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Child Care High Performance Bonus Measure Background HHS' proposed final rule for the high performance bonus does not include a measure for child care, despite strong commentor support for the measure and HHS' acknowledgement that child care is of critical importance to working families and welfare reform. In general, HHS cited concerns about encouraging unintended State behaviors and the additional data requirements and burden associated with creating an acceptable measure in declining to include a measure at this time. OMB and DPC have worked together to develop a measure that rewards high performance while attempting to limit any unintended consequences. The proposed measures also limits added administrative burden by relying primarily on previously vetted measures and existing data collections. While DPC staff support a high performance bonus based on the first two proposed measures outlined below, they have strong reservations about including the third measure. OMB staff believe that the third measure, access to regulated care, is the best available proxy measure for quality, and strongly support the inclusion of all three measures. Both staffs agree on the need for a final HHS review to ensure equal access to care. Proposed Measure The child care bonus measure would consist of two or three quantitative measures, weighted by their relative importance, and a final review factor that could be applied at the Secretary's discretion to ensure that the State provides equal access to affordable care and do not make programmatic changes that might reduce access to care in order to improve their chances of winning a bonus (such as, increasing co-payments to spread the coverage across more children or reducing payment standard.). Quantitative measures: 1. CCDF coverage - the estimated proportion of eligible CCDF children served by a State with CCDF-funded subsidies and included in CCDF administrative data; 2. additional State investment in child care - CCDF transfers to TANF, additional (unmatched) State expenditures through CCDF, and State-reported direct TANF spending on child care; and 3. accessibility of regulated care - the number of slots in regulated care per eligible CCDF child. Weights The two or three factors would be weighted to place greater emphasis on CCDF coverage (60-70%) and less emphasis on additional investments (20-30%) and accessibility (10%). Final Review After states have been ranked according to the proposed measure, HHS may review the state's "equal access" state plan summary (required by 45 CFR 98.43) and practices; if the state has failed to take steps that ensure equal access to care (for example, by basing payment rates on a

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    "ocrText": "Child Care High Performance Bonus Measure\nBackground HHS' proposed final rule for the high performance bonus does not include a measure\nfor child care, despite strong commentor support for the measure and HHS' acknowledgement that\nchild care is of critical importance to working families and welfare reform. In general, HHS cited\nconcerns about encouraging unintended State behaviors and the additional data requirements and\nburden associated with creating an acceptable measure in declining to include a measure at this\ntime.\nOMB and DPC have worked together to develop a measure that rewards high performance while\nattempting to limit any unintended consequences. The proposed measures also limits added\nadministrative burden by relying primarily on previously vetted measures and existing data\ncollections.\nWhile DPC staff support a high performance bonus based on the first two proposed measures\noutlined below, they have strong reservations about including the third measure. OMB staff believe\nthat the third measure, access to regulated care, is the best available proxy measure for quality, and\nstrongly support the inclusion of all three measures. Both staffs agree on the need for a final HHS\nreview to ensure equal access to care.\nProposed Measure The child care bonus measure would consist of two or three quantitative\nmeasures, weighted by their relative importance, and a final review factor that could be applied at\nthe Secretary's discretion to ensure that the State provides equal access to affordable care and do\nnot make programmatic changes that might reduce access to care in order to improve\ntheir chances of winning a bonus (such as, increasing co-payments to spread the\ncoverage across more children or reducing payment standard.).\nQuantitative measures:\n1.\nCCDF coverage - the estimated proportion of eligible CCDF children served by a State with\nCCDF-funded subsidies and included in CCDF administrative data;\n2.\nadditional State investment in child care - CCDF transfers to TANF, additional (unmatched)\nState expenditures through CCDF, and State-reported direct TANF spending on child care;\nand\n3.\naccessibility of regulated care - the number of slots in regulated care per eligible CCDF\nchild.\nWeights The two or three factors would be weighted to place greater emphasis on CCDF coverage\n(60-70%) and less emphasis on additional investments (20-30%) and accessibility (10%).\nFinal Review After states have been ranked according to the proposed measure, HHS may review\nthe state's \"equal access\" state plan summary (required by 45 CFR 98.43) and practices; if the state\nhas failed to take steps that ensure equal access to care (for example, by basing payment rates on a"
}