Implement Michigan Child Care Assistance Program (CCAP / Child Development and Care - CDC)

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Summary

Implement Michigan's Child Care Assistance Program, officially the Child Development and Care (CDC) program — the state's CCDF-funded child care subsidy. The CDC program is administered by the Michigan Department of Lifelong Education, Advancement, and Potential (MiLEAP) in partnership with the Michigan Department of Health and Human Services (MDHHS), which determines financial eligibility.

CDC helps eligible low-income families pay for child care so parents can work, attend an approved education or training program, or participate in an approved counseling/treatment program. It is Michigan's implementation of the federal Child Care and Development Fund (CCDF) block grant.

Regulatory authority

• RFT 270 — CDC Income Eligibility Scale and Provider Rates (MDHHS reference tables)
• BEM 703 — Child Development and Care eligibility (MDHHS Bridges Eligibility Manual)
• BPB / CDC program policy
• Michigan CCDF State Plan (FFY 2025–2027)

Scope to model

• Eligibility: Michigan residency; a need for care (work, approved education/training, or approved counseling/treatment); child under 13 (or up to 18 with special needs); and income at or below the CDC income eligibility scale (by household size). No asset test.
• Initial vs. ongoing income limits: Michigan provides 12 months of continuous eligibility — families enter at the income eligibility scale ("entry") and remain eligible until income exceeds a higher "exit" threshold.
• Provider payment (scholarship) rates: maximum reimbursement rates by provider type (licensed child care center, family/group home, license-exempt/unlicensed provider), child age group, and care duration.
• Family Contribution (FC): sliding-scale family copay based on household size and income.
• Subsidy amount: lesser of the provider charge and the state maximum (scholarship) rate, less the Family Contribution.

Implementation notes

• Reuse federal CCDF infrastructure where possible (immigration eligibility, asset test, program registry) — see RI/WV/SC/KY CCAP precedent.
• Files will live under parameters/gov/states/mi/mdhhs/ccap/ and variables/gov/states/mi/mdhhs/ccap/ (MDHHS already hosts Michigan FIP and SSP).
• Add to programs.yaml and the household state benefits aggregation as appropriate.

Verification TODO

• Verify income entry/exit thresholds against the current CDC Income Eligibility Scale (RFT 270) and BEM 703
• Verify provider maximum (scholarship) rate schedule by provider type, age group, and care duration against RFT 270
• Verify Family Contribution (FC) schedule
• Tests pass and CI is green