Assembly hearing reviews childcare rate-reform transition plan; advocates press for inclusive funding and provider pay

The California State Assembly heard presentations and public comment on a proposed childcare rate-reform transition plan, with the Legislative Analyst's Office (LAO) outlining eight interim steps and advocates urging immediate relief for providers and inclusion of underserved counties.

Dylan Oksalitza of the Legislative Analyst's Office presented the plan, saying “this plan consists of 8 parts and is on page 36 of the agenda.” The LAO described interim rate adjustments to existing rate tables beginning Jan. 1 of the budget year, preservation of the single-rate rule that the higher of the Standard Reimbursement Rate (SRR) or Regional Market Rate (RMR) applies, maintenance of annualized cost-of-care rate supplements, an updated statutory hold-harmless floor, elimination of the private-market cap in the RMR statute, one‑time systems transition funding with JLBC approval for CDSS and CDE, authority for a 2026 cost-study contract, and a requirement that CDSS and CDE collect and report parent co-pay data by county and program annually beginning Jan. 1, 2026.

An administration representative told the committee the administration is working through the rate-and-quality advisory panel to present…