equal-access-affordability

Reason(s) for non-compliance: • The Lead Agency does not prohibit increases to co-payments within the 12-month eligibility period prior to graduated phase-out period, as required by 98.21(a)(3). (Plan Question 2.5.4) • The Lead Agency does not limit all family co-payments to seven percent or less of family income, as required by 98.45(l)(3). Specifically, the lead agency is non-compliant because though co-payments for the lowest income families participating in CCDF are relatively negligible they do exceed 7% in some cases. (Plan Question 3.1.1a). Please note the Lead Agency has an approved waiver for this requirement through April 30, 2025. Overall Target Completion Date: 06/30/2026 Action Step Number Action Step Description Target Completion Date 1 Modifications will need to be made to the IT system, PELICAN-CCW, which houses information for providers and families enrolled in the subsidy program. Currently, the lowest rate configured in the system is $5. The required system changes are already in process and captured through Work Order 2052. 05/31/2025 2 OCDEL will prepare needed policy and procedure documents to support appropriate implementation. This may include training to ELRC staff to ensure compliance with the new co-payment requirements. 05/31/2025 3 Increases in copay have historically been used to collect overpayment, this practice is outlined in Pennsylvania’s Subsidized Child Care. The regulations also outline that the increase may not exceed an amount greater than 5% of the family’s gross monthly income and outlines that if this temporary increase to collect overpayment is determined a hardship, the family and eligibility agency may agree to a lesser amount. 06/30/2026 OCDEL has requested clarification from OCC to determine if this practice may continue. If changes to overpayment collection using copay increases is determined noncompliant, regulatory changes and system changes will be required to develop a new system for collection of overpayment.