State of Illinois
90th General Assembly
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[ Introduced ][ Engrossed ][ House Amendment 001 ]

90_HB0630ham002

                                           LRB9002514PTcwam03
 1                     AMENDMENT TO HOUSE BILL 630
 2        AMENDMENT NO.     .  Amend House Bill 630, AS AMENDED, by
 3    replacing everything  after  the  enacting  clause  with  the
 4    following:
 5        "Section  5.  The  Children  and  Family  Services Act is
 6    amended by adding Section 5.25 as follows:
 7        (20 ILCS 505/5.25 new)
 8        Sec. 5.25.  State-assisted child care.
 9        (a)  The  General  Assembly  finds  and   declares   that
10    families  with  children need child care in order to work and
11    participate in education or training; and low-income families
12    struggle to pay  the  high  cost  of  child  care;  and  when
13    low-income  families  cannot  afford  child  care they are in
14    danger of going on welfare; and families  who  leave  welfare
15    for  work  need child care in order to successfully make this
16    transition and to stay  off  welfare;  and  families  leaving
17    welfare  for  work  do  not  usually  experience large salary
18    increases,  but  rather  remain  very  low-income,  and  time
19    limited child care  benefits  are  a  barrier  to  successful
20    workforce  participation;  and  high quality child care helps
21    children develop to  their  full  potential  and  helps  them
22    succeed in school and life; and the rate for subsidized child
                            -2-            LRB9002514PTcwam03
 1    care  needs  to  be  high enough that families can find child
 2    care providers to accept it; and the human services agencies'
 3    reorganization and federal welfare reform  give  Illinois  an
 4    unprecedented  opportunity  to  create  a seamless child care
 5    system and eliminate and consolidate categorical programs.
 6        (b)  The Department of Human Services shall administer  a
 7    statewide  program  of  financial  assistance for employment,
 8    education, community service, and training-related child care
 9    and development services (child care assistance) for families
10    that meet the eligibility and activity  requirements  as  set
11    forth  in  this  Section  and shall use all federal and State
12    funds designated for these purposes.
13        (c)  The Department  shall  make  child  care  assistance
14    available  for  children  under 13 years of age to any family
15    that requires child care to engage in  one  or  more  of  the
16    following activities:
17             (1)  State-required   or  State-approved  activities
18        while a recipient of the Temporary Assistance  for  Needy
19        Families program (TANF).
20             (2)  Employment,  whether  or  not  the  parent is a
21        recipient of TANF.
22             (3)  Elementary or high school education in order to
23        obtain a high school diploma if a parent under  20  years
24        of  age.  (A teen parent and his or her children shall be
25        considered   a   separate   household   in    determining
26        eligibility.)
27             (4)  Participation  in a GED, adult basic education,
28        or English-as-a-second-language program.
29             (5)  Participation in an occupational or  vocational
30        training  program with a State-approved training provider
31        if the parent is engaged in the activity  exclusively  or
32        in  combination with employment for a minimum of 20 hours
33        per week including transportation  time,  except  that  a
34        parent  may  qualify for assistance under this subsection
                            -3-            LRB9002514PTcwam03
 1        for only one occupational or vocational training  program
 2        in any 36-month period.
 3             (6)  Enrollment  in a 2-year or 4-year postsecondary
 4        degree program if the parent is engaged in a  minimum  of
 5        30  hours  per  week  of  classes  and  employment with a
 6        minimum  of  8  hours  per  week   of   employment.    In
 7        calculating  the  30  hours per week, the parent's course
 8        credit hours shall be multiplied by 2.
 9             (7)  While engaged in a job search.
10             (8)  Families  with   special   needs   or   special
11        circumstances as defined by rule.
12        (d)  The  Department  shall  make  child  care assistance
13    available to any family whose household income, as defined by
14    rule, is below the specified level for that fiscal  year  and
15    may  provide assistance to families whose household income is
16    above the specified level.   Subject  to  appropriation,  the
17    specified  level  for fiscal year 1998 shall not be less than
18    50% of the State  median  income,  the  specified  level  for
19    fiscal  year  1999  shall  not  be less than 55% of the State
20    median income, the specified level for fiscal year 2000 shall
21    not be less than 60% of  the  State  median  income  and  the
22    specified  level  in  the following fiscal years shall not be
23    less than 60% of the State  median  income.   Notwithstanding
24    the income level at which families become eligible to receive
25    child  care  assistance, any family that is already receiving
26    child  care  assistance,  on  the  effective  date  of   this
27    amendatory  Act  of 1997 or thereafter, shall remain eligible
28    for  child  care  assistance  until  their  household  income
29    exceeds 60% of the  State  median  income  or  the  specified
30    income  level for that fiscal year, whichever is higher.  The
31    Department shall revise the State median income  annually  in
32    accordance with federal guidelines.
33        (e)  The  Department  shall  establish  and  periodically
34    revise,  by  rule,  a co-payment scale that provides for cost
                            -4-            LRB9002514PTcwam03
 1    sharing by families receiving  child  care  assistance  under
 2    this  Section.   The  co-payment  shall  be an amount that is
 3    reasonable and affordable for the family and shall  be  based
