4.5 Supply Building

Building a supply of high-quality child care that meets the needs and preferences of parents participating in CCDF is necessary to meet CCDF’s core purposes. Lead Agencies must support parent choice by providing some portion of direct services via grants or contracts, including at a minimum for children in underserved geographic areas, infants and toddlers, and children with disabilities. 4.5.1 Child care services available through grants or contracts Does the Lead Agency provide direct child care services through grants or contracts for child care slots? [ ] Yes, statewide. Describe how the Lead Agency ensures that parents who enroll with a provider who has a grant or contract have choices when selecting a provider: [x] Yes, in some jurisdictions, but not statewide. Describe how many jurisdictions use grants or contracts for child care slots and how the Lead Agency ensures that parents who enroll with a provider who has a grant or contract have choices when selecting a provider: DHS/DFD funds the Parent Linking Program (PLP), which embraces a two-generational approach that provides child care services and comprehensive wraparound services to teen parents in middle and high schools. Programs are located in six counties, managed by community-based organizations who provide intensive case management to the teens, and work closely with the schools, CCR&R, and child care providers. The PLP is contracted for approximately eighty (80) infant slots and to provide high-quality child-care services and comprehensive services for the teen parents to be successful in graduating high school. In addition, DHS/DFD has child care community voucher (CCVC) slots managed by the county CCR&Rs and Human Service Advisory Councils (HSAC). They work together to implement a Child Care Capacity and Need Roster for the county. Based on the county's child care needs, slots are dedicated to providers who are required to sign an agreement to serve lower income families and not impose fees above the State’s assistance payment rate. Thirteen (13) out of 21 counties in New Jersey have dedicated CCVC slots. [ ] No. If no, describe any Lead Agency plans to provide direct child care services through grants and contracts for child care slots: If no, skip to question 4.5.2. i. If yes, identify the populations of children served through grants or contracts for child care slots (check all that apply). For each population selected, identify the number of slots allocated through grants or contracts for direct service of children receiving CCDF. [ ] Children with disabilities. Number of slots allocated through grants or contracts: [x] Infants and toddlers. Number of slots allocated through grants or contracts: DHS/DFD offers a statewide Thriving by Three Infant and Toddler Child Care grant to licensed centers and Family Child Care providers. This grant supports the development and creation of infant and toddler slots statewide to encourage providers to expand child care slots over a three-year period (2023-2025). Grant funds were awarded to providers in 20 out of 21 counties in New Jersey. The grants help to build supply and increase families’ access to high quality providers who have committed to increasing infant and toddler slots. A total of 383 licensed centers and 229 FCC providers were awarded Thriving by Three grants to fund a total of 4,354 new infant/toddler slots statewide. As noted above, DHS/DFD funds the Parent Linking Program (PLP) in six urban underserved counties. PLP provides eighty (80) infant slots for high- quality child-care services and includes comprehensive case management services that support the success of teen parents in completing their high school education. In addition, DHS/DFD has Child Care Community Voucher (CCVC) slots managed by the county CCR&Rs and Human Service Advisory Councils (HSAC). They work together to implement a Child Care Capacity and Need Roster for the county. Based on the county's child care needs, slots are dedicated to providers who are required to sign an agreement to serve lower income families and not impose fees above the State’s assistance payment rate. New Jersey has awarded 3,803 dedicated CCVC slots in 13 out of 21 counties. [x] Children in underserved geographic areas. Number of slots allocated through grants or contracts: The three programs referenced specifically target families and children in underserved areas of the state. 1. Thriving by Three grants operate in communities identified as child care deserts with few or no options for high-quality child care for infants and toddlers. A total of 383 licensed centers and 229 FCC providers were awarded funds that will create a total of 4,354 new infant/toddler slots in underserved communities across the state. Thriving-by-Three grants are State-funded. 2. CCVC slots are awarded in underserved areas with demonstrated community needs as determined by the county CCR&Rs and HSAC. NJ has 3,803 CCVC slots in 13 out of 21 counties. CCVC are direct service dedicated slots (based on a child care community needs assessment) that are targeted to providers who agree to service CCDF families. CCVC is based on family’s eligibility and unique circumstances related to income and work hours and is applicable to all age groups; rather than targeted direct service contracts to address particular categories of children’s needs, such as disability or infant and toddler care. CCVC contracts are CCDF-funded. 