Within the federal eligibility parameters of CCDF, states have flexibility in setting income eligibility guidelines, parental co-payment fees, reimbursement rates to child care providers, target populations receiving priority for services, the number of work or education/training hours required, and the length of certification periods. Based on state-defined eligibility rules for fiscal year 2006, the initial income eligibility limits for three person families ranged from about $18,200 to $46,200. Some states allow counties and other localities to set income eligibility limits lower than the limit set by the state. Some states also allow higher income eligibility limits for families already receiving child care subsidies. Federal regulations require states to submit CCDF Plans that outline state-defined eligibility rules for CCDF funds to the U.S. Department of Health and Human Services every two years.
An estimated 14.57 million children were federally-eligible for child care assistance in an average month in 2006. Under state-defined eligibility rules, an estimated 8.01 million children were eligible for child care assistance in an average month in 2006 (see Figure 4).
Number of Children Eligible and Number of Children Receiving Child Care Subsidies (1,000s),
Average Monthly, 2006
Figure 5 shows the extent to which children eligible for child care subsidies based on federal parameters were eligible under the rules defined by their state of residence. Slightly more than half (55 percent) of federally-eligible children were eligible for subsidies under state-defined rules. Almost all (95 percent) federally-eligible children from families with incomes less than 100 percent of poverty were eligible under state-defined eligibility rules. By comparison, less than a quarter (22 percent) of federally-eligible children from families with incomes greater than 150 percent of poverty were eligible for services in their state. This Figure shows only the percentage of children eligible for subsidies based on federal parameters that also were eligible under state rules and does not indicate rates of service.
Percentage of Children Potentially Eligible Under Federal Parametres that are also Eligible Under CCDF-Defined Rules,
by Poverty Status, Average Monthly, 2006
|All Children||<=100% poverty||101-150% poverty||<150% poverty & <85% SMI|
|Eligibile in Child's State of Residence||0.55||0.95||0.86||0.22|
|Not Eligible in Child's State of Residence||0.45||0.05||0.14||0.78|
Approximately 31 percent of all children eligible under state-defined rules received subsidized care through CCDF or related government funding streams in fiscal year 2006 (see Figures 6a and 6b). As was the case when considering federally-eligible children, children eligible for assistance under state-defined rules who were between the ages of 1 and 4 (46 percent of children ages 1-2 and 50 percent of children ages 3-4) or from families with incomes below poverty (41 percent of all eligible children from families with incomes below 100 percent of poverty) were the most likely to be served.
Percentage of Chlidren Eligible Under CCDF State-Defined Rules that Receive Child Care Subsidies, by Age and Poverty Status, Average Monthly, 2006
|All Ages||Ages 0 to 4||Age 0||Ages 1-2||Ages 3-4|
|<= 100% Poverty||0.41||0.53||0.34||0.57||0.58|
|All Eligible Children||0.31||0.43||0.24||0.46||0.5|
|All Ages||Ages 5 to 12||Age 5||Ages 6-9||Ages 10-12|
|<= 100% Poverty||0.41||0.33||0.53||0.35||0.2|
|All Eligible Children||0.31||0.24||0.39||0.27||0.14|