1. Massachusetts 2012 Market Price Survey Final Report Presentation May 14, 2013 Tina Chen-Xu, Jill Reynolds www.pcghumanservices.com

2. Agenda 2 o Survey Purpose and Context o Review of Survey Questions o Survey Methodology o Early Childhood Workforce Analysis o Results of Market Price Survey

3. Survey Purpose & Context 3 Conduct a credible study of market prices in each region of the state and across all program types to assist EEC in evaluating the adequacy of rates for the purpose of demonstrating equal access to child care for low-income families. The study: oExamines the market prices for each type of care within each region and compare to EEC reimbursement rates to assess adequacy of rates oHighlights significant price variations oExamines workforce staff make-up and qualifications EEC’s target child care rate schedule is to meet the 75 th percentile of market prices ACF federal rules targets a goal of establishing rates at least at the 75 th percentile to be regarded as providing equal access

4. Review of Survey Questions 4 oSurvey questionnaire is similar to 2010 survey oThe survey used screening questions to identify programs that have not served full-fee-paying children in the last 3 months and those that do not offer full-time care oFor programs that are not screened out, the survey collected the following information for all program types: Standard days and hours of operation Prices that the program typically charges by hour, day, week or month Information on the program’s staff and qualifications

5. Survey Methodology 5 oBased on a random sample of 4,421 child care centers, family child care providers and out-of-school-time programs oSurvey administered on-line in English and Spanish, with follow-up phone calls conducted by Mass211 data collection team oSurvey Responses: o2,100 programs participated in the survey oResponse rate of 89% for center-based and out-of-school-time programs and 59% for family child care providers o11% refused to participate and 30% did not respond o95% confidence level, confidence intervals between 3.8 and 5.6

6. Early Childhood Workforce Analysis Additional questions regarding Information on the program’s staff and qualifications were collected, including: Enrollment in MA EEC’s QRIS, Professional Registry of early education and care teachers Staff tenure by position type Reason(s) for Staff turnover Staff Highest Level of Education (including Early Childhood Education Certification) Amount of teacher’s time spent collaborating with other teachers on the program’s curriculum, activities, educational goals 6

7. Results of Market Price Survey Center Based - INFANT 7

8. Results of Market Price Survey Center Based - TODDLER 8

9. Results of Market Price Survey Center Based - PRESCHOOL 9

10. Results of Market Price Survey Family Child Care 10 RegionAge GroupEEC Rate 25th Percentile 50th Percentile 75th Percentile EEC Market Access Rate Western Infant$30.10$32.00$35.00$40.0022.1% Toddler$30.10$30.00$35.00$40.0033.3% Preschool$26.40$30.00$35.00$40.009.5% Central Infant$31.80$33.00$40.00$45.0017.1% Toddler$31.80$32.00$40.00$45.0024.5% Preschool$26.40$30.00$40.00$45.009.3% Northeastern Infant$31.50$34.25$45.00$50.0518.5% Toddler$31.50$32.50$44.00$54.3722.8% Preschool$27.85$30.00$40.00$50.0015.4% Metro Infant$34.35$45.00$56.50$65.003.8% Toddler$34.35$41.50$55.00$65.008.5% Preschool$27.85$41.50$55.00$65.258.1% Southeastern Infant$31.80$35.00$40.00$45.008.1% Toddler$31.80$35.00$40.00$45.0017.6% Preschool$26.40$30.00$38.00$54.753.7% Boston Infant$31.50$32.00$40.00$54.5017.4% Toddler$31.50$30.00$40.00$51.5031.1% Preschool$27.85$30.00$38.00$53.8811.5%

11. Results of Market Price Survey Family Child Care – INFANT 11

12. Results of Market Price Survey Family Child Care - TODDLER 12

13. Results of Market Price Survey Family Child Care - PRESCHOOL 13

14. Results of Market Price Survey Out of School 14 RegionAge GroupEEC Rate 25th Percentile 50th Percentile 75th Percentile EEC Market Access Rate Western Before School$7.25$6.77$8.00$10.0034.6% After School$15.25$14.16$15.00$18.5060.0% Full Day Holiday$30.70$29.00$30.70$34.0050.0% Full Day Summer$30.70$30.00$33.45$35.2537.1% Central Before School$7.25$7.63$9.97$10.9221.4% After School$15.25$14.00$18.68$21.0028.7% Full Day Holiday$30.70$33.00$35.00$42.0418.5% Full Day Summer$30.70$27.60$35.00$36.4933.5% Northeastern Before School$7.70$11.60$20.00$42.004.1% After School$17.05$17.55$21.60$24.9522.1% Full Day Holiday$31.75$30.75$40.00$50.0026.1% Full Day Summer$31.75$36.00$44.00$50.0016.7% Metro Before School$7.90$8.75$11.13$32.4219.3% After School$17.50$18.68$22.15$27.0012.0% Full Day Holiday$32.65$28.60$49.50$64.1527.1% Full Day Summer$32.65$31.80$41.00$52.5026.2% Southeastern Before School$7.25$9.75$16.75$19.064.7% After School$15.25$17.00$19.00$25.0013.5% Full Day Holiday$30.70$30.00$38.00$40.0027.0% Full Day Summer$30.70$30.00$35.00$38.0029.3% Boston Before School$7.90$7.95$8.80$9.5016.6% After School$17.50$15.70$19.00$22.0030.7% Full Day Holiday$32.65$22.08$30.00$37.5068.2% Full Day Summer$32.65$28.75$31.77$40.7551.3%

15. Results of Market Price Survey Out of School – BEFORE SCHOOL 15

16. Results of Market Price Survey Out of School – AFTER SCHOOL 16

17. Results of Market Price Survey Out of School – FULL DAY HOLIDAY 17

18. Results of Market Price Survey Out of School – FULL DAY SUMMER 18

19. Results of Market Price Survey Key findings 19 Prices for center-based care and family child care are highest in the Metro, Boston and Northeastern regions Reimbursement rates are significantly below the 75 th price percentiles for all age groups in all regions of the state Consistent with 2010 results, prices decreased significantly in center-based settings as the age of the child increases, while prices in family child care settings decrease less as the age of child increases The price changes for family child care since 2010 were less significant than those from 2008-2010 reported in the last market price survey A comparison of EEC after-school rates and market prices finds that reimbursement rates are below the 75 th price percentiles in all regions and are below the 50 th percentiles in all regions, except for the Western Region EEC rates are above the 25 th percentile for after-school care in only three regions.

20. Contact Information 20 Jill Reynolds Contract Manager jreyonlds@pcgus.com 617-426-2026, Ext.1220 Tina Chen-Xu Data Analyst tchenxu@pcgus.com 617-426-2026, Ext. 1449

21. 21 Public Consulting Group, Inc. 148 State Street, Tenth Floor, Boston, Massachusetts 02109 (617) 426-2026, www.publicconsultinggroup.com