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Management Bulletin 18-03


Early Learning and Care Division

Subject: Revised State Median Income for 2018-19

Number: 18-03

Date: July 2018

Expires: Until Rescinded

Authority:California Education Code, sections 8263 and 8263.1

Attention: Executive Officers and Program Directors of Child Development Programs


Purpose

The purpose of this Management Bulletin (MB) is to notify contractors of:

  • The updated income ranking table, corresponding with the State Median Income (SMI) ceilings, to be used to determine priority for enrollment.
  • The revised income ceilings to be used to determine income eligibility for families applying to receive subsidized child care and development services as well as for families being recertified for services.

This MB supersedes MB 17-08, MB 17-09 and MB 17-10.

Background

California Education Code (EC) sections 8263.1 and 8263 require the California Department of Finance to annually recalculate the SMI, based on the most recent census data and pursuant to the formula set forth in EC Section 8263.1(c), and provide the calculations to the California Department of Education (CDE). The updated SMI calculations are used to revise the income ceilings for the initial certification and recertification process and to update the Income Ranking table used for determining priority for enrollment.

In accordance with EC Section 8263.1, for families initially establishing eligibility for subsidized child care and development services based on income, a family’s adjusted monthly income must be at or below 70 percent of the SMI, adjusted for family size. Additionally, for the purpose of determining ongoing eligibility for services based on income, a family’s adjusted monthly income must be at or below 85 percent of the SMI, adjusted for family size.

In addition, EC Section 8263(b) requires contractors to enroll families in priority order.  EC Section 8263(b)(1) specifies that the first priority must be families with children who are receiving child protective services or at risk of abuse, neglect or exploitation. Second priority goes to families in income ranking order, with lowest income receiving highest priority. California EC Section 8263(b)(2) authorizes the State Superintendent of Public Instruction to adopt an Income Ranking Table for determining enrollment priorities.

Policy

Effective July 1, 2018, contractors must use the applicable Schedule of Income Ceilings when determining initial and ongoing income eligibility for families. Additionally, contractors must use the revised Income Ranking Table when determining priority for enrolling families based on income.

Directive

Effective July 1, 2018, contractors must:

  • Use the Schedule of Income Ceilings (70 percent SMI) for Initial Certification chart when determining initial income eligibility for families applying for subsidized child care and development services.
Schedule of Income Ceilings (70 percent SMI) for Initial Certification
Family Size Family Monthly Income Family Yearly Income

1-2

$4,173

$50,077

3

$4,502

$54,027

4

$5,256

$63,083

5

$6,098

$73,177

6

$6,939

$83,270

7

$7,096

$85,163

8

$7,254

$87,055

9

$7,412

$88,948

10

$7,570

$90,840

11

$7,727

$92,733

12

$7,885

$94,625

  • Use the Schedule of Income Ceilings (85 percent SMI) for Recertification chart when determining ongoing income eligibility for families receiving subsidized childcare and development services.
Schedule of Income Ceilings (85 percent SMI) for Recertification
Family Size Family Monthly Income Family Yearly Income

1-2

$5,067

$60,808

3

$5,467

$65,604

4

$6,383

$76,601

5

$7,404

$88,857

6

$8,426

$101,113

7

$8,617

$103,412

8

$8,809

$105,709

9

$9,000

$108,008

10

$9,192

$110,305

11

$9,383

$112,604

12

$9,575

$114,902

  • When determining the priority for enrollment of families, use the revised Income Ranking Table (XLSX)

For additional directives for enrolling families please refer to 12-Month Eligibility Implementation Guidance MB 17-14 web page.

If you have any questions regarding the information in this MB, please contact your assigned Early Learning and Care Field Services Consultant via the CDE Consultant Regional Assignments Web page.

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.

Questions:   Early Learning and Care Division | 916-322-6233
Last Reviewed: Friday, November 9, 2018
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