3. PLP serves teen parents in urban underserved middle and high schools in six counties. PLP sites provide eighty (80) infant slots for the teen parents enrolled in the program. PLP contracts are all located in urban poor districts and are directed towards infant/toddlers through a direct service contract. PLP contracts are CCDF-funded. DFD will be overhauling these programs to align with the CCDF direct service contract regulation provisions. Currently, CCVC is processed in the same manner as all agreements. New Jersey submitted a waiver request for direct contracts for children with disabilities. [ ] Children needing non-traditional hour care. Number of slots allocated through grants or contracts: [x] School-age children. Number of slots allocated through grants or contracts: CCVC slots that are awarded in 13 out of 21 counties in New Jersey are used for school-age care determined by the county CCR&Rs and HSAC. CCVC funds support 775 CCVC school-age slots in 13 out of 21 counties in New Jersey. [ ] Children experiencing homelessness. Number of slots allocated through grants or contracts: [x] Children in urban areas. Percent of CCDF children served in an average month: CCVC slots are awarded in 13 out of 21 counties and some of the contracted centers are located in urban areas. [ ] Children in rural areas. Percent of CCDF children served in an average month: [x] Other populations. If checked, describe: In awarding Thriving by Three grants (4,354 new infant/toddler slots), preference was given to programs that operate in communities identified with few or no options for high- quality child care for infants and toddlers. ii. If yes, how are rates for slots funded by grants and contracts determined by the Lead Agency? Providers that are awarded contracted slots sign an agreement to use those slots to serve families enrolled in the Child Care Assistance Program and accept the State’s reimbursement rates in full and not charge families any additional fees. DHS/DFD is seeking a waiver to restructure contracts to align with 2024 CCDF Final Rule requirements, which will include direct services for children with disabilities, and specifically target underserved geographic areas. 4.5.2 Care in the child’s home (in-home care) The Lead Agency must allow for in-home care (i.e., care provided in the child’s own home) but may limit its use. Will the Lead Agency limit the use of in-home care in any way? [ ] Yes. [x] No. If yes, what limits will the Lead Agency set on the use of in-home care? Check all that apply. i. [ ] Restricted based on the minimum number of children in the care of the in- home provider to meet the Fair Labor Standards Act (minimum wage) requirements. Describe: ii. [ ] Restricted based on the in-home provider meeting a minimum age requirement. Describe: iii. [ ] Restricted based on the hours of care (i.e., certain number of hours, non- traditional work hours). Describe: iv. [ ] Restricted to care by relatives. (A relative provider must be at least 18 years of age based on the definition of eligible child care provider.) Describe: v. [ ] Restricted to care for children with special needs or a medical condition. Describe: vi. [ ] Restricted to in-home providers that meet additional health and safety requirements beyond those required by CCDF. Describe: vii. [ ] Other. Describe: 4.5.3 Shortages in the supply of child care Lead Agencies must identify shortages in the supply of child care providers that meet parents’ needs and preferences. What child care shortages has the Lead Agency identified in the State or Territory, and what is the plan to address the child care shortages? a. In infant and toddler programs: i. Data sources used to identify shortages: DHS/DFD collects data in a number of ways to identify trends of the child care industry in the state. Data sources include Grow NJ Kids Quality Rating Improvement System (QRIS), local CCR&Rs, MRS data, and ongoing data collection through various reports and contracts that support the implementation of the CCAP. Information gathered from grantee contract reports also provide capacity and enrollment data to help identify supply needs and utilization. New Jersey is in the process of conducting multiple landscape studies that will also help DHS/DFD identify shortages, inform policy, and target available resources. ii. Method of tracking progress: DHS/DFD utilizes several key strategies to track progress: the QRIS system, the MRS (inclusive of supply shortage studies), state and county level surveys, and special reports to identify gaps in care and slot shortages to ensure access to high quality programs. [Note: the MRS uses a 3:1 child to slot ratio as the benchmark for identifying a supply gap.] DHS/DFD continues to expand partnerships and increase data sharing agreements with key partners to collect and gather data, such as Early Head Start (EHS) and preschool early care and education expansions, as a method to track progress and improve gaps in services. iii. What is the plan to address the child care shortages using family child care