M E M O R A N D U M

TO:                 EES Program Administrators

FROM:           Dr. Carla Whiteside-Hicks, EES Director

DATE:           February 21, 2024

SUBJECT:    Implementation Instructions for Child Care Poverty Level Changes Effective April 1, 2024

Child Care

1. Poverty Level Changes - This year the monthly gross income amounts will be updated on the Child Care Family Income and Share Schedule to reflect changes in the federal poverty guidelines and the state median income levels effective April 1, 2024. The tables were updated overnight on February 15, 2024 and the changes are effective April 1, 2024. KEES will look at all active Child Care programs, recalculate their Family Plans with a Type of ‘FP’ and Change Reason of ‘Other Change Reason’, and run EDBC for the Come-Up Month. These actions mimic that of a caseworker–NOAs and Family Plans will go out based on EDBC results.
   
   With this adjustment to the poverty levels, the family share deductions (FSD’s) are also being adjusted. FSD’s were determined using the same formula that has been used since July of 2021. Since income limits are increasing, FSD’s are also increasing. Those new family share deductions will be applied to all new child care plans beginning April 1, 2024 or after. In accordance with KEESM 7541, FSD’s for ongoing cases will not increase during the current eligibility period.
   
   Timeline of Events:
   
   
   • February 15, 2024: KEES was updated with the table changes effective April 1, 2024. Note: The changes will not affect Family Share Deductions already attached to existing Family Plans. This will occur with the federal poverty guideline batch process. New plans written after this date will reflect the new amounts.
     
     
   • February 16, 2024: Come-up Month became available. Any cases processed for April benefits will have the table changes applied.
     
     
   • The weekend of February 24, 2024: For all active family plans, a batch will update family plan income limits, recalculate the family plan, run EDBC, and send appropriate notices. KEES will prevent FSD’s from increasing before the end of an existing eligibility period.
     
     
   • Overridden Family Plans will be skipped for each month that is overridden. EDBC will run and a NOA will be sent.
     
     
   • March 15, 2024: Regular Child Care EDBC – Run any Child Care program that has not yet had April EDBC run.
     
     
2. Initial Income Limits
   
   Effective April 1, 2024 the income limits for initial eligibility for child care assistance will change from 250% of the Federal Poverty Level (FPL) to 85% of the State Median Income (SMI). With this change, there will no longer be different income limits for initial eligibility and eligibility at the time of a review. The column showing Level XII eligibility limits on the F-1 Monthly Eligibility Family Income and Family Share Deduction Schedule will change from the 250% FPL levels to the new limits of 85% SMI, so Levels XII and XIII will be identical. This is intentional.