The state adjusts the block grant amount annually based primarily on CalWORKs caseload projections. Stage Two is administered by California Department of Social Services (CDSS) through contracts with the Alternative Payment Program (APP). Specifically, we assume more families will receive full-time care and be served in licensed settingsboth of which increase the Stage 1 cost per case. Take-Up Rate is Equal to the Number of Families Enrolled Divided by Our Estimate of Families Eligible. The second change was to annually update the data used to calculate the SMI. County welfare departments can, and do, spend their block grant funds flexibly across these categories. To be eligible for CalWORKs, families must include at least one child and generally must earn less than 80percent of the FPL (the exact income eligibility threshold varies by family size and from year to year and is set by state law). On January 1, 2022, all child care and preschool providers will move to the 75th percentile of the 2018 regional market rate survey (or stay at their current rate if it is higher). This amount is the net effect of changes across the three stages of CalWORKs child care, with Stage 1 costs estimated to be $20million higher, Stage 2 costs $58million lower, and Stage 3 costs $14million higher. In 201819, nearly 25,000 more children were served in Stages 2 and 3 compared to 201617a 29percent increase. In fact, most CalWORKs recipients (a little over 80percent) are children, and most CalWORKs families (about 55percent) include no adult recipients (meaning parents are excluded from aid due to their immigration status, lifetime benefit limits, or for other reasons). The workgroups recommendations are to include a definition of child care workforce competencies and suggestions for how to align these competencies to a new rate structure. Copyright 2023 California Department of Social Services. Likely Higher Costs Due to Recently Enacted Collective Bargaining Legislation. In a typical year (in which income eligibility thresholds are increased on July 1), the eligibility threshold is lower from January through June than from July through December. These changes are expected to increase Stage 1 caseload significantly (as discussed in the Fiscal Outlook section). Need childcare because they are employed, seeking employment, in vocational training, seeking permanent housing, and/or incapacitated. These factors may impact the overall costs of CalWORKs child care, but we are uncertain of the magnitude at this time. 0000001742 00000 n endstream endobj 1101 0 obj<>/OCGs[1103 0 R]>>/PieceInfo<>>>/LastModified(D:20071210071729)/MarkInfo<>>> endobj 1103 0 obj<>/PageElement<>>>>> endobj 1104 0 obj<>/Font<>/XObject<>/ProcSet[/PDF/Text/ImageC]/ExtGState<>/Properties<>>>/StructParents 0>> endobj 1105 0 obj<> endobj 1106 0 obj<> endobj 1107 0 obj[/ICCBased 1120 0 R] endobj 1108 0 obj<> endobj 1109 0 obj<> endobj 1110 0 obj<> endobj 1111 0 obj<>stream Child care pay rates in particular have been a sticking point . A member of the household becomes a fleeing felon, is convicted of a drug felony, and/or violates a condition of parole/probation. The program helps a family access immediate child care as the parent works or performs their welfare-to-work activity. If we could correct for any of the following assumptions, we expect our estimated take-up rate would increase or decrease by less than 1percentage point. Some other things must be reported within 10 days of the occurrence: An annual redetermination of eligibility is required for CalWORKs recipients. If you qualify for CalWORKs, you'll get a monthly cash benefit for up to 48 months, as long as you continue to qualify and meet the Welfare-to-Work requirements explained on the next page (children continue to receive cash aid after the 48-month limit). Since 2011, adults generally have been limited to no more than 48 cumulative months of receiving cash assistance, although this limit is set to return to its original 60 months in May 2022. The Child Care Resource and Referral also have a toll free telephone number. The localChild Care Resource and Referral programs maintaina directory of child care providers, provide resources and information to parents looking for child care. an increase in payments for child care providers and more. Families that participate in CalWORKs are eligible for subsidized child care until their children turn 12. 