Engrossments
Introduction		Posted on 02/12/2007

ARTICLE 1

CHILD CARE POLICY

Section 1.

Minnesota Statutes 2006, section 119B.09, subdivision 1, is amended to read:

Subdivision 1.

General eligibility requirements for all applicants for child
care assistance.

(a) Child care services must be available to families who need child
care to find or keep employment or to obtain the training or education necessary to find
employment new text begin as defined in section 119B.10 new text end and whodeleted text begin :
deleted text end

deleted text begin (1)deleted text end have household income less than or equal to deleted text begin 250 percent of the federal poverty
guidelines, adjusted for family size, and meet the requirements of section 119B.05;
receive MFIP assistance; and are participating in employment and training services under
chapter 256J or 256K; or
deleted text end

deleted text begin (2) have household income less than or equal to 175 percent of the federal poverty
guidelines, adjusted for family size, at program entry and less than 250 percent of the
federal poverty guidelines, adjusted for family size, at program exitdeleted text end new text begin 75 percent of the
state median incomenew text end .

(b) Child care services must be made available as in-kind services.

(c) All applicants for child care assistance and families currently receiving child care
assistance must be assisted and required to cooperate in establishment of paternity and
enforcement of child support obligations for all children in the family as a condition
of program eligibility. For purposes of this section, a family is considered to meet the
requirement for cooperation when the family complies with the requirements of section
256.741.

Sec. 2.

Minnesota Statutes 2006, section 119B.09, is amended by adding a subdivision
to read:

new text begin Subd. 11. new text end

new text begin Deferral period. new text end

new text begin If a family experiences a change in income or authorized
activity that results in a reduction in an amount of care that can be authorized, and the
family timely reports the change and receives care from a licensed family provider or a
licensed or license-exempt child care center, the notice of negative action must be mailed
at least 60 calendar days before the effective day of the action.
new text end

new text begin If a family's eligibility ends due to an increase in income, the family shall pay the
highest co-payment amount for the family size during the deferral period.
new text end

new text begin A family or child care provider may not be assessed an overpayment for a payment
made during the deferral period unless:
new text end

new text begin (1) there was an error in the amount of care authorized for the family; or
new text end

new text begin (2) the family or provider did not timely report a change as required under law.
new text end

Sec. 3.

Minnesota Statutes 2006, section 119B.12, is amended by adding a subdivision
to read:

new text begin Subd. 3. new text end

new text begin Child care assistance parental fee schedule. new text end

new text begin (a) The commissioner
of human services shall develop a biweekly family co-payment schedule for child care
assistance families with annual incomes less than or equal to 75 percent of the state
median income. The schedule must be a sliding scale based on the income of the parent.
The co-payment must not exceed ten percent of the adjusted gross income for families at
the upper end of the highest step on the co-payment schedule. This schedule is effective
July 1, 2007, and must be implemented at or before the participant's next eligibility
redetermination. The fee schedule under Laws 2005, First Special Session, chapter 4,
article 3, must remain in effect until the schedule under this section is fully implemented.
The schedule under this section must be fully implemented by January 1, 2008.
new text end

new text begin (b) The parent co-payment under paragraph (a) must be reduced by ten percent if the
child care provider the parent uses is licensed child care, and an additional ten percent if
the child care provider the parent uses has been approved for a provider rate differential
for accreditation under section 119B.13, subdivision 3a.
new text end

Sec. 4.

Minnesota Statutes 2006, section 119B.13, subdivision 1, is amended to read:

Subdivision 1.

Subsidy restrictions.

(a) Beginning deleted text begin July 1, 2006deleted text end new text begin on the first
Monday in January 2008new text end , the maximum rate paid for child care assistance in any county
or multicounty region under the child care fund deleted text begin shall be thedeleted text end new text begin must not exceed the 75th
percentile new text end rate for like-care arrangements in the county deleted text begin effective January 1, 2006,
increased by six percentdeleted text end new text begin as surveyed by the commissioner, except that in counties where
the maximum rate is set at the 100 percent percentile on July 1, 2007, the maximum rate
shall continue to be set at the 100 percent percentile. Notwithstanding this subdivision,
no child care rate must decrease as a result of the implementation of the new rate on
January 1, 2008new text end .

