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  #1  
Old 12-21-2011, 07:08 AM
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awestbrook713 awestbrook713 is offline
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Default Subsidy Question

If a parent is getting daycare subsidy and the who weeks rate isn't paid by it the parent is responsible for the remaining amount, correct? If the parent does not pay this amount can you turn them in? And what happens?
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Old 12-21-2011, 09:39 AM
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MarinaVanessa MarinaVanessa is offline
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You'll need to talk to your provider or payment specialist at your subsity office because they all work differently. For example, the program that I am currently on until recently used to pay the 2 week deposit. As of a few months ago they don't. If the providers don't enforce payment of the 2 week deposit or can't get payment for any penalty fees the subsidy program won't get involved.

It's up to me as a provider to collect my money, not theirs. They urge us to collect payment in advance and refuse child care services if the parents do not pay.

Here the only time that the subsity program gets involved is when the family is obligated to pay a "family fee" (a portion of the childcare fees) and they don't. When this happens the provider has to contact their provider specialist to report this and the families subsity is temporarily suspended until their portion of the fees are paid. Usually during the suspension the families daycare fees are not paid and if the provider provides childcare during this time (often days to weeks) the subsity program will not reimburse the provider and it is up to the provider to get that money from the family.

BUT I have also heard that in some places if the provider's rates are higher than what the subsidy payment covers, if the provider charges a 2 week deposit or if the family incurs penalty fees (late pick up fees, late payment fees, bounced check fees etc.) providers are NOT allowed to ask the family for these fees.

Your best bet is to call your agency and ask them.
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Old 12-21-2011, 09:51 AM
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It's different everywhere. I have heard that in some states, the provider is expected to take whatever the state pays and cannot ask the parent for a dime....which is why so many providers don't take state paid clients! I wouldn't if it was done that way..

I am in Utah. The state pays whatever they decide on and the parents is expected to make up any difference. Parents are told this by the state. We also get paid in advance from the state too. I understand in some states you have to send in hours etc and get reimbursed.
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Old 12-21-2011, 09:55 AM
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I have already called and verified that they are responsible for any amount over what my reimbursement is, I am just wondering and guess I will have to call and find out what the penalties are (if any) towards the daycare families if they don't pay their portion.
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Old 12-21-2011, 09:56 AM
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Oh and meeko I'm jealous you get paid in advance I have to wait until the second week of the following month for my reimbursement
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Old 12-21-2011, 09:59 AM
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Originally Posted by awestbrook713 View Post
Oh and meeko I'm jealous you get paid in advance I have to wait until the second week of the following month for my reimbursement
If you even get it.

A provider friend of mine has had a child for MONTHS and still has not been paid.

Hopefully your county is better then ours. I won't take state paid clients because of that reason!
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Old 12-21-2011, 10:08 AM
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Wow I hope shes been calling them and staying on top of the problem, apparently my county is the county they use as the example for all other counties in the area. This month was the first month I received a payment and it was only a few days after they were supposed to cut the checks but I believe I am going to have trouble with one of my families paying the extra and want to get my ducks all in a row now rather then wait. I just called my licensor and am waiting on a call back so I can update her on a situation I am having and ask a few questions I have.
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Old 12-21-2011, 10:27 AM
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In WI, they authorize a certain number of hours, and the state pays a portion according to the families income, number of children that family has in the program, and regulation level of the provider. Centers get paid by enrollment, and licensed family used to, but as of August 2011, they only pay attendance. The family is supposed to pay the difference.

Ok, so you're low income enough to qualify for childcare subsidy, and if your child is sick, you not only miss a day of work, but you have to pay EXTRA for childcare that week because now the state wont? dope and drop, anyone???

I am very selective about my subsidy families. They still have to pay a FULL week's tuition ahead of time to enroll. Since most subsidies are no more than half of that, at least I am less likely to get ripped off.

Oh, and no copay, no care...sorry!
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Old 12-21-2011, 10:33 AM
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Quote:
Originally Posted by Meeko60 View Post
We also get paid in advance from the state too. I understand in some states you have to send in hours etc and get reimbursed.
LUCKY!! I'm so jealous. Here we get paid for the month after the fact and payment for one month won't get here until 2 months later. I'm in CA and the program that I'm enrolled in allows me to require the parent to pay for the first 2 months oiut of pocket until I receive the 1st subsity payment, I then reimburse the parent back. Sometimes I get shorted (the program here changes almost monthly) and I'm also able to ask for payment from the parents when this happens.

