Child care need is defined as the gap between what resources the family has vs. what resources the family needs to maintain safe, dependable child care that supports children's development and family self-sufficiency.

This policy is intended to define under what circumstances a family needs help with child care expenses to close this gap. The family's financial and nonfinancial resources should be considered available to meet this need. For example, if there is another responsible adult in the household, the availability and suitability of the other adult to provide care needs to be explored. If the child is school-age, child care would ordinarily not be needed during school hours. Families should be encouraged to explore potential income, such as child support or tax credits, to help pay the child care expense.

Child care need also means that the care is necessary to maintain employment or participate in self-sufficiency activities. For child care related to employment, this means the nature of the parent's work makes it necessary that someone else care for the child during working hours. Ordinarily, there is no child care need if the caretaker works at home and can care for their own child without significantly affecting their work.

For example, a resident apartment manager whose main duties consist of answering the phone and collecting rent would not generally require child care. Likewise, self-employed child care providers do not generally require child care for their own children. A reason many people become providers in the first place, is that it allows them to care for their own children and earn an income at the same time. They do not typically pay child care for their own children, in order to care for other children.

Dependent Care Costs; Deduction and Coverage: 461-160-0040

The Department of Human Services (DHS) can help pay child care expenses only for persons who are employed or participating in DHS-approved self-sufficiency activities. The ERDC program is used only for clients not receiving TANF, unless the adult is not included in the TANF benefit group.

F	SEE CONCURRENT TANF/ERDC BENEFIT GROUP MEMBERSHIP IN SECTION C OF THE CHILD CARE CHAPTER (CC-C.4).

Employment normally means work that results in earned income. This includes paid work experience and paid practicum assignments. For ERDC, this includes work study. Employment for the purpose of ERDC does not include self-employment.

Self-sufficiency activities include Pre-TANF Program, JOBS Program and retention and activities approved by DHS. The activities should be specified in a written case plan mutually agreed on by the client and DHS or partner staff.

Child care for retention activities can be covered by the ERDC program as long as the client is primarily an employee rather than a student. As a general rule, clients enrolled in enough credit hours to qualify for financial aid are considered students and their class hours cannot be covered by the ERDC program.

Allowable need includes circumstances where an ERDC client loses a job and needs child care to look for another job. If there is an outstanding Child Care Billing (CCB) form, it can be used to pay for job search child care hours and a JOBS payment may be issued to cover the copay. This needs to be approved by branch staff and would not extend into the following month. If still unemployed in the following month, child care should be authorized in the Pre-TANF or JOBS Program.

Specific Requirements; ERDC: 461-135-0400
Dependent Care Costs; Deduction and Coverage: 461-160-0040
Case Plan Activities and Standards for Support Service Payments; JOBS, Post-TANF, Pre-TANF, REF, SFPSS, TA-DVS, TANF: 461-190-0211

The number of allowable child care hours is limited by the monthly maximum rate described in Provider Rate Limits unless extra hours are authorized by the worker.

F	SEE CHILD CARE NEED; AUTHORIZING A HIGHER LIMIT FOR EXTRA HOURS IN THIS SECTION, (CC-F.4).

DHS will help pay for the number of child care hours, up to the monthly maximum rate, necessary for caretakers to perform the duties of his or her job or participate in approved activities. The computer system adds 25 percent to the hours coded by the worker on UCMS or JAS, to account for travel and meal time.

DHS will not help pay for child care hours when free care is available, such as during school hours for school age children who are able to attend school. DHS will not pay for child care hours during the time the client or the second parent is self-employed. Clients who are only self-employed are not eligible to receive child care benefits.

In a two-parent household, the second parent is ordinarily considered available to provide child care, unless both parents are at work or participating in DHS-approved activities during the same hours, or the second parent is physically or mentally unable to provide adequate care. The inability of the second parent to provide adequate care must be documented.

For a client who earns less than state minimum wage, determine the number of allowable child care hours by dividing countable income by the Oregon minimum wage. The resulting figure is the maximum number of hours that can be coded on the computer not to exceed 172 hours. For persons in the start-up phase of employment that does not pay an hourly wage or salary such as working on commission, the number of allowable child care hours can be up to full time for the initial three months. Workers will need to determine, with the client, how many child care hours are needed.

Coding work hours - Code the monthly work hours on UCMS. Do not average the CC Work Hours. Instead, code the highest number of work hours anticipated for any one month during the certification period. For example, if the client anticipates working 103 hours in April, 156 in May and 98 in June, you would code 156 CC Wrk Hrs on UCMS.

