Child Care Stabilization Grant
Child Care Stabilization Grant (CCSG) payments are federally funded assistance payments for childcare providers. The American Rescue Plan Act (ARPA) 2021 authorized relief funding to Arizona recipients through the Child Care and Development Fund (CCDF).
Eligible recipients of the CCSG include the following:
●DES Non-Certified Relative Providers
●DES Family Child Care Providers (including in-home providers)
●DHS Licensed Centers
●Tribal Child Care Providers
●Military Child Care Providers
Grant awards are issued monthly in flat grant payments based on the number of children being cared for. Eligible childcare providers began receiving CCSG payments in 08/2021 and are authorized to continue through 06/2023. Eligible childcare providers have until 09/30/2023 to spend the grant funds.
When a participant reports income from CCSG assistance payments, explore whether any funds received are used to reimburse business-related expenses.
CCSG payments are not-countable self-employment income when the funds are used to pay any of the following business-related expenses:
●Personnel costs
●Recruitment and retention costs
●Rent, mortgage, utilities, and insurance payments of the business
●Facility maintenance and improvements
●COVID-19 related expenses, including personal protective equipment and cleaning supplies
●Equipment and supplies to respond to COVID-19
●Goods and services necessary to maintain or resume childcare services
●Mental health support for children and employees
●Health and safety training for staff
For more information on the budgeting of Reimbursements (See
FAA4.H03MM titled Reimbursements.)
CCSG payments are countable self-employment income when either of the following occurs:
●The funds are used to pay for daily living expenses such as rent or mortgage.
●The amount of the funds received exceeds the amount of the actual expenses incurred. The excess amount is countable income.
When self-employment expenses are incurred and are not paid using the CCSG funds (See
FAA4.J07A titled Allowable Self-Employment Expenses.)