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Ways & Means committee hears analysis showing mixed family savings and higher provider revenue under proposed full-day pre-K payment
Summary
A fiscal presentation showed scenarios where a full-day universal pre-K payment reduces some families' school-year costs but, because of interactions with the state childcare subsidy (CCFAP) and afterschool needs, can raise total annual costs for others; private providers often stand to gain revenue under the modeled rates.
A fiscal presenter reviewed detailed scenarios showing how a proposed change to universal pre-K payments would affect families and private providers, and how those payments interact with the state childcare subsidy program.
The presenter said the analysis modeled two family cases (market-rate payers and families with an estimated $225 weekly family share) and two provider cases (providers whose families pay market rate and providers with families covered 100% by the subsidy program). For families paying market rate in the presenter’s example, the market-rate preschool was $325 per week and the blended model left a family paying about $211 per…
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