They don't cover penalty fees so when a parent on subsity incurs one and doesn't pay it I immediately suspend childcare services and call their parent specialist to let them know if they miss any days. The days that the parent covers aren't paid for by the state so these days are required to be paid by the parent as well (I charge a flat weekly rate). If the child doesn't attend DC for 5 days straight for any reason, including because I refuse DC services to them for non-payment, their assistance is suspended and they have to back into the office and re-do paperwork. It's a HUGE hassle so most families make sure to pay any fees they owe right away. I havn't had many families on subsidy and not really that many issues.
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Old 12-21-2011, 10:52 AM
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Originally Posted by awestbrook713 View Post
Oh and meeko I'm jealous you get paid in advance I have to wait until the second week of the following month for my reimbursement
I understand we are really lucky here.

The state is pretty provider friendly. They always pays on time. (the actual money transactions are handled by JD Powers and Assoc). Funds are placed on the parents "Horizon" (welfare) card. We punch in a few numbers over the phone and funds are automatically transferred to my bank account. Providers have a special web site we can go to at the end of each month to see what will be on the cards of our state clients on the 1st of the next month. So no surprises on the 1st. No funds means no care! But parents only have to re-certify every 6 months...so I just try to remind them that not doing it on time means late funds and no care until there (or they have to pay cash).

Many years ago we had to send in sign in and out sheets etc and fill out claim forms and we got paid a month (at least) in arrears. Then they listened to us providers and agreed that why should the PROVIDER do so much work and then have to wait to be paid?

So in their wisdom (NOT!) they tried making day care funds available for the parent to pull out from an ATM to give to their provider on the 1st of each month. Well as you can imagine, a lot of providers were not getting paid because parents were pulling out hundreds of dollars from an ATM and deciding that a trip to the mall was more fun that handing it over to their provider or they were paying other bills with the cash and making all kinds of excuses to their provider (ATM was broken/only gave them half the money/machine ate the card....blah blah blah) So that stopped in a hurry. If only they had asked providers what we thought of that idea before they tried it!

So now, the funds are not available to anyone except the authorized provider from the card (we have an access code) The money is usually in my account the day after I do the transfer.

It changed because we made lots of noise as a group and it worked!
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Old 12-21-2011, 11:17 AM
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Quote:
Originally Posted by meeko60 View Post
i understand we are really lucky here.

The state is pretty provider friendly. They always pays on time. (the actual money transactions are handled by jd powers and assoc). Funds are placed on the parents "horizon" (welfare) card. We punch in a few numbers over the phone and funds are automatically transferred to my bank account. Providers have a special web site we can go to at the end of each month to see what will be on the cards of our state clients on the 1st of the next month. So no surprises on the 1st. No funds means no care! But parents only have to re-certify every 6 months...so i just try to remind them that not doing it on time means late funds and no care until there (or they have to pay cash).

Many years ago we had to send in sign in and out sheets etc and fill out claim forms and we got paid a month (at least) in arrears. Then they listened to us providers and agreed that why should the provider do so much work and then have to wait to be paid?

So in their wisdom (not!) they tried making day care funds available for the parent to pull out from an atm to give to their provider on the 1st of each month. Well as you can imagine, a lot of providers were not getting paid because parents were pulling out hundreds of dollars from an atm and deciding that a trip to the mall was more fun that handing it over to their provider or they were paying other bills with the cash and making all kinds of excuses to their provider (atm was broken/only gave them half the money/machine ate the card....blah blah blah) so that stopped in a hurry. If only they had asked providers what we thought of that idea before they tried it!

So now, the funds are not available to anyone except the authorized provider from the card (we have an access code) the money is usually in my account the day after i do the transfer.

It changed because we made lots of noise as a group and it worked!
thats it, we are moving to utah!!!!!
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Old 12-21-2011, 11:52 AM
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Quote:
Originally Posted by awestbrook713 View Post
Wow I hope shes been calling them and staying on top of the problem, apparently my county is the county they use as the example for all other counties in the area. This month was the first month I received a payment and it was only a few days after they were supposed to cut the checks but I believe I am going to have trouble with one of my families paying the extra and want to get my ducks all in a row now rather then wait. I just called my licensor and am waiting on a call back so I can update her on a situation I am having and ask a few questions I have.
If you already know parents are responsible for whatever the state doesn't pay then you should be collecting that money IN ADVANCE and DO NOT allow the child to come into care if they aren't paid up. This is why so many providers are owed money!!!! I've never been owed a cent in the 10 years I've been doing daycare - because you pay me on Friday for next week. If you forget you have all weekend and Monday morning to get it to me (w/late fees of course) but if you show up Monday morning with dck but no money you do not get to leave dck here. There is an ATM right down the street - I would put parent and child back in the car and direct them to that bank!!!

Not sure in your area, but I believe in most the state/county will not get involved in what the parent owes YOU, but you can just call them up and let them know you are not accepting child because their fees are not paid it could affect their eligibility and if they find out they are losing their subsidy they will pay up!!

I do not take state paid at all anymore - one bad experience and I was done!!!
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