SR 17-12 Dated 07/17

STATE OF NEW HAMPSHIRE

INTER-DEPARTMENT COMMUNICATION – Division of Family Assistance (DFA)

SUMMARY 

This SR releases the following changes to the NH Child Care Scholarship Program:

BACKGROUND

On November 14, 2014, the President signed the Child Care and Development Block Grant (CCDBG) Act of 2014 (Pub. L. 113-186) into law. The CCDBG Act authorizes the Child Care and Development Fund (CCDF), which is the primary federal funding source devoted to providing low-income families who are working or participating in education or training activities with help paying for child care and improving the quality of child care for all children. The federal Office of Child Care reauthorization requirements for Child Care Scholarship were released to states on September 30, 2016. 

The federal reauthorization expands the purpose of CCDF for high-quality child care for low-income children and includes the provision of reliable child care in order for a parent/guardian to maintain and obtain stable employment. As a result, FAM 900 New Hampshire Child Care Scholarship includes significant policy changes in order to comply with the federal mandate. 

Multiple FAM 900 pages have been added, replaced, moved, deleted, and/or retitled to assist in the clarification and reorganization of the child care policy.

A workgroup representative of those that are responsible for implementing the NH Child Care Scholarship Program has been working since the fall of 2016 to rewrite the child care rules He-C 6910 Child Care Eligibility, He-C 6914 Child Care Provider Enrollment Requirements, and He-C 6918 Child Care Provider Billing and Payment Requirements, and child care policy changes and technical clarifications made to FAM 900. This scholarship program is administered by the Department of Health and Human Services (DHHS), Division for Children, Youth and Families (DCYF), Child Development Bureau (CDB).

POLICY

12 Month Eligibility

Child Care Scholarship is now determined for a 12 month eligibility certification period. Child Care Scholarship eligibility is independent from any other DHHS program of assistance.

Income Eligibility Levels

Child Care Scholarship now has two-tiered eligibility.

Tier 1 is for initial eligibility and includes Steps 1 through 6 eligibility limits and related percentage of family cost share. Tier 1 income limit is at or below 220% of the Federal Poverty Guideline (FPG). Initial eligibility can only be determined in Tier 1.

Families who require Child Care Scholarship and who are either receiving financial assistance from DHHS under the Financial Assistance to Needy Families (FANF) program or whose income is at or below 220% of the Federal Poverty Guidelines (FPG) will enter the NH Child Care Scholarship program in Tier 1.

Tier 2 is Graduated Phase Out (GPO) and is Step 7 eligibility limit and related percentage of family cost share. GPO, which occurs only at redetermination, means one additional new 12 month eligibility period for Child Care Scholarship when a family’s income exceeds 220% of the FPG and is less than or equal to 250% of the FPG at redetermination. GPO gives families time to transition off of the Child Care Scholarship program. If at redetermination, a family’s income exceeds 250% of FPG, the family is not eligible for GPO and child care will close.

GPO is an exit threshold and applies to families at redetermination when income is greater than 220% of the FPG but less than or equal to 250% of the FPG. GPO continues for 12 months even if the family’s income exceeds 250% of the FPG during this time. If at any time, a family’s income exceeds 85% of SMI and the change is not temporary (i.e. not a one-time only increase or the increase will be in effect greater than three months), the family must report this change within 10 calendar days and child care will close with a 10 day ANP.

If at any time during GPO, Tier 2, a family reports income that decreases below 220% of the FPG, the family’s eligibility level returns to Tier 1 and the cost share must be re-evaluated.

The income eligibility levels and related family cost share will be updated annually in July.

State Median Income

The SMI table which will be located on a Revised Form 2532, is effective 07/10/2017. It will only be in effect until September 30, 2017 and will be revised when the federal government releases new SMI data. The New Hampshire DHHS 85% State Median Income chart for the household size is indicated on the reverse side of Form 2532 “Child Care Scholarship Income Eligibility Levels”. To locate Form 2532, go to the DHHS/DCYF/Child Development Bureau’s Forms Library at:   http://www.dhhs.nh.gov/dcyf/cdb/forms.htm.  This table is updated annually each federal fiscal year.

Expedited Child Care

An applicant experiencing homelessness will now be authorized to receive expedited Child Care Scholarship. Allow expedited child care with only a parent/guardian’s self-attestation of homelessness and that the parent/guardian is participating in employment, training, education, or job search as verification. The parent/guardian does not need to verify income or complete Form 1863 “Provider Verification” to be eligible for expedited child care. The family can only link to a currently enrolled DHHS child care provider. Expedited child care must be determined within 7 calendar days of the date of application with a final eligibility decision made within 30 calendar days.

Children experience homelessness when they lack a fixed, regular, and adequate nighttime residence which includes:

A parent/guardian must be actively participating in employment, training or education, or a job search activity to be eligible for expedited child care. Acceptable verification for homelessness is a self-declaration stating the parent/guardian is experiencing homelessness and is participating in an employment, training or education, or job search activity.

A parent/guardian must identify a child care provider that is currently enrolled with the DHHS Child Care Scholarship program. The FSS must make a collateral contact with the child care provider to verify the correct Provider Resource Identification Number and that the child is scheduled to attend the child care program to establish a link.

Form 2530 “Provider Verification” has been revised and renumbered to Form 1863. Allow the child care provider to be linked at application without a Form 1863 “Provider Verification”. A completed Form 1863 must be returned within 30 calendar days. The DHHS/DCYF Child Development Bureau forms are located at http://www.dhhs.nh.gov/dcyf/cdb/forms.htm.

