9.9.6 Provider Charges and Discounts
ISSUE DATE: 03/2026
Provider Charges
A child care provider cannot charge families receiving child care assistance more than their private, full-paying client rate. For example:
· A provider’s private, full-paying client rate for infants is $350 per week,· The applicable maximum weekly rate for infants in this provider’s county is $400,· The provider cannot charge child care assistance $400 per week, because providers cannot charge a family receiving child care assistance more than their private, full-paying client rate.Provider Discounts
A child care provider may offer a discount to a family. Common discounts include pre-pay discounts, multiple child discounts or employee discounts. If a family using child care assistance meets the discount criteria, the provider can choose whether to apply the discount to the amount the family owes the provider. Providers can choose whether to apply discounts to the amount they bill the Child Care Assistance Program.
Contact your CCAP policy specialist if you have questions about a provider offering discounts.
Provider Discount Examples
Examples include:
Pre-pay discount:
· A provider offers a discount to families who pay before care is provided. Because CCAP pays after care is provided, families receiving CCAP do not meet the discount criteria. The provider does not apply the discount to the amount they bill the Child Care Assistance Program. Multiple children discount:
· A provider offers a 10% discount for each additional child a family enrolls. · A family owes the provider a $100 biweekly copay. The provider can choose whether to apply the 10% discount to the family’s $100 copay for a discount amount of $10.· The provider can choose whether to apply the 10% discount to the amount they bill the Child Care Assistance Program. Employee discount:
· A provider offers $100 off the biweekly tuition for employees. · A family owes the provider a $30 copay. The $100 discount is greater than the amount the family owes the provider. The provider can choose whether to apply the discount to the family copay. · The provider can choose whether to apply the discount to the amount they bill the Child Care Assistance Program.Other Funding Sources
A provider may use other funding sources, such as their own scholarships or other financial assistance, to fully cover their fee for some families.
For example:
· Head Start providers may be able to receive CCAP payments if certain criteria is met even though they do not typically charge families a fee. See Chapter 9.15.24 (Head Start Full Day Integrated Child Care Programs) and 9.9.3 (Child Care Expenses Paid by Other Sources). · Boys & Girls Club, the YMCA, or other programs may be able to receive CCAP payments if certain criteria are met even if they do not typically charge families a fee. Contact your CCAP Policy Specialist if you have questions about whether or not a provider is eligible to receive CCAP payments.
Legal authority
Minnesota Statutes 142E.17, subd. 7
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