Presentation is loading. Please wait.

Presentation is loading. Please wait.

Creating a Policy Framework and FY14 Proposed Budget Presentation to the Policy and Fiscal Committees November 5, 2012.

Similar presentations


Presentation on theme: "Creating a Policy Framework and FY14 Proposed Budget Presentation to the Policy and Fiscal Committees November 5, 2012."— Presentation transcript:

1 Creating a Policy Framework and FY14 Proposed Budget Presentation to the Policy and Fiscal Committees November 5, 2012

2 Decision Points 2 This presentation will require the following decisions: 1. Request to Give a Rate Increase for Quality and Open Access : Do you agree that the request to give a rate increase and open access should be $50M and all other requests for funds should be in addition to this? Rate Increase for Quality: Do you agree that the rate increase for quality should be 3%? Open Access: Do you agree that we should open access only for preschool children and their siblings on the waitlist? Priority within Preschool Eligibility: Do you agree that priority should be given to preschool children and their siblings living in Boston and Gateways cities? 2. Quality Program Funds: Do you agree that the request for quality funds at $1M should be apart from the request to fund access and a rate increase for quality?? 3. Transportation: Do you agree that the request for transportation funds at $17.5M should be apart from the request to fund access and a rate increase? Do you agree that any increase should fund monitors first? 4. Staffing to Support Historical Deficit: Do you agree that the request for funds to support EEC staff ($804K) should be apart from the request to fund access and a rate increase for quality? 5. Total Funding Request: Do you agree that our request for additional FY14 funds is $67,390,957?

3 EEC Total Available Budget 3 (Amount in Millions)

4 Building the Foundation 4 Over the past three years we have made a significant amount of progress improving the infrastructure and delivery of the early education and care system. We are ready for an investment in our future to sustain these initiatives and create new ones. QRIS Professional Qualifications Registry Workforce Development Kindergarten Readiness Assessment RTTT-ELC: Birth to Grade 3 (a significant investment in quality) Learning Standards Aligned with Common Core Updated Regulations

5 Immediate Needs 5 In a time of limited resources, and in the absence of any funding increases, we have many immediate needs to consider, as follows: 1. Investment in Field Quality: There has not been a rate increase since March 2009, after 9C which was less than 1%. The most recent Massachusetts Market Price Child Care Survey shows that we are not close to reimbursing at the federally suggested level of the 75 th percentile. 2. Access for Children: Voucher access has been closed since February Quality Programs: Investments in quality initiatives and programs must be sustained. 4. Transportation: Funding is needed to support the cost of transportation in the field. The last transportation rate increase was May Staffing to Support Historical Deficit in Licensing, Monitoring, and Implementation of Systems to Support Policy for Closing the Proficiency Gap.

6 EEC Mission Statement 6 The Massachusetts Department of Early Education and Care (EEC) provides the foundation that supports all children in their development as lifelong learners and contributing members of the community, and supports families in their essential work as parents and caregivers.

7 EEC Policies Related to FY14 Budget 7 The requests for FY14 funding are in the context of long held and firmly developed EEC policies. 1. Quality Investment: EEC Rates will support the cost of providing high quality childcare to ensure access for high needs children. 2. Access for High Needs Children: EEC will seek to ensure that parents of birth to age eight children have access to high quality early education and care experiences. EEC also seeks to support the workforce so that all siblings under eight (8) are in care, thus allowing parents to participate in the workforce. 3. Quality Programs: QRIS positions a program to support children and have a better chance to meet potential. 4. Transportation: EEC is committed to increasing and ensuring the health and safety of all children who receive transportation to EEC childcare. 5. Staffing to Support Historical Deficit: EEC will monitor the regulations and ensure programs receive feedback to improve, remove, or prevent practice that does not lead to outcomes for children across all domains of development in early education and care and out of school time.

