page under Child Care.
 



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