House Study Bill 233 - IntroducedA Bill ForAn Act 1relating to state child care assistance eligibility
2requirements and child care provider reimbursement rates.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1   Section 1.  Section 237A.1, Code 2023, is amended by adding
2the following new subsection:
3   NEW SUBSECTION.  7A.  “Children needing special needs care”
4or “special needs child” means a child or children with one or
5more of the following conditions:
   6a.  The child has been diagnosed by a physician or by a
7person endorsed for service as a school psychologist by the
8department of education to have a developmental disability
9which substantially limits one or more major life activities,
10and the child requires professional treatment, assistance in
11self-care, or the purchase of special adaptive equipment.
   12b.  The child has been determined by a qualified intellectual
13disability professional to have a condition which impairs the
14child’s intellectual and social functioning.
   15c.  The child has been diagnosed by a mental health
16professional to have a behavioral or emotional disorder
17characterized by situationally inappropriate behavior which
18deviates substantially from behavior appropriate to the
19child’s age, or which significantly interferes with the child’s
20intellectual, social, or personal development.
21   Sec. 2.  Section 237A.13, subsection 1, paragraph c, Code
222023, is amended to read as follows:
   23c.  The child’s parent, guardian, or custodian is employed
24and the family income meets income requirements a minimum of
25thirty-two hours per week or an average of thirty-two hours per
26week during the month
.
27   Sec. 3.  Section 237A.13, Code 2023, is amended by adding the
28following new subsection:
29   NEW SUBSECTION.  1A.  A family shall only be initially
30eligible for state child care assistance if the family’s gross
31monthly income does not exceed the lesser of:
   32a.  (1)  One hundred fifty-five percent of the federal
33poverty level applicable to the family size for children
34needing basic care.
   35(2)  Two hundred percent of the federal poverty level
-1-1applicable to the family size for children needing special
2needs care.
   3b.  Eighty-five percent of the state median gross monthly
4income.
5   Sec. 4.  Section 237A.13, subsection 3, Code 2023, is amended
6to read as follows:
   73.  The department shall set reimbursement rates as
8authorized by appropriations enacted for payment of the
9reimbursements.
The department shall conduct a statewide
10reimbursement rate survey to compile information on each county
11and the survey shall be conducted at least every two years.
12The department shall set rates in a manner so as to provide
13incentives for an unregistered provider to become registered.
14   Sec. 5.  Section 237A.13, Code 2023, is amended by adding the
15following new subsection:
16   NEW SUBSECTION.  10.  The department shall not change and
17the director shall not provide waivers or policy exceptions
18regarding reimbursement rates for child care providers
19reimbursed under the state child care assistance program or
20eligibility requirements for a family participating in the
21state child care assistance program without prior enabling
22legislation in this state passed on or after January 1, 2023.
23   Sec. 6.  DEPARTMENT OF HEALTH AND HUMAN SERVICES —
24INCREASED STATE CHILD CARE ASSISTANCE REIMBURSEMENT RATES.
  The
25department of health and human services shall amend its
26administrative rules pursuant to chapter 17A to increase the
27half-day reimbursement rates paid to child care providers
28reimbursed under the state child care assistance program as
29follows:
   301.  For a licensed child care center:
   31a.  For the care of infants and toddlers requiring basic
32care:
   33(1)  The rate for providers with no quality rating or
34a quality rating of one, two, three, or four shall be
35twenty-three dollars and twenty-one cents.
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   1(2)  The rate for providers with a quality rating of five
2shall be twenty-four dollars and five cents.
   3b.  For the care of preschool children requiring basic care:
   4(1)  The rate for providers with no quality rating shall be
5eighteen dollars and ninety-eight cents.
   6(2)  The rate for providers with a quality rating of one or
7two shall be nineteen dollars and fifty cents.
   8(3)  The rate for providers with a quality rating of three or
9four shall be twenty dollars.
   10(4)  The rate for providers with a quality rating of five
11shall be twenty-one dollars.
   12c.  For school age children requiring basic care:
   13(1)  The rate for providers with no quality rating shall be
14fifteen dollars.
   15(2)  The rate for providers with a quality rating of one or
16two shall be fifteen dollars and fifty cents.
   17(3)  The rate for providers with a quality rating of three or
18four shall be sixteen dollars.
   19(4)  The rate for providers with a quality rating of five
20shall be seventeen dollars.
   212.  For a category A or B child development home:
   22a.  For the care of infants and toddlers requiring basic
23care:
   24(1)  The rate for providers with no quality rating or a
25quality rating of one, two, three, or four shall be fourteen
26dollars.
   27(2)  The rate for providers with a quality rating of five
28shall be fifteen dollars.
   29b.  For the care of infants and toddlers with special needs:
   30(1)  The rate for providers with no quality rating or a
31quality rating of one, two, three, or four shall be twenty-one
32dollars.
   33(2)  The rate for providers with a quality rating of five
34shall be twenty-two dollars and fifty cents.
   35c.  For the care of preschool children requiring basic care:
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   1(1)  The rate for providers with no quality rating shall be
2twelve dollars and seventy-five cents.
   3(2)  The rate for providers with a quality rating of one or
4two shall be thirteen dollars.
   5(3)  The rate for providers with a quality rating of three or
6four shall be thirteen dollars and seventy-five cents.
   7(4)  The rate for providers with a quality rating of five
8shall be fifteen dollars.
   9d.  For the care of preschool children with special needs:
   10(1)  The rate for providers with no quality rating shall be
11nineteen dollars and thirteen cents.
