§ 410-BB — Grants to not-for-profit facilities providing day care for children for employee salary and benefit enhancements

§ 410-bb. Grants to not-for-profit facilities providing day care for\nchildren for employee salary and benefit enhancements. 1. The\nlegislature finds and declares that a crisis exists in the availability\nand quality of child day care in New York state and that this crisis\nposes a danger both to the welfare and safety of the children and to the\nproductivity of this state's workforce; that inadequate salaries and in\nmany cases nonexistent benefit packages have substantially contributed\nto the existing crisis by precluding day care centers from recruiting\nand retaining necessary teaching and supervisory staff; that an\nextremely high turnover rate has interfered in many instances with the\nability of day care centers to comply with regulatory requirements and\nto properly serve the children in their care; and that because of these\nextraordinary circumstances New York state must intervene and provide\nassistance for recruitment and retention of child care workers. The\nlegislature recognizes that a long-term solution to this crisis will\nrequire cooperative efforts among the business community, local and\nstate governments and families.\n 2. Within amounts appropriated specifically therefor, and after\ndeducting funds as specified in subdivision three of this section the\ncommissioner shall allocate funds to local social services districts for\ngrants to eligible not-for-profit day care centers for retention and\nrecruitment of teaching and supervisory staff, as follows:\n (a) a city social services district with a population in excess of one\nmillion shall be allocated a portion of such funds based on an equal\nweighting of:\n (i) its proportion of the state population of children aged five and\nunder, and\n (ii) its proportion of total claims for reimbursement received by the\ndepartment by May thirty-first, nineteen hundred eighty-eight for the\nlow income, transitional and teen parent day care programs authorized by\nchapter fifty-three of the laws of nineteen hundred eighty-seven.\n (b) all other eligible local social services districts shall be\nallocated the remaining portion of funds based on each district's\nproportionate share of licensed not-for-profit day care capacity\nrelative to the total capacity of all such other eligible districts.\n 3. Five percent of the funds appropriated for such recruitment and\nretention purposes shall be reserved for administration of the program\nand allocated as follows:\n (a) each local social services district shall be allocated an amount\nequivalent to five percent of the funds it receives under paragraphs (a)\nand (b) of subdivision two of this section, provided that no district\nshall receive an amount less than twenty-five hundred dollars nor\ngreater than one hundred fifty thousand dollars, and\n (b) remaining funds shall be allocated to the department. In the event\nthat a not-for-profit child care resource and referral agency or the\ndepartment distributes funds in an eligible district, as provided\nherein, such agency or department may retain the amount that otherwise\nwould be available to the eligible district.\n 4. Not later than thirty days following the effective date of this\nsection, the commissioner shall notify local social services districts\nof the amounts allocated to each district and provide forms for the\ncollecting of information pursuant to this section.\n 5. For the purposes of this section, an eligible district shall mean a\nlocal social services district that is providing, as of the effective\ndate of this section, or which shall agree to provide in such written\nform and by such date as shall be acceptable to the department,\nsubsidized day care services under the special day care services program\nauthorized by chapter fifty-three of the laws of nineteen hundred\neighty-eight.\n 6. Eligible districts may apply on or before the ninetieth day\nfollowing the effective date of this section to receive such allocated\nfunds by submitting to the department a plan on forms provided by the\ndepartment. Such plan shall be developed by the local social services\ncommissioner in consultation with directors of participating eligible\nday care centers, as such term is defined herein. Such plan shall\ninclude: methods to increase the amount of day care provided for\nfamilies having an income at or below two hundred percent of the federal\nproverty level in such district; proposed steps to be taken to sustain\ngains in recruitment and retention of staff achieved by funds provided\nherein; information specified in paragraph (c) of subdivision seven of\nthis section; and a proposed allocation of funds to eligible day care\ncenters based on the following factors:\n (a) forty percent of the funds allocated to such district shall be\ndistributed to each eligible center based on such center's share of the\ntotal full time equivalent teaching and supervisory staff of such\ncenters in the district as a whole;\n (b) forty percent of the funds allocated to such district shall be\ndistributed to each eligible center based on such center's share of the\nnumber of children from families having an income at or below two\nhundred percent of the federal poverty level receiving day care services\nin all such centers in the district, regardless of whether such children\nare receiving subsidized care; and\n (c) notwithstanding any other provision of this subdivision, twenty\npercent of the funds allocated to such district shall be distributed to\nsome or all eligible centers in a manner to further improve recruitment\nand retention of qualified staff. Distributions under this paragraph\nshall be based on factors including, but not be limited to seniority;\neducational qualifications; worker income; benefit levels, vacancy and\nturnover rates; or enhancement of distributions pursuant to paragraph\n(a) or (b) of this subdivision.