Medical Documentation; Disability and Other Determinations: 461-125-0830
Specific Requirements; ERDC: 461-135-0400
Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150
Dependent Care Costs; Deduction and Coverage: 461-160-0040

DHS can help pay for hours when the child care need is greater than work hours plus 25 percent.

For part-time employment, additional hours can be authorized up to the monthly maximum by increasing the number of hours coded on UCMS. When authorizing extra hours for sleep time for clients who work an overnight shift, sleep hours are not to exceed five hours per work night.

For full-time employment that requires more than 215 hours of care per month, the worker can authorize an additional amount above the monthly maximum limit. This is capped at 50 percent above the monthly maximum and is limited to the following situations:

• The commute time to and from work exceeds two hours per day;

• The caretaker works an overnight shift and care is necessary for both work hours and sleep hours. Sleep hours are not to exceed five hours per work night. This would ordinarily not apply during the school year for school age children;

• The caretaker works a split shift and it is not feasible to care for the child between shifts;

• The caretaker consistently works more than 40 hours a week;

• Weekend work or other nonstandard work hours require care by more than one provider, and the total of the allowable hours billed by both providers exceeds the maximum limit. For example, a provider caring for a child four days during the week may appropriately bill for full-time care. If another provider provides care on a Saturday, these additional hours exceed the limit;

• The caretaker needs child care for both full-time work and participation in DHS-assigned activities.

Take the following actions to authorize additional hours on the system:

• Enter an EXH case descriptor and EXH need/resource entry on UCMS coded to the payee;

• Match the end date of the EXH need/resource entry to the ERDC certification end date. The need for the additional hours should be reviewed with each re-application;

• Enter the actual number of child care hours the client needs, up to a maximum of 323 hours, in the CC WRK HRS field. The EXH code will override the usual 1.25 calculation. The number of hours entered in this field will appear on the billing form and determine the maximum dollar limit on the provider pay system.

The computer will calculate the additional authorized amount by dividing the number of hours on UCMS by 215, and multiplying that result by the regular monthly maximum.

DHS can pay for up to five days when a child is absent from care under the following circumstances:

• The child was scheduled to be in care on the absent days and the provider held the slot open for the child;

• The provider bills for the scheduled time the child was absent;

• It is the provider's policy to bill all families for absent days.

DHS will not pay for more than five consecutive days of scheduled care for which the child is absent.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150
Dependent Care Costs; Deduction and Coverage: 461-160-0040
Case Plan Activities and Standards for Support Service Payments; JOBS, Post-TANF, Pre-TANF, REF, SFPSS, TA-DVS, TANF: 461-190-0211

Special needs age – Older children (for ERDC, ages 12 through 17, and for all other programs, ages 13 through 17) can be eligible for payment of child care costs if DHS determines that the child should not be left unsupervised during the hours the parent is working or participating in self-sufficiency activities. This determination must be verified by one of the following:

• A verbal or written statement by a physician, nurse practitioner, psychologist, social worker, school counselor, or other qualified professional who is familiar with the child;

• Eligibility for SSI;

• Under court supervision;

• Receiving foster care payments;

• Other unique circumstances where the child's safety or the caretakers's ability to work or participate in assigned activities will be significantly compromised if child care is not authorized. For example, child care might be necessary for an older child whose parent works an overnight shift (in these circumstances, narration would be sufficient documentation).

To authorize payment for an older child (up to the maximum school-age rate), an SNA need/resource entry is required on UCMS. This entry must be re-entered with the re-application date at every review to keep the older child on the billing form as long as there is still a need for child care.

Special needs rate – A child, age newborn through 17 years old with special needs, is a child who requires a higher level of care over and above the norm for their age due to a physical, behavioral, or mental disability. The disability should be verified by one of the following:

• A physician, osteopath, nurse practitioner, licensed nurse practitioner, physician assistant, psychiatrist, psychiatric mental health nurse practitioner and measurement of visual acuity and visual fields from an optometrist or ophthalmologist;

• Eligibility for Early Intervention and Early Childhood Special Education Programs or school-age Special Education Programs;

• Eligibility for SSI.

The need for a higher level of care is determined by the provider and should be verified by the provider's statement on the Special Need Child Care Rate Request (DHS 7486) form. A new DHS 7486 should be completed when the provider changes, or at least once every 12 months.

