As directed by Act 76, the Child Development Division (CDD) made several changes to the Child Care Financial Assistance Program (CCFAP) that took effect on December 17, 2023.
Change #1: CCFAP state rates increased 35%.
Change #2: The State will pay the CCFAP state rate minus the family share for families receiving CCFAP. The State will no longer use the CCFAP Provider Rate Agreement (PRA) when determining its CCFAP payments. This means that providers no longer need to charge the state CCFAP rate to private pay families in order to receive the maximum CCFAP payment. Providers have the ability to set tuition rates and offer discounts at their discretion. For more detailed information about CCFAP payments, please see CDD’s fact sheet.
Change #3: The PRA will be updated to remove the language “Families receiving Child Care Financial Assistance cannot be charged more than the provider’s established rate” and add the language “Refrain from charging application or waitlist fees for children who qualify for the Child Care Financial Assistance Program and reimburse the fees if the children are determined to be eligible for Child Care Financial Assistance at the time of the fee.” More information on Act 76 changes related to tuition and fees is in this memo. Please note that even though CCFAP PRAs are no longer used to determine the CCFAP payment, CDD is still requiring that a PRA be submitted every three years to assure that a signed agreement is on file. More information on submitting, viewing, and editing PRAs can be found here.
New CCFAP certificates for providers have been generated and are now available in the Child Development Division Information System (CDDIS). Families have also received new Statements of Eligibility via the CDDIS Parent Portal that reflect changes in the amount paid by the state.
Child care providers and families with CCFAP certificates should review how much is due to providers following these changes.
For more information, please visit CDD's Act 76 website or email AHS.DCFCDDInfo@vermont.gov.