97-2942. Child and Adult Care Food Program, Improved Targeting of Day Care Home Reimbursements; Correction and Extension of Comment Period  

  • [Federal Register Volume 62, Number 25 (Thursday, February 6, 1997)]
    [Rules and Regulations]
    [Pages 5519-5520]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-2942]
    
    
    
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    Federal Register / Vol. 62, No. 25 / Thursday, February 6, 1997 / 
    Rules and Regulations
    
    [[Page 5519]]
    
    
    
    DEPARTMENT OF AGRICULTURE
    
    Food and Consumer Service
    
    7 CFR Parts 210 and 226
    
    RIN 0584-AC42
    
    
    Child and Adult Care Food Program, Improved Targeting of Day Care 
    Home Reimbursements; Correction and Extension of Comment Period
    
    AGENCY: Food and Consumer Service, USDA.
    
    ACTION: Interim rule; correction and extension of comment period.
    
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    SUMMARY: This document contains corrections to the preamble, regulatory 
    text, and economic impact analysis (appendix) of the interim rule 
    published on January 7, 1997 (62 FR 889). The interim rule contained 
    changes required by the Personal Responsibility and Work Opportunity 
    Reconciliation Act of 1996 relating to the implementation of a two-
    tiered reimbursement structure for day care homes participating in the 
    Child and Adult Care Food Program. The comment period is also being 
    extended to provide the public sufficient opportunity to comment on the 
    interim rule in light of these corrections.
    
    DATES: Effective July 1, 1997, except for Secs. 210.9(b)(20), 
    210.19(f), 226.6(f)(2) and 226.6(f)(9), which are effective March 10, 
    1997. To be assured of consideration, comments on the interim rule must 
    be postmarked on or before May 7, 1997, except for comments on the 
    information collection which must be received by March 10, 1997.
    
    FOR FURTHER INFORMATION CONTACT: Robert M. Eadie, Chief, Policy and 
    Program Development Branch, Child Nutrition Division, Food and Consumer 
    Service, Department of Agriculture, 3101 Park Center Drive, Room 1007, 
    Alexandria, Virginia 22302 or telephone 703-305-2620.
    
    SUPPLEMENTARY INFORMATION:
    
    Background
    
        On January 7, 1997, the Department published an interim rule 
    incorporating provisions from the Personal Responsibility and Work 
    Opportunity Reconciliation Act of 1996 (Pub. L. 104-193) concerning 
    implementation of a two-tiered reimbursement structure for day care 
    homes participating in the Child and Adult Care Food Program (CACFP). 
    Under this structure, the level of reimbursement for meals served to 
    enrolled children will be determined by economic need based on: the 
    location of the day care home; the income of the day care provider; or 
    the income of individual children's households.
        However, the interim rule as published contains errors in the 
    preamble, regulatory text, and economic impact analysis (appendix) that 
    need correction.
    
    Correction of Publication
    
        Accordingly, the publication on January 7, 1997 at 62 FR 889 is 
    corrected as follows:
        1. On page 898, first column, the preamble is corrected by removing 
    the second full paragraph and by adding three new paragraphs in its 
    place to read as follows:
    
        The claiming percentages/blended rates alternative set forth in 
    section 708(e)(1) of the Act indicates that the claiming percentage 
    or blended rate be established based on the percentage of identified 
    income-eligible children enrolled in a home ``in a specified month 
    or other period.'' This interim regulation prescribes that the 
    claiming percentage or blended rate be based on one month's data 
    concerning the children enrolled in a particular day care home. The 
    Department will allow sponsors to use either of two approaches to 
    making this calculation, and is interested in receiving comments on 
    whether both of these alternative methods should continue to be 
    permitted.
        The first alternative would involve the day care home submitting 
    an attendance list for the specified month to the sponsor. The 
    sponsor would then use the attendance list to determine the claiming 
    percentage or blended rate for the home based on a weighted average 
    of each enrolled child's level of participation during the month. 
    The second alternative would involve a sponsor calculating the 
    claiming percentage or blended rate based on a home's enrollment for 
    an entire month using a list of enrolled children submitted by the 
    day care home. The sponsor would assess the income eligibility 
    status of each of the children enrolled in the home during the month 
    and, using the enrollment list, derive the appropriate claiming 
    percentage or blended rate. For example, if a home's enrollment list 
    for the month of January indicates that 10 children were enrolled 
    during the month, the home's claiming percentage or blended rate 
    would be based on the number of identified income-eligible children, 
    divided by 10.
        The Department believes that either of these methods will 
    achieve greater accuracy in reimbursement payments than basing the 
    six-month calculation on a single point in time (that is, one day's 
    data, which could misrepresent typical enrollment or attendance in 
    that home). Although the attendance list may impose an additional 
    burden on the sponsor and day care homes, it would certainly provide 
    a higher level of accuracy than using an enrollment list.
    
