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DHS recommends reducing paid absences in CCAP county rate plan; county staff project roughly $82,000 short‑term savings
Summary
Deputy Director Russ Guerrero proposed lowering paid absence allowances in Pueblo County's Child Care Assistance Program to pre‑pandemic levels; county staff estimate about $82,014 in savings through the end of the fiscal year and said a federal rule to eliminate absences takes effect in fiscal 2026.
Deputy Director Russ Guerrero of Pueblo County Department of Human Services presented a proposal to adjust the county Child Care Assistance Program (CCAP) rate plan by reducing paid absence allowances to levels last used before the COVID‑19 pandemic.
Guerrero told the Board of County Commissioners the proposal would lower paid absences in tiers 1 and 2 from six to three and reduce absences in tiers 3 through 5 from seven to four. Using October utilization data, staff estimated that the change would yield approximately $82,013.64 in county savings through the remainder of the current fiscal year.
Guerrero said many counties returned to pre‑pandemic absence rules when they adjusted rates in October. He described outreach to local providers—an initial online survey had limited responses, and staff subsequently placed calls to providers—and summarized feedback: seven providers said the change would be high impact, one believed the county already applied reduced absences, and another said the reduction would have no impact. Guerrero said many providers indicated interest in training to increase their quality tier, which would raise their reimbursement rates.
On timing, Guerrero and other staff said a federal rule change that would eliminate paid absence tracking and pay providers for authorized services is scheduled to take effect in fiscal year 2026; county staff and the DHS director (tuning in remotely) referenced August 2026 as an effective date to monitor. Staff told the board they will notify providers and monitor impacts; commissioners asked staff to watch for disproportionate effects on individual providers.
The board indicated consensus to proceed with the plan and instructed staff to implement the change and keep communications open with providers. Staff also noted the state has identified additional funding but that estimates of statewide cost or savings are still evolving.
Next steps: DHS to notify providers as required, track effects on local providers and enrollment, and return with updates as state and federal rules shift.
