Child Development Division
| Subject: Disenrolling families due to the reduction in CalWORKs Stage 3 contracts | Number: 11-36 |
| Authority: Chapter 7, Statutes of 2011 (Senate Bill 70). Chapter 43, Statutes of 2011 (Assembly Bill 114). |
Date: December 2011 Expires: Until Rescinded |
Attention: All Executive Officers and Program Directors of Child Care and Development Programs
Purpose
This Management Bulletin (MB) informs CalWORKs Stage 3 contractors that all Stage 3 funds have been allocated for Fiscal Year (FY) 2011–12 and that CalWORKs Stage 3 contracts will not be augmented with additional funds. This MB provides guidance for CalWORKs Stage 3 contractors on the process to ensure that current year Stage 3 expenditures do not exceed their Stage 3 contract Maximum Reimbursement Amount (MRA).
Background
Senate Bill (SB) 70 (Chapter 7, Statutes of 2011), as amended by Assembly Bill (AB) 114 (Chapter 43, Statutes of 2011), added Section 8263.2 to the California Education Code (EC). EC Section 8263.2(a) requires the California Department of Education (CDE) to reduce the MRA to CalWORKs Stage 3, effective July 1, 2011, to ensure that expenditures for the CalWORKs Stage 3 program do not exceed the amounts appropriated. Section 8263.2(b) describes the process by which families are to be disenrolled should such action be necessary.
Directive
The CDE has verified that SB 70 requires otherwise eligible families continue to transition into CalWORKs Stage 3 when they “time out” of CalWORKs Stages 1 or 2. The statute also requires that each month, the CalWORKs Stage 3 contractor must determine if their Stage 3 contract MRA is sufficient to provide services to all enrolled families for the full FY. When a Stage 3 contractor has determined that they are overenrolled and that funding is not sufficient to provide services to all enrolled families, families must be disenrolled if and only if the contractor is unable to provide continuity of care pursuant to EC Section 8263(c) by transferring the child’s enrollment to another child development program for which the family is eligible. If the contractor is unable to do so, then disenrollment should take place pursuant to the priorities established in EC Section 8263.2(b), which are as follows:
- Families with the highest monthly income adjusted for family size as determined by the Income Ranking Table (MB 11–10)
- When two or more families have the same income ranking:
- The family with an exceptional needs child(ren), as defined in EC Section 8208(l), will be disenrolled after all other families in the same income ranking have been disenrolled, and
- If there are no families with exceptional needs child(ren), families will be disenrolled in enrollment date order, last “in” first “out"
- Families with a child(ren) that is receiving child protective services or has been identified as being at-risk of abuse, neglect, or exploitation, shall be disenrolled last
Notice of Action
A Notice of Action (NOA), Termination of Services, shall be issued to all families identified for disenrollment. The NOA should include the following reason for action:
State law SB 70 (2011), as amended by AB 114 (2011), reduced funding to the Stage 3 child care program, effective July 1, 2011, and required that the CDE ensure that expenditures for Stage 3 do not exceed the amounts appropriated and that families shall be disenrolled consistent with the priorities specified in EC Section 8263(b).
The last day of services for your child(ren) will be (enter date). This is because of the reduction in funding, and it is based upon:
- Your income
- The size of your family
- The length of time you have received child care
This decision also considers our records that indicate whether you have:
- A child with exceptional needs or
- A child receiving child protective services or
- A child at risk for abuse, neglect or exploitation
If you have questions about the specific reason that you were given this NOA, please call (phone number of issuing contractor) between the hours of (hours phone calls should be made to that contractor) for additional information.
The NOA issued under the directives of this MB will follow the normal and customary appeal process as described in California Code of Regulations, Title 5.
NOTE: When implementing FY 2011–12 contract reductions, contractors must consider the cost for continuing services during the appeal process. Service earnings or expenditures exceeding the contract MRA will not be reimbursed.
Questions regarding the information in this MB should be addressed to your CDD Field Services Consultant or by phone at 916-322-6233.
Letter from State Superintendent of Public Instruction Tom Torlakson
This Management Bulletin is mandatory only to the extent that it cites a specific statutory and/or regulatory requirement. Any portion of this Management Bulletin that is not supported by a specific statutory and/or regulatory requirement is not prescriptive pursuant to California Education Code Section 33308.5.
