FY14 Budget and Caseload Update Fiscal Committee February 3, 2014

FY14 December Caseload Review Waitlist Remediation Initiative Status: The CCRRs began placing children in the Waitlist remediation account in October. The CCRRs had until December 20, 2013 to place all the vouchers allocated to them.  As of December 20, 2013 at the end of the twelve week initiative, the CCRRs had successfully placed 100% of the original allocation of 2,367 vouchers. An additional 157 vouchers were added on December 13, 2013, to the voucher allocation of 559 provided to the CCRRs; 397 or 55% of the 716 vouchers have been filled as of January 25,  Approximately 95% (2,271) of the 2,367 placements authorized in the Waitlist Remediation account were billed for service month December  The forecast includes gradual placements (20% each month through the remainder of the year) for the 319 remaining open vouchers. This is a conservative forecast which for FY2014 projects a $1M surplus. Income Eligible: December’s forecast projects a surplus of approximately $5M.  Vouchers: All the CCRRs have started filling the additional attrition backfill allotment in the Income Eligible account. The first allotment of the 866 authorized in October 2013 has been completely filled. The projection also assumes the gradual placements (20% each month through the remainder of the year) for the 981 remaining vouchers open (from the 1000 authorized in January 2014).  Contracts: The projected surplus is also dependent upon the contract providers achieving maximum obligation. Currently, of all contracts slots available (regular and flex) only 88.9% are filled. 2

FY14 December Caseload Review DTA-Related Caseload: After six months of actual numbers, EEC is forecasting a surplus of $636K, a decrease in spending ($1.2M) from the previous month’s projected deficiency of $587K. December actual caseload billing reflects a net decrease (490) in caseload when compared to November. All age groups experienced a decrease. This change is driving the movement from deficit to surplus. Supportive Caseload: With six months of actual numbers, EEC is reporting a surplus of approximately $1.4M. Access to expansion slots continues to allow for more children to be served in areas where there is the capacity and the need. Expenditures have increased due to the use of expansion slots. EEC is monitoring this closely. We’re at 98% utilization. FY14 Consolidated Net Increase: The target date for implementation is March Billing paid in April. This will include the retroactive payment. SEIU Rate Increase Contract: The contract was ratified on Thursday, January 30, Once the board has approved the additional 1.7% increase for the SEIU providers, the rate increase will commence. The target date for implementation is March Billing paid in April. This will include the retroactive payment. 3

CCRR Voucher Allotment Weekly Results 4

FY14 Caseload Overview Summary As of December

FY14 Caseload Overview Summary October and November

FY14 Caseload Overview Summary August and September

8 FY 2013 Income Eligible ( )

9 FY 2013 Waitlist Remediation ( )

10 FY 2014 DTA ( )

11 FY 2013 Supportive ( )

FY13/14 Caseload By Account 12

Caseload Waitlist: 02/ / Data Report created on January 29, 2013 ** Excludes Unborn children, Children 13 or older, “0” zip codes and towns out of state

FY13/14 IE Contract Slots - Regular and Flex 14 Data Report created on January 28, 2014 Total Awarded Slots is 14,521 and Allowable Flex Slots is of the 355 additional contract slots awarded have been filled. 21 Vendors representing 22 contracts are Over 5% Flex **No. of children filling slots may be greater than slots awarded. Total awarded slots for Homeless is 693 and Teen Homeless: filled 557, open Teen: filled 399, open 107 As of December 31, 2013 over 1800 contract slots of the 14,536 awarded are open (12.81%). Including the flex slots used, the contract providers have a 11.79% vacancy rate. In comparison to last year the vacancies have increased by 2.77%. On average, for the past 12 months the contract providers contract slots have been 89.69% filled, with a peak occupancy of 92.95% at the end of March 2013 and the lowest occupancy at 83.08% at the end of August 2013.

Archived and Reactivated Children on Waitlist 15 Data Report created on January 29, 2014 Net change for number of children archived/reactivated to date in January is 813 January total archived children: 848 representing 629 families. January total reactivated children: 35 representing 29 families. ** Note: User is defined as EEC, CCR&R or Contract Provider July excludes 7/25/2013; significant auto-archiving occurred, archived children system: 12,789 and archived children user: 9896 Number of Archived and Reactivated Children on Waitlist

Income Eligible Contract Outreach In an effort to maximize contract utilization, we started reaching out to certain contract providers. We focused our initial efforts on the 20 contract providers who have the lowest percentage of awarded slots filled as of December 31 st, ranging from 0% of slots filled to 58% of slots filled. We contacted each of the contract providers individually and asked the following questions: What are the main challenges you face in filling your contracted slots? What steps have you taken to fill the open slots? Have you contacted your local CCR&R to say that you have slots available? If these slots are not able to be filled, should we take down these slots? 16

IE Contract Outreach - Feedback Eight (8) providers responded that we should take down a total of 47 slots because they have not been able to fill them. Some cited changing local demographics as the reason and some said that they could not afford to hold slots open when they have a waitlist of private payers. Eight (8) providers responded that they are actively working to fill the slots, including identifying better ways to contact families and dedicating more staff time to the process. All 6 have filled slots since December. The main challenges in filling slots that have been identified by providers are: Invalid contact information for families on waitlist Children still listed on waitlist even though they are enrolled in another program Waitlist families receiving multiple letters Difficulties in getting a family to complete the certification process including keeping appointments, completing paperwork, and continuing the process after the family finds out that there is a parent fee Parents not being eligible once certification process is complete, either due to too a family having too much income or to not working enough hours to qualify. We continue to reach out to providers for feedback and to provide support to the field. 17