///Rates Update: Calculating Hourly Rates Under the 52.5 Hours (Examples Included)

Rates Update: Calculating Hourly Rates Under the 52.5 Hours (Examples Included)

Many of you have contacted SEIU Local 99 inquiring about the 52.5 hours rule. Here are a few things you should keep in mind. The hourly rate provision after 52.5 hours of care is a regulation established by Title 5 of the CA Education Code, Division 1, Chapter 19, Subchapter 2.5, Article 3. This is not a new regulation from the CA Department of Education (CDE). The 52.5-hour rule has been a part of Title 5 regulations for some time now, but unfortunately, not all subsidized agencies have adhered to it.

  • The agency you contract with will only pay you the hourly rate after 52.5 hours of care if you have a Notice of Action or Certificate of Approval that authorizes care for a child over 52.5 hours.
  • The agency is only obligated to pay you the hourly rate after 52.5 hours of care provided you include the relevant California Department of Education (CDE) Code on the rate sheet to your agency.
  • Providers can also charge the agency their evening/weekend differential if you provide care in the evening and weekends. This is separate from and does not impact, your hourly rate after 52.5 hours of care. This must also be specified on our rate sheets.
  • CDE stipulates that a provider’s pay from their hourly rate charged after 52.5 is capped at an additional full-time weekly rate for that child.

If the agency you are contracting with is refusing or impeding payment for your hourly rate after 52.5 hours of care as mandated by CDE, please follow the complaint process for that agency as indicated in your provider handbook to attempt to resolve this issue. This is also applicable to DSS Stage 1. If the issue continues after filing a complaint please contact your union organizer. Here are some sample calculations for hourly rates after 52.5 hours of care have been provided.

Example 1: Toddler/65 hours a week/Evening care provided

The scenario: A provider receives a Notice of Action for a 3-year old for 65 hours a week. She provides care from 8 am to 9 pm, Monday – Friday (13 hours per day). Here’s how she should calculate her hourly rate and total payment.

The math: 13 hours of care were provided per day. 10 hours during the day from 8 am – 6 pm and 3 hours during the evening from 6 pm – 9 pm. These hours fall under the evening and weekend differential of 1.125. This differential applies when care in the evening and weekend is between 10% to 50% of total care provided.

  • $241.37 = Full-Time Weekly Rate for a toddler, including the evening/weekend differential
  • $12.18 = Your hourly rate for toddler including the evening/weekend differential
  • 12.5 = Hours of care provided after 52.5 hours. This is the amount that needs to be charged at the hourly rate with your differential. 65 (total hours of care provided) – 52.5 (full time hours of care) = 12.5 hours

Thereby…

$12.18 (Hourly rate)
x 12.5 (Hours of care after 52.5)
________________________________________
$152.25 (This amount cannot exceed $241.37 the Full-Time Rate for a 3-5 year old in LA County per CDE regulation)
Total payment
$241.37 (FT Regular Weekly Rate with differential)
+ $151.25 (Pay for extra care provided after 52.5 hours)
________________________________________
$392.62 (Amount due to provider for toddler)

Example 2: Infant/60 hours a week

The scenario: A provider receives a Notice of Action for 60 hours a week for a 10-month old. She provides care from 6 am to 6 pm, Monday – Friday (12 hours per day). Here’s how she should calculate her hourly rate and total payment.

The math:

  • $232.26 = Full-Time Weekly Rate for an infant in Los Angeles County
  • $11.34 = Your hourly rate for an infant from 6 am to 6 pm in Los Angeles County.
  • 7.5 = Hours of care provided after 52.5 hours. This is the amount that needs to be charged at the hourly rate. 60 (total hours of care provided) – 52.5 (full time hours of care) = 7.5 hours

Thereby…

$11.34 (Hourly rate)
x 7.5 (Hours of care after 52.5)
________________________________________
$85.05 (This amount cannot exceed $232.26 the Full-Time Rate for an Infant in LA County per CDE regulation)
Total payment
 $232.26 (FT Regular Weekly Rate)
+ $85.05 (Pay for extra care provided after 52.5 hours)
________________________________________
$317.31 (Amount due to provider for infant)
2018-11-14T12:43:19+00:00November 14th, 2018|Child Care Providers|