Lead Agencies may consider additional policies that are fair to providers and promote the financial stability of providers in response to COVID-19. Third, Lead Agencies should review their own laws and procedures for expending and accounting for their own funds, and, where possible, proceed with the liquidation of existing obligations. Stabilization subgrant funds cannot be used to incentivize license-exempt, non-CCDF-eligible providers to become CCDF-eligible and therefore eligible to receive a subgrant. ) or https:// means youve safely connected to the official website. Lead Agencies may serve families for a longer period with CARES Act funds. Personnel Costs (Allowable Workforce Amount Category), Equipment and Supplies for Public Health Emergency. Regarding federal tax rules, please contact the Internal Revenue Service for guidance. However, because this analysis depends heavily on the individuals particular circumstances, we encourage child care workers receiving federal housing assistance to contact their Public Housing Agency (PHA) or Owner for more information. Agreements with intermediaries should include a requirement for intermediaries to collect and report data to lead agencies on a regular basis, as lead agencies will be expected to report on this information. Child Care Stabilization Grants Help Desk Support: 1-833-600-2074 eecgrantsupport@mtxb2b.com User Guide - Grant Survey Frequently Asked Questions Grant Requirement Supports: Family Child Care - Training for C3 Operational Grant requirements - YouTube Center-Based - Training for C3 Operational Grant requirements - YouTube Child Care Counts Call Center hours are 8 a.m.-4:30 p.m. M-F. Goods and services necessary to operate, such as materials, equipment, and technology, Comprehensive services including mental health supports for children and employees. Q: If I was audited, would they just audit my grant or my entire business? Stabilization funds can only be used for services necessary to maintain or resume child care services. Paying another entity to handle the applications for stabilization funding does not fall into this category. Section 658P(4) of the Act indicates that, for purposes of eligibility for CCDF subsidies, an eligible child includes a child who is receiving, or needs to receive, protective services (in addition to children of parents who are working or attending training/education). The ARP Act child care stabilization funds are specifically designed to promote the stability of the child care sector. Child Care Relief Funds. Like regular tribal CCDF funds, tribal ARP Act stabilization funds are set-aside to serve tribal children. Is our grant amount $15k or $24-$52k? If so, how do I do this? ACF has prioritized continuity of care, as demonstrated by the graduated phase-out policy. Help is on the way! The lead agency may use the ARP Act supplemental CCDF Discretionary funds to reduce or waive copayments for a subpopulation of families eligible to receive CCDF. If a child care provider intends to cover an individuals family subsidy co-payments, they must use funds other than those from EEC. Other funds are not within the scope of this review. If a program is awarded funding, they are not eligible to apply for another grant for a period of three years. 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 The funds are designed to stabilize the child care sector and to do so in a way that rebuilds a stronger child care system that supports the developmental and learning needs of children, meets parents' needs and supports a professional workforce that is fairly and appropriately compensated for the essential skilled work that they do. The statutory requirement at section 658E(c)(2)(S)(ii) of the Child Care and Development Block Grant (CCDBG) Act requires Lead Agencies to support the fixed costs of providing child care services by delinking provider payment rates from an eligible child's occasional absences due to holidays or unforeseen circumstances such as illness, to the extent practicable. Q: If I only have one child, can I still apply for the grant? The law specifies that child care providers may use their child care stabilization funds on the following allowable activities: ARP Act stabilization funds cannot be used to cover family copayments or tuition. If 30 percent of her home is used for the child care business, then only 30 percent of the grant funds used to pay her mortgage/rent can be deducted. Lead agencies are encouraged to use ARP Act supplemental funds, as well as CRRSAVisit disclaimer page and CARES Act funds, to provide relief from copayments for CCDF-eligible families and cover the portion of the child care cost ordinarily covered by copays. Q: If I have staff can I still pay myself the whole amount? Commonwealth Cares for Children (C3)/ Child Care Stabilization Grants, contact the Department of Early Education and Care, Personnel costs, benefits, premium pay, and, Rent or mortgage payments, utilities, facilities maintenance and improvements, or insurance, Personal protective equipment, testing supplies, cleaning and sanitation supplies and services, or, Structural changes to the foundation, roof, floor exterior, or load-bearing walls of a facility, Extension of a facility to increase its floor area. Documents Center Online Services Media Center Office Locator Report Fraud Home Services Child and Family Child Care Child Care COVID-19 Grant Program The BIG Program was specifically designed to support businesses who endured lost revenue due to the COVID-19 public health emergency. Providers who received an initial disbursement will receive email notifications via NJCCIS when they are eligible to recertify, this process will begin in December 2022. The supplemental appropriations under the CARES Act and the CRRSA Act can be used, among other purposes, to provide continued payments and assistance to child care providers in the case of decreased enrollment or closures related to coronavirus, and to assure they are able to remain open or reopen. Lead Agencies may also use CCDF quality dollars to provide temporary grants or assistance to impacted providers to retain the child care supply during periods of closures. Step 1: Submit an OK Child Care Application Step 2: OKDHS reviews the application Step 3: OKDHS approves the application Step 4: Child care program is notified of approval via email Step 5: Payment will be delivered after the application period ends and your application has been approved. 