January Board Meeting

1
January Board Meeting

• January 9, 2007

2
EEC Guiding Principles

• Put children and family first
• Be flexible and accountable
• Balance access, affordability, quality, and
  coordination/continuity of care
• Prioritize the needs of low-income families
• Build on strengths of current system minimize
  weaknesses maximize resources
• Seek input from staff and stakeholders
• Keep interested parties informed of progress
• Provide timely and comprehensive information to
  Board for decision-making

3
Agenda

• Allocation of FY07 Accreditation and Professional
  Development Funds Discussion and Vote
• FY07 Universal Pre-K Pilot Grant Criteria
  Discussion and Vote
• FY08 Budget Priorities
• Discussion and Vote
• Regulation Reform Update
• Discussion

4
Allocation of FY07 Accreditation Funds

• September, 2006
• Board voted to approve distribution of FY07
  accreditation funds as follows
• .89 M CPC Transitional Funding for July
  Dec 2006
• .85 M New Accreditation RFR for Jan
  June 2007
• 1.74 M Line item appropriation (3000-6000)
• Further review of grant award process revealed
  large gaps in statewide coverage due to
• Structure of grant application
• Variance in applications received and
• Limited resources to fund program.

5
Allocation of FY07 Accreditation
FundsRecommendation

• Remainder of FY07 (January June 2007)
• Award remaining accreditation funding based on
  CPC FY 2007 Continuation Grant applications.
  Vote required
• CPCs would be awarded about the same amount of
  funding they received in their transitional
  budget awards during the first half of this
  fiscal year.
• FY 2008
• Begin work immediately on an FY08 bid process
  that more effectively reflects our common
  priorities regarding accreditation services.

6
Allocation of FY07 Professional Development Funds

• September, 2006
• Board voted to approve distribution of FY07
  accreditation funds as follows
• .87 M CPC Transitional Funding for July
  Dec 2006
• .63 M New PD RFRs for Jan June 2007
• 1.5 M Line item appropriation (3000-6050)
• July Dec 2006 Transitional Funding amount was
  based on FY07 Continuation Grant application
  requests.
• Further review of grant award process revealed
  large gaps in statewide coverage due to
• Structure of grant application
• Variance in applications received and
• Limited resources to fund program.
• Two month delay caused by 9c cuts disrupted
  process further.

7
Allocation of FY07 Professional Development
FundsRecommendation

• Remainder of FY07 (January June 2007)
• Award remaining professional development funding
  based on CPC FY 2007 Continuation Grant
  applications - Vote required
• Funds would be awarded to CPCs from the balance
  of available FY07 funding.
• Grant amounts would be pro-rated, based on
  remaining funding and would equals about 71 of
  CPCs proposed January-June 2007 professional
  development budgets.
• FY 2008
• Begin work immediately on an FY08 bid process
  that more effectively reflects our common
  priorities regarding accreditation services.

8
Universal Pre-Kindergarten PilotCurrent EEC
Requirements

• UPK Pilot fulfills EEC enabling statute
• oversee the development and implementation of
  a program of voluntary, universally accessible,
  high-quality early childhood education to all
  preschool-aged children in the Commonwealth,
  subject to appropriation
• encourage family choice by ensuring a mixed
  system of high-quality public and private
  programs, with local points of entry, staffed by
  well-qualified professionals
• advance the quality of early education and care
  programs in order to support the healthy
  development of children and preparation for their
  success in school.

9
Universal Pre-Kindergarten Pilot FY2007
Budget/Legislative Requirements

• Pilot Implementation grants to be delivered
  through a mixed system of service delivery
• Allows EEC to give preference for funding
  pre-school classrooms in towns and cities with
  schools and districts at risk or determined to be
  under-performing

10
Universal Pre-Kindergarten PilotCurrent System
for Pre-school Aged Children

• Background
• About 160,000 pre-school aged children in
  Massachusetts
• Approximately 141,500 or 89 are served in
• Family Child Care
• Center-based care
• Local Public Schools
• Head Start
• Other (e.g. private schools)
• EEC supports 167.4 M in financial assistance for
  approximately 31,731 pre-school aged children
  through contracts, vouchers and CPC grants
• Head Start and local public schools provide
  additional funding for an estimated 33,000
  children

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Universal Pre-Kindergarten PilotMassachusetts
Pre-School Age Population Overview
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Universal Pre-Kindergarten PilotCurrent System
for Pre-school Aged Children

• Many strengths
• Existing mixed and diverse delivery system
• Adequate accessibility for pre-school age
  children at 89
• Many challenges
• Affordability/Payment to Providers providers
  accepting state subsidies face administrative
  burden and inequitable/inadequate reimbursement.
• Quality standards, policies and requirements not
  aligned to support continuous quality
  improvement.
• Access to high quality differing eligibility
  criteria and inconsistent information lead to
  uneven access for families.