   12(2)  The rate for providers with a quality rating of one or
13two shall be nineteen dollars and fifty cents.
   14(3)  The rate for providers with a quality rating of three or
15four shall be twenty dollars and sixty-three cents.
   16(4)  The rate for providers with a quality rating of five
17shall be twenty-two dollars and fifty cents.
   18e.  For the care of school age children requiring basic care:
   19(1)  The rate for providers with no quality rating shall be
20eleven dollars and twenty-five cents.
   21(2)  The rate for providers with a quality rating of one or
22two shall be twelve dollars and fifty cents.
   23(3)  The rate for providers with a quality rating of three or
24four shall be thirteen dollars.
   25(4)  The rate for providers with a quality rating of five
26shall be thirteen dollars and fifty cents.
   27f.  For the care of school age children with special needs:
   28(1)  The rate for providers with no quality rating shall be
29sixteen dollars and eighty-eight cents.
   30(2)  The rate for providers with a quality rating of one or
31two shall be eighteen dollars and seventy-five cents.
   32(3)  The rate for providers with a quality rating of three or
33four shall be nineteen dollars and fifty cents.
   34(4)  The rate for providers with a quality rating of five
35shall be twenty dollars and twenty-five cents.
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   13.  For a category C child development home:
   2a.  For the care of infants and toddlers requiring basic
3care:
   4(1)  The rate for providers with no quality rating or a
5quality rating of one, two, three, or four shall be fifteen
6dollars and twenty-five cents.
   7(2)  The rate for providers with a quality rating of five
8shall be sixteen dollars and twenty-five cents.
   9b.  For the care of infants and toddlers with special needs:
   10(1)  The rate for providers with no quality rating or a
11quality rating of one, two, three, or four shall be twenty-two
12dollars and eighty-eight cents.
   13(2)  The rate for providers with a quality rating of five
14shall be twenty-four dollars and thirty-eight cents.
   15c.  For the care of preschool children requiring basic care:
   16(1)  The rate for providers with no quality rating or a
17quality rating of one, two, three, or four shall be fifteen
18dollars.
   19(2)  The rate for providers with a quality rating of five
20shall be sixteen dollars.
   21d.  For the care of preschool children with special needs:
   22(1)  The rate for providers with no quality rating or a
23rating of one, two, three, or four shall be twenty-two dollars
24and fifty cents.
   25(2)  The rate for providers with a quality rating of five
26shall be twenty-four dollars.
   27e.  For the care of school age children requiring basic care:
   28(1)  The rate for providers with no quality rating shall be
29thirteen dollars.
   30(2)  The rate for providers with a quality rating of one or
31two shall be thirteen dollars and seventy-five cents.
   32(3)  The rate for providers with a quality rating of three or
33four shall be fourteen dollars and fifty cents.
   34(4)  The rate for providers with a quality rating of five
35shall be fifteen dollars.
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   1f.  For the care of school age children with special needs:
   2(1)  The rate for providers with no quality rating shall be
3nineteen dollars and fifty cents.
   4(2)  The rate for providers with a quality rating of one or
5two shall be twenty dollars and sixty-three cents.
   6(3)  The rate for providers with a quality rating of three or
7four shall be twenty-one dollars and seventy-five cents.
   8(4)  The rate for providers with a quality rating of five
9shall be twenty-two dollars and fifty cents.
10EXPLANATION
11The inclusion of this explanation does not constitute agreement with
12the explanation’s substance by the members of the general assembly.
   13This bill relates to state child care assistance eligibility
14requirements and child care provider reimbursement rates.
   15The bill defines “child needing special needs care” or
16“special needs child” as a child that has been diagnosed
17by a physician or by a person endorsed for service as a
18school psychologist by the department of education to have a
19developmental disability which substantially limits one or more
20major life activities, and the child requires professional
21treatment, assistance in self-care, or the purchase of special
22adaptive equipment; determined by a qualified intellectual
23disability professional to have a condition which impairs the
24child’s intellectual and social functioning; diagnosed by a
25mental health professional to have a behavioral or emotional
26disorder characterized by situationally inappropriate behavior
27which deviates substantially from behavior appropriate to the
28child’s age, or which significantly interferes with the child’s
29intellectual, social, or personal development; or a combination
30of these conditions.
   31The bill requires a child’s parent, guardian, or custodian
32who is employed to work a minimum of 32 hours per week or an
33average of 32 hours per week during the month in order to be
34eligible for state child care assistance.
   35The bill provides that a family shall only be initially
-6-1eligible for state child care assistance if the family’s gross
2monthly income does not exceed the lesser of: 1) 155 percent
3of the federal poverty level applicable to the family size for
4children needing basic care, 2) 200 percent of the federal
5poverty level applicable to the family size for children
6needing special needs care, or 3) 85 percent of the state
7median gross monthly income.
   8The bill prohibits the department of health and human
9services (HHS) and the director of HHS from changing, providing
10waivers regarding, or making policy exceptions regarding
11reimbursement rates for child care providers reimbursed
12under the state child care assistance program or eligibility
13requirements for a family participating in the state child care
14assistance program without prior enabling legislation in this
15state passed on or after January 1, 2023.
   16The bill directs HHS to implement various half-day
17reimbursement rate increases to child care providers reimbursed
18under the state child care assistance program.
   19The bill makes a conforming change to Code section
20237A.13(3) to reflect HHS’s ability to set rates only when
21authorized by prior enabling legislation passed on or after
22January 1, 2023.
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