(b) Rate changes shall be implemented for services provided in deleted text begin September 2006deleted text end
new text begin March 2008 new text end unless a participant eligibility redetermination or a new provider agreement is
completed between deleted text begin Julydeleted text end new text begin Januarynew text end 1, deleted text begin 2006deleted text end new text begin 2008new text end , and deleted text begin August 31deleted text end new text begin February 28new text end , deleted text begin 2006deleted text end new text begin 2008new text end .

As necessary, appropriate notice of adverse action must be made according to
Minnesota Rules, part 3400.0185, subparts 3 and 4.

New cases approved on or after deleted text begin Julydeleted text end new text begin Januarynew text end 1, deleted text begin 2006deleted text end new text begin 2008new text end , shall have the maximum
rates under paragraph (a), implemented immediately.

(c) Not less than deleted text begin oncedeleted text end every deleted text begin two yearsdeleted text end new text begin yearnew text end , the commissioner shall survey rates
charged by child care providers in Minnesota to determine the 75th percentile for
like-care arrangements in countiesnew text begin , and implement the survey results using the 75th
percentilenew text end . When the commissioner determines that, using the commissioner's established
protocol, the number of providers responding to the survey is too small to determine
the 75th percentile rate for like-care arrangements in a county or multicounty region,
the commissioner may establish the 75th percentile maximum rate based on like-care
arrangements in a county, region, or category that the commissioner deems to be similar.

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

(e) 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, new text begin half-day, new text end full-day, and weekly basis, including special needs and disability care.

(f) When 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.

ARTICLE 2

CHILD CARE ASSISTANCE CONSOLIDATION

Section 1.

Minnesota Statutes 2006, section 119B.02, subdivision 1, is amended to read:

Subdivision 1.

Child care services.

The commissioner shall develop standards
for county and human services boards to provide child care services to enable eligible
families to participate in employment, training, or education programs. deleted text begin Within the limits
of available appropriations,deleted text end The commissioner shall distribute money to counties to
reduce the costs of child care for eligible families. The commissioner shall adopt rules to
govern the program in accordance with this section. The rules must establish a sliding
schedule of fees for parents receiving child care services. The rules shall provide that
funds received as a lump sum payment of child support arrearages shall not be counted
as income to a family in the month received but shall be prorated over the 12 months
following receipt and added to the family income during those months. The commissioner
shall maximize the use of federal money under title I and title IV of Public Law 104-193,
the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, and
other programs that provide federal or state reimbursement for child care services for
low-income families who are in education, training, job search, or other activities allowed
under those programs. Money appropriated under this section must be coordinated with
the programs that provide federal reimbursement for child care services to accomplish
this purpose. deleted text begin Federal reimbursement obtained must be allocated to the county that spent
money for child care that is federally reimbursable under programs that provide federal
reimbursement for child care services.deleted text end The deleted text begin countiesdeleted text end new text begin commissionernew text end shall use the federal
money to expand child care services. The commissioner may adopt rules under chapter 14
to implement and coordinate federal program requirements.

Sec. 2.

Minnesota Statutes 2006, section 119B.02, subdivision 2, is amended to read:

Subd. 2.

Contractual agreements with tribes.

The commissioner may enter into
contractual agreements with a federally recognized Indian tribe with a reservation in
Minnesota to carry out the responsibilities of county human service agencies to the extent
necessary for the tribe to operate child care assistance programs new text begin for families eligible
new text end under sections deleted text begin 119B.03deleted text end new text begin 119B.09new text end and . An agreement may allow for the
tribe to be reimbursed for child care assistance services provided under deleted text begin section 119B.05deleted text end new text begin
this chapternew text end . The commissioner shall consult with the affected county or counties in the
contractual agreement negotiations, if the county or counties wish to be included, in
order to avoid the duplication of county and tribal child care services. deleted text begin Funding to support
services under section 119B.03 may be transferred to the federally recognized Indian tribe
with a reservation in Minnesota from allocations available to counties in which reservation
boundaries lie. When funding is transferred under section 119B.03, the amount shall be
commensurate to estimates of the proportion of reservation residents with characteristics
identified in section 119B.03, subdivision 6, to the total population of county residents
with those same characteristics.deleted text end

Sec. 3.

