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Subsidized Child Care Assistance Program Policy Manual Chapter 8. Parent fee REVISED 04/27/2026 17

2. Medical Expense Spread Over Several Months:

When an applicant/recipient pays high medical expenses for more than one- month, medical adjustments can be spread over several months. The excess medical expense is deducted from the gross monthly income for the months in which there are high medical bills. The parent fees are also reduced for those months.

Example: Medical Expense Spread Over Several Months: The applicant/recipient has HH income of $3000 per month. 10% Parent fee would be $300 effective 1/1/2023. The applicant/recipient had a hospital stay in the fall of 2022 and are making monthly payments to the hospital of $400 per month for the next 4 months. $400 - $300 Parent fee = $100. For the months of January - April 2023, the Parent fee will be reduced to $290 per month. ($3000 - $100 excess medical expense = $2900 x .10 = $290). Then it will return to $300 per month Parent fee for the remainder of the certification period.

Refer to Chapter 7 for additional information regarding Medical Expenses.