8 Strategic Plan Context The presentation of the FY14 budget request is in the context of the EEC Strategic Plan. WORKFORCE: Create a workforce system that maintains worker diversity and provides resources, supports, expectations, and core competencies that lead to the outcomes we want for children. ACCESS: Increase and promote family support, access, and affordability. QUALITY: Create and implement a system to improve and support quality statewide. ACCESS / TRANSPORTATION: All preschool children have access to high quality pre-kindergarten programs that meet family needs. INFRASTRUCTURE: Build the internal infrastructure to support achieving the vision. 8

9 Strategic Plan Context: Investment in Workforce Quality The presentation of the FY14 budget is in the context of the EEC Strategic Plan: WORKFORCE. Strategic Direction: Create a workforce system that maintains worker diversity and provides resources, supports, expectations, and core competencies that lead to the outcomes we want for children. Indicator of Success: The early education and care workforce has a well-defined career ladder that adequately and fairly compensates educators as professionals. Value: Our workforce is the backbone of our services; we value and support their skill development, diversity, and fair compensation. RATE INCREASE: $13,790,577 (27% of $51M) A rate increase of 3% in all caseload accounts will allow providers to invest in the workforce and other program quality enhancements. Programs must be participating in QRIS to receive the rate increase. 9

10 Cost to Increase Rates 10

11 FIELD WORKFORCE QUALITY COST 11 Rate Increase for Quality: $13,790,577 The cost of a 3% increase rate increase for programs in QRIS has been added as a separate cost for each of the caseload accounts and is part of the overall $50M request. IE: $7,645,174 DTA: $4,397,492 DCF: $1,747,911 We are now in our fourth year of no rate increase. The last rate increase was March 2009 when we gave.45%. This did not correct the market. This is the longest gap since FY02 – FY04. We will implement the same policy for the rate increase as used in FY09: This increase shall be directed to expenditures for salaries, benefits, and stipends for professional development of early education ad care workers or other programmatic quality improvements. Programs must be participating in QRIS to receive the rate increase.

12 Decision Point: Rate Increase for Quality 12 Rate Increase for Quality: $13,790,577 Do you agree that the rate increase should be 3%?

13 Strategic Plan Context: ACCESS The presentation of the FY14 budget is in the context of the EEC Strategic Plan: FAMILY SUPPORT, ACCESS, AND AFFORDABILITY. Strategic Direction: Increase and promote family support, access, and affordability. Indicator of Success: Families are aware of the mixed early education and care system and have access to affordable, high-quality early education and care services. Value: All children can succeed and we have the responsibility to help them do that. ACCESS: $36,209,423 (71% of $51M) EEC proposes to open up access for 4,893 pre school children on the waiting list. 13

14 Access: PreSchool Children on Waitlist 14

15 ACCESS: Cost to Serve Preschool Children With only $36.2M available for access, we are focusing on serving preschool children as a priority. There are presently 14,217 preschool children on the waitlist. At roughly $7,400 per preschool child as the average cost in IE, we estimate that we can serve approximately 4,893 children. 4,893 children is roughly 34.4% of the total number of eligible preschool children. Our first priority will be to serve by length of time on the waitlist the preschool children who live in Boston or one of the 24 Gateways Communities: BarnstableBrocktonChelsea ChicopeeEverettFall River FitchburgHaverhillHolyoke LawrenceLeominsterLowell LynnMaldenMethuen New BedfordPittsfieldQuincy RevereSalemSpringfield TauntonWestfieldWorcester 15

16 Waitlist: Gateway Cities PreSchool Children As of October 30, The number of children on the waitlist from Gateway Cities is 46.2%(22,006) of the total number of children (47,659). PreSchool children from Gateway Cities is 45.7%(6,502) of the total preschool children on the waitlist (14,217).

17 Waitlist: Boston PreSchool Children As of October 30, The number of children on the waitlist within Boston area is 15.9% (7,556) of the total number of children (47,659). PreSchool children within the Boston area is 15.1% (2,147) of the total preschool children on the waitlist (14,217).

