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? Up to 50% of SMI, copayment is capped at 5.5% of gross income; Up to 85% of SMI, copayment is capped at 6.5% of 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 0.00 0.00 0.00 0.00 0.00 0.00 2 18000.00 87.08 5.80 38999.00 211.24 6.50 3 22000.00 95.83 5.20 48999.00 245.00 6.00 4 27000.00 105.00 4.60 56999.00 261.25 5.50 5 31000.00 106.66 4.10 65999.00 275.00 5.00 c. What is the effective date of the sliding-fee scale(s)? October 1, 2021 d. Provide the link(s) to the sliding-fee scale(s): https://www.mdhs.ms.gov/eccd/parents/pay/ 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: Per the Child Care Payment manual Rule 8.2 Reimbursement Rates # 4 CCPP providers may charge more than the reimbursement rates established by MDHS, but to do so, they must submit their published tuition rates to the MDHS within CCPS, and publish in all marketing materials. Providers shall not charge a different rate to families in the certificate program than the rate charged to the general public. All rates, fees, and discounts charged to CCPP participants must be offered and equal to those charged to non- participants. This means universal application of advertised tuition rates. By requiring child care providers to not charge the an additional amount above the required co-payment would lead fewer child care programs to participate in the CCPP. Numerous child care providers have stated to the Lead Agency that having the authority to charge the additional amount above the required co-payment would give them reason to not accept children and families who receive subsidy, reducing the number of child care providers available to our families and therein reducing the choices of child care providers available to families who receive subsidy. 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: As part of the Market Rate Survey, the Lead Agency captures information on the frequency of providers that charge additional amounts to families if the subsidy rate does not cover the entire tuition amount. This data is presented in the Lead Agency’s Market Rate Survey Full Report which is available at https://www.mdhs.ms.gov/eccd/reports-archives/. Based on the Market Rate Survey Full Report: If the subsidy payments plus the parent co-pay are not enough to cover a child care providers' standard rate, 29% (n=152) of providers charge parents the difference. Converting to a standardized weekly rate, the average of this difference is $22.18 with a median of $19.11.