To authorize a higher payment (at the Special Need Rate), an SNR need/resource entry is required on UCMS. This continuous SNR rate must be removed when the child no longer needs a Special Need Rate.

Age Requirements for Clients to Receive Benefits: 461-120-0510
Medical Documentation; Disability and Other Determinations: 461-125-0830
Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150

In some rare cases, the special needs rate does not adequately cover the cost of caring for children who have very high needs and require a much higher level of care than other children of the same age. This includes, but is not limited to, children diagnosed as having extreme developmental delays, very high medical needs, severe physical limitations, autism or profound mental health issues.

For these children, DHS can pay an additional amount above the special needs rate. The amount of this payment is determined by how much additional care the child requires in the child care setting. The upper limit for the additional payment is $5.00 an hour, up to $840.00 per month. To qualify, the child must be eligible for the special needs rate as described in "Child care need; older children and children with special needs," (CC-F.6) in this section. In addition, the child must be enrolled or in the process of being enrolled, with Early Intervention, Early Childhood Special Education or school-age Special Education programs, unless it is determined by a professional working with the child that enrollment is not appropriate.

The determination that it may cost an additional amount to care for a child with very high needs is made by one or more High Needs Specialists in each district. Staff who become aware of children with high needs in their caseloads should discuss the case with the specialist in their area. The district office will know who this is. If appropriate, the specialist will refer the case to the Inclusive Child Care Program to meet with the parent and the child care provider to assess the need for a higher payment level. This assessment must be supported by medical documentation.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150
High Special Needs; Child Care: 461-155-0151

The fact that a family's income may be less than the ERDC income standard does not always mean they are financially eligible for ERDC. Eligibility also depends on the maximum amount DHS will pay. Especially for families whose income is just under the maximum limit, the copay may be more than what DHS will pay. If so, the family is not eligible.

• Determine the copay amount by entering the client's monthly income amount and number of persons in the ERDC filing group using the internet copay calculator. (See "Determining the copay" (CC-F.12) in this section.);

• Determine how much DHS will pay based on area, the age of the child(ren), estimated hours of care, and type of care the family is using. (See "Provider rate limits: child care rate charts" (CC-F.20) in this section.);

• If the family's copay is higher than the rate DHS will pay, the family is not eligible.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150

The copay represents the financial investment the parent (or caretaker) makes in the care provided to their children. This investment increases as the family's income increases, but should remain affordable to support continued employment. The copay structure should encourage families to seek higher wages and better jobs. Increased income should not be canceled out by a higher copay and the loss of other benefits, such as SNAP.

The copay is also a means of allocating available program funds to families who need help the most.

For ERDC, the caretaker is responsible for paying the copay to the provider or making satisfactory arrangements with the provider to pay it. Satisfactory arrangements can include bartering or income in-kind. For example, a parent may provide child care for a provider's children instead of paying the copay. The parent and provider should be encouraged to put this agreement in writing and the parent should receive a receipt when the provider is paid, whether the payment is cash or in kind.

If the client has more than one provider, the copay should be paid to the one who provides the most care. This provider is called the primary provider - the other(s) are called the secondary provider(s).

If the copay exceeds the billed amount, the copay amount due by the client to the provider is the maximum allowed by DHS on the provider claim. DPU may change the primary provider designation or split the copay on future billing forms among all the providers who bill for care.

For families transitioning from TANF to ERDC, there is no copay the first month of ERDC eligibility, if a billing form was already sent to the provider showing a zero copay.

If a provider indicates on the CCB that a client did not pay the required copay or make satisfactory arrangements to pay it, DPU will end benefits and send a closing notice as soon as timely notice requirements allow. DPU also codes a copay not met (CNM) case descriptor on UCMS and an "N" is coded in the copay met field on DPCS. If the client later requests ERDC, there is no eligibility until past copays are paid or satisfactory arrangements are made with the provider.

The period of ineligibility ends in either of the following circumstances:

• On the first day of the month in which the client makes the copayment or makes satisfactory arrangements with the provider; or

• On the first day of the month after three years have lapsed from the date the client failed to make payment.

The provider has up to 60 days after the CCB is processed to notify DHS that the copay or satisfactory arrangements have not been made. If not reported within 60 days, DHS will consider the copay requirement met.

