Title 16
11000 Child Care Subsidy Program
This section discusses the following administrative policies:
A. Purpose of Delaware's Child Care Subsidy Program,
B. Goals,
C. Services Provided,
D. Persons Eligible,
E. Responsibility for the Administration of Delaware's Child Care Subsidy Program,
F. Legal Authority,
G. Other Administrative Policies,
H. Seamless Services, and
I. Definitions and Explanation of Terms.
11002.1 Purpose Of Delaware's Child Care Subsidy Program
The purpose of Delaware's Child Care Subsidy Program is to provide support to Delaware families who need care and who need otherwise cannot pay for all or part of the cost of care.
9 DE Reg. 572 (10/01/05)
11002.2 Goals
The goal of the Child Care Subsidy Program is to supplement the care and protection that children receive from their parents. This supplemental care is necessary when parents/caretakers must be apart from their children during a portion of a 24-hour day because:
A. the children's parents/caretakers work,
B. the children's parents/caretakers must participate in a DSS Employment and Training program and attend school or participate in a training program which leads to employment,
C. the children or parents have a special need requiring either one of them to be out of the home, or
D. the children need to be protected from neglect and/or abuse.
Child care provided under these circumstances enables families:
A. to achieve and maintain independence;
B. to provide care, protection, health, supervision, social experience and learning opportunities which are essential to a child's growth and development; and
C. to maintain the bonds of family unity.
10 DE Reg. 1007 (12/01/06)
11002.3 Services Provided
Delaware's Child Care Subsidy Program offers the following services:
A. an evaluation of the need for child care services;
B. a determination of financial eligibility;
C. an assessment of the family's child care needs;
D. an explanation of the available types of child care, the choices parents/caretakers have regarding these provider types, and various provider requirements such as licensure, health, and safety;
E. an explanation of the State's payment rates and fee scale, including a discussion of how DSS assesses fees, where fees are to be paid, what happens if they are not paid, and how parents/caretakers are to keep DSS informed of changes that affect fees; and
F. an explanation of parent/caretakers' rights as recipients of DSS subsidized child care, including:
1. the right to retain legal rights to their child while the child is in care,
2. the right to make decisions about the choice of child care and child care provider,
3. the right to request information about any substantiated parental complaints on any licensed or license-exempt child care provider, and
4. the right to appeal any denial and/or termination of child care services.
11002.4 Persons Eligible
DSS provides child care services to eligible Delaware families with children who need care and who are under the age of 13, or children 13 through 18 years of age who are physically or mentally incapable of caring for themselves or who are in need of protective services.
Under Title IV, Sections 401 and 402 of the Personal Responsibility and Work Opportunity Act of 1996, the Division is prohibited from using CCDBG and SSBG funds to pay for child care services for most persons who are not U.S. citizens. At State option, the Division may choose to use State only funds to pay for child care services for such persons. Certain aliens are exempt from this restriction for a period of five (5) years from the date of obtaining status as either a refugee, asylee, or one whose deportation is being withheld. In addition, aliens admitted for permanent residence who worked forty (40) qualifying quarters and aliens and their spouses or unmarried dependent children who are either honorably discharged veterans or on active military duty are exempt from this restriction. For more detailed child care policy on citizenship, aliens and refugee’s see DSSM 3024, these policies apply to the Child Care Subsidy Program.
The Division can provide Child Care services for eligible families where there is at least one U.S. citizen, legal alien or qualified refugee in the family. If one member of the family is a U.S. citizen, legal alien or qualified refugee and he/she meets both technical and financial eligibility criteria, Child Care services can be provided. The Division will evaluate non-US citizen cases on an individual basis.
Non-US citizens referred to the Child Care Subsidy Program through the Division of Family Services, due to a protective need, are eligible to receive services regardless of their citizenship status.
This policy must also be read in accordance with Section 11003, Eligibility Requirements. DSS provides a guarantee for certain forms of Child Care (Categories 11, 12, and 21). This guarantee means that eligible families will receive child care services under these programs. Eligibility for other child care services (Categories 31, 41 and 51) does not come with this same guarantee. Funding for child care services in these programs is capped. Though families may have an eligible child for whom they need care, and though families may meet other requirements of need and income, this does not guarantee that DSS will provide child care. DSS reserves the right for its capped programs to limit, where appropriate, its child care services based on available resources and funding.