Minnesota Statutes 2006, section 119B.03, subdivision 3, is amended to read:

Subd. 3.

Eligible participants.

Families that meet the eligibility requirements
under sections deleted text begin 119B.07,deleted text end 119B.09deleted text begin ,deleted text end and 119B.10deleted text begin , except MFIP participants, diversionary
work program, and transition year familiesdeleted text end are eligible for child care assistance under the
deleted text begin basic sliding feedeleted text end new text begin child care assistance new text end program. Families enrolled in the deleted text begin basic sliding feedeleted text end
new text begin child care assistance new text end program shall be continued until they are no longer eligible. Child
care assistance provided through the child care fund is considered assistance to the parent.

Sec. 4.

Minnesota Statutes 2006, section 119B.03, subdivision 9, is amended to read:

Subd. 9.

deleted text begin Portability pooldeleted text end new text begin Family move; continued participationnew text end .

(a) deleted text begin The
commissioner shall establish a pool of up to five percent of the annual appropriation for
the basic sliding fee program to provide continuous child care assistance for eligible
families who move between Minnesota counties. At the end of each allocation period, any
unspent funds in the portability pool must be used for assistance under the basic sliding fee
program. If expenditures from the portability pool exceed the amount of money available,
the reallocation pool must be reduced to cover these shortages.
deleted text end

deleted text begin (b) To be eligible for portable basic sliding fee assistance, a family that has moved
from a county in which itdeleted text end new text begin A family receiving child care assistance under the child care fund
that has moved from a county in which the familynew text end was receiving deleted text begin basic sliding feedeleted text end new text begin child
carenew text end assistance to deleted text begin adeleted text end new text begin anothernew text end county deleted text begin with a waiting list for the basic sliding fee programdeleted text end
mustnew text begin be admitted into the receiving county's child care assistance program if the familynew text end :

(1) deleted text begin meetdeleted text end new text begin meetsnew text end the income and eligibility guidelines for the deleted text begin basic sliding feedeleted text end new text begin child
care assistance new text end program; and

(2) deleted text begin notifydeleted text end new text begin notifiesnew text end the new county of residence within 60 days of moving and deleted text begin submitdeleted text end new text begin
submitsnew text end information to the new county of residence to verify eligibility for the deleted text begin basic
sliding feedeleted text end new text begin child care assistancenew text end program.

deleted text begin (c)deleted text end new text begin (b)new text end The receiving county mustdeleted text begin :
deleted text end

deleted text begin (1)deleted text end accept administrative responsibility deleted text begin for applicants for portable basic sliding fee
assistancedeleted text end at the end of the two months of assistance under the Unitary Residency Actdeleted text begin ;
deleted text end

deleted text begin (2) continue basic sliding fee assistance for the lesser of six months or until the
family is able to receive assistance under the county's regular basic sliding program; and
deleted text end

deleted text begin (3) notify the commissioner through the quarterly reporting process of any family
that meets the criteria of the portable basic sliding fee assistance pooldeleted text end .

Sec. 5.

Minnesota Statutes 2006, section 119B.03, subdivision 10, is amended to read:

Subd. 10.

Application; entry points.

Two or more methods of applying for the
deleted text begin basic sliding feedeleted text end new text begin child care assistancenew text end program new text begin under this chapter new text end must be available to
applicants in each county. To meet the requirements of this subdivision, a county may
provide alternative methods of applying for assistance, including, but not limited to, a mail
application, or application sites that are located outside of government offices.

Sec. 6.

Minnesota Statutes 2006, section 119B.035, subdivision 1, is amended to read:

Subdivision 1.

Establishment.