homes To address shortages, DHS/DFD launched a statewide Thriving by Three Infant and Toddler Child Care Initiative that included Family Child Care providers. These grants support the development and creation of infant and toddler slots over a three-year period (2023-2025). Preference was given to providers: (1) located in communities identified as child care deserts with few or no options for high- quality for infants and toddlers; (2) located in communities with high percentages of low-income families; and (3) that can align their infant and toddler child care programs, support collaborations for shared services, and build upon existing early childhood education services. Grant funds were issued directly to providers in 20 out of 21 NJ counties to build supply and increase families’ access to high quality care. In addition, DHS/DFD launched two recent marketing campaigns to build supply and recruit new FCC providers: (1) Spring 2023, a campaign directed at informal care providers to become registered family child care providers, and (2) Spring 2024, an advertising campaign to reach persons most likely to be interested in and benefit from becoming an FCC provider, such as young parents, unemployed persons, persons already employed in child care, etc. DHS/DFD recruitment/supply-building strategies also include a program that offers a $1,000 FCC Provider Referral award to existing FCC providers who refer someone who successfully completes the FCC registration process. iv. What is the plan to address the child care shortages using child care centers? To address shortages, DHS/DFD launched a statewide Thriving by Three Infant and Toddler Child Care Initiative for child care centers. The Thriving by Three Initiative provided three-year grants (2023-2025) to help support the development and creation of infant and toddler slots within the expansion of child care slots. Preference was given to providers in communities with documented needs, i.e. child care deserts with few or no options for high-quality infant-toddler care; and high percentages of low-income families. Awardees encompass 20 out of 21 counties and must align their infant and toddler child care programs, support collaborations for shared services, and build upon existing early childhood education services. The grants were provided directly to providers to build supply and increase families’ access to high quality providers. Families can use the online search feature to easily identify Thriving by Three provider grantee who have committed to increase quality infant and toddler slots b. In different regions of the State or Territory: i. Data sources used to identify shortages: N/A ii. Method of tracking progress: N/A iii. What is the plan to address the child care shortages using family child care homes? N/A iv. What is the plan to address the child care shortages using child care centers? N/A c. In care for special populations: i. Data sources used to identify shortages: DHS/DFD collects data in a number of ways to identify trends of the child care industry in the state. This includes Grow NJ Kids (QRIS), local CCRR data, as well as MRS data. In addition, DHS/DFD contracts with both Statewide Parent Advocacy Network (SPAN) and The Center for Autism and Early Childhood Mental Health at Montclair State University. They work collaboratively to support the provider community, as well as parents of children with disabilities. Through these partnerships, DHS/DFD is able to collect information on the needs and gaps in services and determine appropriate strategies to support the provider community in serving children with disabilities. ii. Method of tracking progress: DHS/DFD uses the New Jersey Child Care Information System (NJCCIS) to collect and track data as well as state and county level surveys. Furthermore, DHS/DFD receives quarterly reports from contracted agencies and reviews data for trends and areas of improvement. Lastly, DHS/DFD solicits direct feedback from parents through focus groups, parent cafes, and other family engagement activities on their identified needs at the local level. iii. What is the plan to address the child care shortages using family child care homes? DHS/DFD supports a robust training and technical assistance system that offers Family Child Care providers the knowledge, skills and coaching for implementation of developmentally appropriate practices. In addition, DHS/DFD supports higher education through scholarships which increase the skill set for the workforce to appropriately serve children with disabilities. DHS/DFD through its partnership with The Center for Autism and Early Childhood Mental Health at Montclair State University implements a statewide Infant and Toddler Mental Health Consultation Program. Lastly, SPAN provides support via trainings, technical assistance, information and resources to enhance their understanding of the needs of children with special needs and how to include them in early learning settings. iv. What is the plan to address the child care shortages using child care centers? DHS/DFD’s training and technical assistance system provides Child Care Centers with knowledge, skills, and coaching for implementation of developmentally appropriate practices. In addition, higher education is supported through scholarships to improve the knowledge and skills needed to appropriately serve children with disabilities. The DHS/DFD partnership with The Center for Autism and Early Childhood Mental Health at Montclair State University provides additional training and support through the Infant and Toddler Mental Health Consultation Program. Lastly, SPAN provides support via trainings, technical assistance, and information and resources to enhance understanding of the needs of children with special needs and how to include them in early learning settings. 