Section 7 AAC 41.025 - Program rates(a) For purposes of calculating a family's program benefits under 7 AAC 41.345, the program rate for each category of care authorized for a child is established in the department's Child Care Assistance Program Rate Schedule, revised as of December 1, 2021, and adopted by reference. The rates in the schedule are set out by type of facility licensed under 7 AAC 57 or approved under this chapter, category of care, and geographic area. Click here to view Image
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(b) The category of care includes the age group of the child and each unit of care authorized, as follows: (1) age groups include (A) infant: birth through 12 months of age;(B) toddler: 13 months of age through 35 months of age;(C) preschool-age child: 36 months of age through 59 months of age; and(D) school-age child: five years of age through 13 years of age;(2) units of care authorized include (A) part month enrollment: fewer than 17 days of care in any combination of part or full days in a month or from 17 to 23 part days of care in a month;(B) full month enrollment: from 17 to 23 days of care that includes at least one full day of care in a month;(C) part day attendance: care needed for up to and including five hours of care in a day; and(D) full day attendance: care needed for more than five hours and up to and including 10 hours of care in a day.(c) The program payment rates in the schedule are based on the following standards: (1) to ensure that eligible families have equal access to child care services comparable to child care provided to families that are not eligible to participate in the program; if the full range of providers is available in a community, a choice of the full range of providers is available to eligible families; in this paragraph, "full range of providers" includes licensed child care providers eligible under 7 AAC 41.200(a)(1), providers eligible under 7 AAC 41.200(a)(2) - (4), relative providers exempt from licensure and approved under 7 AAC 41.200(a)(5) and 7 AAC 41.201(d), and child care approved under 7 AAC 41.200(a)(6) and 7 AAC 41.370 in the child's own home; and(2) to ensure that program payment rates are adequate, as follows: (A) rates are based on availability of appropriations and on market conditions, using information obtained by the department through a; (i) market price study of child care providers in the state; or(ii) cost estimation model or other alternative methodology;(B) for a geographic area, rates are a percentile, up to the 75th percentile, of the rates of a representative sample of child care providers in that geographic area or in a similar one; and(C) for a geographic area, rates may be adjusted by the department to (i) expand capacity for child care;(ii) address factors indicating a shortage of available care, such as care for infants, children with special needs, or children of parents who work during nontraditional hours; and(iii) address market imperfections, including situations in which the market price is below the actual cost of care.(d) The state maximum child care assistance payment for a child during a month is equal to the full month rate plus the part month rate for the category of care, the type of facility, and the geographic area where care is provided, except as described in 7 AAC 41.035(c). If the child uses two types of facilities, payment is based on each facility type, not to exceed the rate for the licensed facility type.(e) A provider caring for a child with special needs who is younger than 13 years of age may qualify for a supplemental program rate as referenced in 7 AAC 41.060.(f) If child care is provided in the child's own home, the program rate for in-home child care is the rate for an approved relative provider shown on the department's schedule set under this section.(g) The total eligible cost of care for a family choosing an approved in-home child care caregiver is limited to a monthly maximum that is equal to two times the minimum hourly wage established under AS 23 .10.065, multiplied by 170.Eff. 6/23/2006, Register 178; am 8/31/2008, Register 187; am 3/1/2010, Register 193; am 1/5/2017, Register 221, April 2017; am 9/11/2017, Register 223, October 2017; am 10/31/2019, Register 232, January 2020; am 1/1/2023, Register 245, April 2023Authority:AS 47.25.001
AS 47.25.041