A family in which a parent provides care for the
family's infant child may receive a subsidy in lieu of assistance if the family is eligible
for or is receiving assistance under the deleted text begin basic sliding feedeleted text end new text begin child care assistancenew text end program.
An eligible family must meet the eligibility factors under section 119B.09, except as
provided in subdivision 4, and the requirements of this section. Subject to federal match
and maintenance of effort requirements for the child care and development fund, the
commissioner shall establish a pool of up to three percent of the annual state appropriation
for the deleted text begin basic sliding feedeleted text end new text begin child care assistancenew text end program to provide assistance under the
at-home infant child care program and for administrative costs associated with the
program. At the end of a fiscal year, the commissioner may carry forward any unspent
funds under this section to the next fiscal year within the same biennium for assistance
under the deleted text begin basic sliding feedeleted text end new text begin child care assistancenew text end program.

Sec. 7.

Minnesota Statutes 2006, section 119B.035, subdivision 2, is amended to read:

Subd. 2.

Eligible families.

A family with an infant under the age of one year is
eligible for assistance if:

(1) the family is not receiving MFIP, other cash assistance, or other child care
assistance;

(2) the family has not previously received a life-long total of 12 months of assistance
under this section; and

(3) the family is participating in the deleted text begin basic sliding feedeleted text end new text begin child care assistancenew text end program
or provides verification of participating in an authorized activity at the time of application
and meets the program requirements.

Sec. 8.

Minnesota Statutes 2006, section 119B.035, subdivision 4, is amended to read:

Subd. 4.

Assistance.

(a) A family is limited to a lifetime total of 12 months of
assistance under subdivision 2. The maximum rate of assistance is equal to 90 percent
of the rate established under section 119B.13 for care of infants in licensed family child
care in the applicant's county of residence.

(b) A participating family must report income and other family changes as specified
in the county's plan under section 119B.08, subdivision 3.

(c) Persons who are admitted to the at-home infant child care program retain their
position in any deleted text begin basic sliding feedeleted text end new text begin child care assistancenew text end program. Persons leaving the
at-home infant child care program reenter the deleted text begin basic sliding feedeleted text end new text begin child care assistancenew text end
program at the position they would have occupied.

(d) Assistance under this section does not establish an employer-employee
relationship between any member of the assisted family and the county or state.

Sec. 9.

Minnesota Statutes 2006, section 119B.035, subdivision 5, is amended to read:

Subd. 5.

Implementation.

The commissioner shall implement the at-home infant
child care program under this section through counties that administer the deleted text begin basic sliding feedeleted text end new text begin
child care assistancenew text end program under deleted text begin section 119B.03deleted text end new text begin this chapternew text end . The commissioner must
develop and distribute consumer information on the at-home infant child care program to
assist parents of infants or expectant parents in making informed child care decisions.

Sec. 10.

Minnesota Statutes 2006, section 119B.05, subdivision 5, is amended to read:

Subd. 5.

Federal reimbursement.

Counties new text begin and the state new text end shall maximize their
federal reimbursement under federal reimbursement programs for money spent for persons
eligible under this chapter. The commissioner shall allocate any federal earnings to the
county to be used to expand child care services under this chapter.

Sec. 11.

Minnesota Statutes 2006, section 119B.08, is amended to read:

119B.08 REPORTING AND PAYMENTS.

Subdivision 1.

Reports.

The commissioner shall specify requirements for reports
under the authority provided in section 256.01, subdivision 2, paragraph (17).

Subd. 2.

Quarterly payments.

The commissioner may make payments to each
county in quarterly installments. deleted text begin The commissioner may certify an advance up to 25
percent of the allocation.deleted text end Subsequent payments shall be made on a reimbursement basis
for reported expenditures and may be adjusted for anticipated spending patterns. Payments
may be withheld if quarterly reports are incomplete or untimely.

Subd. 3.

Child care fund plan.

