Increases child care provider payments and revises hourly limits on child care for school-aged children under subsidized child care assistance program during 2020-2021 school year.
The implementation of A1794 will have considerable effects on the existing statutes governing subsidy payments for child care services in New Jersey. By increasing the daily reimbursement rates from the previous levels, which provided only $14.65 for part-time care, the bill acknowledges the higher operational costs faced by providers during the pandemic. It aligns with efforts to support working families who require extended child care options when schools operate under hybrid models, potentially altering prior limits restricting payment for school-aged care to three hours per day during the academic year.
A1794 aims to revise the reimbursement rates for child care providers participating in the state's subsidized child care assistance program, particularly during the 2020-2021 school year. The act seeks to address the increased need for child care amidst the COVID-19 pandemic by allowing providers to offer part-time and full-time care for school-aged children. Under the new rates established by the bill, part-time providers will receive $28.90 per day for up to six hours of care, while full-time providers will receive $48.80 for care ranging from 6.25 to ten hours. This new framework is designed to better accommodate the needs of working parents, especially as schools plan hybrid or remote instruction options due to health guidelines.
One of the central discussions surrounding the bill pertains to its funding mechanisms and its reliance on federal assistance through the Child Care and Development Block Grant. Critics argue that while the bill increases funding for child care, it may not provide sustainable support once the federal funds are exhausted or if federal guidelines change. The potential for over-dependence on federal grants raises concerns over the long-term viability of the subsidy levels established under A1794, with implications for both child care providers and families relying on these services.