 4    upon  household  income  and  family size. A family with 2 or
 5    more children in care shall pay a higher  co-payment  than  a
 6    family  with  one  child  in  care,  but  there  shall  be no
 7    additional charge  for  additional  children  in  care.   The
 8    amount  of the co-payment shall not be based upon the type of
 9    care chosen by the family.
10        (f)  Families eligible for assistance under this  Section
11    shall be given the following options:
12             (1)  receiving  a   child care certificate issued by
13        the Department or a subcontractor of the Department  that
14        may be used by the parents only as payment for child care
15        and development services; or
16             (2)  if space is available, enrolling the child with
17        a child care  provider  that  has  a  purchase-of-service
18        contract  with  the  Department or a subcontractor of the
19        Department  for  the  provision   of   child   care   and
20        development   services.    The  Department  may  identify
21        particular priority populations for whom they may request
22        special     consideration     by      providers      with
23        purchase-of-service    contracts,   provided   that   the
24        providers shall be permitted to  maintain  a  balance  of
25        clients  in  terms  of household incomes and families and
26        children with special needs, as defined by rule.
27        (g)  In order to expand access to high  quality  programs
28    to families receiving child care services under this Section,
29    the  Department  shall  increase the number of day care slots
30    that are  delivered  through  purchase-of-service  contracts.
31    These efforts shall include, but are not limited to:
32             (1)  offering   an  option  to  providers  who  meet
33        minimum program requirements as defined by rule, and  who
34        accept  a minimum number, as defined by rule, of children
                            -5-            LRB9002514PTcwam03
 1        with   child   care   certificates   to   convert   those
 2        certificates to a purchase-of-service contract;
 3             (2)  offering   contracts   to   purchase-of-service
 4        providers who have the capacity to combine Head Start  or
 5        State  Pre-Kindergarten  with child care funding in order
 6        to provide full workday  or  full  year  child  care  and
 7        education services;
 8             (3)  offering    expanded   contracts   to   current
 9        purchase-of-service providers who have  the  capacity  to
10        expand infant, pre-school, or school-age programs;
11             (4)  seeking  opportunities  to  develop  and expand
12        family  day   care   home   networks,   particularly   in
13        under-served communities and at non-traditional hours;
14             (5)  partnering  with  local government entities and
15        non-profit   agencies   to   expand   purchase-of-service
16        capacity; and
17             (6)  providing grants or leveraging private funds to
18        renovate  and  construct  facilities   to   house   child
19        development and school-age child care services.
20        (h)  In   order   to  expand  the  capacity  of  existing
21    providers and to increase the number of  providers  of  child
22    care  and  development  services  to meet the growing need of
23    families for quality State-assisted child care in this State,
24    the Department shall:
25             (1) Conduct biennial market rate  surveys  based  on
26        the cost of care and other relevant factors, the first of
27        which shall be completed on or before December 1, 1997.
28             (2)  Establish  a reimbursement rate set at no lower
29        than the 75th percentile of the market rate as determined
30        by the biennial market rate survey commencing on July  1,
31        1998.
32             (3)  Establish a lesser rate for license-exempt care
33        by rule.
34             (4)  Create incentive rate enhancements for licensed
                            -6-            LRB9002514PTcwam03
 1        child care providers who remain open 11 or more hours per
 2        day  in  order  to accommodate the needs of parents whose
 3        activity schedules necessitate extended  hours  of  child
 4        care.    The  incentive  rate  enhancement  shall  be the
 5        prorated amount  of  the  per  diem  rate  based  upon  a
 6        standard   10-hour   care   day.    The   incentive  rate
 7        enhancement shall not exceed 10% and shall be uniform for
 8        all types of licensed day care and for all age categories
 9        of children.  The Department shall also provide incentive
10        enhanced rates for  licensed  child  care  providers  who
11        exclusively   operate   before  school  or  after  school
12        programs and offer extended  hours,  in  accordance  with
13        rules adopted by the Department.
14             (5)  Create incentive rate enhancements for licensed
15        child  care  providers  that  serve families and children
16        with special needs as defined by rule.
17             (6) Create incentive rate enhancements for  licensed
18        child  care  providers  who  are accredited by nationally
19        recognized accrediting bodies as defined by rule.
20        (i)  The Department shall establish a uniform application
21    process for assistance under this Section.   The  application
22    process shall include:
23             (1) a standard application form;
24             (2)  a  prompt  eligibility  determination  for each
25        applicant; and
26             (3) a timely written notice with reference to a case
27        number and date of application to each applicant  of  his
28        or  her  eligibility  status  and  a  description  of the
29        process and time lines for requesting  an  administrative
30        appeal   if   the   application  wishes  to  dispute  the
31        eligibility determination.
32        Section 99.  Effective date.  This Act takes effect  upon
33    becoming law.".

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