NonSub Change - Supplementary Funding

To: Jordan Cohen

Office of Information and Regulatory Affairs (OIRA)

Office of Management and Budget (OMB)

From: Ruth Friedman

Office of Child Care

Administration for Children and Families (ACF)

Date: September 21, 2021

Subject: NonSubstantive Change Request – Child Care and Development Fund (CCDF) Tribal Annual Report (ACF-700) - (OMB #0970-0430)

This memo requests approval of nonsubstantive changes to the approved information collection, CCDF Tribal Annual Report (ACF-700) (OMB #0970-0430).

Background

As required by the Child Care and Development Block Grant (CCDBG) Act, Tribal Lead Agencies (TLAs) submit annual aggregate information for CCDF on direct services provided and how CCDF program dollars are being spent via the ACF-700 CCDF Tribal Annual Report. The ACF-700 form was last renewed in January 2020 and has a current expiration date of January 31, 2023.

In support of the COVID-19 response, Congress has enacted multiple supplemental appropriations for CCDF. The Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted, which included a $3.5 billion increase in the CCDF for States, Territories, and Tribes that must be used for activities authorized under the CCDBG Act that prevent, prepare for, and respond to COVID-19. The Coronavirus Response and Relief Supplemental Appropriations (CRRSA) Act was enacted, which included a $10 billion increase in supplemental CCDF Discretionary funds to prevent, prepare for, and respond to coronavirus. The American Rescue Plan (ARP) Act of 2021 was enacted and included $14,990,000,000 in CCDF Discretionary Supplemental funds, and $23,975,000,000 in funds for child care stabilization grants.

The Office of Child Care (OCC) is requesting OMB approval of nonsubstantive changes to the current ACF-700 CCDF Tribal Annual Report by updating the data collection for the COVID-19 supplemental CCDF funds, including the CARES Act, CRRSA Act and the ARP Act. In addition, OCC is updating the ACF-700 to include data collection on child care provider-level information about the numbers and characteristics of child care providers receiving stabilization grant awards. TLAs must spend the majority of stabilization funds as subgrants to qualified child care providers to support the stability of the child care sector during and after the COVID-19 public health emergency. Stabilization grants must be tracked and accounted for to ensure compliance with specific requirements and authorities provided by Section 2202 of the ARP Act.

Overview of Requested Changes

This nonsubstantive change request includes proposed clarifications and modifications on the ACF-700 that include:

• Introduction: Program Characteristics section. Provides clarifying language regarding reporting other funding sources and that it should not include CCDF funding from the CARES Act, CRRSA Act and the ARP Act. A separate question is added regarding administrative data to include families and children served by CCDF CARES Act funding, CCDF CRRSA Act funding, CCDF ARP Act Discretionary Supplemental funding or none of the above. Specifies to check all that apply.

• Part 1: Administrative Data section. Provides clarifying language for TLAs to include information about families and children who meet CCDF eligibility requirements, and whose direct child care services were provided during the Federal fiscal year, regardless of which year’s CCDF funds paid for those services. The added language specifies that the funds used could be broader CCDF dollars, or CCDF CARES Act moneys, or CCDF CRRSA Act dollars, or CCDF ARP Act Discretionary Supplemental funds. Language is also added to the Comment field to provide explanatory comments for any of the questions in Part 1.

• Part 2: Tribal Narrative section. Provides clarifying language regarding information about quality improvement efforts a TLA funded during the Federal fiscal year, regardless of which year’s CCDF funds paid for those services. The added language specifies that these funds could be broader CCDF dollars, or CCDF CARES Act moneys, or CCDF CRRSA Act dollars, or CCDF ARP Act Discretionary Supplemental funds. Language is also added that directs TLAs to include further information about the ARP stabilization grants in the new Part 3: American Recovery Plan (ARP) Act Stabilization Grants.

• Part 3: American Recovery Plan (ARP) Act Stabilization Grants section. TLAs will include new annual aggregate data about the providers that were awarded stabilization grants during the Federal fiscal year, and characteristics of the awards. The data elements are consistent with new reporting for states and territories on the stabilization grants that is under review by OMB. This includes:

• Number of stabilization grants awarded during the fiscal year to:

  • Family Home providers

  • Center providers

  • Providers at Child’s Home

• Average provider total licensed or identified capacity (i.e., number of children they can serve)

  • Average provider infant licensed or identified capacity (i.e., average number of infants they can serve)

  • Average provider toddler licensed or identified capacity (i.e., average number of toddlers they can serve)

  • Average provider preschooler licensed or identified capacity (i.e., average number of preschoolers they can serve)

  • Average provider school-age children licensed or identified capacity (i.e., average number of school-age children they can serve)

• Stabilization grant award amounts

• Minimum award amount per provider

• Maximum award amount per provider

• Average award amount per provider

• Number of stabilization grants awarded to providers that, at the time of application, were serving children who received subsidy

• Number of providers who temporarily closed due to public health, financial hardship, or other reasons relating to COVID-19

• Number of providers planning to use the stabilization grants for:

• Personnel costs, including any sole proprietor or independent contractor-- employee benefits, premium pay, or costs for employee recruitment and retention

• Rent, mortgage, utilities, facility maintenance or improvements, insurance

• Personal protective equipment cleaning and sanitization supplies and services, or training and professional development related to health and safety practices

• Purchases of or updates to equipment and supplies to respond to the COVID–19 public health emergency

• Goods and services necessary to maintain or resume child care services

• Mental health supports for children and employees

These proposed changes do not impact the estimated average time to complete the ACF-700. The updated form and instructions are included with this request.

Time Sensitivities

We would like to provide guidance to Tribal Lead Agencies by the end of September 2021.

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