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 . Questions are grouped in the drop-down menu below into four major categoriesARP Stabilization Grants, Supplemental Funds, Tribes, and Emergency Responseand each category has subcategories. The provider will provide relief from copayments and tuition payments for the families enrolled in the providers program, to the extent possible, and prioritize such relief for families struggling to make either type of payment. The IRS has published information indicating that "receipt of a government grant by a business is generally not excluded from the business's gross income under the Federal Tax Code and therefore is taxable." 1099 forms were mailed to programs detailing the amount of C3 funding the program received in 2021. In addition, Tribes would have to consult with nearby Tribes (if applicable) to ensure children in the adjoining areas are not being served by other Tribes. Lead Agencies should amend their CCDF Plan with respect to such changes. Private information such as social security information, home addresses of employees, fingerprint records, drivers license numbers, medical information, credit card information, bank account numbers of employees, etc. A: Yes. Programs will be prompted (via email and in LEAD) to recertify the application on the first day of the month they are recertifying. Grant navigators are available to assist child care providers with grant applications and other resources. Tribal lead agencies may determine which provider types to include in their stabilization subgrant programs, as long as those providers are eligible and qualified as defined in the ARP Act. Supporting documentation should demonstrate that the purchase in question falls within at least one of the allowable use categories. Other investments to improve program quality such as supplies, curriculum, screening tools, etc. Even before the public health emergency, child care provider income was unstable and insufficient to cover the costs of providing high-quality care, and the COVID-19 public health emergency has exacerbated this instability. The application must justify that the construction/major renovation activity is for the purpose of preventing, preparing for, and responding to, COVID 19. Use this button to show and access all levels. Lead agencies should use the definition they use for obligations for regular CCDF funds when determining whether ARP Act stabilization funds are obligated. Building Equitable Early Childhood Systems, Early Care & Education Quality Initiatives, Harnessing Opportunities for Positive Early Childhood (HOPE), The True Cost of Providing Safe Child Care During the Coronavirus Pandemic, Help is on the way! Lead Agencies have the flexibility to consider whether a provider has received funds from other federal or state programs in deciding how best to direct CARES Act and the CRRSA Act resources, but are encouraged to support providers through this child care crisis. Obligation and liquidation information for regular CCDF funds is described in the instructions to the ACF-696 and ACF-696T CCDF expenditure reports. Top-requested sites to log in to services provided by the state. Almost two-thirds of childcare centers are serving less than 75 children and are struggling to break even. Please let us know how we can improve this page. U.S. Department of Health & Human Services, Administration for Native Americans (ANA), Administration on Children, Youth, and Families (ACYF), Office of Child Support Enforcement (OCSE), Office of Human Services Emergency Preparedness and Response (OHSEPR), Office of Legislative Affairs and Budget (OLAB), Office of Planning, Research & Evaluation (OPRE), Public Assistance Reporting Information System (PARIS), section 2202(d)(B)(i) and (ii) of the ARP Act, ARP Act supplemental CCDF Discretionary funds, Coronavirus Response and Relief Supplemental Appropriations (CRRSA) Act, FY 2022-2024 Child Care and Development Fund (CCDF) Plan, FY 2020-2022 CCDF Plan within 60 days of the effective date of implementation, or cost of producing self-employment income (once spent, US Department of Labors webpage on UC benefits related to the COVID-19 outbreak, https://www.acf.hhs.gov/occ/policy-guidance/tribal-construction-or-major-renovation, Rent, utilities, facility maintenance or improvements, or insurance, Personal protective equipment, cleaning and sanitization, or training and professional development related to health and safety, Purchases of or updates to equipment or supplies to respond to the COVID-19 public health emergency, Goods and services necessary to maintain or resume child care services, Mental health support for children and employees, Administering child care stabilization funds, Carrying out activities to increase the supply of child care, Providing technical assistance and support for stabilization applications, Publicizing the availability of ARP Act stabilization funding, Providing technical assistance to providers receiving ARP Act stabilization funds. In other words, there is nothing in the CARES Act that specifically exempts CCDF CARES Act funding from taxation. Technical/Business Assistance. Q: Would you need a separate account to pay yourself? Snow removal snow or other weather-related services, Installing new interior, carpeting, or flooring, Replacing outdated building fixtures and general repairs, Direct deposit or electronic funds transfer, Document the amount(s) of funds