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Old 06-28-2017, 08:48 AM
hwichlaz's Avatar
hwichlaz hwichlaz is offline Member
Join Date: May 2013
Location: California
Posts: 2,050
Default Rate Increase Letter....

This is the letter I'm sending to my subsidy agency. I'm kind of pushing the envelope a bit for policy changes and what the local market will support, but I'm full with a waitlist.

Rate Increase Notice for
(daycare name and address redacted)

Effective September 1st, 2017 the following rates for childcare apply:

Infants $36 per day, minimum $108 per week
2 -5 year olds $33 per day, minimum $99 per week
School aged $33 per full day, over 4 hours, minimum $99 per week.
$25 per day for after school care under 4 hours minimum $99 per week.

Other fees: $50 enrollment/supply fee. One time per enrollment period.
Tuition is based on enrollment, NOT attendance. Payment is due regardless of attendance.

Policy Changes: While I still take my vacation time off unpaid, I will now be paid for all Federal holidays that fall on a day your child would otherwise be in attendance as well as your family vacations.

See holiday list on reverse:
The following Federal holidays are established by law (5 U.S.C. 6103):
New Year's Day (January 1).
Birthday of Martin Luther King, Jr. (Third Monday in January).
Washington's Birthday (Third Monday in February).
Memorial Day (Last Monday in May).
Independence Day (July 4).
Labor Day (First Monday in September).
Columbus Day (Second Monday in October).
Veterans Day (November 11).
Thanksgiving Day (Fourth Thursday in November).
Christmas Day (December 25).

My vacation days (unpaid) for 2017-2018 School year.
Friday, November 24th
Tuesday, December 26th

My family vacations will be scheduled with 4 weeks notice.
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Old 06-28-2017, 08:51 AM
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Blackcat31 Blackcat31 is offline
Join Date: Oct 2010
Posts: 19,760

Is this something you have to supply to your subsidy agency or something you are giving to parents?

It doesn't mention when payment is due and if it's pre-paid.

Also, I am surprised your rates are lower than mine. CA has always been a lot more expensive in comparison to where I live.
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Old 06-28-2017, 08:56 AM
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hwichlaz hwichlaz is offline Member
Join Date: May 2013
Location: California
Posts: 2,050

The county I'm in is one of two really low paid counties. Unless you work a gov. job or in mngmt you're likely only getting minimum wage. I base my rates on the market rate survey that comes out every 2 years. I'm in Lake County. If I were in Napa or Sonoma I'd be getting nearly twice the amount per child.

I'm giving it both to parents and my resource and referal, which is also the subsidy sponsor and food program sponsor. I only have one subsidized family, but if I don't notify them in writing they won't change the rate that they pay me.
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Old 06-28-2017, 09:42 AM
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Leigh Leigh is offline Member
Join Date: Apr 2013
Posts: 3,821

Originally Posted by Blackcat31 View Post
Is this something you have to supply to your subsidy agency or something you are giving to parents?

It doesn't mention when payment is due and if it's pre-paid.

Also, I am surprised your rates are lower than mine. CA has always been a lot more expensive in comparison to where I live.
They're lower than my rates, too (I'm in SD)!
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Old 06-28-2017, 09:57 AM
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hwichlaz hwichlaz is offline Member
Join Date: May 2013
Location: California
Posts: 2,050

Originally Posted by Leigh View Post
They're lower than my rates, too (I'm in SD)!
California is the size of a small country. 5th largest economy in the world. We have counties the size of small states. Our wages, cost of living, and child care rates vary widely depending on where you live. My county is very poor.
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Old 06-28-2017, 10:00 AM
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daycare daycare is offline
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have you seen this?

2017-18 State Budget Signed! Child Care Gains!!
Click here to see all 2017-18 Budget Information. More specific details below. However it is fitting to recognize and say thanks to a true leader and champion of the increase in child care funding, 12 month eligibility, and increasing SMI goes to Parent Voices! Please read the release from Mary Ignatius, Parent Voices Statewide Organizer 415-420-2349:

Parents Win $25m in state budget stabilizing child care for 280,000 families
SACRAMENTO, Calif., June 27, 2017 - "When I found out the income guidelines being used were ten years old, I felt betrayed. Everything today costs more than it did a decade ago. I recently had to turn down a $0.50 raise because I would lose my affordable child care. I am so excited that I can get back to making progress, this is literally going to change our lives," said Krystal Johnson, a mother of two. Today, the Governor signed his 2016-17 Budget Bill, which includes $25 million to end the decade old freeze on the state median income (SMI) used to determine income eligibility for subsidized child care and authorizes 12 months of continuous eligibility and stability for families, children, and the providers who care for them.

With the recent incremental increase to the State's minimum wage, some families were no longer eligible for affordable child care they depend on to go to work adding to the urgency of fixing the policy. For the last four years, members of Parent Voices, a statewide grassroots parent advocacy group, led and organized a budget and legislative campaign to call attention to the negative effects outdated income eligibility had on their families.

Krystal does not stand alone. Through outreach and education, Parent Voices found there were thousands of parents across the state that either lost or were close to losing their child care subsidy assistance prematurely, because their income eligibility was artificially deflated by repeated freezes of the criteria. Over the last four years, 50 parents testified at key budget and legislative hearings and 2,000 parents visited their legislators speaking about the humiliation of turning down hard earned raises for the fear of losing their subsidy and how it would disrupt the stability they finally made in their lives. Parents also met with the Department of Education, Department of Finance, and the Governor's office to call on their support. Across the state, parents can claim victory and know that grassroots organizing efforts can really make a difference in budget and legislative policy.

