Effective Date of Rule: July 1, 2011.

     Purpose: Amending sections of chapter 170-290 WAC, Working connections and seasonal child care subsidy programs, to comply with section 11 of recently enacted ESSB 5921, enrolled as chapter 42, Laws of 2011 1st sp. sess. that takes effect on July 1, 2011. As a result, rules for the working connections child care (WCCC) and seasonal child care (SCC) programs are revised to:

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As a condition of receiving the department of early learning (DEL) child care subsidy benefits, require individuals who apply for or receive WCCC or SCC subsidies to seek department of social and health services (DSHS) child support enforcement services, unless the individual has good cause not to; and

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Provide a six-month eligibility period before a family receiving WCCC or SCC benefits must recertify his or her income eligibility, although families must continue to report changes provided in the rules. The six-month provision will apply so long as enrollment in WCCC or SCC are capped. The change does not affect WCCC families with a twelve-month eligibility period due to having a child enrolled in a head start, early head start or early childhood education and assistance program (ECEAP).

     Citation of Existing Rules Affected by this Order: Amending WAC 170-290-0030, 170-290-0060, 170-290-0082, 170-290-3565, 170-290-3610, and 170-290-3660.

     Statutory Authority for Adoption: RCW 43.215.060; chapter 43.215 RCW; section 501 (uncodified), chapter 265, Laws of 2006.

     Other Authority: ESSB 5921 (chapter 42, Laws of 2011 1st sp. sess.); 2ESHB 1087 (chapter 50, Laws of 2011 1st sp. sess.); EHB 1248 (chapter 2, Laws of 2011 1st sp. sess.).

     Under RCW 34.05.350 the agency for good cause finds that in order to implement the requirements or reductions in appropriations enacted in any budget for fiscal years 2009, 2010, or 2011, which necessitates the need for the immediate adoption, amendment, or repeal of a rule, and that observing the time requirements of notice and opportunity to comment upon adoption of a permanent rule would be contrary to the fiscal needs or requirements of the agency.

     Reasons for this Finding: The legislature enacted ESSB 5921 to maintain compliance with and accountability for the federal temporary assistance for needy families (TANF) block grant requirements under the Personal Responsibility and Work Opportunity Act of 1996, and to further reduce costs for the state's WorkFirst program. (WorkFirst is the state's "welfare-to-work" program encompassing several state agencies and programs, including certain DEL child care subsidy programs.)

     ESSB 5921 was adopted as a WorkFirst "redesign" measure to restructure the program for better efficiency, to reduce fraud and to lower overall costs. According to the legislature's "2011-13 Operating Budget Overview - Second Engrossed Substitute House Bill (2ESHB) 1087," "During fiscal year 2012 (July 1, 2011 through June 30, 2012) the WorkFirst programs are to be restructured and become performance based ... The budget also increases the number and visibility of fraud detection in public assistance programs through more staff and increased technology."

     The overview document goes on to describe savings estimated at $62.9 million through TANF, WorkFirst and child care subsidy changes contained in ESSB 5921 and 2ESHB 1087:

     "TANF REDUCTIONS - $62.9 MILLION SAVINGS: The proposed budget makes several changes to the cash benefits program including: (1) Implementing an income eligibility test for a caregiver who is providing for a child outside of the child's home; and (2) applying the sixty-month time limit to any family where the parent is in the home. Major child care reductions include: (1) Reduced child care for those whose WorkFirst participation is suspended; (2) moving to six-month certifications; and (3) requiring child support for WCCC participants. WorkFirst savings is found through suspension of services and moving to performance-based contracts. The budget estimates an $11.8 million ending fund reserve to pay for any unforeseen costs."

     Section 11 of ESSB 5921 enacts two of the provisions noted in the budget overview document, by adding the following new subsections (2) and (3) to DEL's RCW 43.215.135:

     "(2) As a condition of receiving a child care subsidy or a working connections child care subsidy, the applicant or recipient must seek child support enforcement services from the department of social and health services, division of child support, unless the department finds that the applicant or recipient has good cause not to cooperate."

