2021 Oregon Revised Statutes
Chapter 329A - Child Care
Section 329A.500 - Employment Related Day Care subsidy program; rules.

(2) The Department of Human Services and the Early Learning Council shall adopt rules for the operation of the Employment Related Day Care subsidy program administered by the department.
(3) The rules adopted under this section must support equitable access to a supply of diverse child care providers that meet the needs of families, as those needs are defined by the department by rule, including:
(a) Cultural diversity;
(b) Linguistic diversity;
(c) Racial and ethnic diversity; and
(d) Diversity of provider types.
(4) The rules adopted under this section must provide that:
(a) A child’s eligibility to participate in the Employment Related Day Care subsidy program must be based on:
(A) The household income of a child’s family; and
(B) Any other criteria established by the department.
(b) A child must be able to receive care that:
(A) Meets the child’s developmental, disability and neurodiversity needs; and
(B) Enables the child’s family to complete activities that relate to family well-being, which may include the family’s work hours, education hours, commute time, study time and other activities that support family well-being.
(c) Payment to child care providers must be based on enrollment instead of attendance.
(d) A child’s family may qualify for an incentive if the family voluntarily chooses a child care provider that participates in the quality recognition and improvement system established under ORS 329A.261. A fair representation of the recipients who qualify for incentives must be families with children who are from underserved racial, ethnic or minority populations. In addition, child care providers that participate in the quality recognition and improvement system may receive financial incentives under the subsidy programs in accordance with criteria established by rule.
(5) Taking into account the availability of funds, the rules adopted under this section must establish a sliding scale for copayment, with the requirement that a copayment may not exceed seven percent of the household income of the child’s family.
(6) In developing rules under this section, the department shall consider policies for increasing the stability and continuity of a child’s access to a family’s preferred child care provider.
(7) Rules adopted by the department under this section establish minimum requirements pertaining to the Employment Related Day Care subsidy program and may not be construed to preempt, limit or otherwise diminish the applicability of any policy, standard or collective bargaining agreement that provides for an increased subsidy or a child care provider reimbursement amount under state or federal law.
(8)(a) The department shall work to meet federal recommendations for income eligibility and market access in regard to the Employment Related Day Care subsidy program administered by the department.
(b) Notwithstanding any provision of this section or any rule adopted by the department pursuant to this section, the laws and regulations applicable to any federal funds shall govern when any aspect of child care is funded by federal funds. [2015 c.698 §1; 2021 c.631 §§8,8b]
Note: The amendments to 329A.500 by section 73, chapter 631, Oregon Laws 2021, become operative July 1, 2023. See section 78, chapter 631, Oregon Laws 2021. The text that is operative on and after July 1, 2023, is set forth for the user’s convenience. (1) As used in this section, "family" means any individual who is responsible for the care, control and supervision of a child.
(2) The Early Learning Council shall adopt rules for the operation of the Employment Related Day Care subsidy program administered by the Department of Early Learning and Care.
(3) The rules adopted under this section must support equitable access to a supply of diverse child care providers that meet the needs of families, as those needs are defined by the council by rule, including:
(a) Cultural diversity;
(b) Linguistic diversity;
(c) Racial and ethnic diversity; and
(d) Diversity of provider types.
(4) The rules adopted under this section must provide that:
(a) A child’s eligibility to participate in the Employment Related Day Care subsidy program must be based on:
(A) The household income of a child’s family; and
(B) Any other criteria established by the council.
(b) A child must be able to receive care that:
(A) Meets the child’s developmental, disability and neurodiversity needs; and
(B) Enables the child’s family to complete activities that relate to family well-being, which may include the family’s work hours, education hours, commute time, study time and other activities that support family well-being.
(c) Payment to child care providers must be based on enrollment instead of attendance.
(d) A child’s family may qualify for an incentive if the family voluntarily chooses a child care provider that participates in the quality recognition and improvement system established under ORS 329A.261. A fair representation of the recipients who qualify for incentives must be families with children who are from underserved racial, ethnic or minority populations. In addition, child care providers that participate in the quality recognition and improvement system may receive financial incentives under the subsidy programs in accordance with criteria established by rule.
(e) A child care provider may be eligible to receive a higher rate of reimbursement or other financial incentives for:
(A) Participating in quality improvement measures;
(B) Providing culturally or linguistically specific or appropriate care;
(C) Providing evening, overnight or weekend care;
(D) Providing care to children with a diagnosed disability;
(E) Providing infant or toddler care;
(F) Providing care to a population that has been identified as historically having an inadequate child care provider supply; or
(G) Providing any other specialized care that justifies a higher rate of reimbursement.
(5) Taking into account the availability of funds, the rules adopted under this section:
(a) Must establish a sliding scale for copayment, with the requirement that a copayment may not exceed seven percent of the household income of the child’s family.
(b) Must provide that eligibility to participate in the Employment Related Day Care subsidy program:
(A) May not be based on the citizenship or legal status of a child or a child’s family; and
(B) Shall, for a child who met the initial eligibility requirements prescribed under subsection (4) of this section, continue for a minimum of 12 months from the date of initial eligibility unless the child’s family leaves this state or requests a termination of benefits or for any other reason identified by the council. Rules adopted under this subparagraph shall give priority to families receiving temporary assistance under the temporary assistance for needy families program described in ORS 412.006.
(c) May provide that a determination of eligibility to participate in the Employment Related Day Care subsidy program consider the availability of family to attend to the child, regardless of the family’s physical presence.
(6) In developing rules under this section, the council shall consider policies for increasing the stability and continuity of a child’s access to a family’s preferred child care provider.
(7) Rules adopted by the council under this section establish minimum requirements pertaining to the Employment Related Day Care subsidy program and may not be construed to preempt, limit or otherwise diminish the applicability of any policy, standard or collective bargaining agreement that provides for an increased subsidy or a child care provider reimbursement amount under state or federal law.
(8)(a) The council shall work to meet federal recommendations for income eligibility and market access in regard to the Employment Related Day Care subsidy program administered by the council.
(b) Notwithstanding any provision of this section or any rule adopted by the council pursuant to this section, the laws and regulations applicable to any federal funds shall govern when any aspect of child care is funded by federal funds.
Note: Section 10, chapter 631, Oregon Laws 2021, provides:
Sec. 10. (1) No later than July 1, 2022, the Early Learning Council shall establish by rule a process by which to determine the true cost of child care compared to the market rate cost.
(2) No later than December 31, 2022, the Early Learning Division shall submit a report to the appropriate interim committees of the Legislative Assembly on the transition to a rate of reimbursement that reflects the true cost of providing care.
[2021 c.631 §10]
Note: 329A.500 and 329A.505 were enacted into law by the Legislative Assembly but were not added to or made a part of ORS chapter 329A or any series therein by legislative action. See Preface to Oregon Revised Statutes for further explanation.

Structure 2021 Oregon Revised Statutes