State of Illinois
90th General Assembly
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90_SB1514

      305 ILCS 5/9A-11          from Ch. 23, par. 9A-11
          Amends  the  Illinois  Public  Aid  Code  in   provisions
      regarding   child   care   assistance.    Provides  that  the
      Department  of  Human  Services  shall  conduct  market  rate
      surveys, one to be completed by July 1, 2000, and one by July
      1 every 2 years  thereafter.  Provides  that  the  Department
      shall  adjust  rates  paid  for  child care at least annually
      beginning no later than January 1, 1999, so that on or before
      January 1, 2002, rates are established at the 75th percentile
      or higher of the market rate for each of the various types of
      care as determined by the market rate survey conducted by the
      Department to be completed by July 1,  1998,  and  subsequent
      market  rate  surveys conducted by the Department.  Effective
      immediately.
                                                     LRB9010742SMdv
                                               LRB9010742SMdv
 1        AN ACT to amend the Illinois Public Aid Code by  changing
 2    Section 9A-11.
 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:
 5        Section 5.  The Illinois Public Aid Code  is  amended  by
 6    changing Section 9A-11 as follows:
 7        (305 ILCS 5/9A-11) (from Ch. 23, par. 9A-11)
 8        Sec. 9A-11. Child Care.
 9        (a)  The  General  Assembly recognizes that families with
10    children need child care in order to  work.   Child  care  is
11    expensive  and families with low incomes, including those who
12    are transitioning from welfare to work, often struggle to pay
13    the costs of day care.  The General Assembly understands  the
14    importance  of helping low income working families become and
15    remain self-sufficient.  The General Assembly  also  believes
16    that  it  is  the  responsibility of families to share in the
17    costs of child care.   It  is  also  the  preference  of  the
18    General  Assembly  that  all  working poor families should be
19    treated equally, regardless of their welfare status.
20        (b)  To  the  extent  resources  permit,   the   Illinois
21    Department  shall  provide  child care services to parents or
22    other relatives  as  defined  by  rule  who  are  working  or
23    participating  in employment or Department approved education
24    or training programs.  At a minimum, the Illinois  Department
25    shall cover the following categories of families:
26             (1)  recipients    of    TANF   under   Article   IV
27        participating  in  work  and   training   activities   as
28        specified   in  the  personal  plan  for  employment  and
29        self-sufficiency;
30             (2)  families transitioning from TANF to work;
31             (3)  families at  risk  of  becoming  recipients  of
                            -2-                LRB9010742SMdv
 1        TANF;
 2             (4)  families with special needs as defined by rule;
 3        and
 4             (5)  working  families  with  very  low  incomes  as
 5        defined by rule.
 6        The  Department  shall  specify by rule the conditions of
 7    eligibility, the application process, and the types, amounts,
 8    and  duration  of  services.    Eligibility  for  child  care
 9    benefits and the amount of child care provided may vary based
10    on family size, income, and other  factors  as  specified  by
11    rule.  In  determining  income  eligibility  for  child  care
12    benefits, the Department shall establish, by rule, one income
13    threshold  for each family size, in relation to percentage of
14    State median income for a family of  that  size,  that  makes
15    families  with incomes below the specified threshold eligible
16    for assistance and families with incomes above the  specified
17    threshold   ineligible   for   assistance.    In  determining
18    eligibility for assistance, the  Department  shall  not  give
19    preference  to  any category of recipients or give preference
20    to individuals based on their receipt of benefits under  this
21    Code.   It  is  the  intent of the General Assembly that, for
22    fiscal  year  1998,  to  the  extent  resources  permit,  the
23    Department shall establish an income eligibility threshold of
24    50% of the State median income.  Notwithstanding  the  income
25    level at which families become eligible to receive child care
26    assistance,  any  family that is already receiving child care
27    assistance on the effective date of this  amendatory  Act  of
28    1997  shall  remain  eligible  for assistance for fiscal year
29    1998.   Nothing  in  this  Section  shall  be  construed   as
30    conferring  entitlement  status  to  eligible  families.  The
31    Illinois Department is authorized to lower income eligibility
32    ceilings, raise parent co-payments, create waiting lists,  or
33    take such other actions during a fiscal year as are necessary
34    to ensure that child care benefits paid under this Article do
                            -3-                LRB9010742SMdv
 1    not  exceed  the  amounts  appropriated  for those child care
 2    benefits.  These changes may  be  accomplished  by  emergency
 3    rule  under  Section  5-45  of  the  Illinois  Administrative
 4    Procedure  Act,  except  that the limitation on the number of
 5    emergency rules that may be  adopted  in  a  24-month  period
 6    shall  not  apply.  The Illinois Department may contract with
 7    other State agencies or  child  care  organizations  for  the
 8    administration of child care services.
