The capacity parameters for the Stabilization Grant Program Amount is 30 or less, 31-149, and 150 or more. A Plan amendment should not create any delay since the Lead Agency may proceed with implementing the program change, and subsequently submit the amendment within 60 days. A: No. Providers must submit a monthly report on how all grant funds have been spent. The Families First Coronavirus Response Act (Families First; P.L. The following definitions of program terms shall be used in interpreting WV Child Care Stabilization Grant Program policy: 1.1.1. State tax rules apply. A: You should absolutely take it. Where not addressed by OCC guidance, OCC will defer to Lead Agencies' reasonable interpretation of these decisions and encourages Lead Agencies to provide guidance to providers on implementation of this policy where they think it is useful. Before the pandemic, there were approximately 675,000 childcare providers around the country, mostly small businesses, who were already operating on thin margins. The dynamic environment associated with the COVID-19 pandemic has created new challenges for federal, state, and local policy makers charged with the administration of the CCDF program. For most providers, this would be about 30-40% in taxes. [1]This amount will depend on the state in which the provider lives. Lead agencies were instructed to include a description of their stabilization grant implementation, including the link to the subgrant application on their website, how grants are awarded, any strategies used to target providers in low-income communities, how funds have been used by providers, and any impacts or results on providers (e.g., increased number of licensed child care programs open in underserved area) or child care staff (e.g., increased number of staff receiving higher wages) as a result of the stabilization grants. If a child care provider intends to cover an individuals family subsidy co-payments, they must use funds other than those from EEC. After September 30, 2022, no additional CCSG awards will be made. When considering the size of a child care program, lead agencies should use enrollment and/or licensed capacity rather than attendance. Even if I didnt get Form 1099? Program highlights follow below. The application must justify that the construction/major renovation activity is for the purpose of preventing, preparing for, and responding to, COVID 19. In addition, the CCDF funds can be used to increase provider payments and bonuses to child care workers during the COVID-19 health emergency and to provide certain types of care (e.g., infant and toddler care or non-traditional hours). The Child Care Stabilization Grant (CCSG) Program sustains Arizonas child care network by giving a consistent, reliable funding source directly to child care providers to cover increased cost and challenges due to COVID-19 through June 2023. Sept. 1, 2021: The Office of Child Development and Early Learning (OCDEL) is making American Rescue Plan Act (ARPA) Stabilization Grants available to eligible child care providers. Can I put it on my 2021 tax return? Paying yourself involves nothing more than making a record indicating this. We encourage family child care providers to contact a tax advisor about what should and should not be reported as part of ones AGI. If a Lead Agency obligated funds during that time on activities that meet CCDF requirements and were not charged to their FY2018 CCDF allocation, it could re-purpose those funds and instead claim the obligation against uncommitted funds for FY2018 and liquidate those funds in order to meet the liquidation deadline for FY2018. Contributions to an IRA will not reduce your Social Security/Medicare taxes. It would also be allowable for the Lead Agency to use CCDF quality dollars to provide grants to impacted child care providers to improve quality and/or maintain the supply of child care. The ARP Act stabilization funds are designed to support the child care market as a whole by covering business related expenses. Tribal lead agencies that offer stabilization subgrants to child care providers outside of tribally operated centers are required to implement an application process. As such, states and territories cannot use CARES Act or CRRSA Act funds for construction or major renovation. These are grants offered to child care providers as a part of the American Rescue Plan and are designed to help with operating expenses. The Recertification section will contain the list of all applications including - Funding Month, Fund Distribution Status, Projected Amount, and Due Date. The Child Care Stabilization Grant is considered income and is taxable. What type of private information should not be submitted during the fiscal monitoring review process? Depending on a lead agencys licensing and health and safety rules, Head Start and Early Head Start programs may meet the criteria to be considered eligible for ARP Act stabilization subgrants. But, they will reduce your federal and state taxable income. Stabilization Help Line: 844-863-9319 Hours: Monday - Friday, 8:30 AM - 4:30 PM Lead Agencies who receive ACF grants may not use grant funds for costs that are reimbursed or compensated by other federal programs. Get more information about KidKare. Additionally, child care programs are not subject to report C3 grant funding in the Uniform Financial Report (UFR) submitted to the Commonwealth of Massachusetts' Operational Services Division (OSD). An Office of the Administration for Children & Families, for an existing multiyear construction project. Each state will receive anywhere from $39 million to $2.9 billion in funding from the grant to distribute as they see fit to eligible child-care providers. The CCDF regulation at 45 CFR 98.20(a)(3)(ii) clarifies that the protective services category may include specific populations of vulnerable children as identified by the Lead Agency. Return to Top Application Process To learn more about how to apply, please view our Application Guide or Application Walk Through Video on our website available in English, Spanish, and Vietnamese. Yes. The ARP child care stabilization funds would be considered self-employment income for the child care providers since they are not universally exempted from SNAP eligibility determinations by law. This may include programs that braid or layer CCDF and other child care funds with Head Start or the Head Start program is the only available early care and education program in a community. ARP stabilization funds used for tribal construction or major renovation must be liquidated by September 30, 2023; there is no separate obligation deadline for funds used for construction or major