Third Party Payments 400-28-100-25
(Revised 7/1/16 ML 3472)
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When a third party pays a portion of the child care bill directly to a provider for a household, only the portion the caretaker is responsible for can be considered for payment.
When a third party pays the entire child care bill directly to a provider for a household, none of the costs can be considered for payment. Since child care cannot pay any of the costs, the household is ineligible for the Child Care Assistance Program (CCAP).
Note: If a third party pays a portion of the child care bill and the payments are given to the caretaker instead of being paid directly to the provider, the amount of payment must be considered as income.
Regardless of who is making the third party payment, verification of the portion the third party is paying must be obtained.
If the caretaker reports that the third party has not paid or refuses to pay the child care, the caretaker must verify the third party is not paying.
An absent parent cannot receive Child Care Assistance Program benefits to pay their court ordered share of child care if the child is not residing with the absent parent.