received from each source separately, Review the terms of each grant program to clearly understand the allowable (and nonallowable) uses for each award. Examples of documentation include receipts (electronic or paper), paid invoices, payroll records, and employee timecards. If you are a non-profit or not-for-profit organization, this funding is tax exempt. The request is limited to an initial period of no more than two years from the date of approval, and at most, an additional one-year renewal from the date of approval of the extension. A: Assuming the money you spend on items for your business are used exclusively for your business, the tax consequences are the same as paying yourself. Q: When you give a bonus to your staff, do you treat the deduction the same as payroll deductions? Contact your state to get the answer. Pursuant to Title VI of the Civil Rights Act of 1964, the Americans with Disabilities Act (ADA) and other nondiscrimination laws and authorities, ADES does not discriminate on the basis of race, color, national origin, sex, age, or disability. However, tribal lead agencies who do not currently operate under a consortium may coordinate a common framework such that each tribal lead agency establishes the same requirements and procedures for the stabilization grants. Q: Can I use this grant to pay myself? Once a family begins receiving CCDF, their subsidy can only be terminated at redetermination through the graduated phase-out policy, if the reason for termination is income eligibility. Afterwards it costs $99.00 a year. ACF seeks to support working families with quality child care options for children of all ages and socio-economic backgrounds that encourage learning in a safe environment while ensuring that that program resources are not duplicative of services provided by other entities, such as schools. What can EEC-licensed programs use the C3 grant funds for? No. Child Care Stabilization Grant Tax Implications (michigan.gov) 19. Lead Agencies have the option to waive the income eligibility requirements for children who receive (or need to receive) protective services, if determined to be necessary, on a case-by-case basis. CCDF funds allocated in FY2018 were available for obligation in FY2018 or FY2019. If the program is closed during parts of the year due to schedule (e.g., operational only during the school year), they would not be eligible to apply for a subgrant during that time. Additionally, the ARP Act gave states significant discretion in determining how the child care stabilization grants would be apportioned to child care providers, and self-employment income and exclusion determinations may vary by options selected by the state. The ARP Act does not impose requirements on whether to include or exclude ARP Act child care stabilization funds. Lead agencies may define what it means to be regulated or registered in the state, territory, or tribe. Lead agencies are strongly encouraged to make subgrants available to address personnel costs, but personnel costs are just one of the allowable uses of the subgrant funds, and, depending on the stabilization subgrant program in their state, territory, or tribe, child care providers have discretion in deciding how they use the funds. Q: If I use the grant for my IRA, can I deduct 100% of this on my taxes? The definition of what counts as income for WIC is determined at the federal level, and payments from child care stabilization funding would generally count as income. The terms included in the Act are broad, and lead agencies have the flexibility to define them. Child Care Start-Up and Expansion Grant Awards a maximum of $5,000 for Child Care Homes, and a maximum of $10,000 for Child Care Centers. In addition, all tribal lead agencies were allocated $30,000 as a base amount of the ARP Act stabilization funds prior to allocating funds based on the number of children served. This grant award increase will only be available to providers who previously received the COVID-19 Child Care Stabilization Grant at the end of 2021. Lead agencies are encouraged to include center-based and family child care programs, as well as programs that serve school-age children. Tax Considerations Monthly ReportingGENERAL What is the purpose of the stabilization grants? While we support Lead Agencies attempts to stabilize child care supply and funding during the public health emergency, under existing law and rules, it is not allowable for a Lead Agency to use regular CCDF funds to double-pay subsidies to two different providers for the same child for the same time of service. Programs should spend all funding in accordance with the specific requirements of each grant program. However, ACF strongly recommends that Lead Agencies first consult with their jurisdictions public health agency, seek advice on how best to proceed, and coordinate any actions. Going forward, child care providers should continue to consider CDC guidance and follow lead agency requirements related to COVID-19, and be prepared to update processes if and when states, territories, and tribes resume pre-COVID policies for parental access to children. OCC recommends Lead Agencies to follow guidance established by local and state (or tribal) public health authorities regarding the closure or operation of child care facilities. Pursuant to Title VI of the Civil Rights Act of 1964, the Americans with Disabilities Act (ADA) and other nondiscrimination laws and authorities, ADES does not discriminate on the basis of race, color, national origin, sex, age, or disability. These incentives are considered quality expenditures. The tutoring or academic support services do not occur during the regular school day pursuant to 42 U.S.C. Furthermore, for family child care providers, whether the child care stabilization funding counts as income also depends on whether it is used as income by the family child care provider who receives it. 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