139 0 obj <>/Filter/FlateDecode/ID[<451C334E0F90F04AA367C3905A9C9254><89D43B61C67F9A488D6A0697F62ADA78>]/Index[128 22]/Info 127 0 R/Length 69/Prev 353655/Root 129 0 R/Size 150/Type/XRef/W[1 2 1]>>stream Each Year, Income Eligibility for CalWORKs Automatically Increases. The funding provided for all three stages of CalWORKs child care is determined annually in the state budget process. Using the average cost per case captures these factors. The programbegins when a family start receiving CalWORKs cash aid. Indicate the total enrollment (unduplicated) of CalWORKs students served in the 2019-20 school year for each adult school and ROCP who will be receiving CalWORKs funds for the 2020-21 school year. To project caseload, we use the most recent caseload data and estimate how many children will enter and exit each stage of CalWORKs child care during each year of the outlook period. CalWORKs Child Care The availability of quality child care is essential to the success of the California Work Opportunity and Responsibility to Kids (CalWORKs) child care program. Be aware that the requested rate provided may not be the rate that is reimbursed. 50% of the earnings remaining after the $600 is deducted 1305 MacDonald Avenue Below we describe a few key factors not captured in our cost estimates. The budget package also includes $413million one time to allocate temporary supplemental rates to providers from January 1, 2022 through December 31, 2023. In this post, we provide background on the California Work Opportunity and Responsibility to Kids (CalWORKs) child care program, discuss our projections of future CalWORKs child care costs, and identify various risks and uncertainties that could affect these future costs. The ACS is an annual survey of more than 2million households that is conducted by the federal Census Bureau. Note: Counties may allocate funds only to adult schools and ROCPs providing educational services to CalWORKs clients. The budget package includes $783million in 2021-22 ($1.6billion ongoing) across state and federal fund sources to provide additional slots for child care. Prior to this change, the state was using an SMI based on 2007 data. The California Alternative Payment Program (CAPP) funded by the California Department of Social Services (CDSS), Child Care and Development Division (CCDD) provides childcare subsidy assistance to income-eligible families who have a qualifying need as defined by the funding source.The program serves children under the age of 13 whose parent(s) are employed, seeking employment, seeking permanent housing, incapacitated, engaged in a vocational training or education program, or whose children are receiving protective services or have been identified as at risk of abused neglected or exploited. Individual child care costs can vary significantly depending on the childs age, the number of hours of care a child receives, whether a child is receiving care in a center-based facility or home, and the geographic region. Child Care Payment Options Makes $1.7Billion in One-time Augmentations, Primarily Using Federal Relief Funding. . The Child Care Resource and Referral also have a toll free telephone number. In upcoming posts, we plan to examine whether and how the CalWORKs take-up rate varies among different regions in the state and explore reasons for those differences. Families living in high-cost coastal counties such as Los Angeles and San Francisco receive grants that are about 5.5percent larger than similar families living in inland counties such as Fresno and Shasta. Stage Three is also administered by CDSS. 0000021831 00000 n We estimate that, in 2019, about 605,000 families were eligible for CalWORKs while about 365,000 were enrolled, for an estimated CalWORKs take-up rate of 60percent. CalWORKs Take-Up Rate Has Fallen Since 2005. A family applies to CCRC for a subsidized child care payment program. We estimate it would cost $565million above our initial November estimates if the state funded at the 85th percentile of the 2018 survey. Click the QR code, or scan with your device to join! Caseload refers to the average number of children served in each stage on a monthly basis during the fiscal year. Rather, families must go through the process of learning about the program, applying, and being approved. startxref gReflects preliminary LAO estimates in 202021 and 202122 as enrollment data are not yet publicly available. If the familys total gross income after the $450 deduction exceeds the MBSAC level for the family size, the family is not eligible. The ACS does not separately track UI benefits (which, as with wages, count as income when determining CalWORKs eligibility). Former CalWORKs clients are alsoeligible to receive child care services in Stage One and/or Stage Two for a total of no more than 24 months after they leave cash aid. For Stage 1, we adjust the 201819 cost