3.1 Family Co-payments

Lead Agencies must establish and periodically revise a sliding-fee scale for families receiving CCDF services that varies based on income and the size of the family to determine each family’s contribution (i.e., co-payment) and does not create a barrier to receiving CCDF assistance. In addition to income and the size of the family, the Lead Agency may use other factors as appropriate when determining family contributions/co-payments. Lead Agencies may not use price of care or amount of subsidy payment in determining co-payments. Lead Agencies must ensure that the total payment to a child care provider is not reduced because of family’s lowered or waived co-payment. 3.1.1 Family co-payment Lead Agencies may not charge any family more than 7% of a family’s gross income, regardless of the number of children participating in CCDF. a. What is the maximum percent of a family’s gross income any family could be charged as a co-payment? The maximum amount of a family share deduction assigned to a case is 3% of the family’s countable gross income. b. Does the Lead Agency certify that their sliding fee scales are always based on income and family size (regardless of how many different scales they may use)? [x] Yes. [ ] No. If no, describe: 3.1.2 Sliding fee scale Provide the CCDF co-payments for eligible families in the table(s) below according to family size for one child in care. a. Is the sliding fee scale set statewide? [x] Yes. [ ] No. If no, describe how the sliding fee scale is set: b. Complete the table below. If the sliding fee scale is not set statewide, complete the table for the most populous locality: -- A B C D E F Family Size Lowest monthly income at initial eligibility where the family is first charged a co-pay (greater than $0). What is the monthly co-payment for a family of this size based on the income level in (A)? What percentage of income is the co- payment in (B)? Highest monthly income at initial eligibility where a family is charged a co-pay before a family is no longer eligible. What is the monthly co- payment for a family of this size based on the income level in (D)? What percentage of income is this co- payment in (E)? 1 2 1703.01 51.00 3.00 4737.00 95.00 2.00 3 2152.01 65.00 3.00 5851.00 119.00 2.00 4 2600.01 78.00 3.00 6966.00 144.00 2.10 -- A B C D E F Family Size Lowest monthly income at initial eligibility where the family is first charged a co-pay (greater than $0). What is the monthly co-payment for a family of this size based on the income level in (A)? What percentage of income is the co- payment in (B)? Highest monthly income at initial eligibility where a family is charged a co-pay before a family is no longer eligible. What is the monthly co- payment for a family of this size based on the income level in (D)? What percentage of income is this co- payment in (E)? 5 3048.01 91.00 3.00 8081.00 169.00 2.10 c. What is the effective date of the sliding-fee scale(s)? April 1, 2024 d. Provide the link(s) to the sliding-fee scale(s): https://content.dcf.ks.gov/EES/KEESM/Appendix/F- 1MonthlyFamilyIncomeAndFamilyShareDeductionSchedule.xlsx e. Does the Lead Agency allow providers to charge families additional amounts above the required co-payment in instances where the provider’s price exceeds the subsidy payment? [ ] No. [x] Yes. If yes: i. Provide the rationale for the Lead Agency’s policy to allow providers to charge families additional amounts above the required co-payment, including a demonstration of how the policy does not provide a barrier and promotes affordability and access for families: Kansas encourages families to negotiate with providers regarding their terms of payment, including the rate charged and frequency of payment. Terms of payment are to be included in the parent/provider contract used by all licensed providers. This encourages increased provider participation in the subsidy program, thereby providing families with more choices in deciding which provider is best for their needs. This also ensures that families are fully informed of private pay child care practices, including the real cost of child care so that it is no surprise if/when they are able to increase their income beyond the eligibility standards. All child care benefits are issued at the Kansas Department for Children and Families’ rate, regardless of the provider’s private pay rate. if a provider’s private pay is less than the Kansas Department for Children and Families’ rate, they may choose to charge families receiving child care assistance up to the Kansas Department for Children and Families rate. If a provider’s private pay rate is more than the Kansas Department for Children and Families’ rate, they may also charge families receiving child care assistance up to their private pay rate. This policy allows providers to recover some of their costs of providing the care in instances where they may not feel that the market would allow them to charge a private pay rate that is high enough to cover those costs. In instances where providers charge amounts that are over the maximum rates, those charges added to co-payment amounts of 3% or less of household income total less than 10% of families' incomes, keeping child care affordable for families. ii. Provide data (including data on the size and frequency of such amounts) on the extent to which CCDF providers charge additional amounts to families: Within the 2021 Market Rate Analysis child care providers who participate in the Kansas Department for Children and Families’ subsidy program were asked if they charge families receiving child care assistance the same as private pay families. Just over 82.1% of child care centers and 92.5% of family child care providers reported charging families the same amount whether they received child care assistance or not. No provider reported charging families receiving child care assistance more than private pay families. Providers were asked if they charge families additional fees. The 2024 Market Rate Survey indicated that fees were charged by most providers for late pickup and late payment. One-time enrollment fees are charged by 39% of centers and 25% of family child care. Other fees charged include early drop-off, activity, supply, credit card processing, transportation, curriculum and other fees. Some providers reported charging enrollment/registration fees annually while others only charged those fees once upon initial admission. Most of the other fees are charged only as the situation occurs. Not more than one out of four providers charge more than the Kansas Department for Children and Families rate according to the 2024 Market Rate Analysis, as rates were set at the 75th percentile or higher to meet the cost of meeting the health and safety requirements through licensing. Using the difference between the Kansas Department for Children and Families rate and the 95th percentile rates on the 2024 Market Rate Analysis, which represent some of the highest rates in the state, the estimates of what families may have to pay out of pocket were determined. Using a family size of 3, the average family size in Kansas according to the 2022 American Community Survey 1-Year Estimates from the United States Census Bureau, the highest amount that a family may pay for center care when they are receiving child care assistance is 10 percent of their income. Using these highest rates, the overall average of 5 percent of their income would be used for center care with all areas and all ages averaged together. Using a family size of 3, the highest amount that a family may pay for a family child care provider is 9 percent. Using these highest rates, the overall average of 6 percent of their income would be used for family child care with all areas and all ages averaged together.