Health and Human Services

Child care subsidy adjustments approved

The state’s child care subsidy for low-income families will be modified under a bill given final approval May 21.

Introduced by Omaha Sen. Tanya Cook, LB81 will align the subsidy to mirror existing Aid to Dependent Children and Temporary Aid to Needy Families programs.

Under the bill, if a family’s income at redetermination of eligibility exceeds 130 percent of the federal poverty level (FPL), the family will continue to receive transitional child care assistance for up to 24 consecutive months or until the family income exceeds 185 percent of FPL. The transitional child care assistance will be based on a sliding scale.

The state Department of Health and Human Services is required to report annually to the governor and the Legislature regarding the number of families in all transitional child care assistance programs and the number of families no longer eligible due to failure to meet income guidelines.

Lawmakers voted 47-0 to pass LB81.

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