Senate File 2104 - Introduced SENATE FILE 2104 BY WEINER A BILL FOR An Act relating to payments to child care providers 1 participating in the state child care assistance program. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5778XS (1) 90 dg/ko
S.F. 2104 Section 1. Section 237A.13, subsection 4, Code 2024, is 1 amended to read as follows: 2 4. a. The department shall set reimbursement rates as 3 authorized by appropriations enacted for payment of the 4 reimbursements. The department shall conduct a statewide 5 reimbursement rate survey to compile information on each 6 county and the survey shall be conducted at least every two 7 years. The department shall set reimbursement rates at the 8 eighty-fifth percentile as based on the most recent market 9 rate survey and in a manner so as to provide incentives for an 10 unregistered provider to become registered. 11 b. The department shall not modify reimbursement rates 12 to the state child care assistance program or financial 13 eligibility requirements for a family participating in the 14 state child care assistance program without prior enabling 15 legislation in this state passed on or after January 1, 2023. 16 Sec. 2. Section 237A.13, subsection 6, Code 2024, is amended 17 by striking the subsection. 18 EXPLANATION 19 The inclusion of this explanation does not constitute agreement with 20 the explanation’s substance by the members of the general assembly. 21 This bill relates to payments to child care providers 22 participating in the state child care assistance (CCA) program. 23 At least once every two years, the department of health 24 and human services (HHS) conducts a statewide reimbursement 25 rate survey to evaluate the market rate of child care services 26 offered throughout the state and adjust the reimbursement 27 rates paid to child care providers through the CCA program 28 accordingly. 29 The bill requires HHS to reimburse each provider providing 30 child care services to a child participating in the CCA program 31 at a rate equal to the 85th percentile of the most recent 32 market rate survey. Under current law, HHS must set rates 33 between the 65th and 80th percentile of the 2020 market rate 34 survey. 35 -1- LSB 5778XS (1) 90 dg/ko 1/ 2
S.F. 2104 The bill removes child care providers’ ability to collect 1 from a family participating in the CCA program the difference 2 between the CCA reimbursement rate and the rate the provider 3 would typically charge a private-pay family for child care. 4 -2- LSB 5778XS (1) 90 dg/ko 2/ 2