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Reason(s) for non-compliance: • The Lead Agency does not limit all family co-payments to seven percent or less of family income, as required by 98.45(l)(3). (Plan Question 3.1.1a). Please note the Lead Agency has an approved waiver for this requirement through August 1, 2026. • The Lead Agency does not include the rationale for the policy to allow providers to charge families additional amounts above the required co-payment, including required data and a demonstration of how the policy promotes affordability and access for families, as required by 98.45(b)(5). (Plan Questions 3.1.2ei and 3.1.2eii) Overall Target Completion Date: 12/31/2025 Action Step Number Action Step Description Target Completion Date 1 The Lead Agency does not limit all family co- payments to seven percent or less of family income, as required by 98.45(l)(3). 10/31/2025 2 Submit waiver request to Office of Child Care 12/30/2024 3 Draft new sliding fee scale with 7% maximum co- payment and corresponding regulation change 04/30/2025 4 Prepare and release notice of proposed regulation changes for limiting all family co-payments to seven percent or less of family income 05/31/2025 5 Public comment on new sliding fee scale 05/31/2025 6 Legislative approval of regulation 07/31/2025 7 Update child care database 07/31/2025 8 Test functionality in child care database 08/31/2025 9 Update policy manual to reflect changes 08/31/2025 10 Launch new sliding fee scale 09/30/2025 11 Amend plan and submit required documentation 10/31/2025 12 The Lead Agency does not include the rationale for the policy to allow providers to charge families additional amounts above the required co- payment, including required data and a 12/31/2025 demonstration of how the policy promotes affordability and access for families, as required by 98.45(b)(5) 13 Document the rationale for the policy to allow providers to charge families additional amounts above the required co-payment 10/31/2025 14 Identify required data in child care database that demonstrates the size and frequency in which providers charge additional amounts to families. 10/31/2025 15 Amend plan and submit evidence/required documentation 12/31/2025