Senate File 177 - Introduced SENATE FILE 177 BY RAGAN , MATHIS , BOLKCOM , JOCHUM , TRONE GARRIOTT , CELSI , PETERSEN , BOULTON , LYKAM , GIDDENS , BISIGNANO , HOGG , QUIRMBACH , J. SMITH , DOTZLER , WAHLS , KINNEY , and T. TAYLOR A BILL FOR An Act relating to the state child care assistance eligibility 1 requirements and provider reimbursement rates. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 1096XS (3) 89 dg/rh

S.F. 177 Section 1. DIRECTIVE TO DEPARTMENT OF HUMAN SERVICES 1 —— CHILD CARE ASSISTANCE —— FAMILY INCOME ELIGIBILITY 2 REQUIREMENTS. 3 1. The department of human services shall amend its 4 administrative rules pursuant to chapter 17A to provide income 5 eligibility for state child care assistance, according to 6 family size for children needing basic care, to families whose 7 nonexempt gross monthly income does not exceed the following 8 amounts according to the following schedule: 9 a. One hundred fifty percent of the federal poverty level, 10 effective July 1, 2021. 11 b. One hundred sixty percent of the federal poverty level, 12 effective July 1, 2022. 13 c. One hundred seventy percent of the federal poverty level, 14 effective July 1, 2023. 15 d. One hundred eighty percent of the federal poverty level, 16 effective July 1, 2024. 17 e. One hundred ninety percent of the federal poverty level, 18 effective July 1, 2025. 19 f. Two hundred percent of the federal poverty level, 20 effective July 1, 2026. 21 2. The department of human services shall amend its 22 administrative rules pursuant to chapter 17A to provide that 23 child care assistance under the child care assistance plus exit 24 eligibility program shall continue until a family’s nonexempt 25 gross monthly income exceeds two hundred fifty percent of the 26 federal poverty level. 27 3. For the fiscal year beginning July 1, 2021, for child 28 care providers reimbursed under the state child care assistance 29 program, the department of human services shall set provider 30 reimbursement rates based on the most recent market rate survey 31 completed in 2020. 32 4. EMERGENCY RULES. The department of human services 33 may adopt emergency rules under section 17A.4, subsection 3, 34 and section 17A.5, subsection 2, paragraph “b”, to implement 35 -1- LSB 1096XS (3) 89 dg/rh 1/ 2

S.F. 177 the provisions of this Act and the rules shall be effective 1 immediately upon filing unless a later date is specified in the 2 rules. Any rules adopted in accordance with this section shall 3 also be published as a notice of intended action as provided 4 in section 17A.4. 5 EXPLANATION 6 The inclusion of this explanation does not constitute agreement with 7 the explanation’s substance by the members of the general assembly. 8 This bill relates to the state child care assistance income 9 eligibility requirements for families and reimbursement rates 10 for child care providers. 11 The state child care assistance program is administered by 12 the department of human services (DHS). The bill directs DHS 13 to amend its administrative rules to provide income eligibility 14 for state child care assistance, according to family size for 15 children needing basic care, to families whose nonexempt gross 16 monthly income does not exceed 150 percent of the federal 17 poverty level, effective July 1, 2021; 160 percent of the 18 federal poverty level, effective July 1, 2022; 170 percent of 19 the federal poverty level, effective July 1, 2023; 180 percent 20 of the federal poverty level, effective July 1, 2024; 190 21 percent of the federal poverty level, effective July 1, 2025; 22 and 200 percent of the federal poverty level, effective July 1, 23 2026. The bill also directs DHS to amend its administrative 24 rules to provide that eligibility for the child care assistance 25 plus exit program shall continue until a family’s nonexempt 26 gross monthly income exceeds 250 percent of the federal poverty 27 level. 28 The bill directs DHS, for the fiscal year beginning July 1, 29 2021, to set reimbursement rates for child care providers under 30 the state child care assistance program to rates based on the 31 most recent market rate survey completed in 2020. 32 -2- LSB 1096XS (3) 89 dg/rh 2/ 2