Inform a parent/guardian that qualifies for expedited child care that they have 30 calendar days to provide all required verification for Child Care Scholarship eligibility to be determined.

When family income is not yet verified during the 30 day expedited child care period, the family cost share will be temporarily set at zero and the Step will be set at the appropriate level based on the income information the parent/guardian provides. Once income is verified, the cost share and Step will be recalculated.

Expedited child care will end 30 days from the child care link begin date when a parent/guardian does not provide all required verification. When a parent/guardian provides all required verification within 30 days from the child care link begin date, an eligibility determination must be made to determine if Child Care Scholarship eligibility may continue. When a parent/guardian provides all required verification, a full 12 month eligibility period begins on the date the child care link began.

The child care provider may bill for Child Care Scholarship and be paid during the expedited child care period. Payment during the first 30 days of Child Care Scholarship for expedited child care is not considered an overpayment, even when a parent/guardian is not determined eligible at the end of the 30 days and the child care case terminates.

Exemptions to the Wait List

The time frame for wait list exemptions is now extended from 90 days to 92 days from the application date under the following circumstances when children are in families:

Note: Children in families currently receiving FANF cash assistance are still exempt from the wait list.

Cost Share

The family cost share may change during the 12 month eligibility period but will not increase above the amount calculated at the most recent 12 month eligibility determination or redetermination. The cost share may also change when the household size changes and the change results in a lower cost share.

The family cost share may change when a parent/guardian loses a job or experiences a decrease in income, unless income was annualized. When a parent/guardian becomes employed the cost share may change but will not go higher than the cost share amount determined at the most recent 12 month eligibility determination or redetermination.

Example: A parent/guardian eligible at Step 5 (14.0%) loses their job and as a result is eligible at Step 1 (4.75%). The parent/guardian gets a new job with income at Step 6 (17.0%). The cost share can only be set at Step 5 (14.0%) as determined at the most recent 12 month eligibility determination or redetermination.

Income that is annualized at the initial application will determine the cost share for the 12 month eligibility period and will not be recalculated during the 12 month eligibility period except when a parent/guardian experiences a permanent job loss.

Example: A parent/guardian who applies for initial eligibility during peak seasonal employment (e.g. employed at a ski resort in January and applies for Child Care Scholarship in January) may choose to have their income annualized and as a result the cost share will be set at the same amount for the 12 month eligibility period. When the parent/guardian is not actively participating in the seasonal employment activity in August, and the parent/guardian requests a reduction in cost share because they have less income, the cost share cannot be recalculated. Once income is annualized it cannot be changed during the 12 month eligibility period unless the parent/guardian experiences a permanent job loss.

The cost share will be re-evaluated at redetermination.

Authorized Service Level

The authorized service level will remain unchanged during the 12 month eligibility period unless a parent/guardian reports a change in employment, training or educational program, or job search when the job search activity is combined with employment and/or training/education, that increases the authorized service level. Parent/guardian(s) may request a decrease in service level at any time.

Even when a parent/guardian is not actively participating in employment, training or an educational program, the service level will remain the same as the authorized service level prior to the change in circumstance, unless a parent/guardian requests a decrease.

In a job search period at initial eligibility, the authorized level of service will be based on the parent/guardian’s reported need for child care to job search. In a job search period following the permanent loss of a job or end of a training or educational program, the authorized service level will remain the same as the authorized service level prior to the start of job search.

There is no longer a half-time service level limit when job search is the only approved activity.

The service level for school-age children will continue to be automatically set at half-time in New HEIGHTS and change to full-time during typical vacation periods in order to preserve the child’s annual absentee allotment. The override process when needed remains unchanged.

A parent/guardian may request a decrease in service level at any time.

The service level will be re-evaluated at redetermination.

Annual Child Absentee Allotment

Each child will receive a DHHS determined annual allotment of absentee hours based on the child’s authorized service level that will be used to pay a child care provider whenever a child is absent from the child care program until the annual allotment is exhausted.

Annual absentee allotment hours are designated as follows:

When a child care provider indicates absentee hours for a child on the weekly DHHS electronic billing invoice, the system will automatically deduct from the child’s absentee allotment hours if available. When enough absentee hours are available, this will prevent the DHHS child care provider payment from dropping below the authorized service level. When not enough absentee hours are available to meet the authorized service level or when the absentee allotment is exhausted, the parent/guardian is responsible to pay the provider the difference between the authorized service level and the actual service level for that week plus any co-payment if the provider chooses to charge one.

When the annual absentee allotment is exhausted, it may result in a lower service level determination for that week, which will affect the DHHS payment made to the child care provider.

Parent/guardians are responsible for paying the child care provider for any hours of child care services when the child’s attendance falls below the approved service level or the child’s absentee allotment has been exhausted.

The annual absentee allotment is prorated in 2017 and will first be available on 09/11/2017. FSS/ECS must inform parent/guardians that the annual absentee allotment is prorated from the date of initial eligibility through December 31, 2017. Thereafter, each eligible child will receive an annual absentee allotment on January 1^st for the calendar year. Children newly eligible in the Child Care Scholarship program will receive the designated full annual absentee allotment upon initial eligibility. Unused hours do not roll over into the next calendar year.