Requirement to Make Copay or Satisfactory Arrangements; ERDC: 461-135-0415

If an ERDC case has been closed because of an unmet copay, it can be reopened under any of the following circumstances:

• The provider agrees that the copay has been met or that satisfactory arrangements have been made;

• The client submits evidence that payment has been made, such as a receipt or canceled check;

• The client verifies the debt was discharged by a bankruptcy filing;

• The client has attempted to pay the provider but the provider refuses payment. This can occur when the copay is part of a larger bill that includes charges above the maximum rates. The case can be reopened if the client presents evidence of an attempt to pay the entire copay;

• The client attempts to pay the provider, but the provider cannot be located.

The effective date for reopening the case is the first of the month in which the copay requirement was met. For example:

Requirement to Make Copay or Satisfactory Arrangements; ERDC: 461-135-0415

F	REFER TO THE PROCESSING UNMET COPAYS WORKER GUIDE, (CC-WG#5), AT THE END OF THIS CHAPTER FOR DETAILED INFORMATION ON HOW TO PROCESS UNMET COPAYS.

The copay is calculated by a mathematical formula that gradually increases the copay as family income increases. The maximum income limit is 185 percent of the Federal Poverty Level. This calculation is available on the Children, Adults, and Families - Self-Sufficiency Programs Web page and can be accessed by going to http://apps.state.or.us/cf1/ERDC/.

To determine the correct copay amount, enter the number of persons in the ERDC benefit group in the Choose Family Size: field. Make sure to include all adult members of the filing group as well as older children who do not need child care.

Enter the monthly income amount (as described in Section E) in the Enter Monthly Income field. Click on Calculate. The copay amount will appear in the Estimated Copay Amount field. If the client is over the income standard, the screen will say Income Exceeds Eligibility For Child Care Services.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150
Poverty Related Income Standards; Not OSIP, OSIPM, QMB: 461-155-0180
Use of Income to Determine Eligibility and Benefits for ERDC: 461-160-0300

The limits established in the rate tables are intended to reflect the rates charged by most providers in the community. DHS uses a market price survey based on what providers report to child care resource and referral agencies (CCR&Rs) throughout the state to determine this level. Parents receiving DHS child care assistance should have access to the same types and quality of care that is available to the majority of other parents in the community who use child care. The rate structure is intended to facilitate this access.

DHS provider rates are also structured to improve the quality of care available to DHS clients by offering an incentive to providers to obtain additional training. Providers who meet established training requirements can be paid at a higher rate and have access to billing options that more accurately reflect the market practices of the professional provider community.

There are three levels of rate limits: standard rate, enhanced rate and licensed rate. Providers who are not registered or certified by the Child Care Division (CCD) or do not meet the qualifications for the enhanced rate qualify for the standard rate. Providers can qualify for the enhanced rate by meeting established training requirements. Providers can qualify for the licensed rate by becoming registered or certified by the Child Care Division. The differences between the three rate limits are:

• The enhanced and licensed rate definition of full-time care is 136 hours or more in the month. There is also an additional billing option of a part-time monthly rate;

• The standard rate definition of full-time care is 158 hours or more in the month. The part-time monthly billing option is not available for providers who qualify for the standard rate.

F	FOR MORE DETAILED INFORMATION, SEE PROVIDER RATE LIMITS; HOURLY, PART-TIME MONTHLY, AND FULL-TIME MONTHLY RATES (CC-F.16), BELOW.

CCD-certified centers, registered and certified families automatically qualify for the licensed rate because registration and certification training requirements meet or exceed the DHS enhanced rate requirements.

Family and in-home providers and staff of centers exempt from certification rules will qualify for the enhanced rate by working with the Oregon Registry. This program is part of the Oregon Center for Career Development in Childhood Care and Education located at Portland State University. To qualify, the provider or staff person must:

• Have completed at least two hours of training on child abuse and neglect issues;

• Be currently certified in first aid;

• Be currently certified in infant and child CPR;

• Have a current food handlers permit; and

• Agree to complete a minimum of eight hours of additional training related to child care every two years.

For family providers to be paid up to the enhanced rate, the Oregon Child Care Resource and Referral Network notifies the Oregon Registry office when the trainings have been completed. The Oregon Registry office notifies DHS when the provider qualifies, and future billing forms are coded to allow the enhanced rate.

Family providers who apply for CCD registration, do not need to make a separate application to the Oregon Registry office. Once registration is approved, CCD notifies the Oregon Registry office and DHS.