        2. On page 899, third column, in the second full paragraph, line 
    10, the preamble is corrected by removing the word ``submit'' and 
    replacing it with the word ``collect''.
        3. On page 903, in line 1 of the second column, 
    Sec. 226.13(d)(3)(ii) is corrected by adding the words ``one month's 
    data concerning'' after the words ``basis of''.
        4. On page 904, third column, Sec. 226.23(h)(6) is corrected by 
    italicizing the paragraph heading ``Verification procedures for 
    sponsoring organizations of day care homes.''.
        5. The appendix to the preamble which appears on pages 905-915 is 
    corrected as follows:
        a. On page 905, second column, in line 13 of the second full 
    paragraph:
        1. the words ``, and supplements'' are added after the word 
    ``breakfasts'' in the parentheses;
        2. the comma after the right parentheses is removed and replaced 
    with a period; and
        3. the words ``and such'' before the word ``changes'' are removed 
    and the word ``These'' is added in their place.
        b. On page 905, Table 1, in footnote a, in the first sentence, the 
    first word ``Percentage'' is removed and the word ``Percentages'' is 
    added in its place; and the word ``hoseholds'' is removed and the word 
    ``households'' is added in its place.
        c. On page 905, Table 1, in footnote a, in the second sentence, the 
    word ``to'' is added after the word ``propensities''; and the word 
    ``benefirts'' is removed and the word ``benefits'' is added in its 
    place.
        d. On page 905, first column, in line 3, the first paragraph after 
    Table 1, the words ``Associates, Inc.'' are added after the word 
    ``Abt''.
    
    [[Page 5520]]
    
        e. On page 906, Table 2, in the column labeled ``Difference,'' a 
    negative sign (-) is added before all of the numbers in the column.
        f. On page 906, third column, the fourth line of text after Table 
    3, the word ``ing'' is removed and the words ``the costs resulting'' 
    are added after the words ``most of''.
        g. On page 907, Table 4, in the column labeled ``Dollars,'' the 
    number ``-332,324'' is removed and the number ``-332,334'' is added in 
    its place.
        h. On page 907, first column, after Table 4, in the third 
    paragraph, on line 6, a period is added after the first occurrence of 
    the word ``DCHs''.
        i. On page 907, first column, after Table 4, in the third 
    paragraph, on line 6, the words ``Virtually all'' are added after the 
    newly added period.
        j. On page 907, second column, after Table 4, in the last 
    paragraph, in line 3, the footnote ``3'' is removed and a footnote 
    ``5'' is added in its place.
        k. On page 908, first column, in the last paragraph, on the third-
    to-last line, the word ``er'' is removed and the words ``impact of $133 
    per'' are added.
        l. On page 908, second column, in the second paragraph under the 
    ``Costs to Families'' heading, on line 15, the word ``recent'' is 
    removed and the words ``represent a 10 percent'' are added in its 
    place.
        m. On page 909, second column, in the first paragraph under the 
    ``Intended Effect of Tiering'' heading, on line 5, a period is added 
    after the words ``P.L. 104-193''.
        n. On page 909, second column, in the first paragraph under the 
    ``Tiering Determination Burden'' heading, line 13, the word ``sponsor'' 
    is removed and the words ``the DCH provider'' are added in its place.
        o. On page 909, third column, in the first full paragraph, line 23, 
    the word ``93-35'' is removed and the word ``97-35'' is added in its 
    place.
        p. On page 909, third column, in the first full paragraph, line 32, 
    the word ``enrollment'' is removed and the words ``two types of 
    income'' are added in its place.
        q. On page 910, first column, in the first full paragraph, line 13, 
    the words ``percent of'' are added after the word ``6'', and the words 
    ``DCHs that are only area-eligible implies that 16 percent of all DCHs 
    will be approved for tier I'' are added after the words ``6 percent of 
    tier I''.
        r. On page 910, third column, in the paragraph under the heading 
    ``Data Collection and Reporting Burden for Sponsors,'' 4th from last 
    line, the words ``CACFP State'' are added after the words ``submits to 
    its''.
        s. On page 912, second column, after Table 7, in the first 
    paragraph, the words ``The assumption that 40 percent of children in 
    mixed tier II DCHs are income eligible. There is a clear financial 
    incentive for providers to encourage their low-income families to 
    submit income information to sponsors. This incentive and providers' 
    close relationships with parents suggest that providers will attempt to 
    persuade parents to provide the income information and will thereby 
    achieve a response rate greater than the NSLP's 80 percent; ninety 
    percent was chosen.'' are removed.
        t. On page 912, third column, after Table 7, in the first full 
    paragraph, line 20, the word ``DC'' is removed and the words ``DCHs 
    will be about'' are added in its place.
        u. On page 913, first column, after Table 8, in the first paragraph 
    under the heading ``Costs to CACFP State Agencies,'' line 19, the word 
    ``hof'' is removed and the words ``household income of'' are added in 
    its place.
        v. On page 914, third column, in the footnote at the bottom of the 
    column, the letter ``m'' is added to the beginning of the footnote.
    
        Dated: January 30, 1997.
    William E. Ludwig,
    Administrator.
    [FR Doc. 97-2942 Filed 2-5-97; 8:45 am]
    BILLING CODE 3410-30-U
    
    
    

Document Information

Effective Date:
7/1/1997
Published:
02/06/1997
Department:
Food and Consumer Service
Entry Type:
Rule
Action:
Interim rule; correction and extension of comment period.
Document Number:
97-2942
Dates:
Effective July 1, 1997, except for Secs. 210.9(b)(20), 210.19(f), 226.6(f)(2) and 226.6(f)(9), which are effective March 10, 1997. To be assured of consideration, comments on the interim rule must be postmarked on or before May 7, 1997, except for comments on the information collection which must be received by March 10, 1997.
Pages:
5519-5520 (2 pages)
RINs:
0584-AC42: Improved Targeting of Day Care Home Reimbursements in the Child and Adult Care Food Program
RIN Links:
https://www.federalregister.gov/regulations/0584-AC42/improved-targeting-of-day-care-home-reimbursements-in-the-child-and-adult-care-food-program
PDF File:
97-2942.pdf