The county and designated administering agency
shall submit a biennial child care fund plan to the commissioner. The commissioner shall
establish the dates by which the county must submit the plans. The plan shall include:

(1) a description of strategies to coordinate and maximize public and private
community resources, including school districts, health care facilities, government
agencies, neighborhood organizations, and other resources knowledgeable in early
childhood development, in particular to coordinate child care assistance with existing
community-based programs and service providers including child care resource and
referral programs, early childhood family education, school readiness, Head Start, local
interagency early intervention committees, special education services, early childhood
screening, and other early childhood care and education services and programs to the
extent possible, to foster collaboration among agencies and other community-based
programs that provide flexible, family-focused services to families with young children
and to facilitate transition into kindergarten. The county must describe a method by which
to share information, responsibility, and accountability among service and program
providers;

(2) a description of procedures and methods to be used to make copies of the
proposed state plan reasonably available to the public, including members of the public
particularly interested in child care policies such as parents, child care providers, culturally
specific service organizations, child care resource and referral programs, interagency
early intervention committees, potential collaborative partners and agencies involved in
the provision of care and education to young children, and allowing sufficient time for
public review and comment; and

(3) information as requested by the department to ensure compliance with the child
care fund statutes and rules promulgated by the commissioner.

The commissioner shall notify counties within 90 days of the date the plan is
submitted whether the plan is approved or the corrections or information needed to
approve the plan. The commissioner shall withhold deleted text begin a county's allocation until it has an
approved plan. Plans not approved by the end of the second quarter after the plan is due
may result in a 25 percent reduction in allocation. Plans not approved by the end of the
third quarter after the plan is due may result in a 100 percent reduction in the allocation to
the countydeleted text end new text begin payments to a county until it has an approved plannew text end . Counties are to maintain
services despite any deleted text begin reduction in their allocationdeleted text end new text begin withholding of paymentsnew text end due to plans
not being approved.

Subd. 4.

deleted text begin Termination of allocationdeleted text end new text begin Withholding or reduction of fundsnew text end .

The
commissioner may withholddeleted text begin ,deleted text end new text begin ornew text end reducedeleted text begin , or terminate the allocation of anydeleted text end new text begin funds intended
to reimburse counties for child care costs under the child care fund if the new text end county deleted text begin thatdeleted text end does
not meet the reporting or other requirements of this program. The deleted text begin commissioner shall
reallocate to other counties money so reduced or terminateddeleted text end new text begin withholding or reduction of
funds under this subdivision does not relieve counties of their requirements under this
chapternew text end .

Sec. 12.

Minnesota Statutes 2006, section 119B.09, subdivision 4a, is amended to read:

Subd. 4a.

Temporary ineligibility of military personnel.

Counties must reserve a
family's position under the child care assistance fund if a family has been receiving child
care assistance but is temporarily ineligible for assistance due to increased income from
active military service. Activated military personnel may be temporarily ineligible until
deactivation. deleted text begin A county must reserve a military family's position on the basic sliding fee
waiting list under the child care assistance fund if a family is approved to receive child care
assistance and reaches the top of the waiting list but is temporarily ineligible for assistance.
deleted text end

Sec. 13.

Minnesota Statutes 2006, section 119B.09, subdivision 7, is amended to read:

Subd. 7.

Date of eligibility for assistance.

(a) The date of eligibility for child
care assistance under this chapter is the later of the date the application was signed; the
beginning date of employment, education, or training; new text begin or new text end the date the infant is born for
applicants to the at-home infant care programdeleted text begin ; or the date a determination has been made
that the applicant is a participant in employment and training services under Minnesota
Rules, part 3400.0080, subpart 2a, or chapter 256Jdeleted text end .

(b) Payment ceases for a family under the at-home infant child care program when a
family has used a total of 12 months of assistance as specified under section 119B.035.
deleted text begin Payment of child care assistance for employed persons on MFIP is effective the date of
employment or the date of MFIP eligibility, whichever is later.deleted text end Payment of child care
assistance for MFIP or DWP participants in employment and training services is effective
the date of commencement of the services or the date of MFIP or DWP eligibility,
whichever is later. deleted text begin Payment of child care assistance for transition year child care must be
made retroactive to the date of eligibility for transition year child care.
deleted text end

Sec. 14.

Minnesota Statutes 2006, section 119B.10, is amended to read:

119B.10 EMPLOYMENT OR TRAINING ELIGIBILITY.

Subdivision 1.

Assistance for persons seeking and retaining employment.