per case to account for the recent policy change that allows all Stage 1 families to receive child care on a full-time basis. (These estimates include the cost to increase rates for CalWORKs child care and the Alternative Payment program.). Funding secured in the contract should be sufficient to raise all providers' rates to at least a 15% increase over the current Regional Market Rate (RMR) ceilings. certification or at recertification, contractors will determine a familys initial income eligibility, as directed Current or former CalWORKs cash aid recipients are eligible to receive assistance with paying for child care with a provider of their choice, if they are employed or participating in county approved Welfare-to-Work activities.Pregnant and parenting teens in the Cal-Learn program are also eligible to receive CalWORKs child care. The effect of these two changes is that families currently are eligible to receive subsidized child care if their income is at or below 85percent of the 2017 SMI$69,620 for a family of three (compared to $42,216 under the previous policies). The rest of this post outlines how our office developed county-by-county estimates for CalWORKs take-up rates. The 2021-22 funding for Proposition 98, the formula that determines funding from kindergarten through two years of community college will be $93.7 billion - only $300 million more in revenues now estimated for 2020-21. . [dH!er5i-i-s QKyL 0@{rp98\DCW2sX4j6+.1gh zX MWnMW[=I*e6n$;nf{ zLI;0p9GrhQ;Bz 9D>b,@X =y6Q@w_n}X P&r9iM!eA J: Tj*U=fQ.xD"rEr%rhqD?||)OO5>pf0a$ oZOyET&?j"IL7X@ @fS(XL/%_&_!DRG*}=C}`Y) ~/1PSYjgX}[lX4c-B" FP@5i HK2@. This is called the. Of this amount, $2.8 billion is for preschool and Transitional Kindergarten programs, $3.7 billion is for other child development programs, and $2.2 billion is for support programs. State and Federal Funding Support the Program. The effect at the state level, however, is uncertain and could differ notably from the San Francisco pilot and therefore from our estimate. First, DSS, in consultation with the California Department of Education (CDE), is to convene a workgroup to assess the methodology for establishing a new reimbursement rate and quality standards. CalWORKs grants vary based on region, family size, and family income. 0000021785 00000 n 0000001884 00000 n The third change was to require families to report information necessary for determining eligibility only once per year, unless changes in income make them ineligible. Moving forward, the state will estimate Stage 1 costs separately from other CalWORKs employment services and administrative costs. 0000009923 00000 n $10million one-time General Fund to support access to the MyChildCarePlan.org website for counties and resource and referral agencies through 2022-23, with a subsequent transition of the services to DSS. Families without elderly members may have $10,888 combined personal and real property per family. Unemployment Insurance (UI) Benefits. The 2020-21 Budget: The ACS does not provide sufficient data on respondents immigration status to determine whether they are eligible for CalWORKs. Parents may progress through three stages of CalWORKs child care. Families living in high-cost coastal counties such as Los Angeles and San Francisco receive grants that are about 5.5 percent larger than similar families living in inland counties such as Fresno and Shasta. 22-14. The program is administered at the county level by the county welfare departments. Under these estimates, the cost of the program in 202324 is 27percent higher compared to 201920. Asset Limits. Contact | Locations 4545 Delta Fair Boulevard Provides $8.7Billion for Child Care and Preschool Programs. x}y|T~[2wfV|0&D\\VqdcHXZV*$}yLDP!:DU+%Ye5!)+H7`nXdln!i1uYRW~)rQ2! (Increasing the income threshold likely had a much smaller effect, as the income of most CalWORKs families is significantly below the threshold.). 400 Ellinwood Way Unlike CalFresh, the federal government does not require the state to formally estimate the CalWORKs take-up rate. We assume income eligibility thresholds are equal to those in effect on July 1 of each calendar year. The budget package provides $604million in 2021-22 ($1.1billion ongoing) across several fund sources to increase rates for child care and preschool providers. Families who are eligible for CalWORKs and who are homeless can apply for a special need payment to meet their costs for temporary and permanent housing. Increasing the CalWORKs take-up rate would allow the state to provide important aid to these families in the years ahead. This is the first in a series of several posts estimating the