renovation. Does the plan for COVID-19 testing at child care facilities adhere to FDA recommendations (i.e., FDA-authorized equipment or certified operators administering and interpreting the tests)? If approved, these waivers may temporarily exempt Lead Agencies from meeting health and background checks requirements. The goal of the Child Care Stabilization Grant is to provide financial relief to child care providers to help cover unexpected business costs associated with the COVID-19 pandemic, and to help stabilize their operations so they may continue to provide care. Consult an accountant or tax professional to understand more about the programs particular tax situation and how this guidance applies. As noted at section 45 CFR 98.21(a)(3) of the CCDF rule, Lead Agencies are prohibited from increasing the family co-payment amount within the minimum 12-month eligibility period (except for families eligible through graduated phase-out). This video identifies the benefits of the child care stabilization grants and the tax consequences of receiving them.We accept comments in the spirit of our . Additionally, FMAP rates are applied quarterly, which means that the original FY 2020 FMAP rates apply to CCDF funds received in Q1, but the enhanced FMAP rates apply to CCDF funds received in Q2, Q3, and Q4. In those circumstances, the ARP funds would not affect an individuals annual income used to calculate the individuals portion of rent. This resource includes the session descriptions, recordings, and resources shared during the BUILD 2022 National Conference. Providers are allowed to use the subgrant funds to continue to pay full compensation and benefits in order to meet the certification requirements. Yes, every licensed child care program site is eligible for a grant; this includes multi-site programs. Q: I did not include the grant I got in 2020 on my 2020 tax return. In other words, lets say you paid yourself $5,000 and used $2,000 for items used 100% for your business. However, this guidance may not apply to other allowable uses of these funds, such as increasing provider payments, improving payment policies, increasing wages for providers, waiving or reducing parent copayments rates, increasing income eligibility for direct services, or other allowable uses. For example, CCDF funds could be used to give packages of gloves and masks to families with the understanding that these materials will be used when parents drop off and pick up children from child care. No. The purpose of the child care stabilization grants is to support child care centers and home-based child care providers to stay open or reopen. State and territory lead agencies provided information on their implementation of stabilization grant funding plans in their FY 2022-2024 Child Care and Development Fund (CCDF) Plan, Q 4.1.8e due July 1, 2021. WV DHHR BFA Division of Early Care and Education is pleased to announce the availability of child care stabilization payments from October 2021 through September 2023 for child care providers that meet . Is the Child Care Program Stabilization Funding taxable? Programs in inactive status are not able to apply or recertify their stabilization grant while they are in inactive status, as only programs that are open to serve children are eligible for stabilization grants. Can this include replacing lost income due to low enrollment? Archived Meeting Resources How do I get the childcare stabilization grant? That said, if a provider is receiving other public benefits based on income eligibility (e.g., health benefits, tax credits, student financial aid) and this grant increases their taxable income to a level that will make them no longer eligible for those benefits, they may need to look very closely at the cost versus the benefit of receiving a stabilization grant. Therefore, while providers may choose to increase pay or offer bonuses for their staff in order to take advantage of these incentives, the provider may not opt-out of continuing to pay their staff at least the same wages. First, Lead Agencies can consider re-purposing other obligations in FY2018 or FY2019. Child care providers also may not involuntarily furlough employees employed on the date of submission of the application. For example, providing gift cards to child care providers may be allowable if the cards relate to an integral part of the child care program. Lead agencies may also use other COVID relief funds (CARES Act, CRRSA ActVisit disclaimer page, and ARP Act supplemental) and regular CCDF funds to also help providers become CCDF-eligible. No. A CCDF Lead Agency should not consider the economic impact payments (up to $1,200 for qualifying individuals and an additional $500 per child) as income for CCDF eligibility or co-payment calculations. Are available COVID-19 testing capacities meeting the needs of the community or would increasing testing in child care draw limited testing capacity away from populations with greater risk and exposure (e.g., health care workers and nursing home residents and workers)? Attestation: You have attested, when open and providing services, to implement policies in line with guidance and orders from state and local authorities and to the greatest extent possible the Stay tuned for additional updates on this page. This still leaves $2,100 for the provider to spend as she chooses (or save it). The BIG Program was specifically designed to support businesses who endured lost revenue due to the COVID-19 public health emergency. Lead Agencies should follow their Continuity of Operations Plans (COOPs). OCFS is prioritizing workforce support for child care staff by requiring that at least 75% or the Child Care Stabilization Grant 2.0 for Workforce Supports be spent on workforce support expenses. Such temporary changes would not impact the amount of care the child would receive. However, OCC reminds Lead Agencies that a waiver for extraordinary circumstances is only necessary if the change would not comply with federal CCDF requirements; otherwise, changes can be made through Option 1: amending requirements, through Plan amendments if necessary. CCDF funds, including supplemental funds, cannot be used to cover tuition or copayments for families that are not eligible to receive CCDF child care subsidies. If a program needs to adjust its site capacity, it should contact a licensor or submit an appeal on the grant using the appeal form embedded in the application. Under federal guidance, this clearly language clearly applies to a family child care provider, even if she has no employees. There are only limited circumstances under which the Child Count can change. 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