Financing Child Care in the United States - Ewing Marion Kauffman ...

HEALTH INSURANCE FOR CHILD
CARE PROVIDERS (RHODE ISLAND)
DESCRIPTION
Rhode Island makes fully paid health care coverage
available to certain center— and home–based child care
providers and their children. The coverage is provided
through RIte Care, the state’s publicly funded health
insurance program for the uninsured.
WHEN ESTABLISHED
Health care coverage for family child care providers
became effective in January 1997. Coverage was
extended to child care center staff in January 1999.
ANNUAL AMOUNT
For FY2000, the state estimated a total expenditure of
$900,000 in state general revenues for the child care
health insurance program. Some additional federal funds
were allocated to match a portion of the state
expenditure.
SERVICES FUNDED
Health care coverage is provided to qualified child care
providers.
HOW FUNDS DISTRIBUTED
The program is administered by two divisions of the
Rhode Island Department of Human Services (DHS), the
Division of Individual and Family Support (the child care
lead agency) and the Center for Child and Family Health
(the Medicaid agency).
Family child care providers enroll directly in the state’s
RIte Care health insurance program. Qualifying child care
centers receive 50 percent reimbursement for health
care coverage costs in private plans, up to a per person
limit.
STRATEGIC CONSIDERATIONS
• This initiative was originally proposed by a group of
family child care providers who had difficulty finding
affordable health insurance. Strong grass–roots
support, organized by Direct Action for Rights and
Equality (DARE), coupled with leadership from
Governor Lincoln C. Almond (R) and Department of
Human Resources Commissioner Christine Ferguson,
was instrumental in passage of the legislation.
OTHER SITES WITH SIMILAR STRATEGIES
North Carolina has established the T.E.A.C.H. Early
Childhood ® Health Insurance Program. (See profile on
page 69) In addition, some states have expanded
coverage under Medicaid to income levels that could
include child care providers. For more information on this
approach, contact Jocelyn Guyer, Center for Budget and
Policy Priorities, (202) 408 1080.
CONTACT
Reeva Sullivan Murphy
Child Care Administrator
Rhode Island Department of Human Services
600 New London Avenue
LP Building
Cranston, RI 02920
Phone (401) 462 6875
E–mail rmurphy@gw.dhs.state.ri.us
POPULATION SERVED
Eligible family child care providers must be certified by
the state’s child care licensing agency and must receive
at least $1,800 in reimbursement in a six–month period
for caring for a child receiving a state subsidy.
Eligible child care centers must be licensed and more
than 40 percent of the children in their care must receive
a state subsidy. (Within three years the percentage of
subsidized children will be reduced to 30 percent.)
Eligible child care centers may purchase RIte Care for
their employees at 50 percent of the cost.
76