If a child uses all of the annual absentee allotment at the beginning of the initial 12 month eligibility period, no more absentee hours will be available until January 1^st. When a child care case closes and the parent/guardian reapplies for Child Care Scholarship within one calendar year (e.g. closed in September of 2017 and reapplied in November of 2017), any remaining absentee hours for the child from the closed date in September, are still available in November of 2017 when the service level is unchanged. If the service level decreased from September 2017 to November 2017, the decreased hours that correlate to the lower service level will be applied. However, if the number of hours used by September 2017 exceeded the number of allowable hours at the reduced service level, the child may not have any absentee hours available. If the service level increased from September to November 2017, hours will increase to correlate to the higher service level. However, any absentee hours used through September 2017 will be deducted from the number of allowable hours at the higher service level.  

Age of Eligible Child

Previously, a child was eligible for Child Care Scholarship through age 12, ending on the child’s 13^th birthday, unless a child had a special need. Now even when a child turns 13, the child remains eligible through the 12 month eligibility period. A child cannot be found initially eligible for Child Care Scholarship at age 13. The policy for children experiencing significant special needs has not changed (which can extend through age 17).

Continued Eligibility for Employment

A parent/guardian being on a leave of absence from employment is now considered continued eligibility which means that a parent/guardian is allowed to not be actively participating in employment and still remain eligible for Child Care Scholarship.

Parent/guardians are allowed continued eligibility during the 12 month eligibility certification period as long as the parent/guardian is considered employed by the employer for medical leave whether paid or unpaid, seasonal employment, any other reduction in work while the parent/guardian is still working, or when the parent/guardian is not in attendance at work during scheduled work hours. The authorized service level will remain the same as the authorized service level prior to the start of the change in circumstances listed above, unless a parent/guardian requests a decrease.

Example: A parent/guardian is employed but was in a car accident and will be out of work on a five-month medical leave. The employer considers the parent/guardian employed but on a medical leave from the job. The parent/guardian continues to be eligible for Child Care Scholarship while remaining employed. The child care provider may bill for Child Care Scholarship payment even though the parent/guardian is not actively participating in the employment activity. If the parent/guardian’s redetermination occurs during the medical leave, the parent/guardian must report and verify the medical leave at redetermination.

There is no requirement to report or verify a medical leave during a 12 month eligibility period. However, a parent/guardian must report and verify medical leave at redetermination. If employment was terminated during the medical leave and the parent/guardian did not report permanent job loss, the FSS must refer the child care case to the Special Investigations Unit (SIU) for investigation.

A child must continue to attend child care even though the parent/guardian is not actively participating in employment for Child Care Scholarship payment to be made to the child care provider. Hours will be deducted from the child’s annual absentee allotment to meet the service level when the child does not attend.

Note: At initial application a parent/guardian cannot be determined eligible when the parent/guardian is on a medical leave from employment or not actively participating in seasonal employment.

Continued Eligibility for Training or Education

A former leave of absence from a training or educational program is now considered continued eligibility which means that a parent/guardian is allowed to not be actively participating in the training or educational program and still remain eligible for Child Care Scholarship.

Parent/guardians are now allowed continued eligibility during the 12 month eligibility certification period for training or education as long as the parent/guardian is considered currently enrolled in a training or educational program by the institution, even when a parent/guardian is on a medical leave, student holiday, semester break, or when a parent/guardian is not actively participating in the approved training or educational activity. The authorized service level will remain the same as the authorized service level prior to the start of the change in circumstances listed above, unless a parent/guardian requests a decrease.

Example: A parent/guardian is in a training or educational program but was in a car accident and will be out of school on a 6 month medical leave. The educational institution considers the parent/guardian currently enrolled but on a medical leave from school. The parent/guardian continues to be eligible for Child Care Scholarship while remaining in a training or educational program. The child care provider may bill for Child Care Scholarship payment even though the parent/guardian is not actively participating in the training or educational program. If the parent/guardian’s redetermination occurs during the medical leave, the parent/guardian must report and verify the medical leave at redetermination.

There is no requirement to report or verify a medical leave during a 12 month eligibility period. However, a parent/guardian must report and verify medical leave at redetermination. If enrollment in training or education was terminated during the medical leave and the parent/guardian did not report the termination, the FSS must refer the child care case to the Special Investigations Unit (SIU) for investigation.

A child must continue to attend child care even though the parent/guardian is not actively participating in a training or an educational program for Child Care Scholarship payment to be made to the child care provider. Hours will be deducted from the child’s annual absentee allotment to meet the minimum service level when the child does not attend.

Note: At initial application a parent/guardian cannot be determined eligible when the parent/guardian is on a medical leave, a student holiday, or a semester break from a training or educational program.

Required Verification at Redetermination for Medical Leave from Employment, Training or Educational Program or Inactivity due to Seasonal Employment

At redetermination, a parent/guardian must verify they are still employed, even when on a medical leave or seasonal break from employment.

Verification is required at redetermination for medical leave from employment or inactivity due to seasonal employment that includes:

A parent/guardian must report and verify medical leave at redetermination. If employment was terminated during the medical leave and the parent/guardian did not report the permanent job loss, the FFS must refer the child care case to the Special Investigations Unit (SIU) for investigation.

At redetermination, a parent/guardian must verify they are still enrolled in a training or educational program, even when on medical leave or on a semester break.

Verification is required at redetermination for medical leave from a training or educational program or when a parent/guardian is experiencing a semester break that includes:

A parent/guardian must report and verify medical leave at redetermination. If enrollment in training or education was terminated during the medical leave and the parent/guardian did not report the termination, the FFS must refer the child care case to the Special Investigations Unit (SIU) for investigation.