     "(3) Except as provided in subsection (4) of this section, an applicant or recipient of a child care subsidy or a working connections child care subsidy is eligible to receive that subsidy for six months before having to recertify his or her income eligibility. The six-month certification provisions applies only if enrollment in the child care subsidy or working connections child care program are capped."

     The legislature appropriated funding and adopted provisos specifically for implementation of ESSB 5921 in the 2011-2013 Operating Budget Act, 2ESHB 1087. Also, under EHB 1248 (chapter 2, Laws of 2011 1st sp. sess.), the legislature extended the authority for agencies to adopt emergency rules to "... implement the requirements or reductions in appropriations enacted in any budget for fiscal year 2009, 2010, 2011, 2012, or 2013 ..."

     This rule meets the requirements of office of financial management guidance regarding Executive Order 10-06 suspending noncritical rule making, but allowing rules to proceed that are "required by state or federal law or required to maintain federally delegated or authorized programs;" and "necessary to manage budget shortfalls, maintain fund solvency, or for revenue generating activities."

     Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 6, Repealed 0.

     Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0;      Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 6, Repealed 0.

     Date Adopted: June 30, 2011.

Elizabeth M. Hyde

Director

     (1) Give DSHS correct and current information so DSHS can determine eligibility and authorize child care payments correctly;

     (2) Choose a provider who meets requirements of WAC 170-290-0125;

     (3) Pay, or make a plan to have someone pay, the WCCC copayment directly to the child care provider;

     (4) Only use WCCC benefits while the consumer is in WCCC approved activities. If the consumer is not in an approved activity and wants to use the provider, he or she must make a plan to pay the provider if the provider wants payment. The provider may charge the consumer the same rate that the provider charges to other parents who are not in the WCCC program;

     (5) Pay the provider the same late fees that are charged to other families, if the consumer pays a copayment late or picks up the child late;

     (6) Ensure that care is provided in the correct home per WAC 170-290-130 if the consumer uses an in-home/relative provider, and monitor the in-home/relative provider's quality of care to ensure that the child's environmental, physical, nutritional, emotional, cognitive, safety, and social needs are being met;

     (7) Cooperate (provide the information requested) with the quality assurance review process to remain eligible for WCCC. A consumer becomes ineligible for WCCC benefits upon a determination of noncooperation by quality assurance and remains ineligible until he or she meets quality assurance requirements. If DSHS determines that a consumer is not cooperating, the consumer will not be eligible for WCCC benefits. The consumer may become eligible again when he or she meets WCCC requirements in part II of this chapter;

     (8) Provide the information requested by DSHS's WCCC staff or the fraud early detection (FRED) investigator. If the consumer refuses to provide the information requested within fourteen days, it could affect his or her benefits;

     (9) Document the children's attendance as described in WAC 170-290-0138, 170-295-7030, 170-296-0520, or 170-151-460, as applicable, for that type of provider; ((and))

     (10) Provide to his or her in-home/relative provider the names, addresses, and telephone numbers of persons who are authorized to pick up the child from care; and

     (11) Seek child support enforcement services from the DSHS division of child support, unless DSHS finds that the applicant or consumer has good cause not to cooperate as defined under WAC 388-422-0020 or as provided in (a) of this subsection.

     (a) For the purposes of this subsection, "good cause" also includes the following:

     (i) The applicant or consumer has a current court order showing the child support amount ordered on behalf of the child who will receive the child care subsidy benefits;

     (ii) The applicant or consumer already complies with child support enforcement services, either voluntarily or to meet other public assistance benefits requirements;

     (iii) The applicants or consumers are married parents, or unmarried two-parent families with a child in common needing child care living in the same household;

     (iv) The applicant or consumer is a single-parent family when the other parent is deceased;

     (v) The applicant or consumer is a single-parent family when the other parent is incarcerated for one year or longer;

     (vi) The applicants or consumers are both minor parents; or

     (vii) The DSHS division of child support does not have jurisdiction over the child support case, such as for tribal child support cases or cases outside of the United States.

     (b) Child support ordered on behalf of a child who will receive child care subsidy benefits does not affect the other children in the family who are not receiving child support. All other family size rules in WAC 170-290-0015 apply.