(a)
Persons who are seeking employment and who are eligible for assistance under this deleted text begin sectiondeleted text end new text begin
chapternew text end are eligible to receive up to 240 hours of child care assistance per calendar year.

(b) Employed persons who work at least an average of 20 hours and full-time
students who work at least an average of ten hours a week and receive at least a minimum
wage for all hours worked are eligible for continued child care assistance for employment.
For purposes of this section, work-study programs must be counted as employment.
Child care assistance during employment must be authorized as provided in paragraphs
(c) and (d).

(c) When the person works for an hourly wage and the hourly wage is equal to or
greater than the applicable minimum wage, child care assistance shall be provided for the
actual hours of employment, break, and mealtime during the employment and travel time
up to two hours per day.

(d) When the person does not work for an hourly wage, child care assistance must be
provided for the lesser of:

(1) the amount of child care determined by dividing gross earned income by the
applicable minimum wage, up to one hour every eight hours for meals and break time,
plus up to two hours per day for travel time; or

(2) the amount of child care equal to the actual amount of child care used during
employment, including break and mealtime during employment, and travel time up to
two hours per day.

new text begin Subd. 1a. new text end

new text begin Assistance for persons participating in employment plan. new text end

new text begin The
following persons are also eligible for child care assistance:
new text end

new text begin (1) persons who are participating in employment orientation or job search, or
other employment or training activities that are included in an approved employability
development plan under chapter 256K;
new text end

new text begin (2) persons who are participating in work, job search, job support, employment, or
training activities as required in their job search support or employment plan or in appeals,
hearings, assessments, or orientations according to chapter 256J;
new text end

new text begin (3) persons who are participating in social services activities under chapter 256J
or 256K as required in their employment plan approved according to chapter 256J or
256K; and
new text end

new text begin (4) families who are participating in programs as required in tribal contracts under
section 119B.02, subdivision 2, or 256.01, subdivision 2.
new text end

Subd. 2.

Financial eligibility required.

Persons participating in employment
programs, training programs, or education programs are eligible for continued assistance
from the child care fund, if they are financially eligible under the sliding fee scale set
by the commissioner in section 119B.12.

new text begin Subd. 3. new text end

new text begin Child care assistance during education. new text end

new text begin (a) The following persons are
eligible for child care assistance for education or training:
new text end

new text begin (1) persons who meet the requirements of section 119B.09 who are enrolled in
remedial or basic education or English as a second language, or persons up to the age of
19 who are enrolled in an educational program to attain a high school diploma or general
equivalency diploma;
new text end

new text begin (2) persons who meet the requirements of this section and section 119B.09 who
receive child care assistance to reduce the costs of child care for education when employed
an average of at least ten hours per week under subdivision 1, and are not receiving MFIP
benefits as defined in section 119B.011, subdivision 17; and
new text end

new text begin (3) persons who meet the requirements of this section and section 119B.09 who
receive child care assistance to reduce the costs of child care for education when enrolled
in a postsecondary educational institution as a full-time undergraduate student, and are not
receiving MFIP benefits as defined in section 119B.011, subdivision 17.
new text end

new text begin (b) Notwithstanding subdivisions 5 and 6, assistance for persons under paragraph
(a), clause (3), is limited to 48 months or the length of time necessary to complete the
degree, whichever is shorter.
new text end

new text begin Subd. 4. new text end

new text begin Satisfactory progress. new text end

new text begin Students enrolled in an education program
under section 119B.011, subdivision 11, must be making satisfactory progress toward
completion of the program as stipulated in the school's satisfactory progress policy.
new text end

new text begin Subd. 5. new text end

new text begin Limiting duration of training. new text end

new text begin Counties may not limit the duration of
child care subsidies for a person in an employment or educational program, except when
the person is found to be ineligible under the child care fund eligibility standards. Any
limitation must be based on a person's employment plan in the case of an MFIP participant.
new text end

new text begin Subd. 6. new text end

new text begin Maximum length of time for training. new text end

new text begin The maximum length of time a
participant is eligible for child care assistance under the child care fund for education and
training is no more than the maximum time allowed to complete the credit requirements
for an associate or baccalaureate degree as stipulated in the school's satisfactory progress
policy. This length of time excludes basic or remedial education programs, English as
a second language, high school, and general equivalency diploma programs needed to
prepare for postsecondary education or employment.
new text end

