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1992.08.03 :  Child Care and Development Block Grant

Contact:  Larry Dye (202) 401-9215
August 3, 1992

       HHS Secretary Louis W. Sullivan, M.D., today announced
final rules governing the Child Care and Development Block Grant
"representing President Bush's commitment to expand the range and
quality of child care services for America's low-income working
families."
       "Our final CCDBG rules will enable more working families
to obtain needed child care services.  Funding for the program
increased 13 percent over last year, to $825 million for fiscal
year 1992," Secretary Sullivan said. "Moreover, the final rule
strengthens families and promotes self-sufficiency by ensuring
that low-income parents retain a fundamental right--the right to
choose who provides the care for their children."
       Created as part of the 1990 Omnibus Budget Reconciliation
Act, the CCDBG with the child care services it provides, enables
poor families to look for work, take a job and keep working.  It
began operation in September 
1991.  Funds are provided to states,
Puerto Rico, U.S. Territories and federally recognized Indian
Tribes, who, in turn, administer the individual child care
programs.  All states and 107 tribal grantees are currently
operating approved CCDBG programs.  
       "Our rules ensure that parents have the ability to make
informed choices regarding their child's care,"  said Jo Anne B.
Barnhart, assistant secretary for children and families. "The
rules also provide states with additional flexibility to
coordinate the operation of different child care programs."
       Under the final rules, states must use 25 percent of their
CCDBG allocation to improve the quality of child care and the
availability of early childhood development and before- and
after-school programs.  The remaining 75 percent of the funds
must be used to provide child care services for children under
age 13 from low-income families who need care because their
parents are working or are in education or training programs. 
CCDBG funds may also be used to pay for child care services for
children who are receiving, or in need of, protective services.  

       Parents who are offered child care services under the
CCDBG must be given the option of receiving a certificate that
can be used to pay for the care.  In some states, there may be an
option for providers to receive contracts or grants to provide
child care services.  The rules require that parents have the
option to utilize a wide range of child care arrangements,
including care provided by churches, synagogues, family members,
neighbors or friends.  
       The final rules require that all child care providers meet
applicable state and local health and safety standards. 
Providers who are not otherwise licensed or regulated must be
registered with the state.  

       The CCDBG is but one of a number of HHS-administered child
care programs.  Other programs include: child care for recipients
of Aid to Families with Dependent Children; Transitional Child
Care for families who have left AFDC for work; and the At-Risk
Child Care Program, which serves families who are in danger of
going on welfare.  

       The CCDBG final regulations to be published in the Aug. 4
Federal Register will be effective immediately.

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