State of Illinois
90th General Assembly
Legislation

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[ Introduced ][ Engrossed ][ House Amendment 002 ]

90_HB0630ham001

                                           LRB9002514PTcwam02
 1                     AMENDMENT TO HOUSE BILL 630
 2        AMENDMENT NO.     .  Amend HOUSE Bill  630  by  replacing
 3    the title with the following:
 4        "AN  ACT to amend the Children and Family Services Act by
 5    adding Section 5.25."; and
 6    by replacing everything after the enacting  clause  with  the
 7    following:
 8        "Section  5.  The  Children  and  Family  Services Act is
 9    amended by adding Section 5.25 as follows:
10        (20 ILCS 505/5.25 new)
11        Sec. 5.25.  State-assisted child care.
12        (a)  The  General  Assembly  finds  and   declares   that
13    families  with  children need child care in order to work and
14    participate in education or training; and low-income families
15    struggle to pay  the  high  cost  of  child  care;  and  when
16    low-income  families  cannot  afford  child  care they are in
17    danger of going on welfare; and families  who  leave  welfare
18    for  work  need child care in order to successfully make this
19    transition and to stay  off  welfare;  and  families  leaving
20    welfare  for  work  do  not  usually  experience large salary
21    increases,  but  rather  remain  very  low-income,  and  time
                            -2-            LRB9002514PTcwam02
 1    limited child care  benefits  are  a  barrier  to  successful
 2    workforce  participation;  and  high quality child care helps
 3    children develop to  their  full  potential  and  helps  them
 4    succeed in school and life; and the rate for subsidized child
 5    care  needs  to  be  high enough that families can find child
 6    care providers to accept it; and the human services agencies'
 7    reorganization and federal welfare reform  give  Illinois  an
 8    unprecedented  opportunity  to  create  a seamless child care
 9    system and eliminate and consolidate categorical programs.
10        (b)  The Department of Human Services shall administer  a
11    statewide  program  of  financial  assistance for employment,
12    education, community service, and training-related child care
13    and development services for children of families  that  meet
14    the  eligibility  and  activity  requirements as set forth in
15    this Section and  shall  use  all  federal  and  State  funds
16    designated  for  the purposes. Eligibility for families under
17    the criteria set forth in this Section shall  be  based  upon
18    the  family  income and the age of the child and shall not be
19    time limited or based upon  a  connection  with  the  Aid  to
20    Families  with  Dependent  Children  program  (AFDC)  or  the
21    Temporary Assistance for Needy Families program (TANF).
22        (c)  The  Department  shall establish a uniform statewide
23    income eligibility level for child care assistance based on a
24    percentage of the State median income.  The Department  shall
25    ensure  that  all parents with children under 13 years of age
26    whose household income, as defined by rule, is  equal  to  or
27    less  than 60% of the State median income based upon the most
28    recent  available  data  and  who  are  participating  in   a
29    qualifying  activity  described  in  this  Section shall have
30    access to financial assistance for child care and development
31    services   under   this    Section.     Families    receiving
32    State-assisted  child  care services on the effective date of
33    this amendatory Act of 1997, but with household income  above
34    the  new  eligibility guideline, shall be deemed eligible for
                            -3-            LRB9002514PTcwam02
 1    State-assisted child care services until July 1, 1998 if they
 2    continue  to  meet  the  eligibility  guidelines  in   effect
 3    immediately  prior  to  the effective date of this amendatory
 4    Act of 1997.  However, those families shall  be  required  to
 5    make  co-payments toward the cost of child care in accordance
 6    with the co-payment scale adopted  by  the  Department  under
 7    this Section.
 8        (d)  Parents  who  meet  the  income eligibility criteria
 9    adopted by the Department in  accordance  with  this  Section
10    shall be eligible for child care assistance if they engage in
11    any of the following activities:
12             (1)  State-required   or  State-approved  activities
13        while a recipient of TANF.
14             (2)  Employment, whether or  not  the  parent  is  a
15        recipient of TANF.
16             (3)  Elementary or high school education in order to
17        obtain  a  high school diploma if a parent under 20 years
18        of age. (A teen parent and his or her children  shall  be
19        considered    a   separate   household   in   determining
20        eligibility.)
21             (4)  Participation in a GED, adult basic  education,
22        or English-as-a-second-language program.
23             (5)  Participation  in an occupational or vocational
