State of Illinois
90th General Assembly

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      20 ILCS 505/5.15
          Amends the Children and Family  Services  Act.   Replaces
      "every  year"  with  "annually"  in  a Section concerning day
HB2605 Engrossed                               LRB9009318JMmb
 1        AN ACT to amend the Illinois Public Aid Code by  changing
 2    Section 9A-11.
 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:
 5        Section 5.  The Illinois Public Aid Code  is  amended  by
 6    changing Section 9A-11 as follows:
 7        (305 ILCS 5/9A-11) (from Ch. 23, par. 9A-11)
 8        Sec. 9A-11. Child Care.
 9        (a)  The  General  Assembly recognizes that families with
10    children need child care in order to  work.   Child  care  is
11    expensive  and families with low incomes, including those who
12    are transitioning from welfare to work, often struggle to pay
13    the costs of day care.  The General Assembly understands  the
14    importance  of helping low income working families become and
15    remain self-sufficient.  The General Assembly  also  believes
16    that  it  is  the  responsibility of families to share in the
17    costs of child care.   It  is  also  the  preference  of  the
18    General  Assembly  that  all  working poor families should be
19    treated equally, regardless of their welfare status.
20        (b)  To  the  extent  resources  permit,   the   Illinois
21    Department  shall  provide  child care services to parents or
22    other relatives  as  defined  by  rule  who  are  working  or
23    participating  in employment or Department approved education
24    or training programs.  At a minimum, the Illinois  Department
25    shall cover the following categories of families:
26             (1)  recipients    of    TANF   under   Article   IV
27        participating  in  work  and   training   activities   as
28        specified   in  the  personal  plan  for  employment  and
29        self-sufficiency;
30             (2)  families transitioning from TANF to work;
31             (3)  families at  risk  of  becoming  recipients  of
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 1        TANF;
 2             (4)  families with special needs as defined by rule;
 3        and
 4             (5)  working  families  with  very  low  incomes  as
 5        defined by rule.
 6        The  Department  shall  specify by rule the conditions of
 7    eligibility, the application process, and the types, amounts,
 8    and  duration  of  services.    Eligibility  for  child  care
 9    benefits and the amount of child care provided may vary based
10    on family size, income, and other  factors  as  specified  by
11    rule.  In  determining  income  eligibility  for  child  care
12    benefits, the Department shall establish, by rule, one income
13    threshold  for each family size, in relation to percentage of
14    State median income for a family of  that  size,  that  makes
15    families  with incomes below the specified threshold eligible
16    for assistance and families with incomes above the  specified
17    threshold   ineligible   for   assistance.    In  determining
18    eligibility for assistance, the  Department  shall  not  give
19    preference  to  any category of recipients or give preference
20    to individuals based on their receipt of benefits under  this
21    Code.   It  is  the  intent of the General Assembly that, for
22    fiscal  year  1998,  to  the  extent  resources  permit,  the
23    Department shall establish an income eligibility threshold of
24    50% of the State median income.  Notwithstanding  the  income
25    level at which families become eligible to receive child care
26    assistance,  any  family that is already receiving child care
27    assistance on the effective date of this  amendatory  Act  of
28    1997  shall  remain  eligible  for assistance for fiscal year
29    1998.   Nothing  in  this  Section  shall  be  construed   as
30    conferring  entitlement  status  to  eligible  families.  The
31    Illinois Department is authorized to lower income eligibility
32    ceilings, raise parent co-payments, create waiting lists,  or
33    take such other actions during a fiscal year as are necessary
34    to ensure that child care benefits paid under this Article do
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 1    not  exceed  the  amounts  appropriated  for those child care
 2    benefits.  These changes may  be  accomplished  by  emergency
 3    rule  under  Section  5-45  of  the  Illinois  Administrative
 4    Procedure  Act,  except  that the limitation on the number of
 5    emergency rules that may be  adopted  in  a  24-month  period
 6    shall  not  apply.  The Illinois Department may contract with
 7    other State agencies or  child  care  organizations  for  the
 8    administration of child care services.
 9        (c)  Payment  shall be made for child care that otherwise
10    meets  the  requirements  of  this  Section  and   applicable
11    standards  of  State  and local law and regulation, including
12    any requirements the Illinois Department promulgates by  rule
13    in  addition to the licensure requirements promulgated by the
14    Department  of  Children  and  Family   Services   and   Fire
15    Prevention  and Safety requirements promulgated by the Office
16    of the State Fire Marshal and  is  provided  in  any  of  the
17    following:
18             (1)  a child care center which is licensed or exempt
19        from licensure pursuant to Section 2.09 of the Child Care
20        Act of 1969;
21             (2)  a  licensed child care home or home exempt from
22        licensing;
23             (3)  a licensed group child care home;
24             (4)  other types of child care, including child care
25        provided by relatives or persons living in the same  home
26        as the child, as determined by the Illinois Department by
27        rule.
28        (d)  The  Illinois  Department  shall,  by  rule, require
29    co-payments for child care services by any parent,  including
30    parents whose only income is from assistance under this Code.
