State Rep. Ann Bollin is leading an effort to improve oversight and solve problems within the state’s error-ridden Child Development and Care (CDC) program.

Reporting by the Detroit Free Press uncovered multiple failures in the CDC program, which helps families in need pay for child care. The report revealed that the administration has erroneously terminated benefits and has frequently failed to communicate to parents and child care providers in a timely manner.

“The system is failing families who rely on the child care subsidies promised to them by the state, so they can go to work and earn a living,” said Bollin, R-Brighton Township. “Mistakes and miscommunication from the state have hurt our small day care providers and resulted in families owing thousands of dollars in child care costs they simply cannot afford. When they can’t pay, their kids get kicked out of day care – and mom or dad can’t work.”

Problems identified by the Detroit Free Press report include:

• Wrongful termination. Back payments to reimburse parents or providers for missed payments due to wrongful termination of benefits are not provided, even after clear mistakes are identified.
• Communication delays. Parents and care providers receive notice weeks after a determination, including a termination of benefits, and notifications is always made via mail.
• Government inefficiency. Errors and delays are likely partially caused by the fact that the CDC program is administered by the Office of Great Start in the Department of Education, but the Department of Health and Human Services (DHHS) determines a family’s eligibility.

On Tuesday, Bollin offered a proposal consolidating the entire program within DHHS and placing higher expectations on program administrators. Her budget amendment would have required reimbursement for care provided during a period where a family’s benefits were erroneously terminated by the state. The reimbursement would be paid within 15 days to parents, if they paid out of pocket, or to providers, if they provided care for which they were not paid. Her plan would also require future notice of eligibility changes to be sent in a timely manner, electronically and through the postal service.

The Democrat majority on the House DHHS budget subcommittee would not adopt Bollin’s proposal, but she promised to continue fighting for a solution.

House Republicans are drafting separate legislation to make changes outside the annual budget process and have sent a letter to the Michigan Office of the Auditor General calling for an investigation into the problems.

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