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HomeMy WebLinkAboutAgenda - 12-14-2004-7aORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 14, 2004 Action Agenda Item No. ~-q SUBJECT: Social Services Board Request to Establish a Day Care Trust Fund With the $100,000 Reserved in the Social Safety Net DEPARTMENT: Social Services PUBLIC HEARING: (Y/N) No ATTACHMENT(S): INFORMATION CONTACT: Nancy Coston, ext 2802 TE<_EPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To consider a request from the Social Services Board to release day care funds appropriated in the Safety Net Fund to the Department of Social Services (DSS) in order that DSS can provide subsidy to additional families on the Department's day care waiting list. BACKGROUND: The Orange County Commissioners, in recognition of the growing need for affordable childcare for families who live in Orange County, identified funds that could be used to provide additional subsidy. The Commissioners requested that the Social Services Board develop a plan for the use of $100,000 in Social Safety Net Funds designated for this purpose, The Social Services Board formed a day care task force representing day care providers, the Orange County Partnership for Young Children, the Social Services Board, Child Care Services Association, the Board of County Commissioners, the County Manager's office and Social Services staff to explore needs and resources, Many families in Orange County need financial assistance with childcare and the need for this assistance continues to grow faster than the resources available. Over $3,5 million in federal day care subsidy funds, administered by Social Services, and over $1.3 million in state Smart Start subsidy, administered by Child Care Services Association, will be spent this fiscal year for families who live in Orange County. Even with these expenditures, approximately 140 unduplicated Orange County families eligible far subsidy from Social Services are waiting to be served. The impact of waiting far childcare is not only felt by the children and families in need, but also by the employers of these parents and by the entire community, Currently, same families have waited over nine months to receive subsidy, The Social Services Board has reviewed the findings of the day care task force and supports its recommendation that the Board of County Commissioners allow Social Services to use $100,000 to seed a Day Care Trust Fund that has as its goals to increase the resources available to support low-income families and to reduce the time families are on the waiting list for day care subsidy. The Trust Fund will be administered by special line item within the Department of Social Services (DSS) under the policy oversight of the Social Services Board. Trust funds may be used to solicit matching funds from other organizations, The funds may also be used to address the needs of the eligible cases as established by the Social Services Board, which currently include: • Employed parents • Child protective services • Other child welfare cases including families in crises • Mandatory participants in Work First employment activities • Teen parents still in school • Siblings of children already receiving subsidy All families receiving Trust funds must meet DSS eligibility criteria and be on the DSS waiting list. Parents will be required to pay part of the cost of care based on the current DSS requirements, The Trust Fund could initially serve approximately 28 children for six months each, If additional matching funds can be secured, more children can be served. The Board of Social Services will develop specific guidelines for the use of the funds, monitor the use of the funds, make modifications as needed to the policies, assure financial accountability for the funds and make annual reports to the Board of Commissioners regarding the funds. FINANCIAL IMPACT: The original budget for the current fiscal year included $100,000 in the Social Safety Net Reserve, with an additional amount of approximately $151,000 recommended as a carry forward from the 2003-04 fiscal year, bringing the total planned allocation far the Social Safety Net Reserve to approximately $251,000.. (Staff plans to bring the budget amendment for the carry forwards to the January 24, 2005 BOCC meeting.) With the allocation of $100,000 for the day care initiative outlined above and the additional carry forward funds, approximately $151,000 will be available in the Social Safety Net Reserve for other needs this fiscal year. RECOMMENDATION(S): The Manager recommends that the Board consider the recommendation from the Social Services Board to release $100,000 from the Social Safety Net to DSS to assist families on the Social Services day care waiting list under policies developed by the Social Services Board..