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Child Care Fees Change to Maintain Quality Services

By Lisa Daniel
American Forces Press Service

WASHINGTON, July 30, 2010 – The Defense Department is adjusting its child care fees, adding categories for its highest income earners, to compensate for six years without fee range increases, Pentagon officials announced today.

The department’s Military and Community Family Policy Office has added three categories to the top of its fee schedule to go into effect by September 30, Barbara Thompson, director, office of family policy, children and youth, said during an interview with American Forces Press Service and The Pentagon Channel. Each service will issue specific fee guidelines, including exceptions to the fee schedule, and adopt fees within the policy office’s ranges, she said.

The adjustment brings the number of fee categories to nine, causing some people to move into different categories, Thompson said. In the previous fee schedule, which has been in effect since 2004, everyone with a total family income of $70,001 or more was in Category VI – the top level – and paid an average of $124 per child per week, she said.

Under the new schedule, families with a total family income between $73,501 and $85,000 will be in Category VI and will pay between $122 and $130 per child per week, still under $3 per hour for a 50-hour week, Thompson said. Here is the new fee schedule:

- Category I – incomes of $29,400 or below – will pay between $44-$59 per week;

- Category II – incomes from $29,401 to $35,700 – will pay between $60-$74 per week;

- Category III – incomes from $35,701 to $46,200 – will pay between $75-$90 per week;

- Category IV – incomes from $46,201 to $57,750 – will pay between $91-$105 per week;

- Category V – incomes from $57,751 to $73,500 – will pay between $106-$121 per week;

- Category VI – incomes from $73,501 to $85,000 – will pay between $122-$130 per week;

- Category VII – incomes from $85,001 to $100,000 – will pay between $131-$133 per week;

- Category VIII – incomes from $100,001 to $125,000 – will pay between $134-$136 per week;

- Category IX – incomes of $125,001 or above – will pay between $137-$139 per week.

There is a high cost option for installations that meet specific criteria due to the high cost of living and high staff salaries.

Military child care is known as a model for the nation, and funding is evenly split by fees and federal subsidies, Thompson said. The increased fees are necessary to maintain high quality of care, she said.

The changes come after two years of study that found the fees were not keeping up with inflation and family income, Thompson said.

“We understand that these are tough economic times for families, but we did this very deliberately after careful study,” she said. “When you look at what you’re getting for your child care fees, it’s a wonderful opportunity in a high-quality care environment.”
 

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The opinions expressed in the following comments do not necessarily reflect those of the U.S. Department of Defense.

9/3/2010 1:08:23 PM
Concerned, MD: The only metric taken into consideration in the setting of fees is income. Not work ethic, not tenure. And yes, if you make 4 times as much, I don't think that a smaller factor is unreasonable at all. For a GS-06, $3,500 is equivalent to $12,500 for a GS-15, rather than the $6,500 that the 15 will pay. As a federally subsidized program, I think our elected reps will definitely be interested in the data upon review. As the article states, our daycare is a model, setting a standard. Referencing privated daycare is looking in the wrong direction.
- My, IL

9/3/2010 8:27:50 AM
It is unfair how this is done. I'm now in a category VIII, paying double if not triple compared to other categories and my children receive the same treatment as those who pay less. On top of these other families paying less if they are category V and below they get it a % if not the whole amount covered by local state programs while our family gets nothing covered. These numbers are not correct for how much is paid weekly, it is significantly higher. We have one infant in full day care and two in before and after care. Monthly it went up for us almost $400, something we can't afford with an infant right now.
- Jora, McGuire AFB, NJ

8/31/2010 12:59:53 PM
So let me gt this straight . You are saying that a GS-15 who has been working hard for more than likely twice if not three times as long as your GS-6 should pay more than twice as much for the same service ? I don't think so. The lower catarories are designed to help the lower levels out as a form of charity. HAve you priced teh private daycare sector ? where they don't care what you grade/ or income are. As a GS-6 you will be paying WAY!!! more than 10%.
- Concerned, MD

8/20/2010 5:39:26 PM
So basically, stick it to those with the most limited incomes, and give a break to those at the top end of the salary scale? On this scale, a person working as a GS-06 on the RUS Locality making $34,907 would have to spend approx $3,800/year, or more than 10% of his/her income. Meanwhile, a person working as a GS-15 on the RUS Locality making $113,735 would only have to spend approximately $7,000/year, or a little more than 6% of his/her income. Gee, thanks for shafting those of us making a fraction of our bosses' bosses' salary by charging us almost double the rate of our annual income! It's not that the child care isn't very good/affordable; it's that someone making four times as much gets a 4% break over those most in need of childcare: entry level, new feds, most likely to have small children. My question is: why is it not on a progressive scale, instead of a regressive one? The bottom three categories are paying 10%+ and the top three categories are paying between 5.7 and 8%!
- My, IL

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