Agenda - 03-19-1996 - X-D - Laserfiche WebLink

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r 4 general, subsidy assistance is limited to those families who are working, in education or job training programs, or for the child's benefit. There is usually a maximum family income guideline that limits these funds to low-income families. In Orange County, 86% of the families receiving child care subsidies are working; 84% are single- parent, and have a median income of$14,872 annually, with an average of three persons per family. The average family receives about$300 per month, or$3600 per year in child care subsidy support. In Orange County, two agencies - the Department of Social Services (DSS) and Day Care Services (DCSA) Association - administer the child care subsidies and scholarships that are available for families. The major difference between the two subsidy programs operated is the family income criteria. DSS is restricted to the poorest families in the community, whereas DCSA is able to serve the working poor, up to a maximum family income of$27,455 for a family of three. DSS administers the child care subsidies for all families participating in the Aid to Families with Dependent Children (AFDC) program, the JOBS/Work First Program, child welfare related child care, and children with special needs who may also need transportation. DCSA administers three child care subsidy programs, one using UNC funds, one using Smart Start funds, and one that combines a variety of community funds including United Way. What is the need for this program It is difficult to estimate the total need for child care subsidies because of eligibility changes occurring at the federal and state levels. For example,the Work First Program that Governor Hunt has implemented in North Carolina now emphasizes the importance of work for parents of school-age children, as opposed to the JOBS program which encourages education, training, and work for parents of preschool and school-age children. It is also expected that federal reductions in Human Services proposed by Congress will have adverse affects on the existing programs,reducing resources and driving up the need for child care assistance for low-income families. However,we can make some general assumptions using population and income census data of families with children under age six residing in Orange County. Over 1600 preschool children with either both or their sole parents working need some level of child care subsidy, even when federal and state child and dependent care tax credits are taken into consideration. Preschool Children Currently about 480 preschool-age children receive child Needing Subsidy care subsidies. This means that approximately two- thirds of the eligible children or approximately 1000 preschool children are in need of services but are not currently served by any available resource. +� (See chart on the right) in subsidies direct 1 cost over $5 million annually to s erve a o f these preschool-age children at current rates. Currently, DCSA and DSS are spending about ct.r.a.ws ww.s.w.. $168,270 to serve about 480 preschool children per month, or more than $2 million annually. Another 644 children are served monthly, which costs about$2.3 million annually. Orange County is about$3 million short in funding the current need for child care subsidies for preschool-age children alone.