Eligible families generally include:
A. TANF recipients who work, attend school or are participating in TANF Employment and Training activities.
B. Families with low incomes, who work.
C. Families with low incomes who attend a job training or education program as defined in section 11002.9.
D. Families who receive Food Stamps and who must participate in E&T.
E. Families who receive or need to receive protective services through the Division of Family Services.
F. Eligible families with a special need (either a child or parent).
9 DE Reg. 572 (10/01/05)
11002.5 Responsibility For The Administration Of Delaware's Child Care Subsidy Program
The Department of Health and Social Services (DHSS) is the agency designated by the State as responsible for Delaware's Child Care Subsidy Program. These child care services are established under the auspices of Title IV-A and Title XX of the Social Security Act, Public Law 101-508 of the Omnibus Budget Reconciliation Act of 1990, and Title 31 of the Delaware Code. Within DHSS, DSS assumes day-to-day responsibility for the administration of child care. This responsibility includes, but is not limited to:
A. developing child care policies and procedures;
B. determining eligible families;
C. setting fiscal policies, including establishing reimbursement rates, creating a parent fee scale, and determining eligibility income limits;
D. collecting, analyzing, and maintaining statistical data on clients who receive services;
E. establishing contracts with child care providers and other interested agencies to carry out the purpose and goals of Delaware's Child Care Subsidy Program; and
F. coordinating with other public and private agencies to ensure and improve the availability and quality of child care.
11002.5.1 Responsibility for Direct Administration of Delaware's Child Care Subsidy Program
Within DSS, direct responsibility for Delaware's Child Care Subsidy Program rests with the Policy and Program Development Unit, DCIS, and the Employment and Training Unit.
The Policy and Program Development Unit assumes primary responsibility for integrating all child care grants into one uniform child care program. This integration includes the development of common policies and practices to ensure continuity of services for all families participating in Delaware's Child Care Subsidy Program.
DCIS through the CCMIS assumes primary responsibility for the development and maintenance of systems designed to support the information needs of both field and administrative personnel. DCIS does this through the recording of client and child care provider data. In addition, the CCMIS provides administration with needed case management and administrative reports for management decision making and to meet federal reporting requirements.
The Employment and Training Unit assumes responsibility for the day-to-day operation of Delaware's Child Care Subsidy Program. These responsibilities include:
A. referring children to Head Start and other profit/non-profit facilities for service,
B. coordinating wrap-around services for Head Start eligible children,
C. coordinating with Delaware Early Childhood Center and others to screen and evaluate disability services,
D. coordinating with local school districts for before and after school care for children eligible for services,
E. providing information to families and others on the availability of subsidized funding for persons in need of child care,
F. soliciting and contracting with child care providers,
G. monitoring child care providers,
H. developing strategies for improving the availability and quality of child care services, and
I. determining eligibility.
11002.6 Legal Authority
The Delaware Child Care Subsidy Program operates under authority of both State and federal laws and regulations. The State grants authority under Title 31 of the Delaware Code. Federal authority is granted through Title XX of the Social Security Act, and Work Requirements under Section 273.7, Title 7, Chapter II of the Revised Code of Federal Regulations, and the Child Care and Development Block Grant as amended by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996.
11002.6.1 State Law
The State Law governing the Child Care Subsidy Program is Title 31, Part I, Chapter 3, Subchapter VI, Delaware Code - Section 391. Intent and Purpose. The intent and purposes of this subchapter of the State Law are to:
A. provide child day care facilities available within this state so as to provide safe, adequate, economical care for children whose mothers, fathers, guardians, or custodians are employed or are seeking employment or are enrolled in training or education courses or where this service would contribute to the resolution of family problems;
B. secure by decentralized neighborhood management the highest attainable degree of assurance that each child day care center will properly and economically meet the needs of those children who can make the best use of that service within their neighborhood under supervision of the Division of Social Services with that objective in view.
11002.6.2 Federal Law/Regulation
In addition to the State Law noted above, Delaware's Child Care Subsidy Program operates under the authority of several rules, including:
A. Providing child care to families receiving TANF benefits who must participate in Delaware’s TANF Employment and Training activities or to persons who work and receive TANF (Categories 11 and 12).