13
Universal Pre-Kindergarten PilotProposal

• Designed to address challenges of existing
  system
• Affordability/Payment to Providers
• New, consistent funding for quality grants in
  addition to basic EEC rate
• Quality
• Defining a quality standard across all program
  types, leading to . . .
• Access to high quality
• On a more even basis for children from all
  incomes

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Universal Pre-Kindergarten Pilot Short Term Goals

• Meet short-term challenges first
• Define measurable characteristics of quality that
  lead to positive outcomes
• Focus on defining and supporting quality first,
  then expand access
• Provide adequate and consistent funding for
  programs meeting quality criteria
• Test funding approaches to ensure participation
  from all components of mixed system and
• Define scope of data collection and technology
  system needs to support good decision making at
  Board/policymaker level and accountability/efficie
  ncy at program level.
• Provide technical assistance and funding to
  support programs in reaching UPK criteria for
  future years

15
Universal Pre-Kindergarten Pilot FY08 and Beyond
Goals

• Further refine assessment criteria by
• Working with assessment publishers to further
  align assessments
• Adding other tools that align with Standards and
  Guidelines and can be used electronically
• Developing statewide indicators that can be
  assessed with or without purchased assessment
  tools.
• Continue working on cost/quality analysis to
  determine award amount
• Provide technical assistance and funding to
  support programs in reaching UPK criteria
• Propose options for increasing statewide access
  for all children
• Review and adjust UPK program standards/criteria
  as needed to improve program quality.

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Universal Pre-Kindergarten Pilot FY2007 Proposal
Overview

• Program participation is optional
• NO changes to current provider requirements for
  other programs
• Quality bar is set intentionally high
• Emphasis on defining and incentivizing quality
  standard
• Eligible programs determined by currently
  identifiable quality characteristics
• Assessment is critical component
• Funds awarded directly to eligible programs
• Funded as quality grant in addition to current
  EEC rate

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Universal Pre-Kindergarten Pilot Proposed
Program Criteria

• For FY07 UPK quality grant funding, eligible
  programs would need to
• Be serving or willing to serve publicly
  subsidized children
• Be providing or directly connected to provider of
  full-day, full-year care for working families
• Be providing a developmentally appropriate
  program, as evidenced by use of
• Guidelines for Preschool Learning Experiences
• One of four EEC-approved assessment tools, for at
  least a year prior to grant award (Work Sampling,
  High Scope Child Observation Record (COR),
  Creative Curriculum Developmental Continuum, and
  Ages and Stages)
• Having access to qualified professional to ensure
  appropriate administration of a developmentally
  appropriate program
• Meet two out of three additional quality
  criteria
• EEC Licensed or License-Exempt
• a. NAEYC accreditation for group child care
  programs
• b. CDA or NAFCC for family child care
• Provider has bachelors degree (BA/BS in any
  subject, with specialized training in early
  education)

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Universal Pre-Kindergarten Pilot Request for
Information (RFI) - Review

• Assessed the feasibility of the proposed pilot
  eligibility criteria
• Gathered information to assist EEC in estimating
  the minimum number and extent of providers
  eligible to apply for UPK pilot implementation
  grants and the number children served and
• Informed the Request for Response (RFR) that will
  be the basis for the application and awarding of
  UPK pilot grants to programs. 

19
Universal Pre-Kindergarten Pilot
Implications/Findings from RFI Analysis

• Because of fixed amount of FY07 funding
• Keeping grant criteria as proposed and allowing
  all eligible providers access to some funding
  would lead to very minimal awards.
• Broadening criteria to include more programs
  (e.g. allowing more assessment options) would
  further decrease awards amounts, but broaden
  access.
• Narrowing criteria (e.g., requiring BA degree to
  qualify) would ensure more meaningful awards, but
  would narrow access.

20
Universal Pre-Kindergarten Pilot RFR Criteria
Comments from EEC Board and Transition Team

• Criteria can remain unchanged
• HOWEVER size and distribution of awards should
  be
• Large enough to be meaningful,
• Focused on most needy communities/children, and
• Designed to ensure a mixed delivery system with
  regional representation.

21
Universal Pre-Kindergarten Pilot Proposal for
formula funding distribution

• Includes children receiving financial assistance
  through CPC funding, vouchers, contracts, and
  Head Start. EEC will use a proxy for subsidy
  level for schools.
• Total UPK Classroom Grant is in addition to
  EEC basic rate. Amounts shown are based on a
  full-time, full-year program.

22
Universal Pre-Kindergarten Pilot Examples of
formula funding distribution
But funding will be prioritized.
23
Universal Pre-Kindergarten Pilot Prioritization
of Grant Awards

• Fund programs with highest concentrations of
  children receiving financial assistance
• Ensure participation across all regions
• Ensure participation across types of programs

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Universal Pre-Kindergarten Pilot Possible Fund
Uses

• If recipients do not have the capacity to submit
  assessment data electronically to EEC in required
  form, they must use funds for that purpose first.
• On-going funds may be used to
• Increase teacher salaries
• Enhance program ability to interpret and use
  assessment data effectively
• Enhance developmentally appropriate practice
• Support staff professional development
  opportunities
• Incorporate ancillary services into the program
  (e.g. social workers, speech therapists, etc.)
• Provide or facilitate access to wrap-around
  services for working families
• One-time start-up funds may be used to
• Upgrade technology systems to enable electronic
  assessment data collection and submission
• Provide one-time training needs for
  staff/administrators in administering one of the
  four assessments
• Improve classroom materials or equipment or
  purchase program supplies/equipment needed to
  support the delivery of UPK quality level
  services.
• Recipients will need to verify the use of awarded
  funds.

