The request must also certify and describe how the health, safety, and well-being of children served through CCDF will not be compromised as a result of the waiver. It is important that Lead Agencies have a plan in place to perform essential functions and achieve programmatic continuity during and after an emergency or disaster for families receiving CCDF benefits. The grants cannot be used for new construction or major renovations. States and territories were instructed to include these policies in the FY 2022-2024 CCDF Plans due on July 1, 2021. Tribes are limited to serving CCDF children within their service area. Tax Considerations Monthly ReportingGENERAL What is the purpose of the stabilization grants? U.S. Department of Health & Human Services, Administration for Native Americans (ANA), Administration on Children, Youth, and Families (ACYF), Office of Child Support Enforcement (OCSE), Office of Human Services Emergency Preparedness and Response (OHSEPR), Office of Legislative Affairs and Budget (OLAB), Office of Planning, Research & Evaluation (OPRE), Public Assistance Reporting Information System (PARIS), section 2202(d)(B)(i) and (ii) of the ARP Act, ARP Act supplemental CCDF Discretionary funds, Coronavirus Response and Relief Supplemental Appropriations (CRRSA) Act, FY 2022-2024 Child Care and Development Fund (CCDF) Plan, FY 2020-2022 CCDF Plan within 60 days of the effective date of implementation, or cost of producing self-employment income (once spent, US Department of Labors webpage on UC benefits related to the COVID-19 outbreak, https://www.acf.hhs.gov/occ/policy-guidance/tribal-construction-or-major-renovation, Rent, utilities, facility maintenance or improvements, or insurance, Personal protective equipment, cleaning and sanitization, or training and professional development related to health and safety, Purchases of or updates to equipment or supplies to respond to the COVID-19 public health emergency, Goods and services necessary to maintain or resume child care services, Mental health support for children and employees, Administering child care stabilization funds, Carrying out activities to increase the supply of child care, Providing technical assistance and support for stabilization applications, Publicizing the availability of ARP Act stabilization funding, Providing technical assistance to providers receiving ARP Act stabilization funds. While each state, territory, or tribe can specify the specific uses of grant funds, the funds are intended to support providers general operating expenses, wages and benefits to employees and owners, rent, utilities, cleaning and sanitation supplies and services, and other goods and services needed to maintain or resume operations as well as mental health supports for children, families, and employees. However, OCC reminds Lead Agencies that a waiver for extraordinary circumstances is only necessary if the change would not comply with federal CCDF requirements; otherwise, changes can be made through Option 1: amending requirements, through Plan amendments if necessary. Retaining documentation to support each expenditure (i.e. Some child care businesses may qualify for tax credits to support paid sick leave while they receive a vaccine and recovery from any side effects. The Official Child Care Grants Assistance Portal for the State of Virginia. Such temporary changes would not impact the amount of care the child would receive. Law 117-2), signed on March 11, 2021, includes $23.97 billion for child care stabilization grants to be allocated to states, territories, and Tribes based on the current Child Care and Development Block Grant (CCDBG) formula. Certificate of Registration: A statement issued by the Commissioner for a period of up to two years to a family child care home upon receipt of a self-certification statement In addition, CCDF regulations provide that Lead Agencies shall expend and account for CCDF funds in accordance with their own laws and procedures for expending and accounting for their own funds [45 CFR 98.67(a)]Visit disclaimer page. IMPORTANT: Recertifications for C3 funding between the months of July 2021 and June 2022 need to be completed no later than Monday. Fiscal monitoring refers to the process EEC will follow to assess if grant award recipients are both using and documenting their use of grant funds correctly. See the funding breakdown by state, tribe and territory, and more information about the grant on the White House American Rescue Plan Funding Fact Sheet. Refer to the disbursement schedule linked within the grant dashboard in the LEAD portal. CCDF Lead Agencies have the flexibility to decide whether to disregard Unemployment Compensation (UC) benefits under the CARES Act or the CRRSA Act as income or resources when determining CCDF eligibility and family co-payment amounts. This map provides links to available child care stabilization grant applications. Goods and services necessary to maintain or resume child care services. The ARP child care stabilization funds would