(1) This chapter pertains to payment for child care services provided to parents eligible for benefits funded under section 5082 of the Omnibus Reconciliation Act of 1990, Public Law 101-508, entitled "Child Care and Development Block Grant Act of 1990", as amended in 1996, and the "Personal Responsibility and Work Opportunity Reconciliation Act" of 1996. These rules also pertain to subsequent refunding of this program. In addition, this chapter's requirements for certification of legally certified providers under ARM 37.80.306 apply to all child care programs administered by the department where the department allows participation of legally certified providers.

(2) Child care assistance may be available to cover the cost of child care incurred by working parents who are income eligible and who demonstrate a need for child care assistance in support of employment, subject to the following restrictions:

(a) If all or part of the cost of child care is provided by another source, child care assistance will be reduced by the amount paid by the other source.

(b) If child care services are provided to a parent who is an employee of a child care business free or at a reduced cost as an employment benefit, the parent's child care assistance will be based on the amount the parent is required to pay out of the parent's own pocket for care of the parent's own child.

(c) A parent may not receive child care assistance for providing care to the parent's own child, but child care assistance may be available to pay for child care provided by another provider to allow the parent to attend child care education or training activities.

(d) A parent who provides child care to another's child while their own child is cared for by someone else is not eligible for child care assistance, unless they are an employee of a child care provider that is unable to care for the parent's child. The foregoing does not prevent child care assistance to an employee of a child care provider whose child receives care from that provider, so long as children other than those of the employee and the employee's employer are also attending the facility.

(3) A parent who is not making monthly payments on outstanding child care overpayments is not eligible for further child care assistance. Any parent who misses a payment as required by the terms of an overpayment repayment agreement or order and who does not become fully current in making all payments required under the agreement or order within the times described below will not be eligible to receive child care assistance until the parent has become fully current in making all payments required under the agreement or order, or unless the department has agreed to modify the payment schedule under the repayment agreement or order.

(a) Unless the department has agreed to a modified repayment schedule, a parent will cease being eligible to receive child care assistance if the parent has not become fully current in making all required payments on or before the 90th calendar day following the first missed payment. The period of ineligibility will begin on the 90th calendar day following the first missed payment and will end when the parent has become fully current in making all payments required under the repayment agreement or order.

(b) Unless the department has agreed to a modified repayment schedule, a parent will cease being eligible to receive child care assistance if the parent has not become fully current in making all required payments on or before the 60th calendar day following the second missed payment. The period of ineligibility will begin on the 60th calendar day following the second missed payment and will end when the parent has become fully current in making all payments required under the repayment agreement or order.

(c) Unless the department has agreed to a modified repayment schedule, a parent will cease being eligible to receive child care assistance if the parent has not become fully current in making all required payments on or before the 30th calendar day following of the third missed payment. The period of ineligibility will begin on the 30th calendar day following the third missed payment and will end when the parent has become fully current in making all payments required under the repayment agreement or order.

(d) Unless the department has agreed to a modified repayment schedule, a parent will cease being eligible to receive child care assistance when the parent has missed more than three payments, and the parent will not be eligible to receive further child care assistance until the parent has become fully current in making all payments required under the repayment agreement or order.

(4) Eligibility of parents and the amount of child care assistance provided under this chapter is based on income as set out in ARM 37.80.202. Households whose gross income exceeds 150% of the federal poverty guidelines are not eligible. Each household must actively seek all income for which the household has a legal claim.

(5) Households that are not receiving temporary assistance for needy families (TANF) may receive child care assistance for 30 calendar days while eligibility is being verified. Households may benefit from 30 calendar days of presumptive eligibility which is an option at any time an application is submitted and a case is not already open. To apply for presumptive eligibility, a household must:

(a) submit a completed child care application which indicates the household is likely to be eligible;

(b) provide a completed authorization to release information form; and

(c) submit an appropriate child care service plan.

(6) If the household intentionally provides false information for the purpose of receiving child care assistance from a presumptive eligibility determination, the household will be responsible for repaying the overpayment.

(7) All providers must be certified for the purpose of receiving payment under a state assisted child care program. Certification under a state assisted child care program is separate and apart from registration as a group or family child care home, or licensure as a child care center, and means simply that the provider has been approved as eligible to receive state payment for child care services as allowed by this chapter. Those operating as a group or family child care home or child care center as defined by department rule and the Montana Child Care Act remain subject to child care facility registration and licensing rules in addition to requirements for certification under this chapter.

(8) Eligibility of parents and providers for child care assistance is contingent on meeting all applicable requirements under this chapter.

(9) Payment of funds under this chapter also depends on continued funding. Termination of any and all benefits may occur based on the loss or depletion of federal funding.

(10) Provision of benefits for child care services under this chapter, or under any other department child care program, does not create an employer-employee relationship between the department and the provider and may not be deemed to obligate the department to provide employment-related benefits to child care providers.

(11) Except as provided in (5), child care assistance payments are not available unless both the parent and the provider meet all eligibility requirements specified in this chapter.

(12) An application for child care assistance will be denied if the applicant fails to submit all required documentation within 30 calendar days of the date on which the application is received by the resource and referral agency. Applicants must be offered one 15-calendar-day extension to submit required documentation in the possession of a third party.

(13) The Child Care Assistance Program will be administered in accordance with:

(a) the requirements of federal law governing the Child Care and Development Block Grant Act of 1990, section 5082 of the Omnibus Budget Reconciliation Act of 1990 (Public Law 101-508 as amended and codified at 42 USC 9858 et seq.), and 45 CFR parts 98 and 99, child care and development fund, adopted July 24, 1998; and

(b) the Montana Child Care Manual in effect on February 1, 2011. The Montana Child Care Manual, dated February 1, 2011, is adopted and incorporated by this reference. The manual contains the policies and procedures utilized in the implementation of the department's Child Care Assistance Program. A copy of the Montana Child Care Manual is available at each child care resource and referral agency; at the Department of Public Health and Human Services, Human and Community Services Division, 111 N. Jackson St., P.O. Box 202925, Helena, MT 59620-2925; and on the department's web site at www.childcare.mt.gov.