Exempt centers must have at least one staff member who meets these standards for every 20 children in care to receive the enhanced rate.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150

Providers eligible only for the standard rate will be paid at either the hourly or full-time monthly rate:

• The hourly rate limit applies when children are in care less than 158 hours per month or when a provider is not designated as the primary provider for the case;

• The full-time monthly rate limit applies when children are in care 158 hours or more per month and the provider is designated as the primary provider for the case.

Providers eligible for the enhanced or licensed rate will be paid at the hourly, part-time monthly or full-time monthly rates.

• The hourly rate applies when children are in care less than 136 hours per month, unless the provider has an established part-time monthly rate, charges all families part-time rate for part-time care and is designated as the primary provider for the case;

• The part-time monthly rate applies if the provider has an established part-time monthly rate and children are in care between 63 and 135 hours per month and the provider is designated as the primary provider for the case. For these providers, the hourly rate applies when children are in care less than 63 hours a month.

• The full-time monthly rate applies when children are in care 136 or more hours per month and when the provider is designated as the primary provider for the case.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150

If a child is usually in care less than 158 hours for the standard rate, or 136 hours for the enhanced or licensed rate, the provider cannot be paid at the full-time monthly rate. An exception can be made for clients participating in assigned JOBS activities in the following circumstances if the case manager determines there is no reasonable alternative:

• Appropriate care is not accessible to the participant at the hourly rate. For example, if a JOBS participant needs only 120 hours of care each month, but lives in a rural area where the only child care available charges by the full month only, the full-time monthly rate can be authorized;

• The participant is a teen parent using on-site care while attending educational activities and the provider is holding a slot open for the teen parent's child.

Case Plan Activities and Standards for Support Service Payments; JOBS, Post-TANF, Pre-TANF, REF, SFPSS,
TA-DVS, TANF: 461-190-0211

The maximum allowable rate is determined in part by age or special needs of the children in care. The age categories on the provider rates charts are as follows:

• Infant: A child age:
  • - Newborn to 1 year (12 months) for nonlicensed care; or

  • - Newborn to 18 months for licensed care, registered or certified.

• Toddler: A child age:
  • - 1 year (12 months) to 3 years for nonlicensed care; or

  • - 18 months to 3 years for licensed care, registered or certified.

• Preschool: A child age 3 years to 6 years;

• School-age: A child age 6 years and older;

• Special Needs: A child who requires a higher level of care than what is usually required for their age due to a physical, behavioral or mental disability.

F	SEE CHILD CARE NEED; OLDER CHILDREN AND CHILDREN WTTH SPECIAL NEEDS (CC-F.6), IN THIS SECTION.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150

Allowable rates vary depending on the type of child care provided. The following describes the types of care listed in the child care rates charts.

• The Standard Family Rate applies to child care provided in the provider's own home or in the home of the child when the provider does not qualify for the enhanced or licensed rate described in this chapter;

F	SEE PROVIDER RATE LIMITS; QUALIFYING FOR THE ENHANCED RATE (CC-F.15) FOR MORE INFORMATION.

• The Standard Center Rate applies to child care provided in a facility that is not located in a residential dwelling, is exempt from Child Care Division certification rules and whose staff do not meet the requirements for the enhanced rate;

• The Enhanced Family Rate applies to child care provided in the provider's own home or in the home of the child, and the provider qualifies for the enhanced rate;

• The Enhanced Center Rate applies to child care provided in an exempt center whose staff meets the enhanced rate training requirements at a ratio of one staff person per 20 children in care;

• The Registered Family Rate applies to child care provided in a residential dwelling that is registered by the Child Care Division as a Registered Family provider. The facility must be inspected, and both provider and facility are required to meet certain standards;

• The Certified Family Rate applies to child care provided in a residential dwelling that is certified by the Child Care Division as a Certified Family Home. To earn this designation, the facility must be inspected, and both provider and facility are required to meet certain standards not required of a registered family provider;

• The Certified Center Rate applies to child care provided in a facility that is certified by the Child Care Division as a Certified Child Care Center. To earn this designation, the facility must be inspected, and both staff and facility are required to meet certain standards not required of other provider types.

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150

The following are the child care rate charts. Because the market price survey found that rates providers charged were higher in some areas of the state than in others, the state was divided into three areas, with a separate chart for each area. The zip code of the provider determines which chart to use. (Out-of-state providers use Group Area C.)

Child Care Eligibility Standard, Payment Rates, and Copayments: 461-155-0150