Child care providers across California are voting on an agreement some advocates are hailing as “transformative” for the beleaguered industry.
California has used COVID-19 aid to waive family fees since the onset of the pandemic, but before this summer’s budget deal, the fees had been set to return this year.
For the minority of families who still have a co-payment, the state slashed the fees, too, so that they will total no more than 1 percent of a family’s income. No family will have to pay more than $61 a month for subsidized care, according to a copy of the newThe state will use $56 million from its general fund to reduce the fees.
That means starting Jan. 1, San Diego County family child care providers will get $160 more a month per child. License-exempt providers such as family members, friends and neighbors also get a boost of $112 per child. They also fall far short of meeting providers’ operating costs. Providers frequently set their prices below their true costs, because they know parents can’t afford to pay more.found last year that the gap between what California pays providers and their actual costs amounts to more than $10,000 per child, per year, in almost every region of the state for almost every age group of children served.
Within 60 days of receiving federal approval for the new cost-based model, the state will reopen bargaining with the union about reimbursement rates.
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