The final fiscal year 2024 state budget included $65 million for rate increases for early education and care providers who accept state child care financial assistance, known as rates. Based on this, EEC proposed increases to the rate amounts, as well as reforms to how rates are calculated to address long-standing inequities in rate amounts by geographic region and age group of children served. The Board of Early Education and Care approved EEC’s rate proposal on January 10, 2024.
The updated rates for center-based early education and care providers will be implemented on February 1, 2024, with an effective date of July 1, 2023. This means that starting in February, providers will see an increased amount in their reimbursement payments. It also means that the new rates apply retroactively to services provided on or after July 1, 2023, for which providers will receive a one-time payment in February to account for these increases.
Rates for family child care providers were finalized with the new contract for SEIU Local 509 in June 2024. The updated rates for family child care providers will be implemented on July 1, 2024, with an effective date of July 1, 2023. As such, starting in July, when logging into CCFA to submit June 2024 billing, family child care providers will see an increased amount in their reimbursement payments. This also means that the new rates apply retroactively to services provided on or after July 1, 2023, for which family child care providers will receive a one-time payment in July to account for these increases.