24        training program with a State-approved training  provider
25        if  the  parent is engaged in the activity exclusively or
26        in combination with employment for a minimum of 20  hours
27        per  week  including  transportation  time, except that a
28        parent may qualify for assistance under  this  subsection
29        for  only one occupational or vocational training program
30        in any 36-month period.
31             (6)  Enrollment in a 2-year or 4-year  postsecondary
32        degree  program  if the parent is engaged in a minimum of
33        30 hours per  week  of  classes  and  employment  with  a
34        minimum   of   8   hours  per  week  of  employment.   In
                            -4-            LRB9002514PTcwam02
 1        calculating the 30 hours per week,  the  parent's  course
 2        credit hours shall be multiplied by 2.
 3             (7)  While engaged in a job search.
 4             (8)  Families   with   special   needs   or  special
 5        circumstances as defined by rule.
 6        (e)  The  Department  shall  establish  and  periodically
 7    revise, by rule, a co-payment scale that  provides  for  cost
 8    sharing  by  families  receiving  child care assistance under
 9    this Section.  The co-payment shall  be  an  amount  that  is
10    reasonable  and  affordable for the family and shall be based
11    upon household income and family size. A  family  with  2  or
12    more  children  in  care shall pay a higher co-payment than a
13    family with  one  child  in  care,  but  there  shall  be  no
14    additional  charge  for  additional  children  in  care.  The
15    amount of the co-payment shall not be based upon the type  of
16    care chosen by the family.
17        (f)  Families  eligible for assistance under this Section
18    shall be given the following options:
19             (1) receiving a  child care  certificate  issued  by
20        the  Department or a subcontractor of the Department that
21        may be used by the parents only as payment for child care
22        and development services; or
23             (2) if space is available, enrolling the child  with
24        a  child  care  provider  that  has a purchase-of-service
25        contract with the Department or a  subcontractor  of  the
26        Department   for   the   provision   of  child  care  and
27        development  services.   The  Department   may   identify
28        particular priority populations for whom they may request
29        special      consideration      by     providers     with
30        purchase-of-service   contracts,   provided   that    the
31        providers  shall  be  permitted  to maintain a balance of
32        clients in terms of household incomes  and  families  and
33        children with special needs, as defined by rule.
34        The  Department shall maintain at least the current ratio
                            -5-            LRB9002514PTcwam02
 1    of contractual providers to certificates.
 2        (g)  In  order  to  expand  the  capacity   of   existing
 3    providers  and  to  increase the number of providers of child
 4    care and development services to meet  the  growing  need  of
 5    families for quality State-assisted child care in this State,
 6    the Department shall:
 7             (1)  Conduct  biennial  market rate surveys based on
 8        the cost of care and other relevant factors, the first of
 9        which shall be completed on or before December 1, 1997.
10             (2)   Increase   the    reimbursement    rate    for
11        State-assisted child care by 10% in fiscal year 1998.
12             (3)  Establish  a reimbursement rate set at no lower
13        than the 75th percentile of the market rate as determined
14        by the biennial market rate survey commencing on July  1,
15        1998.
16             (4)  Establish a lesser rate for license-exempt care
17        by rule.
18             (5)  Create incentive rate enhancements for licensed
19        child  care  providers  that  serve families and children
20        with special needs as defined by rule.
21             (6) Create incentive rate enhancements for  licensed
22        child  care  providers  who  are accredited by nationally
23        recognized accrediting bodies as defined by rule.
24        (h)  The Department shall establish a uniform application
25    process for assistance under this Section.   The  application
26    process shall include:
27             (1) a standard application form;
28             (2)  a  prompt  eligibility  determination  for each
29        applicant; and
30             (3) a timely written notice with reference to a case
31        number and date of application to each applicant  of  his
32        or  her  eligibility  status  and  a  description  of the
33        process and timelines for  requesting  an  administrative
34        appeal   if   the   application  wishes  to  dispute  the
                            -6-            LRB9002514PTcwam02
 1        eligibility determination.
 2        Section 99.  Effective date.  This Act takes effect  upon
 3    becoming law.".

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