COMMENT DUE DATE:
September 8, 2009
DATE:
August 25, 2009
Laura Brown FSSD (405) 521-4396
Dena Thayer PMU Manager (405) 521-4326
Pat McCracken PMU Specialist (405) 522-1017
RE:
APA WF 09-16
The proposed policy is Emergency . This proposal will go to the Commission meeting on
This rule was revised as an emergency rule effective 10-1-09.The current proposed rule revisions are highlighted in turquoise.
CHAPTER 40. Child Care Subsidy Program
Subchapter 7 Eligibility
OAC 340:40-7-1 [AMENDED]
SUMMARY:The proposed revisions to Subchapter 7 of Chapter 40 supersedes the emergency rule effective October 1, 2009 and is amended to remove outdated language regarding Temporary Assistance for Needy Families (TANF) families in the Work Supplementation Program (WSP) as the TANF Program is changing the name of the program and the participation requirements.
340:40-7-1 is amended to remove outdated language regarding TANF families in WSP as the TANF Program is changing the program name to the Subsidized Employment Program (SEP) and changing participation requirements.Clients participating in the TANF SEP will be considered predetermined eligible with a zero co-payment for child care as are other TANF families rather than being assessed a co-payment as participants in WSP were.
EMERGENCY APPROVAL:Emergency approval is requested as OKDHS finds there is compelling public interest that Child Care Subsidy Program rules match proposed TANF rules regarding SEP so ARRA TANF Emergency Contingency Fund monies can be accessed to enhance services to TANF families to obtain employment during these difficult economic times.
LEGAL AUTHORITY:Commission for Human Services, Article XXV, Sections 2, 3, and 4 of the Oklahoma Constitution; Personal Responsibility and Work Opportunity Reconciliation Act of 1996, Public Law (P.L.) 104-193; the Balanced Budget Act of 1997, P.L. 105-33; 45 Code of Federal Regulations (CFR) Parts 98 and 99; and the American Recovery and Reinvestment Act of 2009 which established the Emergency Contingency Fund for state TANF Programs as Section 403(c) of the Social Security Act.
| OKLAHOMA DEPARTMENT OF HUMAN SERVICES Rule Impact Statement |
To:Dena Thayer, Programs Administrator
Policy Management Unit
From:Mary Stalnaker, Division Administrator
Family Support Services Division
Date:August 13, 2009
Re:CHAPTER 40. Child Care Subsidy Program
Subchapter 7 Eligibility
OAC 340:40-7-1 [AMENDED]
(Reference APA WF 09-16)
Contact:Laura Brown 405-521-4396
A.Brief description of the purpose of the proposed rule:
Purpose.The proposed revisions to Subchapter 7 of Chapter 40 supersedes the emergency rule effective October 1, 2009 and is amended to remove outdated language regarding Temporary Assistance for Needy Families (TANF) families in the Work Supplementation Program (WSP) as the TANF Program is changing the name of the program and the participation requirements.
Strategic Plan impact.The proposed rules achieve the Oklahoma Department of Human Services (OKDHS) goal of continuously improving systems and processes.
Substantive changes.
340:40-7-1 is amended to remove outdated language regarding TANF families in WSP as the TANF Program is changing the program name to the Subsidized Employment Program (SEP) and changing participation requirements.Clients participating in the TANF SEP will be considered predetermined eligible with a zero co-payment for child care as are other TANF families rather than being assessed a co-payment as participants in WSP were.
Reasons.The proposed revisions are updated because the TANF Program is changing the name of the WSP and participation requirements for SEP in order to access American Recovery and Reinvestment Act (ARRA) TANF Emergency Contingency Fund monies to enhance services to TANF families.
Repercussions. The proposed rules allow TANF families participating in SEP more time to earn wages and prepare for paying a co-payment for child care assistance. If the proposed revisions are not implemented, the program name will not be correct and TANF families will have a co-payment when they begin participating in the SEP program which could be a financial hardship.
Legal authority. Commission for Human Services, Article XXV, Sections 2, 3, and 4 of the Oklahoma Constitution; Personal Responsibility and Work Opportunity Reconciliation Act of 1996, Public Law (P.L.) 104-193; the Balanced Budget Act of 1997, P.L. 105-33; 45 Code of Federal Regulations (CFR) Parts 98 and 99; and the American Recovery and Reinvestment Act of 2009 which established the Emergency Contingency Fund for state TANF Programs as Section 403(c) of the Social Security Act.
Emergency approval.Emergency approval is requested as OKDHS finds there is compelling public interest that Child Care Subsidy Program rules match proposed TANF rules regarding SEP so ARRA TANF Emergency Contingency Fund monies can be accessed to enhance services to TANF families to obtain employment during these difficult economic times.
