Proposed cuts to child care assistance will force parents to give up employment and educational opportunities

Eligible families sued department last year over arbitrary denials of assistance

SANTA FE—In a move that will prevent families from getting much needed child care, the State of New Mexico proposes to cut eligibility to child care assistance available to parents who are working or in school. A regulation released yesterday, would reduce families’ eligibility to incomes of 160% and lower of the federal poverty level. Currently, families with incomes up to 200% of the FPL qualify for assistance. The regulation also provides some information used to determine family copays, which continue to be unaffordable according to federal standards.

The proposed rule will reduce the number of families eligible for child care assistance and continue to burden parents with unaffordable copays that force them to go without child care and forego education or employment opportunities. Children, Youth and Families Department data from FY2017, shows a 66% drop in participation in the program once families are charged a copay, beginning with incomes as low as 25% to 50% of the FPL. According to CYFD data, just a third of eligible families participate in the program.

“We urge CYFD to change this proposed regulation so that more, not fewer, families have access to the child care they desperately need. We know that CYFD wants to increase opportunities for New Mexico’s families. One clear way to do that is to help hard-working parents keep their jobs and stay in school by providing help with the exorbitant costs of child care. Unfortunately, too few families qualify, and those who do must come up with copays that are so high that many are forced to leave the program and give up on careers and their education or resort to unreliable and unlicensed care,” said Maria Griego, supervising attorney at the New Mexico Center on Law and Poverty.

Griego added, “We are concerned that the state is cutting benefits when enrollment has decreased. We need safeguards that ensure child care copayments are actually affordable so families can benefit from the program. This means adequate funding at the legislature that is based on the economic reality facing New Mexico families. The state should seek supplemental funding to prevent cuts right now.”

CYFD agreed to issue regulations that detail eligibility requirements for the Child Care Assistance Program following a lawsuit filed by Organizers in the Land of Enchantment (OLÉ) and families represented by the New Mexico Center on Law and Poverty. The lawsuit, Torres v. Jacobson, argued that the department illegally reduced eligibility and determined the amount of child care assistance without going through the public regulatory process required by law.

After the lawsuit was filed, CYFD immediately increased eligibility to 200% of the federal poverty level, which it now proposes to cut.

“When CYFD extended the eligibility requirements, it opened the doors for more parents out there struggling to find childcare and now they are looking to close that door again,” said Brian Gelepsie, OLÉ member. “The state is messing with families’ livelihoods when families have to decide between paying for childcare or having a roof over their heads. Our parents and children deserve better.”

The proposed Child Care Assistance Program regulation:

  • Cuts eligibility to 160% FPL—even though enrollment in the program is dropping.
  • Sets child care copayments at unaffordable levels and fails to explain the details of how copayments are calculated. For example, the department applies a 10% increase to base copayments for every case, but this is not in regulation.
  • Does not clearly articulate how CYFD calculates income to determine eligibility or how the application process works.
  • Does not require applications and eligibility documents to be in languages other than English.

A public hearing on the rule is scheduled to take place in Santa Fe on July 8, 2019.