Update from Child Care Subsidy on Transition to New Payment Method

Following the Pay in Advance webinar held on November 10, 2025, the Office of Childhood (OOC) has received valuable feedback and concerns from stakeholders, particularly regarding prospective payments and the potential for overpayments. In addition, OOC has recently gathered insights from other states that have implemented prospective payment models. This input has highlighted the need for additional time to further explore and address these concerns.

As a result, OOC has postponed the first authorization-based payment for the Beta group to allow for continued feedback, testing, and review throughout December 2025. In addition, the previously announced tentative target date for statewide implementation has also been delayed.

OOC remains committed to a successful statewide rollout of the new payment method for the Child Care Subsidy program and will share an updated implementation timeline as soon as possible.