[Statutory Authority: RCW 43.215.060, 43.215.070, 2006 c 265, and chapter 43.215 RCW. 09-22-043, § 170-290-0030, filed 10/28/09, effective 12/1/09. 08-08-047, recodified as § 170-290-0030, filed 3/27/08, effective 3/27/08. Statutory Authority: RCW 74.04.050, 74.12.340, and 74.13.085. 05-22-078, § 388-290-0030, filed 10/31/05, effective 12/1/05. Statutory Authority: RCW 74.04.050, 74.12.340, 74.13.085, and 2003 1st sp.s. c 25. 04-08-021 and 04-08-134, § 388-290-0030, filed 3/29/04 and 4/7/04, effective 5/28/04. Statutory Authority: RCW 74.04.050 and C.F.R. Parts 98 and 99 (Child Care Development Fund Rules). 02-01-135, § 388-290-0030, filed 12/19/01, effective 1/19/02.]

     (1) A TANF grant, except when the grant is for the first three consecutive calendar months after the consumer starts a new job. The first calendar month is the month in which he or she starts working;

     (2) The following child support payment((s)) amounts:

     (a) For applicants or consumers who are not receiving DSHS division of child support services because they are exempt for good cause under WAC 170-290-0030 (11)(a)(i), the amount as shown on a current court order; or

     (b) For applicants or consumers who are receiving DSHS division of child support services, the amount as verified by the DSHS division of child support;

     (3) Supplemental Security Income (SSI);

     (4) Other Social Security payments, such as SSA and SSDI;

     (5) Refugee assistance payments;

     (6) Payments from the Veterans' Administration, disability payments, or payments from labor and industries (L&I);

     (7) Unemployment compensation;

     (8) Other types of income not listed in WAC 170-290-0070;

     (9) VISTA volunteers, AmeriCorps, and Washington Service Corps (WSC) if the income is taxed;

     (10) Gross wages from employment or self-employment. Gross wages includes any wages that are taxable. "Self-employment income" means a consumer's gross income from self-employment minus allowable business expenses in WAC 388-450-0085;

     (11) Lump sums as money a consumer receives from a one-time payment such as back child support, an inheritance, or gambling winnings; and

     (12) Income for the sale of property as follows:

     (a) If a consumer sold the property before application, DSHS considers the proceeds an asset and does not count as income;

     (b) If a consumer sold the property in the month he or she applies or during his or her eligibility period, DSHS counts it as a lump sum payment as described in WAC 170-290-0065(2);

     (c) Property does not include small personal items such as furniture, clothes, and jewelry.

[Statutory Authority: RCW 43.215.060, 43.215.070, 2006 c 265, and chapter 43.215 RCW. 09-22-043, § 170-290-0060, filed 10/28/09, effective 12/1/09. 08-08-047, recodified as § 170-290-0060, filed 3/27/08, effective 3/27/08. Statutory Authority: RCW 74.04.050, 74.12.340, 74.13.085, and 2003 1st sp.s. c 25. 04-08-021 and 04-08-134, § 388-290-0060, filed 3/29/04 and 4/7/04, effective 5/28/04. Statutory Authority: RCW 74.04.050 and C.F.R. Parts 98 and 99 (Child Care Development Fund Rules). 02-01-135, § 388-290-0060, filed 12/19/01, effective 1/19/02.]

     (a) A consumer who meets all of the requirements of part II of this chapter is eligible ((for)) to receive WCCC subsidies for six months before having to redetermine his or her income eligibility, except as provided in subsection (2) of this section. The six-month eligibility period in this subsection applies only if enrollments in the WCCC program are capped as provided in WAC 170-290-0001(1). Regardless of the length of eligibility, consumers are still required to report changes of circumstances to DSHS as provided in WAC 170-290-0031.

     (b) A consumer's eligibility may be for less than six months if:

     (i) Requested by the consumer; or

     (ii) A TANF consumer's individual responsibility plan indicates child care is needed for less than six months.

     (c) A consumer's eligibility may end sooner than six months if:

     (i) The consumer no longer wishes to participate in WCCC; or

     (ii) DSHS terminates the consumer's eligibility as stated in WAC 170-290-0110.