If the parent/guardian fails to provide the required verification above, Child Care Scholarship eligibility will close.

Initial Eligibility for Job Search

Job search no longer limits child care to half-time when job search is the only activity. At initial eligibility, allow Child Care Scholarship for a parent/guardian to actively seek employment or for a parent/guardian without permanent housing to actively seek employment and housing in the same week.

Verification for job search is only required at initial eligibility and at redetermination. When a parent/guardian is actively seeking employment the required verification for job search at initial eligibility is that the parent/guardian is:

At initial eligibility, the authorized service level is based on the parent/guardian’s reported need for child care to job search. When a parent/guardian’s only activity is job search, the parent/guardian may self-declare the number of hours and days the parent/guardian is actively looking for employment. At initial eligibility, allow a 92 day job search period for each parent/guardian in the assistance group.

If at the end of the 92^nd day of the job search period there is no employment, training or educational program verified, the child care case will close on the 92^nd day.

When a child care case closes after a 92 day job search period, child care cannot be authorized for job search again as an initial activity until 6 months has passed from the date the case closed.

Example: A parent/guardian completed 92 days of job search and the child care case closed because they did not engage in employment or training/education. The parent/guardian reapplies for child care to look for work. Job search cannot be authorized again until the 6 month period is over. Even if the parent/guardian became employed while the case was closed, job search cannot be authorized until the 6 month period is over. However, if a parent/guardian reapplies with an activity of employment or training/education and subsequently ends that activity within 6 months, a new job search period may be authorized.

If both parent/guardians are engaged in a job search, but began job search on different dates, the Child Care Scholarship will terminate on the date which is the end of the earlier 92 day job search period, if one or both parent/guardians has not secured employment, training or education during the job search period.

Continued Eligibility for Job Search during the 12 Month Eligibility Period

During the 12 month eligibility period, allow a 92 calendar day job search without verification of the job search activity for each parent/guardian when the following occurs:

Job search verification is not required for job search during the 12 month continued eligibility period. However, verification for job search is required at initial eligibility and at redetermination.

The level of service authorized for the individual at the most recent 12 month eligibility determination or redetermination will remain the same for the 12 month eligibility period, unless a parent/guardian requests a decrease. A parent/guardian cannot request an increase in service level for job search during the 12 month continued eligibility period.

If a parent/guardian is approved for Job Search in the final quarter of the 12 month eligibility period, the end date is likely set beyond the redetermination date. If it is, the parent/guardian must complete the redetermination process. The 92 calendar day date takes precedence over the new 12 month eligibility period.

On or before the 92^nd day of Job Search, if the parent/guardian reports and verifies active participation in employment, training or an educational program, the service level and cost share are re-evaluated. Cost share cannot exceed that of the most recent 12 month eligibility determination.

If at the end of the 92^nd day of job search there is no employment, training or educational program verified, the child care case will close on the 92^nd day even if the 92^nd day rolls into the next eligibility period.

Multiple 92 calendar day job search periods will now be allowed. However, job search cannot be authorized back-to-back. A parent/guardian must engage in employment, an employment related training or educational program, NHEP or basic education activity before a new 92 calendar day job search can be authorized as a new activity. Child care for job search cannot be authorized when a parent/guardian has not engaged in an approved employment, training or educational activity. 

If both parent/guardians are engaged in a job search, but began job search on different dates, the Child Care Scholarship will terminate on the date which is the end of the earlier 92 calendar day job search period, if one or both parent/guardians has not secured employment, training or education during the job search period.

Reporting Requirements

Reporting requirements for the Child Care Scholarship program have been reduced. A parent/guardian is only required to report the following changes within 10 calendar days of the date the change occurs:

When a parent/guardian reports the household income is over 85% of SMI, verify if the change is temporary or permanent. If the change is temporary (i.e. one-time bonus, or short term 3 month employment increase), the family remains eligible for Child Care Scholarship. If the change is permanent, the child care case closes with a 10 day Advance Notice Period (ANP).

The applicant must verify through self-attestation that the family resources do not exceed one million dollars in assets.

Verification requirements remain unchanged for employment, training or education, and change of child care provider.

NHEP

NHEP participants, who are complying with an approved Employability Plan, may receive payment for Child Care Scholarship for any post-secondary training or education including single, prerequisite, and internet courses, which are approved in the Employability Plan for up to 2 years (104 weeks) in a lifetime.

The Child Care Scholarship program cannot be used as a sanction in NHEP. The child care link will not end when a parent/guardian is sanctioned for any reason in NHEP. A parent/guardian is allowed 92 calendar days of continued eligibility for Child Care Scholarship during a NHEP sanction. The FSS/ECS must change the activity and effective date to indicate Job Search (the job search activity will be used to allow continued eligibility) on the Child Care Program Response Screen in New HEIGHTS. The FSS/ECS must suppress the Job Search letter and create a manual notice with free form text to notify the parent/guardian of the 92 calendar days of continued eligibility for child care. The following text may be used in this manual notice:

“Your NH Child Care Scholarship will continue for up to 92 calendar days while your case is in a NHEP sanction. Your child must attend child care for payment to be made. If you do not cure your NHEP sanction, your NHEP child care case will close at the end of the 92 calendar day period. You may request your child care case to be closed at any time. If you continue to need child care, you may apply for Child Care Scholarship for employment related child care at the District Office or through NH Easy.”

