TITLE: CONCERNING CONSOLIDATED CHILD CARE SERVICES, AND MAKING AN APPROPRIATION IN CONNECTION THEREWITH.

Fiscal Impact Summary	FY 1999/2000	FY 2000/2001
State Revenues General Fund
State Expenditures Federal Fund	$470,000	$470,000
FTE Position Change	0.0 FTE	0.0 FTE
Other State Impact: None
Effective Date: July 1, 1999
Appropriation Summary for FY 1999-2000: Department of Human Services — $470,000 FF
Local Government Impact: None

The bill requires the Department of Human Services (DHS), with input from the Department of Education (DOE), to issue a request for proposal (RFP) before July 1, 1999, seeking six additional pilot site agencies to deliver community consolidated child care services. These six sites are added to the currently existing twelve pilot sites. On or after July 1, 2000, DHS, with input from DOE, is authorized to issue an RFP for additional pilot site agencies, as deemed appropriated by DHS. Pilot sites are required to submit specific information annually to DHS and DOE to allow the departments to annually review the information and determine the need for continued pilot site designation and to establish and negotiate contracts or agreements as needed. The bill states the intent of the General Assembly that no additional state moneys be appropriated for implementation of the pilot program for community consolidated child care services on or after July 1, 1999.

Additionally, DHS is required, through an RFP process, to contract with an individual or entity to prepare an independent evaluation of the effectiveness of the pilot program. The terms of the evaluation are stipulated in the bill.

DHS indicates that it currently allocates $250,000 federal funds to the existing twelve sites. In addition to a federal requirement that a portion of federal moneys currently received for child care services be dedicated to quality, the state anticipates approximately$470,000 in federal Child Care Development Funds for the sole purpose of quality. The bill appropriates these federal funds to DHS for the pilot program for community consolidated child care services.

The bill states that no additional state moneys be appropriated for implementation of the pilot program on or after July 1, 1999. Therefore, the fiscal note assumes that of the $470,000 available from Child Care Development Funds, all activities required under the bill will be accomplished within the $470,000 appropriation: RFP process; annual reviews; independent evaluation; and allocations to the respective sites. The fiscal note assumes that the $470,000 will allow for six added pilot sites and possible increased allocations to the current twelve sites.

The fiscal note assumes that the same level of funding will be available through federal funds in FY 2000-01 to continue the pilot program for community consolidated child care services.

The bill includes an appropriation for FY 1999-00 for $470,000 federal funds to the Department of Human Services.