Today's Law As Amended

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AB-231 Subsidized child care: eligibility.(2017-2018)



SECTION 1.

 Section 8263.1 of the Education Code is amended to read:

8263.1.
 (a) For purposes of this chapter, “income eligible” means the following:
(a) (1)  For purposes of establishing initial income eligibility for services under this chapter, “income eligible” means that  the 2017–18 fiscal year,  a family’s adjusted monthly income is at or below 70 percent of the state median income, adjusted for family size, as specified in subdivision (c). and adjusted annually. 
(b) (2)  For purposes of establishing ongoing income eligibility under this chapter, “ongoing income eligible” means that  Except as provided in subdivision (d), for the 2018–19 fiscal year, and each fiscal year thereafter,  a family’s adjusted monthly income is at or below 85 75  percent of the state median income, adjusted for family size, as specified in subdivision (c). and adjusted annually. 
(c) (b)  The Department of Finance shall calculate the state median income for family sizes of one to four, inclusive, by using the most recent census data available on state median family income in the past 12 months by family size. The Department of Finance shall calculate the state median income for family sizes of five and above by using the most recent census data for a family of four and multiplying this number by the ratios for the appropriate family size used in the federal Low-Income Home Energy Assistance Program (42 U.S.C. Sec. 8621 et seq.) and specified in federal regulations at paragraphs (5), (6), and (7) of subdivision (b) of Section 96.85 of Title 45 of the Code of Federal Regulations. The Department of Finance shall update its calculations  Notwithstanding any other law, for the 2011–12 fiscal year, the income eligibility limits that were in effect for the 2007–08 fiscal year shall be reduced to 70 percent  of the state median income for families according to the methodology provided in this subdivision and provide the updated data to the department no later than March 1 of each fiscal year. that was in use for the 2007–08 fiscal year, adjusted for family size, effective July 1, 2011. 
(c) Notwithstanding any other law, for the 2012–13, 2013–14, 2014–15, 2015–16, and 2016–17 fiscal years, the income eligibility limits shall be 70 percent of the state median income that was in use for the 2007–08 fiscal year, adjusted for family size.
(d) Notwithstanding subdivision (a), for the 2018–19 fiscal year, and each fiscal year thereafter, the following phasing-out scale for eligibility levels based on the state median income shall be used:
(1) A family whose income is at 75 percent or lower of the state median income shall receive 100 percent of state-funded child care for which the family is eligible.
(2) A family whose income is at 76 percent to 78 percent, inclusive, of the state median income shall receive 75 percent of state-funded child care for which the family is eligible.
(3) A family whose income is at 79 percent to 82 percent, inclusive, of the state median income shall receive 50 percent of state-funded child care for which the family is eligible.
(4) A family whose income is at 83 percent to 85 percent, inclusive, of the state median income shall receive 25 percent of state-funded child care for which the family is eligible.
(d) (e)  The income of a recipient of federal supplemental security income benefits pursuant to Title XVI of the federal Social Security Act (42 U.S.C. Sec. 1381 et seq.) and state supplemental program benefits pursuant to Title XVI of the federal Social Security Act and Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code shall not be included as income for purposes of determining eligibility for child care under this chapter.
(f) The income of each family receiving state-funded child care pursuant to this chapter shall be verified annually.

SEC. 2.

 Section 8263.2 of the Education Code is amended to read:

8263.2.
 (a) Notwithstanding any other law, effective July 1, 2011, the department shall reduce the maximum reimbursable amounts of the contracts for the Preschool Education Program, the General Child Care Program, the Migrant Day Care Program, the Alternative Payment Program, the CalWORKs Stage 3 Program, and the Allowance for Handicapped Program by 11 percent or by whatever proportion is necessary to ensure that expenditures for these programs do not exceed the amounts appropriated for them, including any reductions made subsequent to the adoption of the annual Budget Act. The department may consider the contractor’s performance or whether the contractor serves children in underserved areas as defined in subdivision (ag) of Section 8208 when determining contract reductions, provided that the aggregate reduction to each program specified in this subdivision is 11 percent or by whatever proportion is necessary to ensure that expenditures for these programs do not exceed the amounts appropriated for them, including any reductions made subsequent to the adoption of the annual Budget Act.
(b) Notwithstanding any other law, effective July 1, 2011, families shall be disenrolled from subsidized child care services, consistent with the priorities for services specified in subdivision (b) of Section 8263. Families shall be disenrolled in the following order:
(1) Families whose income exceeds 70 percent of the state median income (SMI) for the 2017–18 fiscal year, or 85 percent of the SMI pursuant to Section 8263.1 commencing with the 2018–19 fiscal year,  adjusted for family size, except for families whose children are receiving child protective services or are at risk of being neglected or abused.
(2) Families with the highest income below 70 percent of the SMI,  SMI for the 2017–18 fiscal year, or 85 percent of the SMI pursuant to Section 8263.1 commencing with the 2018–19 fiscal year,  in relation to family size.
(3) Families that have the same income and have been enrolled in child care services the longest.
(4) Families that have the same income and have a child with exceptional needs.
(5) Families whose children are receiving child protective services or are at risk of being neglected or abused, regardless of family income.

SEC. 4.SEC. 3.

 Section 8354 of the Education Code is amended to read:

8354.
 (a) The third stage of child care begins when a funded space is available. CalWORKs recipients are eligible for the third stage of child care. Persons who received a lump-sum diversion payment or diversion services and former CalWORKs participants are eligible if they have an income that does not exceed 70 percent of the state median income (SMI) for the 2017–18 fiscal year, or 85 percent of the SMI commencing with the 2018–19 fiscal year,  pursuant to Section 8263.1. The third stage shall be administered by programs contracting with the State Department of Education. Parents’ eligibility for child care and development services will shall  be governed by Section 8263 and regulations adopted by the State Department of Education.
(b) In order to move welfare recipients and former recipients from their relationship with county welfare departments to relationships with institutions providing services to working families, it is the intent of the Legislature that families that are former recipients of aid, or are transitioning off aid, receive their child care assistance in the same fashion as other low-income working families. Therefore, it is the intent of the Legislature that families no longer rely on county welfare departments to obtain child care subsidies beyond the time they are receiving other services from the welfare department.
(c) A county welfare department shall not administer the third stage of child care for CalWORKs recipients except to the extent to which it delivered those services to families receiving, or within one year of having received, Aid to Families with Dependent Children prior to  before  the enactment of this section.
(d) This article does not preclude county welfare departments from operating an alternative payment program under contract with the State Department of Education to serve families referred by child protective services.