Calculating Caseload. Currently, the state links the RMR to the 75th percentile of rates reported on the 2016 survey. To project caseload, we use the most recent caseload data and estimate how many children will enter and exit each stage of CalWORKs child care during each year of the outlook period. Most of this caseload increase likely is attributed to the policy changes noted above, with the change in the family reporting requirement likely having the greatest effect. In fact, most CalWORKs recipients (a little over 80percent) are children, and most CalWORKs families (about 55percent) include no adult recipients (meaning parents are excluded from aid due to their immigration status, lifetime benefit limits, or for other reasons). Cash Assistance. Figure1 illustrates how the CalWORKs take-up rate changed between 2005 and 2019. 1100 0 obj <> endobj 149 0 obj <>stream ;= ~B181dT`Y 1> Ay?COc 0@~+TG`J@8L: 5d %&(`yur+y&O|$pEI(>H@[xU :+i6 8Q=YT!Y5VB%)'MP}v[n&n! 12/01/2021 . One workgroup was tasked with assessing the methodology for establishing a new reimbursement rate and quality standards. (As larger cohorts of Stage 1 families move through the subsequent stages of care, we expect Stages 2 and 3 caseload to increase too.) 9-8-360 Stage Three is also administered by CDSS. Policy: Assembly Bill 131 (Chapter 116 of the Statues of 2021), which was signed into law on July 23, 2021, Calculating Cost Per Case. Costs could potentially decrease since counties would not be able to use unspent child care funds for other purposes. First, DSS, in consultation with the California Department of Education (CDE), is to convene a workgroup to assess the methodology for establishing a new reimbursement rate and quality standards. Of this amount, $2.8billion is for preschool and Transitional Kindergarten programs, $3.7billion is for other child development programs, and $2.2billion is for support programs. The family home is exempt provided the family lives in the home. As discussed in our recent Outlook post, both the administration and our office overestimated the extent to which caseload would grow following the pandemic and subsequent economic recession. Families remain in Stage Three until the familys income exceeds85 percent of the state median income or until the children are over the eligibility age. If you would like more assistance call 1-800-KIDS-793. The value of one automobile up to $25,483 is exempt. Figure1 shows Stages 2 and 3 caseload from 201011 to 201819. 0000003571 00000 n See a list of this year's fiscal outlook material, including the core California's Fiscal Outlook report, on our fiscal outlook budget page. 50% of the earnings remaining after the $600 is deducted This is the first in a series of several posts estimating the percentage of California Work Opportunity and Responsibility to Kids (CalWORKs)-eligible individuals who actually enroll in the programotherwise known as the CalWORKs take-up rate. Likely Higher Costs Due to Recently Enacted Collective Bargaining Legislation. (We assume legislative intent to increase rates to the 85th percentile of the most recent survey is not implemented over the period.) In 201819, Stages 2 and 3 costs were $290million higher than 201617 costsnearly three times greater than the amount that the state initially budgeted for the rate and eligibility changes. an increase in payments for child care providers and more. Figure3 compares the change in the eligibility threshold to the change in grant levels over the last 15 years. The contractor claims 15 percent administrative costs. We think the legislation could begin affecting program costs in 202122. cGeneral Child Care funding for State Preschool wraparound care shown in State Preschool. 0000021831 00000 n Providers may negotiate on a number of work-related issues, including their reimbursement rates. Families living in high-cost coastal counties such as Los Angeles and San Francisco receive grants that are about 5.5percent larger than similar families living in inland counties such as Fresno and Shasta. Below we describe a few key factors not captured in our cost estimates. Most of the remaining funding is intended to provide additional funding to child care and State Preschool providers to assist with pandemic-related issues. Child Care. This resource is designed to assistcounty eligibility workers and other partners who provide services to the public. Employment Services. Current-Year CalWORKs Child Care Costs Are Down From Budgeted Levels. *Amount is provided by CDSS (55% of the FPL for a family of three, regardless of actual AU size) Tier 2: 130% of the Federal Poverty Level (FPL) AU IRT 0 $1,473 1 $1,473 2 $1,984 3 $2,495 4 $3,007 5 $3,518 Makes $1.7Billion in One-time Augmentations, Primarily Using Federal Relief Funding. The most significant increases during the period were the last two years. (For example, a family of three earning $1,400 a month would be newly eligible for CalWORKs in July 2019, but would only receive a monthly benefit of about $250.). Figure2 shows Stages 2 and 3 costs from 201011 to 201819. These conditions include, but are not limited to: To speed the application process, please bring the following items when making application: Immediate need payments may be made for families with emergency situations while the CalWORKs application is being processed, if eligible. CalWORKs Child Care Costs Are Projected to Continue Growing. Prior to this change, families would receive child care only for the hours they attended allowable CalWORKs activities, such as mandatory welfare-to-work activities, job interviews, employment activities, or education classes. Reimbursement rates for CalWORKs child care providers vary by county. Former CalWORKs recipients are eligible to receive childcare services in Stage 2 for up to 24 months after discontinuing cash-aid, or until they are otherwise ineligible within that 24-month period., Upon a recipient exhausting their 24-month eligibility in CalWORKs Stage 2, the family is seamlessly transferred into CalWORKs Stage 3 if they continue to meet the income and need requirement as defined by the funding source. Antioch, CA 94509, 2023 Contra Costa County Employment & Human Services, CSEC (Commercially Sexually Exploited Children), Become A Foster Parent In Contra Costa County. Correcting this assumption would likely cause our estimate of the take-up rate to increase. The cost estimates reflected above do not include the effect of this legislation. endstream endobj 1122 0 obj<>/W[1 1 1]/Type/XRef/Index[94 1006]>>stream Starting in 2009, the state enacted a series of policy changes (rebranding the program, eliminating asset requirements, promoting online and telephone applications, and reducing the amount of paperwork necessary to remain enrolled in the program) which increased the measured participation rate from 51percent to 71percent between 2010 and 2018. Since the onset of the novel coronavirus disease 2019 (COVID-19), CalWORKs caseload has proven especially difficult to forecast. 16 non-operational days for providers accepting vouchers that have to close due to COVID-related reasons. In 201819, nearly 25,000 more children were served in Stages 2 and 3 compared to 201617a 29percent increase. This post is part of our November Outlook series intended to help the Legislature plan for the budget year ahead. Consistent with overall CalWORKs enrollment, CalWORKs child care caseload declined from 201011 through 201617, as the states economic recovery reduced the number of families seeking welfare-to-work support. American Community Survey (ACS) Includes Most of the Information Needed to Estimate Eligibility. Unemployment Insurance (UI) Benefits. 0000021785 00000 n All Rights Reserved. In this post, we provide background on the California Work Opportunity and Responsibility to Kids (CalWORKs) child care program, discuss our projections of future CalWORKs child care costs, and identify various risks and uncertainties that could affect these future costs. Families that receive lump-sum diversion services may receive child care in Stage Two if there is no funding available in Stage Three. CalWORKs grants vary based on region, family size, and family income. By phone: (866) 663-3225, West County On January 1, 2022, license-exempt child care providers will be reimbursed at 70 percent of the family child care home ceiling, including hourly, daily, weekly, and monthly for both full time and part time reimbursement rate categories. The 201920 Budget Act included a total of $1.4billion for the three stages of CalWORKs child care. CalWORKs child care programs serve children until they reach their 13th birthday, with priority given to children under age 10. The monthly Maximum Aid Payment (MAP) level is established by the California State Legislature based on family size. The California Alternative Payment Program (CAPP) funded by the California Department of Social Services (CDSS), Child Care and Development Division (CCDD) provides childcare subsidy assistance to income-eligible