B. Title 7, Chapter II of the Code of Federal Regulations, Part 273.7(d)(iv)(3)(i) states: “The State agency will reimburse the cost of dependent care it determines to be necessary for the participation of a household member in the E&T program up to the actual cost of dependent care, or the applicable payment rate for child care, whichever is lowest. The payment rates for child care are established in accordance with the Child Care and Development Block Grant provisions of 45 CFR 98.43, and are based on local market rate surveys. The State agency will provide a dependent care reimbursement to an E&T participant for all dependents requiring care unless otherwise prohibited by this section.” Such child care is provided as part of the State's Food Stamp Employment and Training Program previously known as First Step - Food Stamps (Category 21).
C. The Child Care and Development Block Grant (part of Categories 31 and 41) as amended by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996.
The purpose of the CCDBG as stated in Rule 98.1 of the CFR is, "to increase the availability, affordability, and quality of child care services." The goals of the grant are:
1. to provide low-income families with the financial resources to find and afford quality child care,
2. to enhance the quality and increase the supply of child care for all families,
3. to provide parents/ caretakers with a broad range of options in addressing their child care needs,
4. to strengthen the role of the family,
5. to improve the quality and coordination of child care programs and early childhood development programs, and
6. to increase the availability of early childhood development and before and after school services.
D. Title XX of the Social Security Act and the Omnibus Budget Reconciliation Act of 1981 establishes child care under the Social Services Block Grant (part of Categories 31 and 41).
The purpose of child care services provided under SSBG is to provide support to families with young children in order for parents to work, obtain training, or receive an education. The program also allows child care to meet the special needs of the child or for the child's protection in cases of abuse and/or neglect.
9 DE Reg. 572 (10/01/05)
11002.7 Other Administrative Policies
Case Managers are to view Child Care Policy as an extension of the DSS Policy Manual. It is part of the whole. Therefore, policies on Administration and Fair Hearings contained in DSSM 1000 and DSSM 5000 equally apply to the Child Care Subsidy Program and the Case Managers who administer it.
Specifically, Case Managers must be familiar with the following corresponding policies on Administration:
1002 - Courteous Treatment of Clients
1003 and 1003.1 to .4 - Confidentiality
1004 - Records to be Kept in Locked Files
1005 and 1005.1 - Case Record Maintenance and Retention
1006 and 1006.1 to .7 - Civil Rights and Non-Discrimination
1007 and 1007.1 to .6 - Complaint Procedures
1008 - Availability of Program Manuals
1009 - Procedures for Serving Non-English Speaking Hispanic Clients
1010 - Procedures for Serving Hearing Impaired Clients
In addition, Case Managers must be familiar with the entire section of DSSM 5000, Fair Hearing Practices and Procedures.
10 DE Reg. 1007 (12/01/06)
11002.8 Seamless Services
The DSS Child Care Subsidy Program operates under the authority of different funding sources, with each source uniquely setting mandates for providing child care services to families. However, the Division combines these sources into one seamless program.
Seamlessness means that families can reasonably expect to continue to receive child care services with the same provider as long as families remain basically eligible (income and need) for services. Therefore, except where specific differences are noted, the policies in this manual act as a uniform standard for our Child Care Subsidy Program.
11002.9 Definitions and Explanation of Terms
The following words and terms, when used in the context of these policies will, unless clearly indicated otherwise, have the following meanings.
A. TANF - Temporary Assistance for Needy Families, a program established by Title IV-A of the Social Security Act and authorized by Title 31 of the Delaware Code to provide benefits to needy children who are deprived of parental support and care. While on TANF, families are eligible for child care only as long as they are working or participating in a TANF Employment and Training activity (Categories 11 and 12).
B. Authorization - Form 618d is the parents/caretakers authority to receive subsidized child care services and is the provider's authority to provide subsidized child care services to eligible parents/caretakers. The authorization informs providers how much care a parent is authorized to receive, what DSS will pay the provider, and what parents/caretakers must pay as part of their fee.
C. Caregiver/Provider - The person(s) whom DSS approves to provide child care services or the approved place where care is provided.
D. Caretaker - The adult responsible for the primary support and guardianship of the child. As used here, this adult is someone other than the child's parent who acts in place of the parent. If a caretaker is unrelated to the child and has not been awarded custody by Family Court or guardianship, the caretaker is referred to the Division of Family Services to make a determination to either approve the non-relative placement or remove the child.
