HHS Cracks Down on Child Care Payments: Ending Loopholes for Attendance-Based Funding (.gov)


The U.S. Department of Health and Human Services (HHS) is taking action to tighten regulations around child care funding, specifically targeting a Biden-era rule that allowed states flexibility in how they paid child care providers. This shift signifies a return to stricter accountability measures aimed at ensuring child care dollars are directly tied to attendance. **The Issue: Attendance vs. Payments** The previous rule, implemented during the Biden administration, gave states more leeway in determining how child care providers were paid. This included options that didn't strictly necessitate a child's documented attendance for payment. While proponents argued this provided crucial support to centers, particularly during the COVID-19 pandemic, critics raised concerns regarding potential misuse of funds and a lack of clear accountability. **HHS's Stance: Attendance Matters** Under the new guidance, HHS will likely emphasize the importance of using attendance as the primary basis for payments. This means that providers will likely need to demonstrate a child's presence in order to receive funding. Details concerning implementation timelines and specific nuances of the updated policy are expected in forthcoming HHS publications. This shift is designed to ensure taxpayer dollars are being used efficiently and effectively to support the children and families using child care services. **What This Means for Child Care Providers and Parents** * **Providers:** Expect revised reporting requirements, focusing on accurate attendance records. This may influence operational strategies, potentially impacting staffing levels and program administration. * **Parents:** The change could influence tuition costs and access to specific child care programs. Transparency from providers is key as these policies are refined. **Looking Ahead** Stay tuned for official updates from HHS (.gov) on the specifics. This announcement is a signal of HHS's commitment to robust oversight in the child care sector, promoting responsible stewardship of vital funding. We will continue to update this article as new information becomes available.

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