be considered self-employment income for the child care providers since they are not universally exempted from SNAP eligibility determinations by law. Funds will be available to child care providers in the form of: OCFS Tribal lead agencies may determine which provider types to include in their stabilization subgrant programs, as long as those providers are eligible and qualified, as defined in the ARP Act, which may include limiting subgrants to tribally operated centers. Therefore, the applications must include a way for child care providers to certify they will meet these requirements. CCDF funds, including supplemental funds, cannot be used to cover tuition or copayments for families that are not eligible to receive CCDF child care subsidies. NOTICE: All CCSG Providers must now use the NEW monthly report launched beginning with the grant award for September 2022. The February 10th webinar was sponsored by KidKare. Child care services with a tutoring or academic support component that are funded through CCDF subsidies must be paid in accordance with the Lead Agencys CCDF payment rates. Stabilization Grants How can a program find out the total it received in grant funds? Afterwards it costs $99.00 a year. Providers must have been licensed or certified by March 11, 2021: Providers licensed after March 11, 2021 must contract with DES in order to qualify for grant funding.In addition, all providers must also: Providers are strongly encouraged to update their operational status with their Licensing authority. State, territory, and tribal lead agencies may use the supplemental funds to provide bonuses or other financial incentives to child care providers who choose to stay open extra hours or provide care on the weekends so parents can be vaccinated. Help is on the way! For more information, visit the CCSG FAQ section. Almost. For most Medicaid beneficiaries, the definition of what counts as income for Medicaid is determined at the federal level and includes all income reported to the IRS as part of a tax filers Adjusted Gross Income (AGI), plus some non-taxable income sources. Is the Child Care Provider Stabilization Grant taxable? Funded by supplemental Child Care Development Block Grant funds through the American Rescue Plan Act (ARPA), this opportunity is intended to help stabilize the cost of maintaining child care programs by supporting the child care workforce, reducing the financial burden of child care for families and ensuring a safe and healthy environment. When do programs need to recertify their application? This means you will pay some additional Social Security taxes, but it also means your higher profit will potentially increase your Social Security benefits. Can these funds be used to help cover the costs of consulting with a tax preparer? FMAP rates and state matching requirements are published on the GY 2020 state and territory CCDF allocation tables page. A child in a family that is receiving, or needs to receive, protective intervention is eligible for child care subsidies even if certain eligibility criteria are not met. Programs that are awarded a grant will receive an IRS Tax Form 1099-NEC. Review the grant payments received using LEAD. In addition, all tribal lead agencies were allocated $30,000 as a base amount of the ARP Act stabilization funds prior to allocating funds based on the number of children served. OCC encourages child care providers in the financial position to provide relief from copayments and tuition for families to use non-ARP Act stabilization funds to provide that relief and prioritize the relief for families with incomes below 85 percent of state median income. Lead agencies must continue to meet this requirement throughout the public health emergency. Building Equitable Early Childhood Systems, Early Care & Education Quality Initiatives, Harnessing Opportunities for Positive Early Childhood (HOPE), The True Cost of Providing Safe Child Care During the Coronavirus Pandemic, Help is on the way! Some activities would be clearly unallowable like using CCDF to pay for teachers employed by the schools during the school day when the school is in session, but many circumstances in the COVID-19 context are more nuanced. An official website of the Commonwealth of Massachusetts, This page, Child Care Stabilization Grants FAQs, is, Professional development and other investments to support staff in building educator qualifications. Some page levels are currently hidden. 