If the parent/guardian cures the NHEP sanction within the 92 calendar day period of continued eligibility, Child Care Scholarship will continue under NHEP. If at the end of the 92 calendar day period of continued eligibility, the parent/guardian’s NHEP case closes, the parent/guardian may apply for Child Care Scholarship for employment related child care.

Employment

Employment now includes performing work in exchange for in kind compensation.

Treatment of Specific Income Types

Countable Income

Countable income is determined at the initial application and converted to a monthly amount.

Income that is annualized at initial application will determine the cost share for the 12 month eligibility period and will not be recalculated during the 12 month eligibility period except when a parent/guardian experiences a permanent job loss.

Earned Income

When a parent/guardian indicates consistent and regular employment, use the income from the most recent consecutive 4-week period to obtain a monthly average.

If the income is fluctuating, and it is not possible to obtain an accurate average based on the most recent consecutive 4-week period, use up to 8 weeks of income received in the most recent consecutive 8-week period and omit any earnings received in any atypical week to obtain a monthly average. Examples of atypical weeks include: wait staff covering extra shifts; retail employment with extra holiday hours; or a nurse covering additional shifts.

Calculated In-kind Compensation

This represents compensation received for work performed while employed by another or self-employed in place of, or in addition to, wages, profit, or payment in cash. Assign a dollar value to income in-kind received on a regular basis. Determine the dollar value using one of the following methods:

Unearned Income

Unearned income is averaged when it varies from month to month such as child support, alimony, disability payments, or other sources of unearned income due to changes in the frequency or amount of receipt.

Self-employment Income

Self-employment income is the dollar value of in-kind benefits or the income received as compensation from a self-employment enterprise such as sales, services, consulting, or farming.

Count the monthly net income from self-employment after deducting business expenses allowed by the Internal Revenue Service for federal income tax purposes. Earned income is annualized when the parent/guardian is self-employed. Do not allow depreciation as a deduction when calculating self-employment income. 

Contributions of monies

A written and signed statement from the contributor, which indicates the gross amount and frequency of payment. This policy remains unchanged.

Annualized Income

Income can now be annualized at initial eligibility and at redetermination for Child Care Scholarship. When a parent/guardian indicates that the current income does not reflect the total family income of the next 12 month period or the parent/guardian has irregular fluctuations in earnings over the course of a year, typically due to gaps in employment from month to month or season to season or availability of work, income may be annualized over 12 months to better reflect the family’s annual income. Examples include: a contractor who completes a construction job in one month and has no additional work scheduled for the next month(s); a ski resort employee that works only during the winter season; or a farm worker that works only in spring and summer.

The FSS must ask the parent/guardian if the family income fluctuates throughout the year. If the family income does fluctuate, the parent/guardian must provide verification from the employer that includes an estimate of the yearly income.

Annualize the earned income of the previous 12 month period or the projected earnings of the applicant of the next 12 month period. Continue to follow the current self-employment income averaging rules.

Allow for irregular fluctuations in earnings from employment or self-employment to be annualized when determining initial eligibility or at redetermination.

If a family’s initial application or redetermination reflects current income over 250% of FPL, but has an income that fluctuates month to month or season to season that averages less than 250% of FPL, the income may be annualized to determine Child Care Scholarship eligibility.

Allow for temporary increases of income over 85% SMI (i.e. one-time bonus, or short term 3 month employment increase). When a parent/guardian reports the household income is over 85% of SMI, verify if the change is temporary or permanent. If the change is temporary (less than 3 months), the family remains eligible for Child Care Scholarship. If the change is permanent, the child care case closes with a 10 day Advance Notice Period (ANP). When reported household income is over 85% of State Median Income (SMI) and the increase is temporary (less than 3 months) require a written, signed and dated statement from the source of payment or payer indicating the income increase is temporary.

Required Income Verification

Income verification requirements were expanded to include fluctuation of earned and unearned income, and in-kind compensation. Require verification of gross monthly income at application and at each subsequent eligibility determination.

The individual must provide verifications according to the following table:

If an income change causes benefits to decrease, first attempt to obtain verification through physical documentation or collateral contact. If unable to obtain verification through collateral contact, verify the change based on the information the parent/guardian provided. No additional paper verification is needed.

When reported household income is over 85% of State Median Income (SMI) and the increase is temporary (i.e. one-time bonus, or short term 3 month employment increase) require a written, signed and dated statement from the source of payment or payer indicating the income increase is temporary.

Resources

The applicant must now attest that the family assets do not exceed $1,000,000. No member of the assistance group shall have assets, nor shall the combined assets of the assistance group, be equal to or greater than one million dollars.

Resources, including both personal and real property, will not be counted when determining financial eligibility and family cost share for Child Care Scholarship unless the total countable resources exceed $1,000,000. A resource is only countable as an asset to the extent an assistance group member has equity in the resource. For example if a parent/guardian owns a home valued at $1,000,000 but owes $750,000 in home loans, the parent/guardian would have $250,000 in home equity and would only be disqualified for being over the resource limit if the parent/guardian or other assistance group members have $750,000 in other resources.

A new mandatory question, “Do the family Assets exceed $1,000,000 (CC)?” will be added to the Child Care Program Response Screen detail section to conduct the resource test. If the answer is “yes”, a pop-up message will appear in New HEIGHTS that reads “turn off the child care request on POA screen”. The worker is expected to change the POA child care request to “no” with the reason “Family Assets Exceeds $1,000,000” and the child care case will close.