18 Strategic Plan Context: ACCESS We are serving 30,283 children in the IE caseload account as of Septembers reports. Adding 4,983 children to our caseload takes us back to November 2010 when we last served 35,266 children in the IE account. With $36.2M we can serve only 4,893 children. There are 47,659 children on the waitlist. Of the 47,659 children on the waitlist, 14,217 (29.83%) are preschool children. There are 6,502 preschool children (45.73% of all preschool children) living in Gateways cities. There are 2,147 preschool children (15.10% of all preschool children) living in Boston. There is a total of 8,649 preschool children (60.83% of all preschool children) living in Gateways cities and Boston. With limited funds, we must make choices. Our choice is to serve by length of time on the waitlist the preschool children who live in Boston or one of the 24 Gateways Communities. 18

19 Decision Point: ACCESS Open Access: Do you agree that we should open access only for preschool children and their siblings on the waitlist? Priority within Preschool Eligibility: Do you agree that priority should be given to preschool children and their siblings living in Boston and Gateways cities? Do you agree that the request to give a rate increase and open access should be $50M and all other requests for funds should be in addition to this? 19

20 Strategic Plan Context: QUALITY The presentation of the FY14 budget is in the context of the EEC Strategic Plan: QUALITY. Strategic Direction: Create and implement a system to improve and support quality statewide. Indicator of Success: Massachusetts Quality Rating and Improvement System (QRIS) has been developed, validated, funded, and implemented with full involvement of EECs community partners and EEC staff. MA has standards for quality in early education and care programs that are research-based, broadly understood, successfully implemented, culturally appropriate, and aligned with a quality-building support system. Comprehensive services … are embedded in the delivery of services for families and children. Value: We value all children and all families. Families live within communities and must be reached and supported in ways that maximize accessibility. QUALITY PROGRAMS: $1,000,000 20

21 Decision Point: QUALITY Do you agree that the request for quality funds at $1M should be apart from the request to fund access and a rate increase? 21

22 Strategic Plan Context: QUALITY and ACCESS / TRANSPORTATION The presentation of the FY14 budget is in the context of the EEC Strategic Plan: QUALITY. Strategic Direction: Create and implement a system to improve and support quality statewide. Increase and promote family support, access, and affordability Indicator of Success: Early education and care services are delivered through a seamless system that is responsive to the needs of all families and provides supports and resources. Comprehensive services … are embedded in the delivery of services for families and children. Value: We value all children and all families. Families live within communities and must be reached and supported in ways that maximize accessibility. TRANSPORTATION: $17,586,713 22

23 TRANSPORTATION COST The last transportation rate increase was in May 2006 when the one way rate increased from $5 to $6 and the round trip rate increased from $7.50 to $9.00. The rate of $16.51 per round trip makes providers whole for the staff time already directed to satisfying the following recommendations: Management Responsibility Parent Notification Passenger Logs Secondary Vehicle Inspection AND places an adult monitor on vehicles based on the number of children, ages, and length of routes. Vehicle monitoring devices will not be required. 23

24 TRANSPORTATION COST Based on our review of proposed costs, we estimate that the FY14 request for $17.5M to support transportation costs can be broken down as follows: Driver Expenses: $6,103, (34.7%) Monitor Expenses: $4,069, (23.1%) Gas and Maintenance: $4,383, (24.9%) Note that the sum for driver, monitor, and gas and maintenance expense is 82.7% of the total Equipment: $605, (3.4%) Insurance: $656, (3.7%) Training: $160, (.9%) Contract Services: $545, (3.1%) Other: $39, (.2%) Admin Expenses: $1,022, (5.8%) 24

25 TRANSPORTATION COST We can prioritize our menu. We can argue that an increase in transportation funding, if not for the entire request, will be used to support transportation based upon a hierarchy of priorities. For instance, we could argue that the first $4.0M of any request will be dedicated to the cost of monitors and that the next $6.0M after that would be for driver expenses. 25

26 Decision Point: Transportation Do you agree that the request for transportation funds at $17.5M should be apart from the request to fund access and a rate increase? Do you agree that if we receive less than $17.5M, we should prioritize funding monitors first? 26

