HF 1747

as introduced - 92nd Legislature (2021 - 2022) Posted on 03/31/2022 06:39pm

A bill for an act
relating to child care assistance; modifying child care assistance rates; directing
the commissioner of management and budget to forecast the basic sliding fee child
care assistance program; amending Minnesota Statutes 2020, section 119B.13,
subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2020, section 119B.13, subdivision 1, is amended to read:

Subdivision 1.

Subsidy restrictions.

(a) The maximum rate paid for child care assistance
in any county or county price cluster under the child care fund shall be the greater of the
deleted text begin 25th deleted text end new text begin 75th new text end percentile of the deleted text begin 2018 deleted text end new text begin most recent new text end child care provider rate survey or the rates in
effect at the time of the update. new text begin The rate increase is effective the first full service period on
or after January 1 of the year following the provider rate survey. new text end For a child care provider
located within the boundaries of a city located in two or more of the counties of Benton,
Sherburne, and Stearns, the maximum rate paid for child care assistance shall be equal to
the maximum rate paid in the county with the highest maximum reimbursement rates or the
provider's charge, whichever is less. The commissioner may: (1) assign a county with no
reported provider prices to a similar price cluster; and (2) consider county level access when
determining final price clusters.

(b) A rate which includes a special needs rate paid under subdivision 3 may be in excess
of the maximum rate allowed under this subdivision.

(c) The department shall monitor the effect of this paragraph on provider rates. The
county shall pay the provider's full charges for every child in care up to the maximum
established. The commissioner shall determine the maximum rate for each type of care on
an hourly, full-day, and weekly basis, including special needs and disability care.

(d) If a child uses one provider, the maximum payment for one day of care must not
exceed the daily rate. The maximum payment for one week of care must not exceed the
weekly rate.

(e) If a child uses two providers under section 119B.097, the maximum payment must
not exceed:

(1) the daily rate for one day of care;

(2) the weekly rate for one week of care by the child's primary provider; and

(3) two daily rates during two weeks of care by a child's secondary provider.

(f) Child care providers receiving reimbursement under this chapter must not be paid
activity fees or an additional amount above the maximum rates for care provided during
nonstandard hours for families receiving assistance.

(g) If the provider charge is greater than the maximum provider rate allowed, the parent
is responsible for payment of the difference in the rates in addition to any family co-payment
fee.

deleted text begin (h) All maximum provider rates changes shall be implemented on the Monday following
the effective date of the maximum provider rate.
deleted text end

deleted text begin (i) Beginning September 21, 2020, deleted text end new text begin (h) new text end The maximum registration fee paid for child care
assistance in any county or county price cluster under the child care fund shall be the greater
of the deleted text begin 25th deleted text end new text begin 75th new text end percentile of the deleted text begin 2018 deleted text end new text begin most recent new text end child care provider rate survey or the
registration fee in effect at the time of the update. new text begin Each maximum registration fee update
must be implemented on the same schedule as maximum child care assistance rate increases
under paragraph (a). new text end Maximum registration fees must be set for licensed family child care
and for child care centers. For a child care provider located in the boundaries of a city located
in two or more of the counties of Benton, Sherburne, and Stearns, the maximum registration
fee paid for child care assistance shall be equal to the maximum registration fee paid in the
county with the highest maximum registration fee or the provider's charge, whichever is
less.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2. new text begin DIRECTION TO COMMISSIONER OF MANAGEMENT AND BUDGET.
new text end

new text begin The commissioner of management and budget must include the state obligation for the
basic sliding fee child care assistance program under Minnesota Statutes, section 119B.03,
in the Minnesota Management and Budget February and November forecasts of state
revenues and expenditures under Minnesota Statutes, section 16A.103, beginning with the
November 2021 forecast, to ensure that all eligible applicants have access to child care
assistance program services.
new text end