6409, and specifies that, any refund (or advance payment with respect to a refundable credit) made to any individual under this title shall not be taken into account as income, and shall not be taken into account as resources for a period of 12 months from receipt, for purposes of determining the eligibility of such individual (or any other individual) for benefits or assistance (or the amount or extent of benefits or assistance) under any Federal program or under any State or local program financed in whole or in part with Federal funds.. are examples of personal information that should not be sent to EEC or its designee during the fiscal monitoring review. More information is available from theWhite House American Rescue Plan Funding Fact Sheet. Lead agencies do not have to require additional information at the time of the application as part of the certification process. Tribal lead agencies may set-aside up to 20 percent of their ARP Act stabilization funds for administration, supply building, and technical assistance. Child Care Stabilization Grants Help Desk Support: 1-833-600-2074 eecgrantsupport@mtxb2b.com User Guide - Grant Survey Frequently Asked Questions Grant Requirement Supports: Family Child Care - Training for C3 Operational Grant requirements - YouTube Center-Based - Training for C3 Operational Grant requirements - YouTube Stabilization Grant Q: Is the Stabilization grant taxable income? The Stabilization Payment Program Round 2 is a nine-month payment program that runs . Lead agencies are not required to submit a new separate report to OCC that details how they plan to spend their ARP Act stabilization funds. Continued non-compliance puts you at risk of losing your CCSG award. The Child Care Stabilization Grant is considered income and is taxable. Programs will receive this funding by the end of August 2022. All CCSG providers approved for the award between July 2021 and September 30, 2022 will be paid monthly through June 2023. for administration, supply building, and technical assistance. You can deduct the amount you pay your assistant. The CARES Act and the CRRSA Act do not address use of funds for construction or renovation; accordingly, regular CCDF/CCDBG rules apply. These essential functions include (i) continuing payments to child care providers serving children receiving subsidies; (ii) provisions for extending eligibility re-determination for families; (iii) communication with the licensing agency to ensure that licensed programs receiving CCDF funds are safe and operational; (iv) assisting new enrollees or preparing for an influx of families who may need assistance; (v) implementation of a waiting list if the Lead Agency does not have one, as appropriate; and (vi) tracking families receiving subsidies impacted by the disaster. The American Rescue Plan Act of 2021 (ARP Act) (Pub. Not all applications are guaranteed to be approved. To learn more about how to fill out W-9 information, check out this video to learn how to complete Form W 9. Funds can be used for this purpose under "goods and services". Under federal guidance, this clearly language clearly applies to a family child care provider, even if she has no employees. Providers can use the funds to pay prior program expenses incurred after January 31, 2020. Thank you for your website feedback! Providers must submit a monthly report on how all grant funds have been spent. Therefore, lead agencies are strongly encouraged to use that discretion to disqualify child care providers who have had their license or ability to participate in the subsidy program revoked or who are under investigation. Q: How do I create an emergency fund with this grant? dollars for the Child Care Stabilization Grants These grants are to provide financial relief to family child care providers and child care centers to cover business costs associated with COVID-19 and to help stabilize their operations This represents a substantial financial benefit to all child care programs! Programs that permanently close are expected to notify EEC prior to their date of closure. Applications submitted after March 30 will generally not be considered. The ARP Act child care stabilization funds are specifically designed to promote the stability of the child care sector. Funds are in place so every eligible program can receive one grant per facility/site. Consistent with the existing construction or major renovation application requirements (https://www.acf.hhs.gov/occ/policy-guidance/tribal-construction-or-major-renovation), applications to use ARP Act stabilization funds had to be submitted prior to July 1, 2021. In a recent webinar hosted by the Office of Child Care Technical Assistance Network, national family child care business expert Tom Copeland provided an overview of the stabilization grants and how family child care homes can handle the tax implications. Q: On my grant report I listed mortgage and utilities as expenses. Care provided in emergency situations should be of the highest quality that is reasonably practicable given the particular circumstances. Lead agencies should notify a provider as soon as the decision to reverse the application is made and provide information on why it was reversed and an opportunity to appeal the decision. Stipulations for what the funds can be spent on and how to properly report them. Section 658M(b) of the Child Care and Development Block Grant (CCDBG) Act, 42 U.S.C. This could include physically separating checks or depositing the funds in different bank accounts. If a program closes permanently, will the program need to return the grant