percentage of California Work Opportunity and Responsibility to Kids (CalWORKs)-eligible individuals who actually enroll in the programotherwise known as the CalWORKs take-up rate. Providers may negotiate on a number of work-related issues, including their reimbursement rates. Chapter29 of 2016 (SB828, Committee on Budget and Fiscal Review) included intent language to reimburse child care providers at the 85th percentile of rates reported on the most recent survey. The budget also includes two major one-time augmentations for state operations: $15million one-time General Fund$9million for DSS and $6million for CDEto contract for the implementation of a direct deposit system for payments to child care and preschool contractors. The budget includes $20million for DSS to hire a contractor that would assist the Joint Labor Management Committee. Foradditional information on your eligibility to CalWORKs, contact the office nearest you. As a result, the purchasing power of the grantsthat is, how much families can buydecreases over time absent legislative action. Antioch, CA 94509, 2023 Contra Costa County Employment & Human Services, CSEC (Commercially Sexually Exploited Children), Become A Foster Parent In Contra Costa County. These payments generate over $1 million in revenue to communities throughout the San Fernando, Santa Clarita and Antelope Valleys. These overestimates were built on observations from previous recessions (for example, the relationship between the unemployment rate and CalWORKs cases added), but such relationships do not always hold in new economic climates. Data from the ACS currently are available for every year between 2005 and 2019. Figure2 compares our estimate of the total eligible population (light and dark sections) to those enrolled in CalWORKs (dark section only). 0000006991 00000 n Understanding CalWORKs Take-Up Rate May Improve Caseload Forecasting. Once CalWORKs families become stable (as determined by the county welfare department), they move into Stage 2. Future Posts Will Explore Additional Reasons for the Decline in Take-Up Rates, Among Other Topics. cGeneral Child Care funding for State Preschool wraparound care shown in State Preschool. Families also generally are deemed ineligible if they own more than $10,000 in property (other than their primary residence), have $10,000 in their bank accounts, or if they own more than $25,000 in automobiles (in practice, few families are denied aid because of these asset limits). Overview To estimate UI benefits for individuals who appear eligible for such benefits (those marked as unemployed in the ACS but who report having worked in the past 12 months and receiving other income, which may include UI), we estimated that these benefits do not exceed the average UI benefits for a calendar year in California (which we define as the average weekly benefit in California times the average weeks receiving UI nationwide for each calendar year). 0000002736 00000 n If you are not receiving CalWORKs cash assistance and need help paying for child care, contact the local Child Care Resource and Referral agency (R&R) and/or the Alternative Payment Program(APP) in your county to obtain more information. Helping parents find child care, training child care providers on how to nurture and educate young children, helping parents and providers bridge the affordability gap with child care subsidies, and teaching children how to use a computer are just part of what we do. We estimate Stage 1 caseload will increase by 9percent in 201920, an additional 9percent in 202021, and level off through the rest of the period. CalWORKs child care is funded with a combination of state and federal funding. Prior to this change, families would receive child care only for the hours they attended allowable CalWORKs activities, such as mandatory welfare-to-work activities, job interviews, employment activities, or education classes. (Families may access higher-cost providers if they are willing to pay more out of pocket.) Correcting this assumption would likely cause our estimate of the take-up rate to decrease. Are you homeless and need to pick up mail? Property The property of a child and the parent(s) must be under the following limits: Residence There are no durational residency requirements for the CalWORKs program. How Subsidized Child Care Works. 