31    The  co-payment  shall  be  assessed based on a sliding scale
32    based on family  income,  family  size,  and  the  number  of
33    children in care.
34        Fees for a family with one child in care shall not exceed
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 1    8%  of  the  family's gross annual income, and the fees for a
 2    family with 2 children in care shall not exceed  10%  of  the
 3    family's  gross  annual  income.  Nominal fees for additional
 4    children in care may be charged.
 5        Newly  employed  families,  as  defined  by  rule,  shall
 6    receive a one-time 2-month grace period during which they are
 7    exempt from co-payment fees.  For those receiving TANF, these
 8    fees shall be covered by the Department as initial employment
 9    expenses under supportive services.
10        Families in good standing on co-payment fee payments  and
11    who  are  otherwise  eligible,  as  defined by rule, shall be
12    charged a co-payment rate for  full-time  summer  child  care
13    programs for school-aged children that is not more than would
14    be required of them during the school year.
15        Licensed  private and governmental entities which receive
16    State subsidies for the provision of child care  who  collect
17    no  less than 90% of fees due per month under this subsection
18    shall be reimbursed by the Department for any remaining  fees
19    not collected up to 10% of those due.
20        (e)  The  Illinois Department shall conduct a market rate
21    survey based on the cost of care and other  relevant  factors
22    which shall be completed by July 1, 1998.
23        There  is  hereby  established a Task Force on Child Care
24    Rates for the purposes of (1) reviewing the  results  of  the
25    1998 market rate survey and (2) making recommendations to the
26    General  Assembly,  the  Governor, and the Secretary of Human
27    Services regarding the implementation of the findings of  the
28    1998  market rate survey.  The Task Force shall consist of 15
29    members, with one member appointed by each of the  following:
30    the  Governor,  the  President  of  the  Senate,  the  Senate
31    Minority Leader, the Speaker of the House of Representatives,
32    the House Minority Leader, the Secretary of Human Services or
33    his  or her designee, and the Director of Children and Family
34    Services or his or her designee.   Three  additional  members
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 1    shall  be appointed by the Governor who shall be providers of
 2    child care in this State and  5  at-large  members  shall  be
 3    appointed by the Governor who are knowledgeable in child care
 4    issues  and, in particular, have expertise in regard to rates
 5    and the impact of rates on the quality and  supply  of  child
 6    care  in Illinois.  A chair and a vice-chair shall be elected
 7    by the members of the Task  Force  once  the  Task  Force  is
 8    appointed.  Members shall serve without compensation, but may
 9    be  reimbursed  for  their  expenses.   The  Task Force shall
10    submit a report of its findings and  recommendations  to  the
11    General  Assembly  and  to  the Governor by December 1, 1998.
12    The Task Force is abolished on January 1, 1999.
13        (f)  The Illinois Department shall, by rule, set rates to
14    be paid for the various types of child care. Child  care  may
15    be provided through one of the following methods:
16             (1)  arranging   the  child  care  through  eligible
17        providers by use of  purchase  of  service  contracts  or
18        vouchers;
19             (2)  arranging  with  other  agencies  and community
20        volunteer groups for non-reimbursed child care;
21             (3)  (blank); or
22             (4)  adopting  such  other   arrangements   as   the
23        Department determines appropriate.
24        (g)  Families  eligible for assistance under this Section
25    shall be given the following options:
26             (1)  receiving a child care  certificate  issued  by
27        the  Department or a subcontractor of the Department that
28        may be used by the parents as payment for child care  and
29        development services only; or
30             (2)  if space is available, enrolling the child with
31        a  child  care  provider  that  has a purchase of service
32        contract with the Department or a  subcontractor  of  the
33        Department   for   the   provision   of  child  care  and
34        development  services.    The  Department  may   identify
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 1        particular priority populations for whom they may request
 2        special  consideration  by  a  provider  with purchase of
 3        service contracts, provided that the providers  shall  be
 4        permitted  to  maintain  a balance of clients in terms of
 5        household incomes and families and children with  special
 6        needs, as defined by rule.
 7        (h)  To  expand  the  quality  of child care for families
 8    eligible to receive child care services under  this  Section,
 9    the  Illinois  Department  shall set aside a minimum of 6% of
10    all funds appropriated to the  Department  to  provide  child
11    care  services  under  this Section.  This set-aside shall be
12    used to fund initiatives to enhance the quality of child care
13    provided to children served under this Section.
14        To expand the supply of child care available to  families
15    eligible  to  receive child care services under this Section,
16    the Illinois Department shall set aside a minimum  of  4%  of
17    all  funds  appropriated  to  the Department to provide child
18    care services under this Section.   The  set-aside  shall  be
19    used    to   fund   supply-building   initiatives   including
20    rehabilitation and construction of  facilities  and  building
21    the  supply  of  care  in  identified  areas of need, such as
22    infant and toddler  care,  care  for  children  with  special
23    needs, and before and after school care.
24    (Source: P.A. 90-17, eff. 7-1-97.)

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