The federal Child Care and Development Fund (CCDF) is the primary source of financing for states’ child care subsidy programs. Within broad federal requirements, states set their own eligibility requirements. Even in the most generous states, however, various barriers (including waiting lists or frozen intake, high family copayments, and low reimbursement rates for care providers) restrict access to these programs. This indicator captures the reach of these child care subsidies among families with incomes equal to or less than 150 percent of the state median income within states.
The denominator for this indicator is the number of children ages 0-2 with family incomes less than or equal to 150 percent of the state median income. To calculate the denominator, we took the following steps: a) obtained the state median incomes for 4-person families, by state, from the Low-Income Home Energy Assistance Information Memorandum; b) multiplied those numbers by 1.5 to get 150 percent of the state median income for 4-person families; c) calculated 150 percent of the state median income for families of different configurations, using the conversion provided in a table footnote in the Low-Income Home Energy Assistance Information Memorandum; d) applied to each respondent in the 2019 1-year American Community Survey (ACS) the appropriate 150 percent of state median income threshold, based on their state and family size; e) flagged respondents whose family income was less than or equal to this threshold; f) exported the weighted number of children ages 0-2 with these flags. The denominator was not updated for the State of Babies Yearbook: 2022 due to the delay in the 2020 1-year ACS data release related to COVID-19. The numerator is the number of children ages 0-2 who received CCDF-funded care in fiscal year 2019 (based on estimates from the Administration for Children and Families Office of Child Care). The denominator covers January 2018-December 2019 while the numerator covers October 2018-September 2019.
Administration for Children and Families, Office of Child Care. (2021). FY 2019 CCDF Data Tables (Preliminary). https://www.acf.hhs.gov/occ/data/fy-2019-ccdf-data-tables-preliminary
Administration for Children and Families, Office of Community Services. (2020). The Low-Income Home Energy Assistance Program IM 2018-3 State median income estimates for optional use in FY 2018 and mandatory use in FY 2019. https://www.acf.hhs.gov/ocs/policy-guidance/liheap-im-2018-3-state-median-income-estimates-optional-use-fy-2018-and
Ruggles, S., Flood, S., Goeken, R., Grover, J., Erin Meyer, E. Jose Pacas, J. & Sobek, M. (2020). American Community Survey 2019, one-year estimates. (IPUMS USA: Version 10.0) [Data set]. IPUMS. https://doi.org/10.18128/D010.V10.0