new text begin Subd. 7. new text end

new text begin MFIP student moves to another county. new text end

new text begin If an MFIP participant who is
receiving child care assistance under this chapter moves to another county, continues
to participate in educational or training programs authorized in the MFIP participant's
employment plans, and continues to be eligible for child care assistance under this chapter,
the MFIP participant must receive continued child care assistance from the county
responsible for the MFIP participant's current employment plan under section 256G.07.
new text end

Sec. 15.

Minnesota Statutes 2006, section 119B.11, subdivision 1, is amended to read:

Subdivision 1.

County contributions required.

(a) In addition to payments from
deleted text begin basic sliding feedeleted text end child care new text begin assistance new text end program participants, each county shall contribute
from county tax or other sources a fixed local match equal to its calendar year 1996
required county contribution reduced by the administrative funding loss that would have
occurred in state fiscal year 1996 under section 119B.15. The commissioner shall recover
funds from the county as necessary to bring county expenditures into compliance with this
subdivision. The commissioner may accept county contributions, including contributions
above the fixed local match, in order to make state payments.

(b) The commissioner may accept payments from counties to:

(1) fulfill the county contribution as required under subdivision 1;

(2) pay for services authorized under this chapter beyond those paid for with federal
or state funds or with the required county contributions; or

(3) pay for child care services in addition to those authorized under this chapter, as
authorized under other federal, state, or local statutes or regulations.

(c) The county payments must be deposited in an account in the special revenue
fund. Money in this account is appropriated to the commissioner for child care assistance
under this chapter and other applicable statutes and regulations and is in addition to other
state and federal appropriations.

Sec. 16.

Minnesota Statutes 2006, section 119B.12, subdivision 2, is amended to read:

Subd. 2.

Parent fee.

A family must be assessed a parent fee for each service period.
A family's parent fee must be a fixed percentage of its annual gross income. Parent fees
must apply to families eligible for child care assistance under deleted text begin sections 119B.03 and
119B.05deleted text end new text begin section 119B.09new text end . Income must be as defined in section 119B.011, subdivision
15. The fixed percent is based on the relationship of the family's annual gross income to
100 percent of the annual federal poverty guidelines. Parent fees must begin at 75 percent
of the poverty level. The minimum parent fees for families between 75 percent and 100
percent of poverty level must be $10 per month. Parent fees must provide for graduated
movement to full payment. Payment of part or all of a family's parent fee directly to the
family's child care provider on behalf of the family by a source other than the family shall
not affect the family's eligibility for child care assistance, and the amount paid shall be
excluded from the family's income. Child care providers who accept third-party payments
must maintain family specific documentation of payment source, amount, and time period
covered by the payment.

Sec. 17.

Minnesota Statutes 2006, section 119B.15, is amended to read:

119B.15 ADMINISTRATIVE EXPENSES.

The commissioner shall use up to 1/21 of the state and federal funds available for the
deleted text begin basic sliding fee program and 1/21 of the state and federal funds available for the MFIPdeleted text end
child care new text begin assistance new text end program for deleted text begin payments to counties for administrative expensesdeleted text end new text begin the
administrative costs of the delivery of direct servicesnew text end .

Sec. 18.

Minnesota Statutes 2006, section 119B.24, is amended to read:

119B.24 DUTIES OF COMMISSIONER.

In addition to the powers and duties already conferred by law, the commissioner
of human services shall:

(1) administer the child care funddeleted text begin , including the basic sliding fee programdeleted text end authorized
under sections 119B.011 to 119B.16;

(2) monitor the child care resource and referral programs established under section
119B.19; and

(3) encourage child care providers to participate in a nationally recognized
accreditation system for early childhood and school-age care programs. Subject
to approval by the commissioner, family child care providers and early childhood
and school-age care programs shall be reimbursed for one-half of the direct cost of
accreditation fees, upon successful completion of accreditation.

