The Administration for Children and Families has suspended a rule that would have changed how states reimburse publicly funded child care providers.
The suspended rule, titled "Improving Child Care Access, Affordability and Stability in the Child Care and Development Fund," would have required states to reimburse child care based on enrollment rather than attendance.
The suspension allows Ohio to continue using its current attendance-based reimbursement model, which requires verification that children actually attended care before providers receive payment.
Sen. Jon Husted (R-Ohio) praised the move saying "The ACF's action will help prevent fraud, protect taxpayers and ensure federal dollars only pay for care actually delivered to working families,"
Husted referenced recent fraud allegations in Minnesota, including allegations against facilities in Minneapolis that allegedly provided child care services to falsely enrolled individuals.
"While attendance-based reimbursement for child care is not the only remedy to prevent bad actors from abusing other means-tested programs, like the recent home-health care fraud allegations in Ohio, it does create a verifiable attendance record and ensures taxpayer dollars are used for families utilizing program resources," Husted said.
The senator said the attendance-based system makes it easier for states to protect program integrity and ensure federal dollars reach families and providers who need them most.
Gov. Mike DeWine explained Monday during a press conference that the Department of Children and Youth (DCY) has extensive steps to prevent fraud including audits and surprise visits.
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