27 Strategic Plan Context: INFRASTRUCTURE The presentation of the FY14 budget is in the context of the EEC Strategic Plan: INFRASTRUCTURE. Strategic Direction: Build the internal infrastructure to support achieving the vision. Indicator of Success: EEC regions have the staff, resources, and stakeholder partnerships required to achieve the breadth of the agencys readiness vision. Value: Our workforce is the backbone of our services; we value and support their skill development, diversity, and fair compensation. INFRASTRUCTURE: $804,244 27

28 INFRASTRUCTURE COST 28 In November, 2010, the Board recommended the staffing pattern recommended below. If we were to increase funding for access, it is even more critical to fill the open positions in Fiscal, Policy, Quality Supports, and Communication.

29 Decision Point: Infrastructure Do you agree that we should request $804K in FY14 funding to help offset the historical deficit in licensing, monitoring, and implementation of system to support policy for closing the proficiency gap? Do you agree that the request for funds to support EEC staff ($804K) should be apart from the request to fund access and a rate increase? 29

30 Proposed FY14 EEC Budget 30

31 Decision Point: FY14 Budget Do you agree that our request for additional FY14 funds should be $67,390,957? 31

32 Proposed FY15 EEC Budget 32

33 Appendix Rate Increase for Quality 1. EEC Total Available Budget 2. Offsetting the Funding Gap 3. The Funding Gap in FY13 Compared with FY09 4. Quality Investment: Rate Comparison Center Based Programs 5. Quality Investment: Rate Comparison Family Child Care Open Access 1. Caseload Waitlist Since 8/ EEC Waitlist vs. IE Children Served Transportation 1. Transportation Board Vote 33

34 EEC Total Available Budget 34 (Amount in Millions)

35 Offsetting the Funding Gap 35 Since FY09, EECs total available funds have decreased as shown by the red bar which signifies the amount of reduction each year compared to FY09. The green bar shows how additional funds have offset the funding gap each year since FY09.

36 The Funding Gap in FY13 Compared with FY09 36 In FY09, EEC had $554M in total available resources. Since that time, funding levels available have steadily decreased. The illustration above shows total available resources in FY13 and the funding gap from the resources available in FY09. Part of the reductions were offset in FY13 by RTTT/ELC funding, but these particular funds cannot assist in providing access.

37 37 Center Based Prices by Age The most recent Massachusetts Market Price Child Care Survey shows that even with the implementation of the infant rate for all infants and toddlers, we will not be close to reimbursing at the federally suggested level of the 75 th percentile. Quality Investment: Rate Comparison

38 38 Family Child Care Prices By Age The most recent Massachusetts Market Price Child Care Survey shows that even with the implementation of the infant rate for all infants and toddlers, we will not be close to reimbursing at the federally suggested level of the 75th percentile.

39 Caseload Waitlist Since 8/ *Waitlist Data as of August 2011 is reported from KinderWait ** Excludes Unborn children, Children 13 or older, 0 zip codes and towns out of state.

40 ACCESS EEC Waitlist vs. IE Children Served 40 Spike in July 09 is due to 3A to 3D transitional children from DTA to IE.

41 TRANSPORTATION COST In June 2012 the Board voted as follows: Subject to a supplemental budget appropriation the Board approves an increased transportation provider reimbursement rate of $16.51 for round trip transportation and $11.11 for one- way transportation for all infants, toddlers, and preschool age children with the requirement that, if the recommended reimbursement rate increase is funded, entities that receive transportation payment from EEC for infants, toddlers, and preschool age children must dedicate one adult monitor on all vehicles. The transportation rate of $9.00 per day round trip and $6.00 per day for one way transportation will remain in effect for all transportation providers that transport school age children. 41


Download ppt "Creating a Policy Framework and FY14 Proposed Budget Presentation to the Policy and Fiscal Committees November 5, 2012."

Similar presentations


Ads by Google