OKDHS - OAC 340:40-13-3. Child care payments and rates

340:40-13-3. Child care payments and rates

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Revised 6-1-09

(a) The Oklahoma Department of Human Services (OKDHS) contracts to purchase out-of-home child care services for children only with licensed providers who:

(1) post rates and fees;
(2) sign and comply with all the terms of Form 08CC001E, Child Care Provider Contract;
(3) have participated in mandatory contract training; and
(4) have access to an account at a financial institution for electronic benefit transfer (EBT) purposes.

(b) In accordance with Section 85.44B of Title 74 of the Oklahoma Statutes, OKDHS cannot make advance payments to child care providers.

(c) The rates paid by OKDHS are determined by:

(1) the child's age;
(2) settings in which the care is provided:
- (A) the child's own home;
- (B) a child care center; or
- (C) a child care home;
(3) whether the child has disabilities and the provider is approved for the special needs rate unit type. The special needs rate is added to the applicable rate a child care provider receives for a typical child of the same age after the Form 08AD006E, Certification for Special Needs Child Care Rate, approval process is followed; • 1
(4) whether the care is provided full-time, over four hours per day or part-time, four hours or fewer per day;
(5) whether the worker approves a full-time daily, part-time daily, a combination of full-time and part-time daily, blended, or a weekly unit type; • 2
(6) the county in which the provider is located; and
(7) whether the facility qualifies for a differential quality rate.

(d) The in-home child care rate is paid for children cared for in their own homes. The in-home rate is shown on OKDHS Appendix C-4-B, Child Care Provider Rate Schedule, for the child's age. If a child is eligible for the severe or moderate special needs rate, this additional amount is added to the applicable in-home rate for that child. • 3

(e) When the child is cared for in an out-of-home child care center or home, the allowable rate is the amount as shown on OKDHS Appendix C-4-B.

(f) Care may only be authorized at one facility per day per child. If the client uses care at two different providers for the same day for the same child, OKDHS staff approves care at only one of the facilities. The parent or caretaker can use care at two different providers for the same child when care is needed on different days of the week. • 4

(g) Charges are authorized and payment is made only when the care provided is in accordance with the jointly developed plan of service between the client and OKDHS.

(h) Age-driven rate changes are effective the first of the month following the child's birth date except as shown in (i) of this Section.

(i) Eligibility for a child stops the day before:

(1) a typical child reaches age 13; or
(2) a child with disabilities or a child in OKDHS custody reaches age 19. • 5

(j) A change to add the higher special needs rate to the applicable daily rate is effective the first of the month following the month eligibility for this rate is determined. • 6

(k) A child care provider may be approved for a differential quality rate if he or she meets the criteria for this rate. This rate is given effective the first of the month following the month Oklahoma Child Care Services (OCCS) licensing staff approves the provider for the rate. The rate is designated on OKDHS Appendix C-4-B by its star status. • 7

(l) The traditional school year blended rate may be approved for children age four and older from August 16th through May 15th each year for children attending public school, a pre-kindergarten program, or Head Start during the traditional school year. The extended school year blended rate may be approved for the full calendar year when children attend school the entire year. • 2

INSTRUCTIONS TO STAFF 340:40-13-3

Revised 10-1-11

1.   Refer to OAC340:40-7-3.1 for information about Form 08AD006E, Certification for Special Needs Child Care Rate, approval process. Until the entire process is completed, the worker approves the child at the usual rate for a typical child of the same age. The provider must keep a copy of Form 08AD006E at the facility.

2.   (a) To help determine the appropriate unit type, the worker may use the Appendix C-4-C, Unit Type Chart for Child Care Authorizations. The worker chooses the most appropriate unit type described in (b) through (f) of this instruction based on the amount of care required, not by the reason care is needed.

(b) The worker authorizes a daily part-time unit type when care is needed four hours or fewer every day authorized.

(c) The worker authorizes a daily full-time unit type when care is needed more than four hours every day authorized and the child does not qualify for weekly unit type.

(d) The worker approves a combination of full-time and part-time unit types when care is needed four hours or fewer for some of the days and more than four hours for other days. When the child is four years of age or older, the worker first determines whether the child qualifies for a blended unit type before approving a combination of full-time and part time unit types.

