2014 -- H 7737

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LC004848

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2014

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A N   A C T

     RELATING TO HUMAN SERVICES - CHILD CARE - STATE SUBSIDIES

     Introduced By: Representatives Williams, Cimini, Tanzi, Lima, and Almeida

     Date Introduced: February 27, 2014

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 40-6.2-1.1 of the General Laws in Chapter 40-6.2 entitled "Child

Care-State Subsidies" is hereby amended to read as follows:

     40-6.2-1.1. Rates established. -- (a) Subject (a)(1) Except as provided otherwise in

subsection (a)(2) and subject to the payment limitations in section (b), the maximum

reimbursement rates to be paid by the departments of human services and children, youth and

families for licensed child care centers and certified family-child care providers shall be based on

the following schedule of the 75th percentile of the 2002 weekly market rates adjusted for the

average of the 75th percentile of the 2002 and the 2004 weekly market rates:

     LICENSED 75th

     CHILD CARE PERCENTILE

CENTERS OF WEEKLY

MARKET RATE

INFANT $182.00

PRESCHOOL $150.00

SCHOOL-AGE $135.00

     CERTIFIED 75th

FAMILY PERCENTILE

CHILD CARE OF WEEKLY

PROVIDERS MARKET RATE

INFANT $150.00

     PRESCHOOL $150.00

SCHOOL-AGE $135.00

     (2) Provided, that effective January 1, 2015, and notwithstanding any provisions to the

contrary in subsections (a)(1), (b), (c), or (d), licensed child care centers, both early childhood and

school age, licensed certified family child care homes, and licensed group family child care

homes that have received national child care accreditation shall be financially compensated in an

amount greater than the current department of human services’ reimbursement rates set forth in

subsection (a)(1). Such financial compensation shall be determined by the department of human

services in a manner and at a rate set by the department, and shall be paid through the department

of human services child care assistance program (CCAP).

      (b) The department shall pay child care providers based on the lesser of the applicable

rate specified in subsection (a), or the lowest rate actually charged by the provider to any of its

public or private child care customers with respect to each of the rate categories, infant, preschool

and school-age. (c) By June 30, 2004 and biennially thereafter, the department of labor and

training shall conduct an independent survey or certify an independent survey of the then current

weekly market rates for child care in Rhode Island and shall forward such weekly market rate

survey to the department of human services. The departments of human services and labor and

training will jointly determine the survey criteria including, but not limited to, rate categories and

sub-categories. The 75th percentile of weekly market rates in the table in subsection (a) shall be

adjusted by the surveys conducted under this subsection, beginning January 1, 2006 and for the

purposes of this section, and until adjusted in accordance with this subsection, the 75th percentile

of weekly market rate shall be the average of the 2002 and 2004 weekly market rate surveys. (d)

In order to expand the accessibility and availability of quality child care, the department of human

services is authorized to establish by regulation alternative or incentive rates of reimbursement

for quality enhancements, innovative or specialized child care and alternative methodologies of

child care delivery, including non-traditional delivery systems and collaborations. (e) On or

before January 1, 2007, all child care providers have the option to be paid every two (2) weeks

and have the option of automatic direct deposit and/or electronic funds transfer of reimbursement

payments.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

     RELATING TO HUMAN SERVICES - CHILD CARE - STATE SUBSIDIES

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     This act would provide that beginning on January 1, 2015, the department of human

services would establish new increased rates of compensation for licensed child care centers, both

early childhood and school age, licensed certified family child care homes, and licensed group

family child care homes that have received national child care accreditation.

     This act would take effect upon passage.

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LC004848

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