104 Week Training Clock

A child may now attend a child care program when a parent/guardian is not actively participating in the approved training or educational program. This means even when a parent/guardian is on a medical leave, student holiday, semester break, or is not in attendance during scheduled school or training hours, the training clock continues to count weeks towards the 104 week lifetime limit when Child Care Scholarship payment is made to the child care provider.

Any unused portion of the original two years (104 weeks) of training/education in a lifetime limit remains available when the individual reapplies for child care and meets the Child Care Scholarship criteria.

Maximum Weekly Standard Rates

Child care providers may reference Form 2533, “Child Care Scholarship Program – Employment Related Maximum Weekly Standard Rates”, to determine the reimbursement paid to providers for child care services.

Mandatory Provider Web Billing

DHHS web billing will be mandatory beginning August 7, 2017, for all DHHS enrolled child care providers in order to receive Child Care Scholarship payment. This includes all existing and newly enrolled child care providers. Previously, child care provider DHHS web billing training was required before a provider could access the DHHS web billing application. Training is now optional and remains available to child care providers on a monthly basis in Concord, New Hampshire. To access in-person training, a child care provider must call the Child Development Bureau Provider Relations at 271-4242 and request to be added to the child care provider web billing wait list. Child Care providers who do not wish to attend an in-person training must complete Form 2679 “Provider Web Billing User Account Request” to access the web billing application. Form 2679 must be faxed, emailed, or sent via U.S. Mail to the Child Development Bureau, Provider Relations, 129 Pleasant Street, Concord, New Hampshire 03301. Form 2679 is located on the DHHS website, Child Development Bureau Forms Library at: http://www.dhhs.nh.gov/dcyf/cdb/forms.htm

Effective 08/07/2017, no paper billing invoices (Form 2500 “Payment Request Invoice”) will be accepted for Child Care Scholarship payment. Any paper claims received by DHHS on or after 08/07/2017 will be rejected and returned to the child care provider.

Providers must maintain weekly attendance records that include an original signature of the parent/guardian or guardian. Billing is prohibited until this original parent/guardian or guardian signature is obtained.

Providers may bill for Child Care Scholarship when the parent/guardian or guardian is still considered employed by the employer or still currently enrolled in a training or educational program even when the parent/guardian is:

A child must continue to attend child care even though the parent/guardian is not actively participating in employment, training or an educational program for Child Care Scholarship payment to be made. Hours will be deducted from the child’s annual absentee allotment until exhausted to meet the minimum service level when the child does not attend.

Parent/guardians are responsible for paying the child care provider for any hours of child care when the child’s attendance falls below the approved service level and the child’s absentee allotment has been exhausted.

Child Care Provider Enrollment Requirements  

Child care providers must be 18 years of age or older to enroll as a DHHS child care provider.

All licensed and licensed-exempt child care providers must complete required health and safety training. License-exempt child care providers must complete health and safety training requirements before DHHS provider enrollment is authorized. License-exempt providers are not allowed to bill for child care services provided by another provider or person.

Example: A license-exempt family home provider has a doctor’s appointment and asks the neighbor next door to supervise the children for an hour and the provider requests payment for this hour. This is not allowed. Only the provider that is enrolled with DHHS can be paid for the provision of child care services.  

Health and safety training documentation, pediatric first aid certification, and pediatric cardiopulmonary resuscitation (CPR) certification are required to be documented in the New Hampshire Professional Registry (prior to enrollment in the Child Care Scholarship program for license-exempt providers). All child care providers must participate in an initial and ongoing annual monitoring inspections conducted by DHHS.

NEW HEIGHTS SYSTEMS PROCEDURES AND IMPLEMENTATION

The policies described in this SR have been coded in New HEIGHTS and New Hampshire EASY for release on 07/10/2017.

New HEIGHTS will send out a system alert regarding the changes.

A new mandatory question, “Do the Family Assets exceed $1,000,000 (CC)?” will be added to the Child Care Program Response Screen detail section to conduct the resource test. If the answer is “yes”, a pop-up message will appear in New HEIGHTS that reads “turn off the child care request on POA screen”. The worker is expected to change the POA child care request to “no” with the reason “Family Assets Exceeds $1,000,000” and the child care case will close.

The following letters have been modified:

Modified AE0024

The AE0024 notifies the parent/guardian and child care provider of the reporting requirements for the parent/guardian during the 12 month eligibility period.

This letter was modified to include the reporting requirements for parent/guardians during the 12 month eligibility period. New information regarding service level was added. On the parent/guardian notice, the section relating to Work Program Sanctions was removed.

Modified AE0026

The AE0026 notifies the parent/guardian of documents needed to verify income.

This letter was modified to include the required documents needed to verify fluctuating income.

Modified AE0032

The AE0032 notifies the parent/guardian and child care provider of the job search limit.

This letter was modified to notify the parent/guardian and child care provider of the 92 calendar day job search limit.

Modified AE0123

The AE0123 notifies the parent/guardian that they have currently used 84 weeks and only have 20 weeks of training/education left.

This letter was modified to include technical clarifications only.

New variable text was created for the AE0024 which notifies the provider that an individual in the household has been approved for 30 calendar days of expedited Child Care Scholarship assistance.

The following new NOD’s were created and will be generated in New HEIGHTS:

New NOD and modified AE0024

A new NOD and variable text on the AE0024 notifies the parent/guardian that they are eligible for 30 calendar days of expedited Child Care Scholarship assistance.