     (2) Twelve-month eligibility.

     (a) A consumer who meets all of the requirements of part II of this chapter, and has a child receiving services from head start (HS), early head start (EHS), or an early childhood education and assistance program (ECEAP), is eligible for WCCC subsidies for twelve months.

     (b) A consumer's eligibility may be for less than twelve months if:

     (i) Requested by the consumer; or

     (ii) A TANF consumer's individual responsibility plan indicates child care is needed for less than twelve months.

     (c) The consumer's eligibility may end sooner than twelve months if:

     (i) The consumer no longer wishes to participate in WCCC; or

     (ii) DSHS terminates the consumer's eligibility as stated in WAC 170-290-0110.

     (d) All children in the consumer's household under WAC 170-290-0015 are eligible for the twelve-month eligibility period.

     (e) The twelve-month eligibility period begins:

     (i)(A) When benefits begin under WAC 170-290-0095 for TANF consumers or WAC 170-290-0100 for consumers not receiving TANF; or

     (B) Upon reapplication under WAC 170-290-0109(4) for TANF consumers or WAC 170-290-0109(5) for consumers not receiving TANF; and

     (ii) When DSHS verifies that the child is receiving services from HS, EHS, or ECEAP.

     (f) The twelve-month eligibility continues regardless of whether the child continues to receive services from HS, EHS, or ECEAP.

     (g) During a consumer's twelve-month eligibility period, parent education and family development classes offered by HS, EHS, or ECEAP are approved activities. As funds are available, other DEL-approved parent education and family development classes may be authorized.

     (h) Each child who is receiving services from HS, EHS, or ECEAP and is receiving WCCC subsidies will be assigned a unique early learning student identifier. Student information may be merged with information from the office of superintendent of public instruction, the education research and data center, or both, to measure the child's educational progress from preschool through grade twelve.

[Statutory Authority: RCW 43.215.060, 43.215.070, 2010 c 273, chapter 43.215 RCW, and 2006 c 265. 10-15-063 and 10-16-128, § 170-290-0082, filed 7/15/10 and 8/3/10, effective 9/1/10. Statutory Authority: RCW 43.215.060, 43.215.070, 2006 c 265, and chapter 43.215 RCW. 09-22-043, § 170-290-0082, filed 10/28/09, effective 12/1/09. 08-08-047, recodified as § 170-290-0082, filed 3/27/08, effective 3/27/08. Statutory Authority: RCW 74.04.050, 74.12.340, 74.13.085, and 2003 1st sp.s. c 25. 04-08-021 and 04-08-134, § 388-290-0082, filed 3/29/04 and 4/7/04, effective 5/28/04.]

     (1) Give DSHS correct and current information so that DSHS can determine the consumer's eligibility and authorize child care payments correctly;

     (2) Choose a licensed or certified child care provider who meets requirements of WAC 170-292-3750;

     (3) Leave the consumer's children with his or her provider while the consumer is in SCC approved activities outside of the consumer's home;

     (4) Pay the provider for child care services when the consumer requests additional child care for personal reasons other than working or participating in SCC approved activities that have been authorized by DSHS;

     (5) Pay the provider for optional child care programs for the child that the consumer requests. The provider must have a written policy in place charging all families for these optional child care programs;

     (6) Pay, or make arrangements for someone to pay, the consumer's SCC copayment directly to the child care provider;

     (7) Pay the provider the same late fees that are charged to other families, if the consumer pays a copayment late or picks up the child late;

     (8) Sign his or her children in and out of child care as provided in WAC 170-295-7030, 170-296-0520, or 170-151-460, as applicable, for that type of provider; ((and))

     (9) Provide the information requested by the DSHS fraud early detection (FRED) investigator. If the consumer refuses to provide the information requested within fourteen days, it could affect his or her SCC program subsidies. If DSHS determines a consumer is not cooperating by supplying the requested information, the consumer will not be eligible for SCC program subsidies. The consumer may become eligible again when he or she meets SCC program requirements in part III of this chapter; and

     (10) Seek child support enforcement services from the DSHS division of child support, unless DSHS finds that the applicant or consumer has good cause not to cooperate as defined under WAC 388-422-0020 or as provided in subsection (10)(a) of this section.

