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1 450 Columbus Blvd Hartford, CT 06103 www.ctoec.org 860.500.4412 Care 4 Kids Program Policy Transmittal Transmittal Number: C4K-POL-24-02 Transmittal Date: October 4, 2024 To: Sherri Sutera, Program Director

Care 4 Kids Program

From: Julie Giaccone, CCDF Administrator

Office of Early Childhood

CC: Distribution List

Subject: Family Fee Scale

Program Issue: Effective April 1, 2024, the Child Care and Development Fund (CCDF) Final Rule updated regulations (45 CFR Part 98) were passed. The regulation prohibits States and Territories from charging family co-payments above seven percent (7%) of a family’s income. (§ 98.45(b)(5) and § 98.45(l)(3)).

Background: The Care 4 Kids subsidy program currently charges families a copayment based on former regulation1 and current policy manual Section 17b-749-13f: Parent Fee and Financial Responsibilities 1. The parent shall be responsible for all costs not reimbursed by CCAP on behalf of the parent. In addition, families with earnings or self-employment income shall be responsible for paying a portion of the authorized cost of care based on a monthly sliding fee scale. 2. To determine the monthly fee, the family’s gross countable annual income shall be compared to the state median income standard (SMI) for the family size as promulgated annually by the Department of Health and Human Services. The fee shall be equal to the following percentage of the family’s gross countable income:

A. for families with income below twenty percent of the SMI, two percent; B. for families with income of twenty percent to less than thirty percent of the SMI, four percent; C. for families with income of thirty percent to less than forty percent of the SMI, six percent;

1 Effective July 1, 2024, Public Act (P.A.) Number (No.) 24-91 repealed sections 17b-749-01 to 17b-749-23 of the Regulations of Connecticut State Agencies (R.C.S.A.).P. A. No. 24-91 further directed the Commissioner of the Office of Early Childhood (“OEC”) to implement the provisions of 45 CFR 98 in order to administer the Care 4 Kids child care subsidy program and to develop policies and procedures necessary to implement such program. Until such time as the new regulations are promulgated, the OEC has adopted the former regulations as OEC’s policies and procedures necessary to administer and implement the Care 4 Kids child care subsidy program. Further, unless and until otherwise revised, all existing OEC Care 4 Kids policy memoranda, referred to as Care 4 Kids Policy Transmittals, implementing the Care 4 Kids subsidy program, remain in full force and effect.