New NOD

A new NOD notifies the parent/guardian that the 92 day job search limit has been reached and Child Care Scholarship eligibility has ended.

New NOD

A new NOD notifies the parent/guardian that Child Care Scholarship been denied due to the parent/guardian not providing all required information or proof during the 30 days of expedited child care.

NH Bridges (Child Care Scholarship Payment System)

Any changes in this policy that affect Child Care Scholarship payment will be released in NH Bridges payment system for Child Care Scholarship on September 11, 2017. In addition, the child annual absentee allotment and job search changes will not be functional until changes are made effective in NH Bridges on September 11, 2017.

DESCRIPTION OF REVISIONS MADE TO FORMS

All child care forms were renumbered and some forms were revised as a result of the DHHS/DCYF forms revision project. The revised forms are attached for reference.

POLICY MANUAL REVISIONS

Revised Family Assistance Manual Topics

Modified AE0123

The AE0123 notifies the parent/guardian that they reached the 104 week lifetime limit for training.

This letter was modified to include technical clarifications only.

The following new letters were created and will be generated in New HEIGHTS:

New AE0137

The AE0137 notifies the parent/guardian that 72 calendar days of job search has been used and there are only 20 calendar days left.

New AE0136

The AE0136 notifies the parent/guardian that the family is now in Step 7 of the Child Care Scholarship income eligibility level which allows one additional 12 month Graduated Phase Out (GPO) period of Child Care Scholarship eligibility.

New AE0136

The AE0136 notifies the parent/guardian that the family has currently used 10 months of the Graduated Phase Out (GPO) Child Care Scholarship eligibility and only have 2 months left.

New AE0136

The AE0136 notifies the child care provider that the family has currently used 10 months of the Graduated Phase Out (GPO) Child Care Scholarship eligibility and only has 2 months left.

New variable text on AE0024

PART 900                   NH CHILD CARE SCHOLARSHIP (FAM)

PART 901                   NH CHILD CARE SCHOLARSHIP APPLICATION PROCESS (FAM)

Section 901.01           Application Process for NH Child Care Scholarship (FAM)

PART 903                   NH CHILD CARE SCHOLARHIP APPLICATION PROCESSING TIMEFRAME (FAM)

Section 903.01           NH Child Care Scholarship Wait List (FAM)

Section 903.03           Exemptions to the NH Child Care Scholarship Wait List (FAM)

Section 903.05           Required Verification for Wait List Exemption (FAM)

Section 903.07           Required Verification to Grant a Good Cause Extension (FAM)

PART 904                   NH CHILD CARE SCHOLARHIP AUTHORIZED LEVEL OF SERVICE (FAM)

PART 905                   LENGTH OF ELIGIBILITY (FAM)

PART 907                   NOTIFICATIONS (FAM)

Section 907.01           Notice of Decision (NOD) (FAM)

Section 907.03           Other New HEIGHTS Notifications

PART 909                   REPORTING CHANGES IN NH CHILD CARE SCHOLARSHIP (FAM)

Section 909.01           Changes in NH Child Care Scholarship Due to Birthdays (FAM)

PART 911                   REDETERMINATION OF NH CHILD CARE SCHOLARSHIP (FAM)

Section 911.01            Late Requests for Recertification (FAM)

PART 913                   TERMINATION OF ASSISTANCE (FAM)

PART 914                   APPEALING A DECISION (FAM)

PART 915                   NH CHILD CARE SCHOLARSHIP PROGRAM CRITERIA (FAM)

Section 915.01           Verification of Name, Date and Place of Birth, Citizenship, and Current Address (FAM)

PART 917                   ASSISTANCE GROUP COMPOSITION (FAM)

Section 917.01           Required Verification (FAM)

PART 919                   AGE CATEGORIES FOR NH CHILD CARE SCHOLARSHIP (FAM)

Section 919.01           Required Verification (FAM)

PART 921                   EMPLOYMENT (FAM)

Section 921.01           Leave of Absence (FAM)

Section 921.03           Required Verification at Redetermination for Medical Leave from Employment or Inactivity due to Seasonal Employment (FAM)

PART 923                   ACTIVELY SEEKING EMPLOYMENT (JOB SEARCH) (FAM)

Section 923.01           Required Verification for Job Search at Initial Eligibility and Redetermination (FAM)

Section 923.02           Continued Eligibility for Job Search during the 12 Month Eligibility Period (FAM)

PART 925                    POST-SECONDARY TRAINING OR EDUCATION PREPARATORY TO EMPLOYMENT (FAM)

Section 925.01           Exceptions to the 2-Year Lifetime Limit (Secondary/Basic Education) (FAM)

Section 925.03           Continued Eligibility for Training/Education and Basic Education (FAM)

Section 925.05            Required Verification at Redetermination for Medical Leave or Semester Breaks from Training/Education and Basic Education (FAM)

Section 925.07            Required Verification for Training/Education, Basic Education and Medical Leave from Training/Education and Basic Education (FAM)

PART 927                    BILLABLE HOURS OF SERVICE (FAM)

Section 927.01            Required Verification for Billable Hours of Service (FAM)

PART 929                     PROVIDER ENROLLMENT QUALIFICATIONS FOR NH CHILD CARE SCHOLARSHIP (FAM)

Section 929.01            Required Provider Enrollment Documentation (FAM)

PART 931                    RESOURCES (FAM)

PART 933                    INCOME (FAM)