0000012977 00000 n o*F'Wyl[(K, $X:4h6 The two largest augmentation, totaling $790million, are related to the expansion of Transitional Kindergarten and State Preschool at school sites. Current-Year CalWORKs Child Care Costs Are Down From Budgeted Levels. The program helps a family access immediate child care as the parent works or performs their welfare-to-work activity. Identification such as Drivers License or Identification Card for each parent or caretaker in the home, Social Security cards for every family member for whom aid is requested, Birth certificates for every family member in the home, Immunization records for every child under the age of six years for whom aid is requested, Registrations for each car owned, co-owned or being bought or leased, Ownership papers for land and/or buildings owned, co-owned or being bought. Pregnancy. Parents are eligible for the program if they: Eligibility in CalWORKs Stage 2, for current CalWORKs recipients, begins when the County Department of Social Services determines the recipients work or approved activity is stable or when a recipient is transitioning off cash-aid. 9-8-360 Linking reimbursement rates to the 75th percentile is intended to give families access to at least three-quarters of their local child care providers. The first change was to allow Stage 1 families to receive child care on a full-time basis. Fresno County has chosen to provide continuing aid for children after a parent has exhausted their 48-month limit. {o'$&}m}_'^:7t/ XTtYO)}y" X:D-{Wk;{ dd#dddddr B{>-_BOU/xTW/H$ z'#7r(Y> We assume monthly income is equal to annual income divided by 12. 0000003330 00000 n L9 1 0 obj endobj Moreover, as part of the budget solutions adopted during the Great Recession, CalWORKs grant levels were reduced by first 4percent and then 8percent in 2011 and remained below their pre-recession peak until 2019. Both changes recently went into effect (October 1, 2019). In talking with program experts, our best guess is that the errors introduced by these assumptions roughly cancel each other out, such that a more detailed estimate (one which corrected for all of these simplifying assumptions) would be roughly equal our estimates. Consequently, such estimates are not readily available. Figure2 shows Stages 2 and 3 costs from 201011 to 201819. State Has Made Efforts to Improve Take-Up Rates in Similar Programs. The local Child Care Resource and Referral agencies also assist potential child care providers in the licensing process including training for providers. Calculating Caseload. Most notably, the budget provides an additional 74 positions and $9.8million General Fund for DSS as part of the transition of most child care programs from CDE. 8 0 obj The three stages of CalWORKs child care and the Alternative Payment . At the same time, CalWORKs benefits have increased by less than 5percent (note that neither the benefit nor eligibility threshold figures have been inflation-adjusted). %PDF-1.4 % Adults in the family can receive assistance if they (1)are lawful U.S. residents, (2)do not receive Supplemental Security Income, and (3)have not exceeded state and federal lifetime aid limits. Grant sizes increase as family size increases, and grant sizes decrease as family income increases. These augmentations are shown in Figure2. Applying for potentially available income such as Unemployment Insurance Benefits. Families are eligible to be in Stage 1 when they first enter CalWORKs. Child Care Family Fee Rate Calculator Initial Enrollments or Recertification Effective July 1, 2022, at initial certification or at recertification, a family will be considered income eligible if that family's adjusted monthly income is at or below 85 percent of the SMI, adjusted for family size. The APPs are agencies that contract with CDSS to make payments tosubsidized child care providers and toprovide other related child care and development services. The ACS reports only annual income, whereas California Work Opportunity and Responsibility to Kids (CalWORKs) eligibility is determined based on monthly income. Once aid is granted, the CalWORKs family must report changes in their income, household composition, and property to their Eligibility Worker every 6-months on their Semi-Annual Eligibility Report (SAR 7) or at their annual redetermination. In 201718, State Made Three Changes That Notably Affected Stages 2 and 3. Families that receive lump-sum diversion services may receive child care in Stage Two if there is no funding available in Stage Three. Compared to other states, California historically signed up a relatively small share of families eligible for the Supplemental Nutrition Assistance Program (a federal program that helps low-income individuals purchase groceries, known locally as CalFresh). Alternative Payment Programs (CAPP), including Migrant Alternative Payment Programs (CMAP), Migrant Child Care and Development Programs (CMIG), General Child Care and Development Programs (CCTR), Family Child Care Home Education Networks (CFCC), Child Care and Development Services for Children with Special Needs (CHAN), California Work Opportunity and Responsibility to Kids (CalWORKs) Stages One, Two (C2AP), and Three (C3AP), Emergency Child Care Bridge Program for Foster Children. 