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Income TestingSession 2

Presented to

Niagara Child Care Sector

September 19, 2007

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Overview of Presentation

• Implementation of Income Testing

• Implementation Process

• Givens

• Rationale

• Milestones

• Key Issues and Findings to date

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Implementation of Income Testing

• Part of the Best Start ten year strategy

• Promotes universality and accessibility by expanding the fee subsidy system to include a broader range of incomes

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Implementation Process

• Income information associated with taxation information

• Income test will result in a sliding parental contribution scale as follows:

< $20,000 full subsidy

> $20,000 - $40,000 pays 10%

> $40,000 pays additional 30%

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Givens

Consolidated Municipal Services Manager (CMSM)

• CMSM will continue to deliver the fee subsidy program

• Primary eligibility focus is on children under six

• Changes are within existing financial allocation

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Rationale for Change

• Less intrusive

• Increased access

• Promotion of universality

• Expansion of fee subsidy to include a broader range of incomes

• Aligns Ontario with other provinces in Canada

• Increased eligibility for families

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Milestones

Provincial (2006)

• Regulatory changes under Day Nurseries Act (legislative authority) to include Income Tax

• Provincial Fee Subsidy Guidelines revised and distributed (existing families receiving fee subsidy grand parented with intention not to impact with change)

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Milestones

CMSM (2006/2007)

Communication

• Committee and Council report - January

• Communiqués to Community of Service Providers and correspondence to existing Clientele - January/February

• Child Care Sector first Income Testing presentation - June

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Milestones cont’d

Business Processes

• Technology – changes made to OCCMS

• Developed data base tracking system

• Staff training

• Updated resources including intake information on website

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Key Issues and Findings To Date

• Discussion and dialogue of key issues and finding to date (handout)

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Group Discussion

1. What has been your experience with Income Testing?

2. Based on what you have heard about issues, finding and outcomes, what concerns or issues do you have?