REPORT TO THE CITY COUNCIL
April 27, 2017
FROM: STEVE BRANDAU, Councilmember for District 2
City Council Offices
SUBJECT
Title
RESOLUTION - In support of Assembly Bill 258, Fresno County child care subsidy pilot program
Body
RECOMMENDATION
EXECUTIVE SUMMARY
AB 258 is a legislative pilot program would authorize Fresno County to develop and implement an individualized county child care subsidy plan until January 1, 2025. This individualized plan would enable Fresno County child care services to retain Title 5 state child care subsidies that currently have to be returned to the state on an annual basis.
BACKGROUND
Fresno County serves approximately 13,922 children in state subsidized child care programs. Unfortunately, existing law does not reflect the fiscal reality of living in Fresno County which results in reduced access to quality child care. Due to the minimum wage increase and that provider reimbursement rates are insufficient to cover the cost, allocated child care subsidy funds are not fully utilized or expended.
Fresno County’s Local Early Education Planning Council approximates that $9.6 million under Title 5 state subsidized child care contracts had to be returned to the state for FY14-15, roughly translating to 1,300 Fresno County children who otherwise could have been served.
AB 258 is modeled after AB 833 (2015) as well as other similar pilots. Like similar pilot projects before, AB 258 would give Fresno County limited local flexibility to maximize allocated funding and efficiently use child care subsidy funds in order to meet local conditions.
Further, AB 258 would allow child care providers to better meet the needs of children and working families, improve access to state subsidized child care programs, and strengthen the fragile child care and development infrastructure without requiring additional state funding.
This bill does not change the total amount of funds allocated to Fresno County for subsidized child care.
ENVIRONMENTAL FINDINGS
N/A
LOCAL PREFERENCE
N/A
FISCAL IMPACT
There is no fiscal impact to the City of Fresno through this legislation.
Attachment: Resolution - AB 258 SUPPORT
AB 258 Fact Sheet (Assemblymember Arambula)