Child Care for TANF and Diversion Recipients 400-28-45-05

(Revised 10/1/2026 - Release 26.3)

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NDAC 75-02-01.3-04

The Co-pay requirement is waived for child care that results from participation in an approved activity of a caretaker in receipt of or deemed in receipt of TANF, TANF Transition, or Diversion benefits, except for the situations identified below.

Note: Payment of child care is subject to co-pay in the following TANF-related situations: The child is in receipt of SSI. The caretaker is a disqualified alien. The caretaker is an ineligible non-legally responsible caretaker. The caretaker is an ineligible Kinship Care caretaker with non-kinship children/non-TANF children. Exception: An ineligible Kinship Care caretaker with non-kinship children and children who are TANF eligible will receive a waived co-pay.

Families not subject to the co-pay requirements are not subject to the income requirements for the Child Care Assistance Program. The TANF benefit for the child(ren) is disregarded as income. All other CCAP requirements must be met.

A TANF or Diversion applicant who has ongoing CCAP must be updated to waived co-pay effective the month TANF or Diversion is approved. Child care expenses for months prior to TANF or Diversion approval would be covered using the existing eligibility and would be subject to co-pay requirements.

If TANF or Diversion closes and remains eligible for CCAP, the co-pay remains as waived co-pay for the remainder of the eligibility period.

If TANF or Diversion closes and there is not a known allowable activity which continues, the household must be allowed three months of continued assistance before CCAP can close. The three months of continued assistance begins in the month following the month of the TANF or Diversion closure.

TANF recipients who are not required to participate in the JOBS or Tribal NEW programs must volunteer to participate in the program in order for their child care costs to be paid through CCAP, unless granted good cause from the JOBS program, or except when the recipient is participating in the Alternative Response for Substance Exposed Newborns (ARSEN) program. ARSEN households receiving TANF are not required to participate or volunteer in the JOBS or Tribal NEW Program to have their child care costs paid through CCAP.

TANF households may choose to use child care expenses as a TANF earned income disregard up to the TANF maximum allowable costs or they may receive assistance under CCAP. Households may not receive the disregard and have child care paid under CCAP in the same month.

If a minor parent in the TANF household needs child care to complete high school or its equivalent, the minor parent should be informed of and referred to the Crossroads Program. (Refer to section 400-28-40, Crossroads Families).

Eligible children under Kinship Care are not eligible to have their child care costs paid through CCAP as these costs are covered under TANF Kinship Care Supportive Services.

Ineligible/SSI children whose caretaker is receiving TANF or Diversion must have their child care paid through CCAP since their child care expenses cannot be used as an expense deduction in TANF or Diversion. Since the caretaker is in receipt of TANF, the children are considered part of the TANF household for CCAP purposes. Child care for an SSI child remains subject to co-pay requirements.