Bill Text: CA AB304 | 2009-2010 | Regular Session | Amended
Bill Title: Child Care and Development Services Act: alternative
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-02-02 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB304 Detail]
Download: California-2009-AB304-Amended.html
BILL NUMBER: AB 304 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 21, 2009
AMENDED IN ASSEMBLY APRIL 16, 2009
INTRODUCED BY Assembly Member Price
FEBRUARY 17, 2009
An act to amend Section 8222 of the Education Code, relating to
child care and development.
LEGISLATIVE COUNSEL'S DIGEST
AB 304, as amended, Price. Child Care and Development Services
Act: alternative payment programs.
The Child Care and Development Services Act, administered by the
State Department of Education, provides that children up to 13 years
of age are eligible, with certain requirements, for child care and
development services. The act requires the department to contract
with local contracting agencies to provide for alternative payment
programs , and authorizes alternative payments to be made
for services provided in licensed centers and family day care homes
, for care provided in the child's home, and for
other types of care that conform to applicable law. The act
prohibits payments made by alternative payment programs from
exceeding the applicable market rate ceiling, but allows alternative
payment programs to expend more than the standard
reimbursement rate for a particular child, provided that the
aggregate payments for services purchased by the agency during the
contract year do not exceed the assigned reimbursable amount as
established by the contract for the year.
This bill would delete that authority to expend more than the
standard reimbursement rate for a particular child. The bill, in
addition, would require an alternative payment program to
establish a program of direct deposit by
electronic transfer banking for
payments made to licensed and license-exempt family day
care homes, and to implement that program no later than 6
months one year after this act
the bill takes effect.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) The state has a responsibility to ensure accountability,
transparency, and efficiency regarding funds allocated for the
provision of subsidized child care for working families.
(b) The program operated by the state should be cost-effective,
streamlined, and simple to administer in order to ensure adequate
care for children placed in family day care homes, while not placing
undue burdens on the providers.
(c) The state has a compelling interest in retaining quality
family day care providers and promoting best practices, fiscal
accountability, and reducing fraud and waste in California's system
of subsidized child care.
SEC. 2. Section 8222 of the Education Code is amended to read:
8222. (a) Payments made by alternative payment programs shall not
exceed the applicable market rate ceiling. Alternative
payment programs may expend more than the standard reimbursement rate
for a particular child. However, the aggregate payments for services
purchased by the agency during the contract year shall not exceed
the assigned reimbursable amount as established by the contract for
the year. An agency shall not make payments in excess of
the rate charged to full-cost families. This section does not
preclude alternative payment programs from using the average daily
enrollment adjustment factor for children with exceptional needs as
provided in Section 8265.5.
(b) Alternative payment programs shall reimburse licensed child
care providers in accordance with a biennial market rate survey
pursuant to Section 8447, at a rate not to exceed the ceilings
established pursuant to Section 8357.
(c) An alternative payment program shall reimburse a licensed
provider for child care of a subsidized child based on the rate
charged by the provider to nonsubsidized families, if any, for the
same services, or the rates established by the provider for
prospective nonsubsidized families. A licensed child care provider
shall submit to the alternative payment program a copy of the
provider's rate sheet listing the rates charged, and the provider's
discount or scholarship policies, if any, along with a statement
signed by the provider confirming that the rates charged for a
subsidized child are equal to or less than the rates charged for a
nonsubsidized child.
(d) An alternative payment program shall maintain a copy of the
rate sheet and the confirmation statement.
(e) A licensed child care provider shall submit to the local
resource and referral agency a copy of the provider's rate sheet
listing rates charged, and the provider's discount or scholarship
policies, if any, and shall self-certify that the information is
correct.
(f) Each licensed child care provider may alter rate levels for
subsidized children once per year and shall provide the alternative
payment program and resource and referral agency with the updated
information pursuant to subdivisions (c) and (e), to reflect any
changes.
(g) A licensed child care provider shall post in a prominent
location adjacent to the provider's license at the child care
facility the provider's rates and discounts or scholarship policies,
if any.
(h) An alternative payment program shall verify provider rates no
less than once a year by randomly selecting 10 percent of licensed
child care providers serving subsidized families. The purpose of this
verification process is to confirm that rates reported to the
alternative payment programs reasonably correspond to those reported
to the resource and referral agency and the rates actually charged to
nonsubsidized families for equivalent levels of services. It is the
intent of the Legislature that the privacy of nonsubsidized families
shall be protected in implementing this subdivision.
(i) The department shall develop regulations for addressing
discrepancies in the provider rate levels identified through the rate
verification process in subdivision (h).
(j) (1) An alternative payment program shall establish a program
of direct deposit by electronic transfer
electronic banking for payments made to licensed or
license-exempt family day care homes that have a contract with
that alternative payment program. A family day care home
provider may choose to receive payments via direct
deposit electronic banking at the family day
care home provider's option. The family day care home provider may
, but is not required to, authorize payment to be directly
deposited by electronic fund transfer into the family day care home
provider's account at the financial institution of his or her choice.
(2) Nothing in this subdivision shall preclude an alternative
payment program that has a direct deposit an
electronic banking program in place prior to the effective date
of this subdivision from continuing to require a provider ,
including child care centers and family day care homes, to
accept direct deposit or another form of electronic payment after the
effective date of this subdivision.
(3) An alternative payment program shall implement a
direct deposit an electronic banking program
pursuant to this subdivision no later than six months
one year from the effective date of this
subdivision.
