CCMPL 100 (Step Up To Quality [SUTQ] - Quality Achievement Awards)
Child Care Manual Procedure Letter No. 100
May 26, 2016
TO: All Child Care Manual Holders
FROM: The Office of Legal and Acquisition Services
SUBJECT: Step Up To Quality (SUTQ) - Quality Achievement Awards

Background:

Quality Achievement Awards are currently issued to programs that earn or maintain a star rating through the Step Up To Quality (SUTQ) tiered rating system. These payments are based on licensed capacity, the average number of publicly funded children served in the previous six months and the provider's achieved star rating.

Update:

Effective July 1, 2016 Quality Achievement Awards will no longer be issued. There will be a one-time payment to the following providers:

1.Those that have earned or maintained a 3-, 4- or 5-star rating between July 1, 2015 through June 30, 2016; AND

2.Those that served at least one child through the Ohio Department of Job and Family Services publicly funded child care program at the time of the provider's last quality achievement award.

Payments:

Payments will be calculated and issued to all qualifying providers in the early fall based on the following formula:

1.The Ohio Department of Job and Family Services (ODJFS) will review payments for publicly funded child care services from the previous 12 months (July 1, 2015 - June 30, 2016) without the SUTQ enhancement (base rate only).

2.This base will then be multiplied by the quality enhancement rate for the last Step Up To Quality Rating earned prior to the July 1, 2016 (i.e. 3 star - 15%, 4 star - 20%, 5 star 25%).

3.The base rate will then be multiplied by the new quality enhancement rate for the same earned Step Up To Quality Rating (i.e. 3 star - 18%, 4 star - 25%, 5 star 31%).

4.The difference between calculations for steps #2 and #3 will then be calculated.

5.The difference between the last Quality Achievement Award and the calculation of step #4 will then be issued to the provider.

Example:

1.5-star rated provider earned payments of $40,000 in State Fiscal Year 2016 without the SUTQ enhancement (base rate only).

2.$40,000 x 1.25=$50,000 (25% enhancement rate for 5 star programs prior to July 1, 2016).

3.$40,000 x 1.31=$52,400 (31% enhancement rate for 5 star programs after July 1, 2016).

4.The last Quality Achievement Award was $8,000.

5.$52,400 is less than $58,000 ($50,000+$8,000=$58,000)

6.ODJFS will issue a payment of $5,600 ($58,000-$52,400=$5,600)