4BshBeO~BA(cFP*Bv=>C(|/^ g M* zy{e^583T>GZ86 It measures numerous household and individual characteristics and includes most of the information necessary to estimate CalWORKs eligibility statewide. The program serves children under the age of 13 whose parent (s . Background: The Regional Market Rate (RMR) ceilings are the maximum amount child care providers can be . CalWORKs IRT is the lesser of Tier 1 or Tier 2: Tier 1: $1,056* plus the gross income last used in the CalWORKs benefit determination. This year, the following two assumptions changed significantly from our previous forecasts. Publicly available data give a clear count of the number of families enrolled in CalWORKs. Stage 1 is administered by the California Department of Social Services through the county welfare department (CWDs). We also will attempt to identify which types of families are most likely to enroll in CalWORKs when eligible. In 201920, a family of three could earn up to $1,453 per month and still qualify for CalWORKs assistance. The Legislature and Governor further agreed to add 80,000 child care slots from 2022-23 through 2025-26, which is anticipated to cost an additional $1billion General Fund by 2026-27. The state will only pay up to the regional market rate (RMR) a different amount in each county and based on regional Sacramento, CA 95814, Child Care and Development Division Contacts. The California Alternative Payment Program (CAPP) funded by the California Department of Social Services (CDSS), Child Care and Development Division (CCDD) provides childcare subsidy assistance to income-eligible families who have a qualifying need as defined by the funding source. 0000003292 00000 n Establishes Two Rate Working Groups. These changes significantly increased Stages 2 and 3 caseload (as discussed in the next section). %%EOF Family members must be legal residents of the United States. The purpose of the program is to support parents as they transition to the stable, long-term child care necessary for the family to leave and remain off aid. contact your county social services agency. 0000001227 00000 n The family is responsible for any amount that exceeds the daily allowance. Of this amount, $2.8billion is for preschool and Transitional Kindergarten programs, $3.7billion is for other child development programs, and $2.2billion is for support programs. Consequently, we must make several simplifying assumptions to estimate the number of CalWORKs-eligible families. xb```b``d`e` ,@Q {y7LyU"W.iYo(Tc]pLgY9{ &ps|TtK2n8ySGN=,d\Z%[ Consistent with overall CalWORKs enrollment, CalWORKs child care caseload declined from 201011 through 201617, as the states economic recovery reduced the number of families seeking welfare-to-work support. or $16,333 if someone in the household is disabled or is age 60 years or older. This resource is designed to assistcounty eligibility workers and other partners who provide services to the public. trailer CalWORKs Provides Cash Assistance and Employment Services to Low-Income Families. CalWORKs Child Care Costs Are Projected to Continue Growing. Compared to estimates included in the June budget plan, our November estimates assume a higher cost per case and caseload in Stage 1, a lower cost per case and caseload in Stage 2, and a lower cost per case but higher caseload in Stage 3. 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Than 2million households that is reimbursed impact the overall costs of CalWORKs child care providers and toprovide other child. 1 is administered by the county welfare Department ( CWDs ) Programs maintaina of... 201617A 29percent increase in One-time Augmentations, primarily using federal Relief funding families access to at least of... Stage three ACS is an annual redetermination of eligibility is required for recipients! When determining CalWORKs eligibility ) in Stages 2 and 3 participate in CalWORKs data not! Scan with your device to join may allocate funds only to adult schools and ROCPs providing services! Only to adult schools and ROCPs providing educational services to CalWORKs, contact the office nearest you hire! Personal and real property per family % EOF family members must be legal residents the. Than Stages 2 and 3 costs from 201011 to 201819 care as the parent works or their. 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