\n The commissioner shall make copies of proposals available to the\npublic upon request.\n 7. For the purposes of this section, an eligible day care center means\na not-for-profit center which provides services for children in single\nor double sessions for six or more hours per day for five or more days\nper week and holds a permit or certificate issued pursuant to (i) the\nprovisions of section three hundred ninety of this article, or (ii) the\nNew York city health code as authorized by section five hundred\nfifty-eight of the New York city charter; provided, however, that:\n (a) a center whose permit has been denied, suspended or revoked, or\nwhich is found in any twelve month period preceding or following the\ndate of the allocation of funds made pursuant to subdivision two of this\nsection to be in violation of section three hundred ninety of this\narticle after a hearing conducted as provided therein or after decision\nby any court of competent jurisdiction, shall not be eligible to receive\nfunds pursuant to this section;\n (b) the existence of a current contract for purchase of day care\nservices between an eligible district and a center may not be required\nas a precondition to receive such funds, but such center shall agree to\naccept children subsidized by the district in the next available space\nafter receipt of a request from the district to place a child in such\ncenter;\n (c) each such center must provide to the local social services\ndistrict the following information on forms provided by the department:\n (i) child care capacity, by ages of children;\n (ii) the number of children in such center, by ages, whose families\nhave incomes at or below two hundred percent of the federal poverty\nlevel, regardless of whether such children are receiving subsidized\ncare;\n (iii) the number of children specified in subparagraph (ii) of this\nparagraph receiving subsidies and the type of subsidy;\n (iv) a schedule of fees charged for services;\n (v) the total annual revenue from all sources, including fees,\ndonations, grants, revenue from local governments and revenue from state\nagencies;\n (vi) the total annual expenditures for rent or mortgage payments;\nequipment, property, liability and other insurance; utilities; food;\nsupplies and materials; and\n (vii) total annual expenditures for salaries and benefits, including\nthe number, title, qualifications and salary levels of existing staff\nand types and amounts of benefits; and\n (d) each eligible day care center must agree, to the maximum extent\nfeasible, to enhance its future revenues to sustain the level of staff\nsalary and benefits as provided herein.\n 8. Should an eligible district not apply for such funds, the\ncommissioner may contract with a not-for-profit child care resource and\nreferral agency as such term is defined in title five-B of this article\nwhich is serving such district to distribute such funds allocated to the\ndistrict in the same manner as is required of an eligible district in\naccordance with the other provisions of this section. If two or more\nnot-for-profit child care resource and referral agencies are serving\nsuch district, preference shall be given to the agency or agencies with\nexisting contracts with the commissioner. If such agency does not exist\nor declines to participate, the department shall disburse funds in the\nmanner as is required of an eligible district pursuant to this section.\n 9. A plan developed and submitted to the department pursuant to the\nprovisions of this section shall be considered approved unless, within\nthirty days of the receipt of such plan, the department notifies the\neligible district or agency that the plan is not approved and specifies\nin writing the basis for such disapproval. The commissioner shall make\nallocated funds and administrative funds available as advances to\neligible districts whose plans have been approved pursuant to this\nsection.\n 10. Eligible districts shall make allocated funds available as\nadvances to eligible day care centers in accordance with the plan\napproved by the department. Such districts shall notify the department\nwhen all such funds have been disbursed but all such funds must be\ndisbursed not later than October first, nineteen hundred eighty-nine.\n 11. Any funds allocated to eligible districts or day care centers\nwhich cannot be used in the manner as provided herein shall be\nreallocated among other eligible districts as provided in paragraph (b)\nof subdivision two of this section.\n 12. Funds received by eligible day care centers shall be used solely\nfor employee benefits and salary enhancements for teaching and\nsupervisory staff, and shall not be used to supplant or substitute for\nany other funding available for day care services, or to provide\nservices which eligible day care centers are required to provide\npursuant to contracts with the state, local social services districts,\nauthorized agencies, individuals or other organizations.\n 13. Nothing contained herein shall prevent an eligible district, or\nany other person or entity, at its discretion, from contributing funds,\nincluding administrative funds received pursuant to subdivision three of\nthis section, to the program established pursuant to this section.