(e) Care authorized on a weekly unit type is paid at a full-time daily or part-time daily rate for the days the child attends care. An absent day payment may be made to the child care provider for days the child does not attend care only when the child attends the minimum number of days required in the month to qualify. Refer to Oklahoma Department of Human Services (OKDHS) Appendix C-4-B, Child Care Provider Rate Schedule, to determine the minimum number of days a child must attend to qualify for an absent day payment and the maximum number of days OKDHS pays the provider.

(1) The worker approves a weekly unit type when the client needs child care more than four hours each day and at least 15 days and no more than 23 days per month.

(2) Care is not approved for a weekly unit type when:

(A) the same child is using two different child care providers;

(B) any of the care is needed part-time;

(C) the need for child care is fewer than 15 days per month or more than 23 days per month; or

(D) the child is using an in-home child care provider.

(f) The worker approves a blended unit type for children age four and older during the school year when care is needed Monday through Friday part-time for the days school is in session and full-time for school holidays. OKDHS has established two blended unit types, traditional and extended school year. The worker must determine which blended unit type is appropriate.

(1) The worker approves the traditional school year blended unit type when the child attends a school with a traditional nine-month school calendar. The child care facility must be open on school holidays except summer break for the traditional blended unit type to be approved.

(A) This unit type pays the traditional blended rate from August 16th through May 15th of each year.

(B) During the summer months, if the child continues to attend the same child care facility, the provider is paid the full-time daily rate with an absent day payment, when applicable.

(C) The IMS system continues to show 23B during the summer but for payment purposes the electronic benefit transfer (EBT) system pays a weekly unit type.

(D) If a weekly unit type is not appropriate for the summer because the child does not require full-time care at least 15 days and no more than 23 days per month, the worker changes the unit type to match the needs of the child or closes the authorization when care is not needed.

(2) The worker approves the extended school year blended unit type when the child attends a school with a year round or a continuous learning calendar. Authorizations coded with the extended school year blended unit type receive the extended school year rate for the entire calendar year. The child care facility must be open during school holidays including fall, Christmas, spring, and summer breaks.

(3) A blended unit type is not appropriate when:

(A) the child requires more full-time care days in addition to school holidays during the school year;

(B) the child does not need care for school holidays;

(C) the child uses a different child care facility for school holidays;

(D) the child care facility is not open on school holidays;

(E) only part-time care is needed;

(F) more than one child care facility is needed for the child; or

(G) the child qualifies for a special needs or in-home child care rate.

(g) When a blended, part-time, or full-time unit type is authorized, OKDHS only pays for those days the child actually attends child care. When a weekly unit type is approved, OKDHS pays for absent days per month as shown on OKDHS Appendix C-4-B.

(h) Refer to OAC340:40-5-1 for information regarding completing a plan of service and OAC340:40-7-7 for information on determining the need factor for child care.

3.   Refer to OAC340:40-13-1(b) and 340:40-13-2 for information regarding approving an in-home child care provider. Refer to OAC340:40-7-3.1 for procedures to approve the moderate or severe special needs rate.

4.   Care may only be authorized at one facility per day per child. When the client advises the worker that he or she plans to use two different providers for the same child, the worker determines what days of the week care is needed at each provider. If care is needed on different days, the worker can authorize care at both providers. Authorizations for both providers cannot exceed the maximum that would be authorized if care were only needed at one provider. For example, the client wishes to use one provider three days per week and another provider two days per week. The maximum number of days the worker approves for care totals 23 days per month.

5.   Refer to OAC340:40-7-3 for age requirements.

6.   Refer to OAC340:40-7-3.1 for information on the approval process for the higher special needs rate and refer to OAC340:40-13-1(b) when in-home care is approved. If the provider does not qualify for this higher rate, the worker may authorize child care with a part-time daily, full-time daily, or a weekly unit type for this provider.

7.   Refer to OAC340:110-1-8.3 for information on the criteria Oklahoma Child Care Services (OCCS) licensing staff uses to approve this differential quality rate.

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