4.5.4 Strategies to increase the supply of and improve quality of child care Lead Agencies must develop and implement strategies to increase the supply of and improve the quality of child care services. These strategies must address child care in underserved geographic areas; infants and toddlers; children with disabilities, as defined by the Lead Agency; and children who receive care during non-traditional hours. How does the Lead Agency identify any gaps in the supply and quality of child care services and what strategies are used to address those gaps for: a. Underserved geographic areas. Describe: DHS/DFD offers a Thriving by Three Infant and Toddler Child Care grant to licensed centers and Family Child Care providers. The purpose of the grant is to incentivize the expansion of capacity for infants and toddlers, provide technical assistance to child care providers for the expansion of child care spaces for infants and toddlers, address shortages in infant and toddler care capacity that is available for working families, and support the developmental needs of young children. In awarding Thriving by Three grants, preference is given to providers and programs that: (1) are located in communities identified as child care deserts with few or no options for high-quality child care for infants and toddlers; (2) are located in communities with high percentages of low-income families; and (3) can align their infant and toddler child care programs, support collaborations for shared services, and build upon existing early childhood education services. Program and Classroom Quality Enhancement grants are also offered as an incentive of Grow NJ Kids, NJ’s Quality Rating and Improvement System (QRIS). These grants improve the quality of programs beyond basic health and safety requirements and standards. They offer programs and providers additional resources in selecting age-appropriate materials and supplies that align with the Environment Rating Scales, (ECERS 3, ITERS 3, FCCERS R), or other evidence-based improvement assessments which they otherwise would have to budget on their own. Programs that are eligible for the incentives are those that are supporting children receiving child care assistance. b. Infants and toddlers. Describe: In addition to the supports described above, DHS/DFD supports a robust technical assistance system. From supporting Infant-Toddler Specialists that focus on improving practices of the infant-toddler workforce, to supporting a multi- layer approach of technical assistance for programs and providers enrolled in GNJK. Furthermore, DHS/DFD also continues to support infant and early childhood mental health consultation and social-emotional/relational health trainings and supports; as well as, regional health consultants to support the implementation of health and safety best practice standards. Moreover, with support of the Preschool Development Block Grant, Birth-5 Years, NJ has been researching and developing a framework for an Early Childhood Education (ECE) Apprenticeship Program. Through that work, NJ is reviewing the current wages of the ECE workforce and including wages as a discussion within the framework of the pilot. This program will build supply in the ECE workforce and seeks to improve quality of the workforce by supporting compensated credentialed staff. The pilot is due to launch in 2024 and seeks to enroll a diverse set of employer sites that include private centers, infant-toddler programs, and Head Start/Early Head Start sites. c. Children with disabilities. Describe: DHS/DFD contracts with the Statewide Parent Advocacy Network (SPAN) to help support families as advocates and partners in improving education, health, and mental health outcomes for infants, toddlers, children, and youth to thrive and fully participate as members of their communities. SPAN's foremost commitment is to children with the greatest need due to disability; poverty; discrimination based on race, sex, language, or immigrant status; involvement in the child welfare or juvenile justice system; geographic location; or other special circumstances. SPAN’s NJ Inclusive Child Care Project’s mission is to promote and educate consumers of childcare (center and family child care) and early care and education providers by: ● Educating and encouraging child care providers to offer inclusive child care; ● Educating Parents, Families, Providers, and Other Key Stakeholders about the services available for children with special needs; ● Promoting collaboration among the child care provider community and special needs services to improve the delivery of services to children with disabilities. SPAN provides support