Section 933.01            Treatment of Specific Income Types (FAM)

Section 933.03            Required Income Verification (FAM)

PART 935                    NH CHILD CARE SCHOLARSHIP GROSS MONTHLY INCOME LIMITS (FAM)

PART 937                    NH CHILD CARE SCHOLARSHIP MAXIMUM WEEKLY STANDARD RATE (FAM)

PART 938                    COST SHARE AND PROVIDER CO-PAY (FAM)

PART 939                    DETERMINING THE NH CHILD CARE SCHOLARSHIP PROVIDER REIMBURSEMENT AMOUNT (FAM)

PART 941                    NH CHILD CARE SCHOLARSHIP DIFFERENTIAL PAYMENT RATES FOR A CHILD EXPERIENCING A SIGNIFICANT SPECIAL NEED (FAM)

Section 941.01            Required Verification for a Child Experiencing a Significant Special Need (FAM)

PART 943                    PAYMENT FOR NH CHILD CARE SCHOLARSHIP PROVIDER SERVICES AND PROVIDER CO-PAY (FAM)

Section 943.01            Linking an Eligible Child to an Enrolled Child Care Provider (FAM)

PART 945                    RECOUPMENT OF OVERPAYMENT (FAM)

PART 947                    PAYMENT FOR ABSENTEE DAYS (FAM)

The following FAM 900 pages have been retitled:

PART 901                   NH CHILD CARE SCHOLARSHIP APPLICATION PROCESS (FAM)

Section 921.01           Leave of Absence (FAM)

Section 921.03           Required Verification at Redetermination for Medical Leave from Employment or Inactivity due to Seasonal Employment (FAM)

Section 923.01           Required Verification for Job Search at Initial Eligibility and Redetermination (FAM)

Section 925.03           Continued Eligibility for Training/Education and Basic Education (FAM)

Section 925.05            Required Verification at Redetermination for Medical Leave or Semester Breaks from Training/Education and Basic Education (FAM)

Section 925.07            Required Verification for Training/Education, Basic Education and Medical Leave from Training/Education and Basic Education (FAM)

Section 927.01            Required Verification for Billable Hours of Service (FAM)

The following FAM 900 pages were added:

Section 903.04           Expedited Child Care (FAM)

Section 923.02           Continued Eligibility for Job Search during the 12 Month Eligibility Period (FAM)

Section 933.02           Annualizing Income (FAM)

Section 933.05           State Median Income (FAM)

The following FAM 900 pages have been replaced:

Section 925.03           Continued Eligibility for Training/Education and Basic Education (FAM)

This section was previously titled Medical Leave from Training/Education and Basic Education (FAM) and is now replaced with Continued Eligibility for Training/Education and Basic Education (FAM)

Section 925.05           Required Verification at Redetermination for Medical Leave or Semester Breaks from Training/Education and Basic Education (FAM)

This section was previously titled Breaks from Training/Education and Basic Education (FAM) and is now replaced with Required Verification at Redetermination for Medical Leave or Semester breaks from Training/Education and Basic Education (FAM)

IMPLEMENTATION

The maximum weekly standard rates are effective July 3, 2017.

Mandatory web billing for child care providers is effective August 7, 2017.

All other changes identified in the SR are effective July 10, 2017 and will apply to any new cases processed on or after that date.

CLIENT NOTIFICATION

Notification of these child care policy changes will be published in the NH Rulemaking Register, Office of Legislative Services,. A public hearing on the amended Administrative Rules was held on May 25, 2017.

On June 6, 2017, a parent/guardian letter titled, Important: Information Regarding Changes for the DHHS Child Care Scholarship Program was sent to 3,658 parent/guardians. In June, 2017 a letter titled, Important: Information Regarding Changes for the DHHS Child Care Scholarship Program, was sent to all DHHS enrolled license-exempt child care providers. On March 27, 2017 a letter titled, Important: Mandatory Child Care Scholarship Provider Web Billing, was sent to all DHHS enrolled non-web billing child care providers. A copy of each letter is attached to this SR for reference.

Beginning on September 20, 2017, the AE0137 will be generated by New HEIGHTS to clients to inform them that 72 calendar days of job search has been used and there are only 20 calendar days left.

Beginning on May 10, 2018, the AE0136 will be generated by New HEIGHTS to clients and child care providers to inform them that the parent/guardian has used 10 months of Graduated Phase Out (GPO) of Child Care Scholarship and only has 2 months left.

In March 2017, the Child Development Bureau sent a letter to all DHHS enrolled child care providers to notify them of the mandatory web billing requirement beginning August 7, 2017.

No other client notification is planned.

TRAINING

The Division of Client Services Training Unit will provide training in June, 2017. This training will be face-to-face and will be recorded and subsequently posted on the SABA Citrix Remote Training website.

DISPOSITION

This SR may be destroyed or deleted after its contents have been noted and the revised manual topics released by this SR have been posted to the On-line manuals.

DISTRIBUTION

This SR will be distributed according to the electronic distribution list for Division of Family Assistance policy releases. This SR, and revised On-Line Manuals, will be available for public access on the Internet at www.dhhs.nh.gov/DFA/publications.htm, effective July 3, 2017.  This SR, and revised On-Line Manuals will be available for agency staff in the On-Line Manual Library effective July 10, 2017. Additionally, this SR, and printed pages with posting instructions, will be distributed under separate cover to all internal hard copy holders of the Family Assistance Manual.

CDB/MMB/PLD:s