Parent Voices believe in order for policies to benefit, rather than hurt families, those directly affected need to advocate for themselves. Although Ana Estella Calles became ineligible for child care during the campaign, it did not stop her from wanting to fight for other families. "I testified at hearings to describe how difficult and stressful it was to ask my employer every four months for paystubs and to sign employment verification forms when I had a subsidy. I didn't want any other parent to experience that level of stress and fear. I am glad there are groups like Parent Voices that help us take our stories and turn them into social change."

The benefits of these policies expand across the entire system:
Parents can continue to progress in their careers by confidently taking the raises, promotions, better job opportunities and extra hours without fear of losing affordable child care.
Children will benefit from continuity of care for a minimum of 12 months which allows them to build strong relationships with their caregivers.
Child care providers and owners can better plan for their businesses knowing children will be in those slots for a minimum of 12 months.
Employers will benefit from a more stable workforce because they have continuous child care and will only have to sign off on documentation once a year.
School districts and preschool centers will fill empty classrooms because they can enroll more families.

This win is also a result of partnership and collaboration, including the Child Care Law Center who co-sponsored AB 2150 and AB 60 with us, wrote the legislation, provided invaluable technical assistance,and supported parents to understand their legal right to appeal terminations; California Budget and Policy Center who for the last four years provided key data and analysis that helped the campaign; the entire child care advocacy community who supported AB 60 and advocated for the changes through the budget; and the Stronger CA Advocates Network who adopted these policy priorities under its child care pillar. In the Legislature, we are grateful to the Leadership of Assembly Member Miguel Santiago who was the principal author of AB 2150 and AB 60 as well as Assembly Member Lorena Gonzalez-Fletcher who was a joint author of both bills. We would also like to thank Legislative Leadership: Speaker Anthony Rendon, Senate Pro tem Kevin de Leon; Budget Chairs: Assembly Member Phil Ting and Senator Holly Mitchell; and Legislative Women's Caucus who has championed child care as their exclusive budget priority.

After the child care system lost $1 billion during the recession, these changes, along with increasing the reimbursement rates to child care providers, are a comprehensive step towards stabilizing our families and workforce again. "With so much uncertainty at the federal level, expanding and protecting access to child care here at home will help bring much needed stability and security to CA's working families and the child care providers we depend on." stated Mary Ignatius, Parent Voices Statewide Organizer.

If you are interested in interviewing parents, please contact Mary Ignatius at 415-420-2349.

Below are a couple specifics from the newly signed budget:
$25 million to increase the State Median Income and 12-month eligibility - would require income eligibility and ongoing income eligibility calculations to be adjusted for family size, as provided. The budget would require the Department of Finance to calculate the state median income for various family sizes for this purpose, as provided, and to update those calculations and provide them to the State Department of Education no later than May 1 of each fiscal year.
$42.2 million to increase the Regional Market Rate Reimbursement to child care providers serving low-income families
- Annualizes existing rates with increased rates that go into effect January 1, 2018.
Restore the 5% "paused" increase On July 1, 2017, the standard reimbursement rate will be $11,360.00 and will make the full-day state preschool reimbursement rate $11,432.50. Commencing with the 2018-19 fiscal year, these reimbursement rates will be increased by a specified cost-of-living adjustment.
$15 million to fund emergency child care for foster children, beginning Jan 1, 2018 and $31 million ongoing to establish a voluntary county program that would provide emergency vouchers and $5 Million to the R&R's for navigation services for families. Click here to read press release.
Title 22 regulations and staffing ratios still apply to LEA-administered preschools until July 1, 2018. Establish a stakeholder group, led by the LAO, to examine health and safety regulatory requirements under Title 22, and to report back to the Legislature by March 2018.
Currently CDE is in process of finalizing the family fee schedule.
CAPPA will continue to share and support the field with information. If you have anything to share, email us.
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Old 06-28-2017, 10:03 AM
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hwichlaz hwichlaz is offline Member
Join Date: May 2013
Location: California
Posts: 2,050

I only have one subsidized family. They (California Department of Education) do a yearly market rate survey of all providers to determine what the average daycare rate is. I base my increases on that survey. I take the weekly rate, round it up, and divide it by 5 to get my daily rate. By law, I have to charge private and subsidized families the same amount. The subsidized families already pay a copay to the subsidy agency, I'd rather not collect from them as well. This method keeps my rates slightly above average.
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Old 06-28-2017, 10:08 AM
hwichlaz's Avatar
hwichlaz hwichlaz is offline Member
Join Date: May 2013
Location: California
Posts: 2,050

An example of the disparity between counties...

I'll do just infants to compare.

Monthly full-time infant

Lake County $707.83
Los Angelas County 927.25
San Francisco County 1210.51
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Old 03-03-2021, 12:57 AM
Posts: n/a
Default Sample letter to increase rates

Dear Parents,

We would like to thank you for your trust and support throughout these years. We certainly value and hope we can continue our relationship as we consider it an honor to have your children participate in our Early Childhood Education Program.
The "childcare name" Family has always been mindful of costs of raising a child, not to mention several. We have tried to keep fees low, while providing your children with a safe, regulated, educationally enriched program. As many businesses in this economy, we are working to continue to deliver quality services to your children daily. Last year, just before the pandemic hit us, we were in the process of rising our rates, but decided not to do so due to the uncertainty that came with it. Now that we are almost turning the page on such as devastating situation which directly or indirectly had affected us and due to the increase in cost to continue to do business, we are sending you this communication to inform you that starting "DATE(30 days notice min)" our rates will be increased as shown on the table below. Also please note a slightly change on our holidays and the way they will be implemented if they fall within weekends.
Thank you for your understanding. We look forward to continuing providing an environment in which young children can grow and develop physically, socially, emotionally, and intellectually.
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