B.A description of the classes of persons who most likely will be affected by the proposed rule, including classes that will bear the costs of the proposed rule, and any information on cost impacts received by the Agency from any private or public entities: The classes of persons most likely to be affected by the proposed rules are families receiving TANF and child care benefits. The affected classes of persons will bear no costs associated with implementation of the rules.
C.A description of the classes of persons who will benefit from the proposed rule: The classes of persons who will benefit are the clients receiving TANF that participate in SEP and also need child care benefits.
D.A description of the probable economic impact of the proposed rule upon the affected classes of persons or political subdivisions, including a listing of all fee changes and, whenever possible, a separate justification for each: The revised rules do not have an economic impact on the affected entities. There are no fee changes associated with the revised rules.
E.The probable costs and benefits to the Agency and to any other agency of the implementation and enforcement of the proposed rule, the source of revenue to be used for implementation and enforcement of the proposed rule and any anticipated effect on state revenues, including a projected net loss or gain in such revenues if it can be projected by the Agency: The probable cost to OKDHS includes the cost of printing and distributing the rules, which is estimated to be less than $20. The probable fiscal impact of this change cannot be projected by OKDHS at this time as this is a new program.The previous WSP has not had any participants since 1997.As the only clients being exempted from a co-payment are TANF clients participating in SEP, the cost is expected to be minimal. The revised rules will result in enhanced services to TANF recipients.
F.A determination whether implementation of the proposed rule will have an impact on any political subdivisions or require their cooperation in implementing or enforcing the rule: The proposed rules do not have an economic impact on any political subdivision, nor will the cooperation of any political subdivisions be required in implementation or enforcement of the rules.
G.A determination whether implementation of the proposed rule will have an adverse economic effect on small business as provided by the Oklahoma Small Business Regulatory Flexibility Act: There are no anticipated adverse effects on small business as provided by the Oklahoma Small Business Regulatory Flexibility Act.
H.An explanation of the measures the Agency has taken to minimize compliance costs and a determination whether there are less costly or non-regulatory methods or less intrusive methods for achieving the purpose of the proposed rule: There are no less costly or nonregulatory methods or less intrusive methods for achieving the purpose of the proposed rules.
I.A determination of the effect of the proposed rule on the public health, safety, and environment and, if the proposed rule is designed to reduce significant risks to the public health, safety, and environment, an explanation of the nature of the risk and to what extent the proposed rule will reduce the risk: Implementation of the proposed rules will reduce risks to the public’s health, safety, and environment by enhancing services available to TANF recipients.
J.A determination of any detrimental effect on the public health, safety, and environment if the proposed rule is not implemented: If the proposed rules are not implemented, it may cause families to continue to receive TANF benefits for longer periods of time.
K.The date the rule impact statement was prepared and, if modified, the date modified: Prepared August 13, 2009.Modified August 20, 2009 and modified August 21, 2009SUBCHAPTER 7. ELIGIBILITY
340:40-7-1. Categories of eligibility
Revised 10-1-09 12-1-09
A person may be predetermined eligible for a child care benefit, determined income eligible based on the gross income of the household, or have dual eligibility with his or her tribe.
(1) Predetermined eligible.A person is predetermined eligible for a child care benefit with a zero co-payment when he or she is a recipient of public assistance or Supplemental Security Income (SSI).Public assistance is defined as a State Supplemental Payment, Temporary Assistance for Needy Families (TANF) that includes Supported Permanency and non-cash vouchers a child receives from the TANF program, or Refugee Cash Assistance Resettlement Program (RRP) cash assistance.¢ 1
(A) All TANF recipients who work and are eligible for a child care benefit can choose to receive a child care benefit through the Oklahoma Department of Human Services (OKDHS) while they work or choose to pay for the child care themselves.If they choose to pay for the child care cost themselves, it can be considered as an earned income exemption for the TANF benefit.¢ 2
(B) Exceptions to a person being eligible with a zero co-payment when he or she receives public assistance or SSI include when:
(i) the recipient is a child and the parent or guardian requesting the benefit for the child is not the payee on the public assistance or SSI payment; or¢ 3
(ii) it makes a difference in whether other children in the household are income eligible for child care.¢ 4
(2) Income eligible.Households who are not predetermined eligible for a child care benefit must meet income eligibility guidelines shown on OKDHS Appendix C-4, Child Care Eligibility/Co-payment Chart, for their household size, to receive assistance with child care costs.¢ 5
(3) Transitional child care.Per Section 230.61 of Title 56 of the Oklahoma Statutes, a TANF recipient who becomes employed is eligible for transitional child care benefits for 24 months following the date of employment as long as he or she meets income eligibility guidelines on OKDHS Appendix C-4 for his or her household size unless the:
(A) employer provides child care benefits; or
(B) monthly salary received from the employer exceeds the monthly allowance of assistance pursuant to the TANF program plus the cost of child care and medical insurance to which the recipient would be entitled.¢ 6
(4) TANF families in the Work Supplementation Program.TANF families in the Work Supplementation Program are considered income eligible families and must meet income eligibility guidelines shown on OKDHS Appendix C-4 for their household size, to receive assistance with child care costs.¢ 7
(5) Dual eligibility.A person may have dual eligibility for both the Child Care Subsidy Program through OKDHS and through his or her tribe.The child care provider may not receive payment for the same service from both programs simultaneously.¢ 87
INSTRUCTIONS TO STAFF 340:40-7-1
Revised 10-1-09 12-1-09
1.(a) Supplemental Security Income (SSI) is a means tested program administered by the Social Security Administration.
