Child Care Bargaining Update 7/9/09

Bargaining Update

Provider Wages:
• The Governor proposed cutting our rates by 10-14% to help balance the budget
• Through the legislature we restored funding in the budget to maintain provider rates
• We know the money is available to maintain our wages, but we need to translate this
  legislative victory into a fair contract.

Training Fund:
• We were told that the training fund would be protected/restored for the next biennium.  
• Through the legislature we won mandatory orientations for child care providers starting
   in July 2010.  Current providers will be grandfathered in.

Health Insurance Proposal:

There is a proposal on the table that would cover most providers through the Family Health Insurance Assistance Program (FHIAP).  The State would have to agree to sponsor SEIU as a group administrator of FHIAP.  This will be very difficult to win, but it would be a huge victory considering the current economic climate.

Proposal Details:

• Must work 80 hours per month
• Maintain coverage for one year at a time
– Helpful for providers who move in and out of unit
• Group administration avoids lengthy waiting list (usually 1-2 years for individuals)
• Sliding scale for premium based on income
• Basic medical at this point, provider only coverage
• Proposed that State pick-up the premium (an estimated cost of 5 million)
• FHIAP covers ~95 percent of the cost of coverage

Other Outstanding Issues:

• Issuance of payments within three working days, instead of the current four
• Notification in writing to provider of client’s ineligibility at least four days prior to the   
  month starting
• Improve union representation by expanding due process rights to termination
  proceedings.  Access to an appeals process and to have union representation present