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CITY OF COLTON <br />AGENDA REPORT <br />FOR COUNCIL MEETING OF MAY 5, 1998 <br />TO: Honorable Mayor & City Council <br />APPROVAL: Henry T. Garcia, City Manag 01 <br />FROM: Carolyn Jones, Child Care Manager <br />SUBJECT: Community ChildCare Private Pay Client Fee Increase <br />DATE: April 28,1998 <br />BACKGROUND: Community Childcare statistics have traditionally reflected a non -subsidized <br />family enrollment of approximately twenty-five percent. These families are considered to be private <br />pay clients. <br />DISCUSSION/ANALYSIS: Community Child Care has historically charged our private pay clients <br />significally below the market rate. This equates to approximately twenty thousand dollars a year of <br />under billing. <br />FINANCIAL IMPACT: Over the course of the 1997-98 fiscal year approximately twenty thousand <br />n <br />of potential revenue will have gone uncollected. <br />a , n 4M Qaa <br />Carolyn Jones hildc a anager <br />MISSION CRITICAL: As recipients of funds from the State of California Department of <br />Education, we are required to charge the current market rate for all Full Cost Childcare (private pay <br />clients). To do otherwise, would be considered in direct conflict with our contract with the State <br />Department of Education. The State can require us to augment this deficit in other ways; they have <br />suggested utilizing General Fund monies or extensive Fund Raising if we do not increase private pay <br />fees. We currently charge $80.00 a week for full-time childcare. Our proposed full-time rate is <br />$123.65 per week. Rates will be adjusted for 1/4, 1/2, 3/4, and full-time care. <br />EXPECTED FILL DATE: May 13, 1998. <br />RECOMMENDATION: Staff recommends that Council approve Community Childcare <br />private pay client fee increase. <br />Item # 8 <br />