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Universal Pre-Kindergarten Pilot FY07-FY08
Appropriation Allocation
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Universal Pre-Kindergarten Pilot UPK Assessment
Planning Grants

• For programs meeting all quality criteria but
  assessment
• To plan for participation in UPK classroom
  funding in subsequent years
• Grant would range from 2,500-10,000 based on
  program size
• Fund uses would include
• Purchase of assessment instruments including
  electronic reporting system
• Professional development for staff to
• perform ongoing child assessments
• use assessment results to adapt program
  curriculum and improve child outcomes and
• share progress reports with parents, and with
  other schools and programs when children
  transition.

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Universal Pre-Kindergarten PilotProjected UPK
Implementation Rollout
In future years, EEC would continue to prioritize
programs serving higher proportions of subsidized
children, and move toward universal eligibility
over time with additional funding.
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Universal Pre-Kindergarten Pilot Proposed
Timeline
29
FY07-FY08 Spending Plan

• Administration and Finance capped FY08 at 1
• FY08 Spending Plan not yet approved
• Assumes that all 9c cuts are restored

30
FY08 BudgetAdditional Proposals

• FY08 spending plan assumes full restoration of
  all 9c cuts.
• In addition to FY08 spending plan, EEC is
  proposing additional budget requests and changes
  in the following areas
• Affordability- provider rate increase
• Access- financial assistance for families
• Quality initiatives
• Behavioral/Mental Health line item consolidation
  and expansion
• Administration

31
FY08 BudgetAdditional Proposals

• Affordability
• Increasing rates to the 50th market percentile
  would cost 56M
• Increasing rates to the 75th percentile (federal
  state plan goal) would cost 129M
• FY08 Proposal
• 56M to raise rates to 50th percentile
• Plan for future increases to 75th percentile in
  conjunction with cost and quality analysis

32
FY08 BudgetProjections for Raising EEC Rates
Note Increases are based on existing rates and
market data from the 2006 Market Rate Survey.
FY07 rate increases are not included.
33
FY08 BudgetAdditional Proposals

• Access
• FY06
• 14,000 children on waiting list for financial
  assistance
• Increased access for 3,600 children
• 8,289 children served through vouchers
• FY07 to date
• 19,000 children on waiting list
• With restoration of 9c cuts, maintaining same
  access as FY06
• FY08 Proposal
• Increase access for 2,000 children
• 14M at 50th percentile

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FY08 BudgetAdditional Proposals

• Quality
• 15 million expansion for
• Practitioners
• Scholarships
• Training and workforce development
• Programs
• Assessment assistance
• Accreditation
• Early Childhood System
• Mass Family Networks
• Statewide Information Technology system

35
FY08 BudgetAdditional Proposals

• Consolidation of Behavioral and Mental Health
  funding
• FY07 (in millions)                  
• Mental Health Pilot Project for supportive child
  care             0.63
• and behavioral support funds for flex pool
  providers 
• Early Childhood Mental Health grants (before
  9c)                  1.40
• Behavior Management grants                        
                            0.75
•                                                   
                                              
         2.78
• FY08 (in millions)                  
• Early Childhood Behavior and Mental Health
  supports    4.49
• Reflects additional demand (1.7M) for Mental
  Health
• supports funding    

36
FY08 BudgetAdditional Proposals

• Administration-
• 500K above spending plan submission
• Needed to support reorganization and new EEC
  responsibilities, including
• Five new grants
• Scholarships
• Workforce Development plan
• Quality Rating System
• UPK program monitoring
• UPK assessment data collection and analysis
• Regulation Reform
• Contract re-procurement
• 700K for 14 additional licensors and 4
  additional investigators to
• restore staffing to prior FY2001 levels and
• reduce caseloads for Family Child Care and Group
  Child Care licensors and investigators.

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FY08 BudgetSummary of Additional Proposals

• Affordability
• 56M to bring rates to 50th percentile
• Access
• 14M to take 2,000 children off waitlist
• Quality
• 15M for program quality improvement supports
• Administration
• 1.2M for new licensing staff and to support EEC
  admin and monitoring efforts
• Mental Health and Behavioral Issues
• Consolidation of line items and additional 1.7M
  to support additional need for mental health
  funding.
• Additional funding for UPK informed by RFR

38
Stages of EEC Family, Group, School Age Licensing
Regulation Development

• Board provides input on alignment approach
  December 2005
• EEC develops draft regulations
  January 2006 March 2007
• Intensive informal external review process
  April-June 2007
• Board vote to send out for public comment
  Fall 2007
• Implementation preparation Fall 2007
• Board vote on final regulations after revisions
  Winter 2007
• Technical assistance/training Spring/Summer
  2007
• New regulations take effect Fall 2008
• Some regulations may be phased in over time