\n 14. The department shall: (a) provide or cause to be provided, to\nthe maximum extent feasible, technical assistance to eligible day care\ncenters and districts concerning employee benefit options, long-term\nplanning, management of funds, responsibilities required pursuant to\nthis section, maximization of the use of available subsidy funds\nincluding Title XX and Title IV-A of the Federal Social Security Act\nand such other matters as may be helpful to sustain the level of staff\nsalary and benefits as provided herein;\n (b) annually examine cost data concerning rates of payment for day\ncare and establish appropriate recommended fee schedules as guidelines\nfor use by local social services districts in developing comprehensive\nannual social services program plans;\n (c) promulgate regulations not later than July first, nineteen\nhundred eighty-nine, to establish a maximum rate of payment for day care\ncenters which shall reflect adjustments in the cost of care since the\nestablishment of the maximum rate in effect on January first, nineteen\nhundred eighty-six. Such maximum rate shall be calculated by applying\nthereto increases in the cost of living since January first, nineteen\nhundred eighty-six, updated by the department through December\nthirty-first, nineteen hundred eighty-nine, and also to the extent\npossible and based on the availability of such information, factors such\nas changes in the costs of insurance, rent, utilities and labor and\nbenefits and such other factors the department shall deem appropriate,\nwhich exceed such increases in the cost of living, as updated through\nDecember thirty-first, nineteen hundred eighty-nine; provided, however,\nthat:\n (i) actual payment for day care services rendered shall not exceed the\nactual cost of such care;\n (ii) nothing contained herein shall prevent the department from\nestablishing a rate of payment for day care centers greater than that\nrequired pursuant to this subdivision;\n (iii) approved rates of payment in excess of the rate established\npursuant to this paragraph in effect prior to July first, nineteen\nhundred eighty-nine shall be continued;\n (iv) nothing contained herein shall prevent the department from\napproving exceptions to the rate of payment established herein to meet\nspecific identified needs of a local social services district;\n (v) such regulations may include a higher maximum rate of payment for\ninfant care, or care of children with special needs.\n d. Notwithstanding any other section of law to the contrary, by April\nfirst, nineteen hundred eighty-nine, the department shall develop\nguidelines and may, with the approval of the director of the division of\nthe budget grant to local districts for one year waivers to income\neligibility standards established pursuant to law for subsidized day\ncare under the special day care services program. Such waivers shall be\ngranted to increase eligibility standards up to twenty-five percent of\nthe federal poverty level above the income eligibility standard\nestablished by law as a percentage of the federal poverty level. Waivers\nshall be granted only upon the submission of documentation establishing\nthat:\n (i) the local social services district is serving substantially all\neligible families with incomes at or below the established income\neligibility standard. A district shall be deemed to be serving\nsubstantially all eligible families if it meets the following two\ncriteria: (a) the percentage of eligible children served in the district\nmeets or exceeds the percentage of eligible children served statewide\nunder the special day care services program and (b) the district has\nprovided day care services to any additional children whose families\nhave been identified in such district's outreach program as described in\nsubparagraph (ii) of this paragraph as eligible for and desiring\nsubsidized day care services;\n (ii) the local district has established a district-wide outreach\nprogram which identifies eligible families who are not receiving\nsubsidized child day care under the special day care services program,\nand informs all such families of their availability, and assists such\nfamilies desiring subsidized services to obtain them;\n (iii) a family receiving a subsidy under the district's waiver\nprovisions shall be required to contribute a greater amount towards the\ncost of care than a family eligible under the established income\neligibility standard;\n (iv) the local district has included an estimate of the number of\nchildren who will be served under the waiver provisions;\n (v) the local district has submitted claims to income eligible day\ncare expenses under Title XX of the federal Social Security Act;\n (vi) the district has available to it a higher allocation in the\ncurrent fiscal year than the amount of reimbursement received by such\ndistrict in the previous fiscal year for subsidized care under the\nspecial day care services program.\n (e) submit a report to the governor and to the chairmen of the senate\nfinance committee and the assembly ways and means committee not later\nthan December thirty-first, nineteen hundred eighty-nine on the program\nestablished pursuant to this section, including the number, amount and\nrecipients of grants in each eligible district; the purposes and uses of\nsuch grants; an evaluation of any resulting improvements in recruitment\nand retention of qualified staff, current local eligibility standards,\nany use of the waiver process, state cost of increasing the eligibility\nstandards established by law up to twenty-five percent and fifty percent\nof the federal poverty level on a county by county basis for subsidized\nday care under the special day care services program and recommendations\nfor long-term solutions to the problems of recruitment and retention of\nteaching and supervisory staff.\n