E. CCDBG - Child Care and Development Block Grant. 45 CFR Parts 98 and 99 created by the Omnibus Budget Reconciliation Act of 1990 to provide federal funds without State match to:
1. provide child care to low income families,
2. enhance the quality and increase the supply of child care,
3. provide parents the ability to choose their provider, and
4. increase the availability of early childhood programs and before and after school services.
Under the Division's DCIS II Child Care Sub system, CCDBG is part of Categories 31 and 41.
F. CFR - Code of Federal Regulations. These are the rules the Federal Government writes to implement federal legislation. Once written and approved, they have the force of law.
G. CCMIS - Child Care Management Information System, the name used to describe the Division's payment system for child care.
H. Child - A person under the age of 13, or children 13 through 18 years of age if they are physically or mentally incapable of caring for themselves or in need of protective services.
I. Child Care Category - The DCIS II Child Care Sub system code for the child care funding source. Case Managers choose category codes based on the parents/caretaker’s technical eligibility for service. The codes are:
11 – Participants receiving TANF and not working, but participating in TANF E&T;
12 – Participants receiving TANF and working;
21 --Participants receiving Food Stamps who are mandatory or voluntary participants in E&T and not receiving TANF;
31 - SSBG, CCDBG, and State funds: Income eligible participants. Participants who receive FS and are not E&T mandatory or voluntary;
41 – A participant who is a qualified alien or U.S. citizen is coded as a category 41 when his or her eligibility allows a non U.S. citizen or nonqualified alien to receive child care services. (Example: One child is a citizen and one is not. The citizen child is a 41.)
51 – A participant is coded category 51 when s/ he is not a U.S. citizen or legal alien but receives Child Care services due to a family member in category 41.
J. Child Care Certificate - A form issued to a parent/caretaker which allows a parent/caretaker to choose a child care provider who does not have a contract with DSS. A certificate is not an authorization for child care, but a parent who wishes to select a non-contracted provider of their choice cannot get care unless the provider completes one.
K. Child Care Parent Fee - The amount the parent/ caretaker must pay toward the cost of child care. The fee is based on the income of the parent(s) and children, or the child if the child lives with a caretaker, family size and a percentage of the cost of care based on type of care requested.
L. Child Care Services - Those activities that assist eligible families in the arrangement of child care for their children.
M. Child Care Centers - A place where licensed or license-exempt child care is provided on a regular basis for periods of less than 24 hours a day to 12 or more children, who are unattended by a parent or guardian.
N. Child Care Type - Refers to the setting or place where child care is provided. The four types of care are:
1. Center based (under DCIS II Child Care Sub system Site #17 or 18),
2. Group Home (under DCIS II Child Care Sub system Site #16),
3. Family Home (under DCIS II Child Care Sub system Site #15), and
4. In-Home (under DCIS II Child Care Sub system Site #19).
O. DCIS II - Delaware Client Information System, the automated client information system for the Department of Health and Social Services.
P. Educational Program - A program of instruction to achieve:
1. a basic literacy level of 8.9;
2. instruction in English as a second language;
3. a GED, Adult Basic Education (ABE), or High School Diploma;
4. completion of approved special training or certificate courses; or
5. a post-secondary degree where the degree is part of an approved
DSS Employment and Training program.
The above definition excludes the pursuit of a graduate degree or second four-year college degree. A second associates degree may be attained if it leads to a bachelors degree. The completion of a second associate’s degree can be authorized only if it has a significant chance of leading to employment.
Q. Employment - Either part-time or full time work for which the parent/caretaker receives wages equal to the federal minimum wage or an equivalent. It also includes periods of up to one month of continued child care services when parents/caretakers lose one job and need to search for another, or when one job ends and another job has yet to start.
R. Family Size - The total number of persons whose needs and income are considered together. This will always include the parent(s) (natural, legal, adoptive, step, and unmarried partners with a child in common) and all their dependent children under 18 living in the home.
S. Family Child Care Home - A place where licensed care is provided for one to six children who are not related to the caregiver.
T. TANF Child Care - The name of the child care program for TANF recipients who work or who are participating in a TANF Employment and Training program. Under the DCIS II Child Care Sub system, this is Category 11 and 12.
