Purpose of the Bill

The bill aims to amend existing child care compensation policies in Minnesota. It specifically addresses how payments are made to child care programs through the Great Start Compensation Support Payments system. The goal is to ensure fair compensation for child care staff based on their role and hours of work, and to support child care access in underserved areas.

Main Provisions

• Noncompetitive Payments: The bill mandates that payments are provided to all eligible child care programs on a noncompetitive basis. This means that all programs that qualify will receive payments, not just those that compete and stand out in some way.

• Calculation of Payment Amounts: Payments are determined by the number of full-time equivalent (FTE) staff members who care for children. FTE is defined as individuals engaged in child care, professional development, training, or lesson planning for at least 32 hours a week.

• Payment Increment for Specific Programs: Programs that either receive child care assistance payments or are located in designated "child care access equity areas" will receive a 10% increase in payments. These access equity areas are defined based on factors like low child care access, high poverty, unemployment rates, low homeownership, and low median incomes.

• Commissioner’s Responsibilities: The bill requires the commissioner to set the payment amounts per FTE and establish the process for making these payments. This includes creating a method to identify child care access equity areas.

Significant Changes

This bill modifies the current statute to provide a more structured and equitable payment system for child care providers. By increasing payments for programs in areas with less access to child care and assigning payments based on FTEs, the bill seeks to improve the quality and reach of child care services in Minnesota.

Relevant Terms

• Child care compensation
• Full-time equivalent (FTE)
• Noncompetitive basis
• Child care access equity areas
• Poverty rates
• Unemployment rates
• Homeownership rates
• Median household incomes