What are the new requirements regarding the market rate survey used to set payment rates?

To set payment rates, the State must conduct either: (1) a market rate survey that reflects variations in the price of child care services by geographic area, type of provider, and age of child, or (2) an alternative methodology, such as a cost estimation model.  The State must:

• Use methods that are statistically valid and reliable in conducting a survey;
• Develop and conduct the survey or alternative methodology no earlier than two years before the date of submission of the CCDF Plan;
• Consult with the State Advisory Council, local child care program administrators, local child care resource and referral agencies, and other appropriate entities prior to developing and conducting the survey or alternative methodology.
• Prepare a detailed report containing the results of the survey or alternative methodology, and make the results widely available no later than 30 days after completion, including by posting the results on the Internet.
• Set CCDF subsidy payment rates in accordance with the results of the current market rate survey or alternative methodology.

(Reference: Section 658E(c)(4))