Public Law 107-116 enacts into law the fiscal year (FY) 2002 appropriations
for the Departments of Health and Human Services (HHS), Education
(ED) and Labor.* The new law contains several provisions related
to child care and early care and education.
FY 2002 Discretionary Child Care and Development Fund (CCDF).
The FY 2002 appropriations law authorizes $2.1 billion in Discretionary
Funds--an increase of $100 million over the previous year. The
law requires that the entire amount of Discretionary Funds must
be used to supplement, not supplant, State general revenue funds
for child care assistance for low-income families. An additional
$2.7 billion in Mandatory and Matching funds were pre-appropriated,
making a total of $4.8 billion in Federal CCDF funding available
this year.
Earmarks for FY 2002 Discretionary CCDF Funds. FY 2002
Discretionary CCDF funds include the following earmarks:
Early Learning Opportunities Act. $25 million is appropriated
for the Early Learning Opportunities Act (ELOA) --a $5 million
increase over the previous year. Funds are to be used by local
communities for developing, operating, or enhancing voluntary
early learning programs that are likely to produce sustained gains
in early learning. The Child Care Bureau will announce a competition
for ELOA grants in the Spring of 2002.
Head Start. The appropriations law provides a $338 million
increase for Head Start, raising total funding to over $6.5 billion
for FY 2002.
21st Century Community Learning Centers. ED's 21st Century
Community Learning Centers received a $154 million increase, bringing
total funding to $1 billion for FY 2002. The recent reauthorization
of the Elementary and Secondary Education Act (P.L. 107-110) revised
this program so that funds will now be awarded through State Education
Agencies. In addition, the range of entities eligible to receive
funding has been expanded from local educational agencies and
schools to also include community-based organizations, other public
and private entities, and consortia of entities. Thus child care
organizations, among others, could now be eligible.
Early Reading First. This new ED program, which was authorized
by P.L. 107-110, received a $75 million appropriation. As a competitive
grant initiative, it will support early literacy efforts for preschool-aged
children. Eligible applicants include certain local educational
agencies, public or private organizations acting on behalf of
programs serving preschool-aged children (such as Head Start or
child care), or consortia of entities. A related new initiative--Reading
First--will provide grants to assist States and local educational
agencies in establishing research-based reading programs for children
in kindergarten through grade three ($900 million total, $195
million of which is advanced for FY 2003).
Early Childhood Educator Professional Development. The
appropriation law provides $15 million (a $5 million increase
over last year) for this initiative. As authorized by P.L.107-110,
this ED program awards grants to improve the knowledge and skills
of early childhood educators who are working in early childhood
programs that are located in high-need communities and serve concentrations
of children from low-income families. Funds will be awarded competitively
to partnerships consisting of relevant agencies. The law lists
State and local agencies administering the CCDF as potential members
of such partnerships.
Loan Forgiveness for Child Care Providers. The appropriations
law includes $1 million (the same amount as the previous year)
for ED's student financial assistance loan forgiveness program
for child care providers.
Campus Child Care. The law appropriates $25 million (the
same amount as the previous year) for campus-based child care
through the Child Care Access Means Parents in School program.
The Conference Report encourages ED to work with colleges and
universities and relevant organizations to heighten awareness
and increase utilization of the financial assistance available.
Special Education Grants for Infants and Families. Funding
increased by $33 million, for a total of $417 million for grants
authorized by Part C of the Individuals with Disabilities Education
Act (IDEA). States use these funds to provide services for infants
and toddlers with disabilities and their families.
Special Education Preschool Grants. Funding remained level
at $390 million for grants authorized by Part B of IDEA. State
education agencies use these funds to serve preschool-aged children
with disabilities.
Ready-to-Learn Television. The appropriations law provides
$22 million for Ready-to-Learn Television that supports the development
of educational television programming for children and families.
As authorized by P.L. 107-110, these ED funds may support a variety
of activities, including the development and dissemination of
education and training materials for parents, child care providers,
and other educators.
Social Services Block Grant (Title XX). The Social Services
Block Grant (Title XX) received $1.7 billion, a $25 million decrease.
For FY 2002, the appropriations law allows States to transfer
up to 10 percent of Temporary Assistance for Needy Families (TANF)
funds to Title XX. The overall limit on the percentage of TANF
funds that can be transferred to CCDF and Title XX is 30 percent.
Child and Adult Care Food Program. The Department of Agriculture's
appropriations law (P.L. 107-76) extends the revised eligibility
requirements for private organizations under the Child and Adult
Care Food Program. Effective through September 30, 2002, a private
organization (e.g., for-profit child care provider) can participate
in the food program if at least 25 percent of the children served
by the organization are eligible for free or reduced price lunch.
(Prior to FY 2001, the law required that 25 percent of children
receive Title XX Social Services Block Grant funds in order for
a private organization to be eligible.)
* Full text of bills can be found on the Library
of Congress' Thomas web-site at http://thomas.loc.gov/.
Enter the bill number in the search function near the top of the
page. The bill number for the appropriations law (P.L. 107-116)
is H.R. 3061. The bill number for the Elementary and Secondary
Education Act reauthorization (No Child Left Behind Act; P.L.
107-110) is H.R.1.
CCB
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