Board approves FY25 increase to childcare financial assistance reimbursement rates

The Board of Early Education and Care voted to approve the Department of Early Education and Care's Option 1 proposal for fiscal 2025 reimbursement rate increases for programs that accept state childcare financial assistance (CCFA).

The board approved a recommendation described by staff as a targeted approach that dedicates more funding to rates that are farthest from a cost-of-care benchmark while also providing increases across all program types and regions. Amy Checkaway, EEC senior staff, told the board that the agency's analysis showed per-child costs rose between 12% and 26% over the prior two years depending on age group, program type and region. She said the department aims to use a cost-based methodology to inform rates and to prioritize places and program types furthest from the estimated cost…