U. Food Stamp Employment and Training - The program by which certain unemployed mandatory and/ or voluntary Food Stamp recipients participate in activities to gain skills or receive training to obtain regular, paid employment. Persons can receive child care if they need care to participate. This is referred to as Food Stamp Employment & Training (FS E&T). Under the Division's DCIS II Child Care Sub system, this is Category 21.
V. In-Home Care - Care provided for a child in the child's own home by either a relative or non-relative, where such care is exempt from licensing requirements.
It also refers to situations where care is provided by a relative in the relative's own home. This care is also exempt from licensing requirements.
W. Income - Any type of money payment that is of gain or benefit to a family. Examples of income include wages, social security pensions, public assistance payments, child support, etc.
X. Income Eligible - A family is financially eligible to receive child care services based on the family's gross income. It also refers to child care programs under Category 31.
AA. Income Limit - The maximum amount of gross income a family can receive to remain financially eligible for child care services. Current income limit is 200 percent of the federal poverty level.
AB. Job Training/Training - A program which either establishes or enhances a person's job skills. Such training either leads to employment or allows a person to maintain employment already obtained. Such training includes, but is not limited to: Food Stamp Employment & Training (FS E&T) contracted programs, WIA sponsored training programs, recognized school vocational programs, and on-the-job training programs.
AC. Large Family Child Care Home - A place where licensed care is provided for more than six but less than twelve children.
AD. Legal Care - Care which is either licensed or exempt from licensing requirements.
AE. Parent - The child's natural mother, natural legal father, adoptive mother or father, or step-parent.
AF. Parental Choice - The right of parents/caretakers to choose from a broad range of child care providers, the type and location of child care.
AG. Protective Services - The supervision/ placement of a child by the Division of Family Services in order to monitor and prevent situations of abuse or neglect.
AH. Physical or Mental Incapacity - A dysfunctional condition which disrupts the child's normal development patterns during which the child cannot function without special care and supervision. Such condition must be verified by either a doctor or other professional with the competence to do so.
AI. Reimbursement Rates - The maximum dollar amount the State will pay for child care services.
AJ. Relative - Grandparents, aunts, uncles, brothers, sisters, cousins, and any other relative as defined by TANF policy, as they are related to the child.
AK. Residing With - Living in the home of the parent or caretaker.
AL. SSBG - Social Services Block Grant. Under the DCIS II Child Care Sub system, this is Category 31 child care.
AM. Seamless Services - To the extent permitted by applicable laws, a family is able to retain the same provider regardless of the source of funding, and providers are able to provide services to children regardless of the basis for the family's eligibility for assistance or the source of payment.
AN. Self-Arranged Care - Child care which either parents or caretakers arrange on their own between themselves and providers. In this instance, the parents/caretakers choose to use a child care certificate, but the provider does not accept the State reimbursement rate for child care services. DSS limits payment for self-arranged care to its regular provider rates. Parents/caretakers, in addition to any parent fee they pay, must also pay the difference between DSS’ reimbursement rates and the providers’ charge.
AO. Self-Initiated - Clients who enter an education or training program on their own. The education or training program must be comparable to a Food Stamp Employment & Training (FS E&T) - TANF education or training component. Self-initiated clients must receive child care services if there is a child care need.
AP. Special Needs Child - A child under 19 years of age whose physical, emotional, or developmental needs require special care. Both the need and care must be verified by a doctor or other professional with the competence to do so.
AQ. Special Needs Parent/Caretaker - An adult, who because of a special need, is unable on his/her own to care for children. The need must be verified by a doctor or other professional with the competence to do so.
AR. Technical Eligibility - Parents/caretakers meet requirements, other than financial, to receive child care services based on need and category.
AS. Verification - Written or oral documentation, demonstrating either need for service or sources of income.
AT. Purchase of Care Plus (POC+) – Care option that allows providers to charge most DSS clients the difference between the DSS reimbursement rate up to the provider’s private fee for service. The provider receives DSS rate, the DSS determined child care parent fee if applicable, and any additional provider-determined co-pay.
AU. Work Force Investment Act (WIA) - Federal Legislation that consolidates Employment and Training programs and funding streams. This legislation embodies the One Stop Employment and Training Service system under DOL.
8 DE Reg. 1154 (02/1/05)
9 DE Reg. 572 (10/01/05)
10 DE Reg. 564 (09/01/06)
11 DE Reg. 1488 (05/01/08)