via trainings, technical assistance, information, and resources to enhance their understanding of the needs of children with special needs and how to include them in early learning settings. In addition, The Center for Autism and Early Childhood Mental Health at Montclair State University provides specialized technical assistance in the classroom, professional development, and education to improve social-emotional development and inclusion in child care for providers participating in the state’s CCAP or enrolled in Grow NJ Kids. d. Children who receive care during non-traditional hours. Describe: To build the supply of Family Child Care, DHS/DFD has launched a marketing campaign to recruit new FCC providers. The campaign will utilize targeted advertising to persons most likely to be interested in and benefit from becoming an FCC provider, such as young parents, unemployed persons, persons already employed in the child care field, etc. DHS/DFD recruitment/supply building strategies also include a program that offers a $1,000 FCC Provider Referral award to existing FCC providers who refer someone who successfully completes the FCC registration process. e. Other. Specify what population is being focused on to increase supply or improve quality. Describe: N/A 4.5.5 Prioritization of investments in areas of concentrated poverty and unemployment Lead Agencies must prioritize investments for increasing access to high-quality child care and development services for children of families in areas that have significant concentrations of poverty and unemployment and do not currently have sufficient numbers of such programs. Describe how the Lead Agency prioritizes increasing access to high-quality child care and development services for children of families in areas that have significant concentrations of poverty and unemployment and that do not have access to high-quality programs. DHS/DFD uses census data, DOE’s former Abbott Districts which receive additional State educational funding, health index data, and statistics obtained from the NJ Department of Labor to identify counties and/or municipalities with significant concentrations of poverty and unemployment. The Thriving by Three Infant and Toddler Child Care grants gave preference to providers and programs that: (1) are located in communities identified as child care deserts with few or no options for high-quality child care for infants and toddlers; (2) are located in communities with high percentages of low-income families; and (3) can align their infant and toddler child care programs with high-quality preschool programs, support collaborations for shared services, and build upon existing early childhood education services. Furthermore, DHS/DFD’s robust system of technical assistance and quality improvement includes all providers, with a special focus on those providers that serve children receiving child care assistance. 5 Health and Safety of Child Care Settings Child care health and safety standards and enforcement practices are essential to protect the health and safety of children while out of their parents’ care. CCDF provides a minimum threshold for child care health and safety policies and practices but leaves authority to Lead Agencies to design standards that appropriately protect children’s safety and promote nurturing environments that support their healthy growth and development. Lead Agencies should set standards for ratios, group size limits, and provider qualifications that help ensure that the child care environment is conducive to safety and learning and enable caregivers to promote all domains of children’s development. CCDF health and safety standards help set clear expectations for CCDF providers, form the foundation for health and safety training for child care workers, and establish the baseline for monitoring to ensure compliance with health and safety requirements. These health and safety requirements apply to all providers serving children receiving CCDF services – whether the providers are licensed or license-exempt, must be appropriate to the provider setting and age of the children served, must include specific topics and training on those topics, and are subject to monitoring and enforcement procedures by the Lead Agency. CCDF-required annual monitoring and enforcement actions help ensure that CCDF providers are adopting and implementing health and safety requirements. Through child care licensing, Lead Agencies set minimum requirements, including health and safety requirements, that child care providers must meet to legally operate in that State or Territory. In some cases, CCDF health and safety requirements may be integrated within the licensing system for licensed providers and may be separate for CCDF providers who are license- exempt. This section addresses CCDF health and safety requirements, Lead Agency licensing requirements and exemptions, and comprehensive background checks. When responding to questions in this section, OCC recognizes that each Lead Agency identifies and defines its own categories of care. OCC does not expect Lead Agencies to change their definitions to fit the CCDF-defined categories of care. For these questions, provide responses that best match the CCDF categories of care.