 9        (c)  Payment  shall be made for child care that otherwise
10    meets  the  requirements  of  this  Section  and   applicable
11    standards  of  State  and local law and regulation, including
12    any requirements the Illinois Department promulgates by  rule
13    in  addition to the licensure requirements promulgated by the
14    Department  of  Children  and  Family   Services   and   Fire
15    Prevention  and Safety requirements promulgated by the Office
16    of the State Fire Marshal and  is  provided  in  any  of  the
17    following:
18             (1)  a child care center which is licensed or exempt
19        from licensure pursuant to Section 2.09 of the Child Care
20        Act of 1969;
21             (2)  a  licensed child care home or home exempt from
22        licensing;
23             (3)  a licensed group child care home;
24             (4)  other types of child care, including child care
25        provided by relatives or persons living in the same  home
26        as the child, as determined by the Illinois Department by
27        rule.
28        (d)  The  Illinois  Department  shall,  by  rule, require
29    co-payments for child care services by any parent,  including
30    parents whose only income is from assistance under this Code.
31    The  co-payment  shall  be  assessed based on a sliding scale
32    based on family  income,  family  size,  and  the  number  of
33    children in care.
34        (e)  The  Illinois Department shall conduct a market rate
                            -4-                LRB9010742SMdv
 1    survey based on the cost of care and other  relevant  factors
 2    which  shall  be  completed  by  July  1, 1998, another to be
 3    completed by July 1, 2000, and one to be completed by July  1
 4    every 2 years thereafter.
 5        (f)  The Illinois Department shall, by rule, set rates to
 6    be  paid  for the various types of child care. Child care may
 7    be provided through one of the following methods:
 8             (1)  arranging  the  child  care  through   eligible
 9        providers  by  use  of  purchase  of service contracts or
10        vouchers;
11             (2)  arranging with  other  agencies  and  community
12        volunteer groups for non-reimbursed child care;
13             (3)  (blank); or
14             (4)  adopting   such   other   arrangements  as  the
15        Department determines appropriate.
16        The Department  shall  adjust  rates  at  least  annually
17    beginning no later than January 1, 1999, so that on or before
18    January 1, 2002, rates are established at the 75th percentile
19    or higher of the market rate for each of the various types of
20    care  as  determined  by  the  market  rate survey, conducted
21    pursuant to subsection (e), to be completed by July 1,  1998,
22    and   subsequent   market   rate  surveys  conducted  by  the
23    Department.
24        (g)  Families eligible for assistance under this  Section
25    shall be given the following options:
26             (1)  receiving  a  child  care certificate issued by
27        the Department or a subcontractor of the Department  that
28        may  be used by the parents as payment for child care and
29        development services only; or
30             (2)  if space is available, enrolling the child with
31        a child care provider that  has  a  purchase  of  service
32        contract  with  the  Department or a subcontractor of the
33        Department  for  the  provision   of   child   care   and
34        development   services.    The  Department  may  identify
                            -5-                LRB9010742SMdv
 1        particular priority populations for whom they may request
 2        special consideration by  a  provider  with  purchase  of
 3        service  contracts,  provided that the providers shall be
 4        permitted to maintain a balance of clients  in  terms  of
 5        household  incomes and families and children with special
 6        needs, as defined by rule.
 7    (Source: P.A. 90-17, eff. 7-1-97.)
 8        Section 99.  Effective date.  This Act takes effect  upon
 9    becoming law.

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