(b) When the child is predetermined eligible, he or she meets income eligibility requirements.The child must also meet all other conditions of eligibility defined in this Subchapter before subsidized child care is approved.
(c) Refer to OAC 340:10-22-1 for information about the Supported Permanency Program, OAC 340:15 for information about the State Supplemental Payment, and OAC 340:60 for information about the Refugee Resettlement Program.
(d) Enter information regarding eligibility in the Family Assistance/Client Services (FACS) Interview Notebook under the Household and Income tabs.
(e) A child continues to be considered a TANF recipient and predetermined eligible with a zero co-payment when the parent or caretaker is participating in the Subsidized Employment Program (SEP).Once the SEP participation period ends and the TANF benefit closes, the participant’s earnings are considered income, and family share co-payments are computed in accordance with OKDHS Appendix C-4, Child Care Eligibility/Co-payment Chart.
2.(a) The worker informs the client of the right to choose child care either as a Temporary Assistance for Needy Families (TANF) deduction or as a child care benefit.
(1) The worker explains to the client if he or she chooses to change from receiving subsidized child care to child care as an earned income exemption, the client must actually pay the child care expense out‑of‑pocket for one month.
(2) If the choice is to terminate subsidized child care and begin child care as an earned income exemption, the closure of subsidized care must meet notification requirements listed in OAC 340:40-9.
(b) A TANF recipient is never approved for Child Care and Development Fund subsidized child care and have child care considered as an earned income exemption during the same month.When a recipient is discovered to have received both kinds of child care during the same month for the same child, overpayment procedures in OAC 340:40-15 are followed.
3.If someone other than the parent or guardian who is receiving the TANF benefit for the child or who is the payee for the child's SSI payment requests child care for the child, as is the case in some joint custody households, the child is not predetermined eligible for a zero co-payment in that household.The child's eligibility for the child care benefit is based on the countable income in the other household.
4.For example, household income can be $2,425 if the client is approved for two children in care.Household income for one child in care is $1,950.If the client has one child receiving SSI and one child who is not and the household income is $2,400, it is better for the client to be approved for both children in the same case with a family share co-payment than to receive a zero co‑payment for the child receiving SSI and to not be eligible for the other child. If this situation occurs and the family has more than one child receiving SSI, all children must be included on the same case.The family cannot choose to put one of the children on the case with the co-payment and the others on their own cases with zero co-payments.
5.See Oklahoma Department of Human Services (OKDHS) Appendix C-4, Child Care Eligibility/Co-payment Chart, for income eligibility guidelines and OAC 340:40-7-11 for types of income considered.Document income eligibility in the FACS Interview Notebook under the Household and Income tabs.
6.A former TANF recipient must still meet the income guidelines listed on OKDHS Appendix C-4 to receive a child care benefit.The TANF worker is required to advise the client of his or her potential eligibility for a child care benefit and to document the offer in the case narrative or in FACS Case Notes.When it is determined the client does not meet the eligibility guidelines for subsidized child care, the worker provides resources and referral information.If child care is not needed, the narrative also reflects what alternative to subsidized child care is utilized.The worker provides all families who receive earned income information about the Earned Income Credit and the Child Tax Credit and how to apply for these credits.
7.See OKDHS Appendix C-4 for income eligibility guidelines and OAC 340:40‑7‑11 for types of income considered.This is the only group of active TANF recipient families who are expected to help pay for subsidized child care.It is essential the worker counsel with families who must make family share co‑payments to ensure they understand how much they must pay.Realistically, these families are a step closer to the goal of assuming the total cost of child care.While working with families, the worker includes this goal as part of the overall service plan.
87.If there is a tribal child care program in the county for which the client might qualify, the worker asks the client if he or she is receiving subsidized child care from this program.If the client chooses to receive OKDHS subsidized child care, the same rules governing other clients apply to this client as well.The child care provider may not file a claim with both OKDHS and the tribe.