funds? A: You can pay yourself as often and as much as you want. If a provider is unable to provide relief from copayments and tuition payments for all families enrolled in the program, they should prioritize doing so for families most in need of relief and target families earning below 85 percent of the State Median Income. Child care programs may apply for only one of three grant opportunities. With limited exceptions, home visiting does not fall within any of these allowable uses. Virginia's Child Care Stabilization Grant Program is designed to: Stabilize child care programs now; Support providers to make strategic investments in their programs; Target higher rates of support to providers located in or serving communities hit hardest by the pandemic; and Encourage participation in the Child Care Subsidy Program. There has never been this amount of federal funding dedicated to childcare providers, which makes this an incredible opportunity. You would report $5,000 as income and $2,000 as an expense, and end up paying taxes on the difference, or $3,000. Upon approval of a waiver request, Lead Agencies have 60 days to submit a CCDF Plan amendment to correspond with the provision(s) in the waiver request. Any funds received after the date of permanent closure will need to be returned to EEC. Yes, tribal lead agencies may use the entirety of their ARP Act stabilization funds on construction and major renovation. Federal law defines income for SNAP. Grant reporting will be completed in the Professional Development (PD) Registry. The program will aim to alleviate some of the economic and operational hardships caused by the COVID-19 pandemic and response. In emergency situations, Lead Agencies have the option of deeming certain impacted childrensuch as children of health care, emergency, or other essential workers-- to be in need of protective services and therefore, the regular CCDF eligibility requirements (e.g., income threshold) need not apply. Providers who served children receiving subsidies from the following programs in March 2021 will be eligible for a $600 per-child stipend: CalWORKs Stages One, Two (C2AP) and Three (C3AP) Alternative Payment Programs (CAPP) including Migrant Alternative Payment Programs (CMAP) General Child Care and Development Programs (CCTR) No. EEC will not make an unscheduled visit to conduct fiscal monitoring activities. Section 658E(c)(2)(B) of the Child Care and Development Block Grant (CCDBG) Act, 42 USC 9858c(c)(2)(B), and 45 CFR 98.31 of the CCDF regulations require CCDF lead agencies to have in effect procedures to ensure that child care providers receiving CCDF funds afford parents unlimited access to their children and the providers during normal hours of operation and whenever the children are in the care of the provider. Child Care Counts Call Center hours are 8 a.m.-4:30 p.m. M-F. If the family is still eligible at redetermination, they should receive another minimum 12-month eligibility period and should not be placed on a waitlist. Lead agencies have the flexibility to disregard bonuses and increases in pay to child care workers as income when determining a child care workers eligibility for CCDF. If there are multiple Programs registered, Search Provider to quickly locate the Provider. However, Lead Agencies may apply for temporary waivers for extraordinary circumstances in response to emergency situations in accordance with 45 CFR 98.19. A: You can apply some of the grant money to cover lost revenue, but you cant deduct lost revenue as a business expense. However, tribal lead agencies who do not currently operate under a consortium may coordinate a common framework such that each tribal lead agency establishes the same requirements and procedures for the stabilization grants. The statutory requirement at section 658E(c)(2)(S)(ii) of the Child Care and Development Block Grant (CCDBG) Act requires Lead Agencies to support the fixed costs of providing child care services by delinking provider payment rates from an eligible child's occasional absences due to holidays or unforeseen circumstances such as illness, to the extent practicable. Afterwards it costs $99.00 a year. 116-127) added a temporary FMAP increase of 6.2 percentage points beginning January 1, 2020, and continuing through the Coronavirus Disease 2019 (COVID-19) public health emergency period. A: Depends on what your state says. Checks payable from the business bank account to the sole proprietor/individual, Electronic statements that document funds transferred from the business bank account to the personal bank account, Documentation evidencing expenditures made with grant funds, Responses to questions about general provider information, provider accounting systems/processes, and the internal controls in place, the amount (in dollars) of the expenditure, the category of allowable uses under which the expenditure fall, the type of supporting documentation for the expenditure. How will I receive the grant awards? 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