Sec. 19. new text begin DIRECTION TO COMMISSIONER OF FINANCE.
new text end

new text begin The state obligation for the child care assistance program under Minnesota Statutes,
chapter 119B, must be included in the Department of Finance February and November
forecast of state revenues and expenditures under Minnesota Statutes, section 16A.103,
beginning with the November 2007 forecast.
new text end

Sec. 20. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin In the next bound edition of Minnesota Statutes and Minnesota Rules, the revisor
shall renumber the statutory section in column A with the section in column B, and make
necessary cross-reference changes consistent with the renumbering:
new text end

	new text begin Column A new text end	new text begin Column B new text end
	new text begin 119B.035 new text end	new text begin 119B.105 new text end
	new text begin 119B.05, subd. 4 new text end	new text begin 119B.03, subd. 11 new text end
	new text begin 119B.05, subd. 5 new text end	new text begin 119B.03, subd. 12 new text end

Sec. 21. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall correct internal cross references to sections affected by
section 22. The revisor may make changes necessary to correct the punctuation, grammar,
or structure of the remaining text and preserve its meaning.
new text end

Sec. 22. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2006, sections 119B.011, subdivisions 20 and 20a; 119B.03,
subdivisions 1, 2, 4, 5, 6, 6a, 6b, and 8; 119B.05, subdivision 1; 119B.07; 119B.09,
subdivision 3; and 119B.11, subdivision 4, new text end new text begin are repealed.
new text end

HF 920

Bill Text Versions

Current Version - as introduced

ARTICLE 1

CHILD CARE POLICY

Section 1.

Subdivision 1.

General eligibility requirements for all applicants for child care assistance.

Sec. 2.

new text begin Subd. 11. new text end

new text begin Deferral period. new text end

Sec. 3.

new text begin Subd. 3. new text end

new text begin Child care assistance parental fee schedule. new text end

Sec. 4.

Subdivision 1.

Subsidy restrictions.

ARTICLE 2

CHILD CARE ASSISTANCE CONSOLIDATION

Section 1.

Subdivision 1.

Child care services.

Sec. 2.

Subd. 2.

Contractual agreements with tribes.

Sec. 3.

Subd. 3.

Eligible participants.

Sec. 4.

Subd. 9.

deleted text begin Portability pooldeleted text end new text begin Family move; continued participationnew text end .

Sec. 5.

Subd. 10.

Application; entry points.

Sec. 6.

Subdivision 1.

Establishment.

Sec. 7.

Subd. 2.

Eligible families.

Sec. 8.

Subd. 4.

Assistance.

Sec. 9.

Subd. 5.

Implementation.

Sec. 10.

Subd. 5.

Federal reimbursement.

Sec. 11.

119B.08 REPORTING AND PAYMENTS.

Subdivision 1.

Reports.

Subd. 2.

Quarterly payments.

Subd. 3.

Child care fund plan.

Subd. 4.

deleted text begin Termination of allocationdeleted text end new text begin Withholding or reduction of fundsnew text end .

Sec. 12.

Subd. 4a.

Temporary ineligibility of military personnel.

Sec. 13.

Subd. 7.

Date of eligibility for assistance.

Sec. 14.

119B.10 EMPLOYMENT OR TRAINING ELIGIBILITY.

Subdivision 1.

Assistance for persons seeking and retaining employment.

new text begin Subd. 1a. new text end

new text begin Assistance for persons participating in employment plan. new text end

Subd. 2.

Financial eligibility required.

new text begin Subd. 3. new text end

new text begin Child care assistance during education. new text end

new text begin Subd. 4. new text end

new text begin Satisfactory progress. new text end

new text begin Subd. 5. new text end

new text begin Limiting duration of training. new text end

new text begin Subd. 6. new text end

General eligibility requirements for all applicants for child
care assistance.

Sec. 19. new text begin DIRECTION TO COMMISSIONER OF FINANCE.
new text end

Sec. 20. new text begin REVISOR'S INSTRUCTION.
new text end

Sec. 21. new text begin REVISOR'S INSTRUCTION.
new text end

Sec. 22. new text begin REPEALER.
new text end