     (a) For the purposes of this subsection, "good cause" also includes the following:

     (i) The applicant or consumer has a current court order showing the child support amount ordered on behalf of the child who will receive the child care subsidy benefits;

     (ii) The applicant or consumer already complies with child support enforcement services, either voluntarily or to meet other public assistance benefits requirements;

     (iii) The applicants or consumers are married parents, or unmarried two-parent families with a child in common needing child care living in the same household;

     (iv) The applicant or consumer is a single-parent family when the other parent is deceased;

     (v) The applicant or consumer is a single-parent family when the other parent is incarcerated for one year or longer;

     (vi) The applicants or consumers are both minor parents; or

     (vii) The DSHS division of child support does not have jurisdiction over the child support case, such as for tribal child support cases or cases outside of the United States.

     (b) Child support ordered on behalf of a child who will receive child care subsidy benefits does not affect the other children in the family who are not receiving child support. All other family size rules in WAC 170-290-0015 apply.

[Statutory Authority: RCW 43.215.060, 43.215.070, and chapter 43.215 RCW. 11-12-078, § 170-290-3565, filed 5/31/11, effective 7/1/11. Statutory Authority: RCW 43.215.060, 43.215.070, 2006 c 265, and chapter 43.215 RCW. 09-22-043, § 170-290-3565, filed 10/28/09, effective 12/1/09.]

     Reviser's note: RCW 34.05.395 requires the use of underlining and deletion marks to indicate amendments to existing rules. The rule published above varies from its predecessor in certain respects not indicated by the use of these markings.
AMENDATORY SECTION(Amending WSR 11-12-078, filed 5/31/11, effective 7/1/11)

WAC 170-290-3610   Countable income.   DSHS counts income as money a consumer earns or receives from:

     (1) Wages and commissions earned from employment;

     (2) Unemployment compensation;

     (3) A TANF or other welfare grant;

     (4) The following child support ((payments received)) payment amounts:

     (a) For applicants or consumers who are not receiving DSHS division of child support services because they are exempt for good cause under WAC 170-290-3565 (10)(a)(i), the amount as shown on a current court order; or

     (b) For applicants or consumers who are receiving DSHS division of child support services, the amount as verified by the DSHS division of child support;

     (5) Supplemental Security Income (SSI);

     (6) Other Social Security payments, such as Social Security Administration (SSA) and Social Security disability insurance (SSDI);

     (7) Refugee assistance payments;

     (8) Payments from the Veterans' Administration;

     (9) Pensions or retirement income;

     (10) Payments from labor and industries (L&I), or disability payments;

     (11) Lump sums as money a consumer receives from a one-time payment such as back child support, an inheritance, or gambling winnings;

     (12) Other types of income not listed in WAC 170-290-3630; and

     (13) Gross wages from employment or self-employment income as defined in WAC 170-290-0003. Gross wages include any wages that are taxable.

[Statutory Authority: RCW 43.215.060, 43.215.070, and chapter 43.215 RCW. 11-12-078, § 170-290-3610, filed 5/31/11, effective 7/1/11. Statutory Authority: RCW 43.215.060, 43.215.070, 2006 c 265, and chapter 43.215 RCW. 09-22-043, § 170-290-3610, filed 10/28/09, effective 12/1/09.]

     (2) A consumer's eligibility may be for less than six months if requested by the consumer.

     (3) A consumer's eligibility may end sooner than six months if:

     (a) The consumer no longer wishes to participate in SCC; or

     (b) DSHS terminates the consumer's eligibility as stated in WAC 170-290-3855.

[Statutory Authority: RCW 43.215.060, 43.215.070, and chapter 43.215 RCW. 11-12-078, § 170-290-3660, filed 5/31/11, effective 7/1/11. Statutory Authority: RCW 43.215.060, 43.215.070, 2006 c 265, and chapter 43.215 RCW. 09-22-043, § 170-290-3660, filed 10/28/09, effective 12/1/09.]

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