families who have a qualifying need as defined by the funding source. Child care pay rates in particular have been a sticking point . Our forecast assumes attrition in Stages 2 and 3 stays at the lower 201819 rates through 202324. That amount is then compared to the Minimum Basic Standard of Adequate Care (MBSAC) level for the family size. Compared to estimates included in the June budget plan, our November estimates assume a higher cost per case and caseload in Stage 1, a lower cost per case and caseload in Stage 2, and a lower cost per case but higher caseload in Stage 3. This is called the, When the adults in the household are not able to work because of a temporary or permanent incapacity, or because the adult is a teen parent who attends high school, the family receives a higher MAP. Stage 1: E&TA administers Stage 1 child . We make several assumptions in developing these estimates. Families with elderly members (those who are 60 years of age or older) may have $16,333 combined personal and real property per family. In 201920, the average monthly grant for CalWORKs families was $585. Indicate the total enrollment (unduplicated) of CalWORKs students served in the 2019-20 school year for each adult school and ROCP who will be receiving CalWORKs funds for the 2020-21 school year. 0 Future Posts Will Explore Additional Reasons for the Decline in Take-Up Rates, Among Other Topics. The state will only pay up to the regional market rate (RMR) a different amount in each county and based on regional Correcting this assumption would have unknown effects on our estimate of the take-up rate. Most CalWORKs Recipients Are Children. In 201920, State Made Two Changes Affecting Stage 1. Tuesday, February 16, 2021 9:00 a.m. State Capitol - Room 4203 Consultant: Elisa Wynne AGENDA PART A . wxwipRo&=em,~iGvGv=Hv=C'dO&{"dJjdN0yU 8 !NFn#G810H:#Smsrz%;Qcb:BIUdo5WC@-9ZWW?X=*eL" LfErEG elC_ iK Dj xref Understanding CalWORKs Take-Up Rate May Improve Caseload Forecasting. The Child Care Resource and Referral also have a toll free telephone number. Families also generally are deemed ineligible if they own more than $10,000 in property (other than their primary residence), have $10,000 in their bank accounts, or if they own more than $25,000 in automobiles (in practice, few families are denied aid because of these asset limits). (This assignment roughly is based on U.S. Department of Homeland Security estimates of the proportion of noncitizen Californians who have a legal versus nonlegal residency status, the crucial distinction for CalWORKs eligibility.) Increases Rates for Child Care and Preschool Programs. Below, we describe our simplifying assumptions. County welfare departments can, and do, spend their block grant funds flexibly across these categories. Chapter29 of 2016 (SB828, Committee on Budget and Fiscal Review) included intent language to reimburse child care providers at the 85th percentile of rates reported on the most recent survey. @tl=f^yxnej ul!|d(/~T!||>8~A"d^:wW?=#=} %S;'g(J4s-9t"tLW %`f )O`Er The purpose of the program is to support parents as they transition to the stable, long-term child care necessary for the family to leave and remain off aid. C Children must also be either citizens or lawful permanent residents. L9 We assume income eligibility thresholds are equal to those in effect on July 1 of each calendar year. Of the three stages, we estimate Stage 3 will grow at the highest rate through 202324growing 14percent in the budget year and continuing to grow at an average annual rate of 10percent thereafter. The 2021-22 budget package also provides $130million Proposition98 General Fund to increase State Preschool slots for school districts and county offices of education. startxref Helping parents find child care, training child care providers on how to nurture and educate young children, helping parents and providers bridge the affordability gap with child care subsidies, and teaching children how to use a computer are just part of what we do. The maximum immediate need payment is $200. If you are currently receiving CalWORKs child care, have questions or concerns about your services or current child care arrangements, contact your Child Care Worker, the Welfare-to-Work or Cal-Learn worker as appropriate. Foradditional information on your eligibility to CalWORKs, contact the office nearest you. Proof of the value of mutual funds, stocks, bonds, trust funds or cash surrender value of life insurance policies. 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