Know the Law About License Exempt Child Care in California 1. What is License-Exempt Child Care? 4. Why Do Parents Use License-Exempt License-exempt child care is child care that Child Care? can operate legally without a license. 1 See In many cases, parents choose license-exempt questions 6 to 13 for specific information care because they want a relative or other about the types of providers who may be close acquaintance to care for their children. license-exempt. This may be because family members or friends share their culture or language, or the Note: A child care provider who is legally child may require special care due to a required to have a license but does not have disability or medical condition. Parents may one is not license-exempt. Rather, he or she is also choose license-exempt care because operating illegally without a license, and licensed child care is not available. penalties may apply for violating licensing laws. 2 5. What Types of Providers Are License- Exempt? 2. I’ve Been Operating Without a Many child care providers are license-exempt, License, How Can I Apply for One? including: Operating illegally without a license can result in criminal or financial liability. It is possible • A provider who cares only for his/her to obtain a license without penalty but there relatives, may be additional sanctions. 3 If you have • A provider who only cares for the concerns speak with an attorney before children of one other family (other than the provider’s own children, if he or she applying. has any children), • Cooperative agreements (Co-ops) in which parents share responsibility for 3. Is License-Exempt Child Care the child care. See Question 9. Same as Informal Child Care, • Public recreation programs. Regulation-Exempt Child Care or • Before- and after-school programs run by Family, Friend and Neighbor Care? schools. Yes. These terms are often used • Other categories of license exempt interchangeably. We use the term “license- programs can be found in Health and exempt” child care because it clarifies that Safety Code § 1596.792. 4 licensing standards do not apply to some child care providers. 6. What Types of Relatives Are License- Exempt? © 2011 Child Care Law Center Know the Law About License-Exempt Child Care in California Page 2 Examples of relatives who may be license- Yes. Nannies are generally license-exempt exempt child care providers are spouses, because they care for the children of only one parents, adult siblings, aunts, uncles, and first family and because they are caring for cousins. Step-relatives and grandparents may children in the children’s homes, not the also be license-exempt. 5 nanny’s home. 9 In addition, nanny shares, or arrangements between more than one family 7. Is There a Limit on the Number of to rotate the services of one nanny in more Children That a License-Exempt 10 Child Care Provider Can Take Care than one home, are license-exempt. Of? 11. Do Nanny Placement Agencies Have No. However, it is the experience of the Child to Meet any Additional Requirements? Care Law Center that most relatives and Yes. Agencies may only place nannies who are informal child care arrangements generally registered with TrustLine and nannies who involve small numbers of children. have applied to register with TrustLine. 8. What Requirements Do Co-Ops Need However, nannies who are not hired through to Meet in Order to Be License- a placement agency may not be registered Exempt? with TrustLine and do not have to register A co-op child care agreement among parents unless they are paid with child care subsidies. 11 is license-exempt only if it meets the following See Questions 15, 16, and 17 for more about conditions: TrustLine. • Caregivers do not receive payment for 12. What Types of Public Recreational services; 6 Programs and Afterschool Programs • Parents rotate responsibility for care of are License-Exempt? all of the children equally among Public recreation programs, including summer themselves; camps, are license-exempt if they operate only • Every caregiver is a parent, legal during non-school hours or for fewer than 12 guardian, or adult relative of at least one weeks each year. 12 Before- and after-school child in the cooperative; and programs that are operated by public or • No more than 12 children are cared for private schools are also license-exempt, 13 as at any given time by any are the Boy and Girl Scouts, the Boys and provider/parent. 7 Girls Club, and similar organizations. 14 9. Are Religious (Faith-Based) Child 13. Are Some License-Exempt Providers Care Providers License-Exempt? Required to Follow Rules Imposed by No. In California, child care providers are not Agencies Other Than Licensing? license-exempt just because they are religious, Yes. Although license-exempt child care 8 or faith-based. These providers are expected arrangements are exempt from licensing by to obtain licenses and meet licensing the Department of Social Services’ requirements unless they qualify on some Community Care Licensing Division, some other basis for license-exemption. are subject to requirements and regulations 10. Are Nannies License-Exempt? imposed by other agencies. For example, after-school programs run by the California © 2011 Child Care Law Center Know the Law About License-Exempt Child Care in California Page 3 Department of Education (CDE) may need to Yes, if you clear the registration process. meet CDE guidelines. 15 However, if registration is unsuccessful the family is responsible for payment of child care 14. Can License-Exempt Providers Get services. Currently, child care providers Help from Resource and Referral Agencies? serving families receiving subsidies Yes. Resource and Referral agencies may administered by the California Department of make referrals to license-exempt providers. 16 Education (CDE) will be paid for the care Check with your local Resource and Referral they provided while undergoing the TrustLine agency for more information about its registration process regardless of how long it policies. Also check what resources may be takes. Providers serving CalWORKs Stage 1 available from these agencies, such as lending families can receive up to 120 days of libraries or trainings. retroactive payment once the TrustLine process is successfully completed. 19 15. What is TrustLine? TrustLine is California’s registry for license- 18. May License-Exempt Child Care exempt child care providers. Some child care Providers Be Paid with Child Care Subsidies? providers who care for children with child Yes. The government offers financial care subsidies are required to be registered assistance, in the form of subsidies, to with TrustLine. All child care providers who qualified families to contribute to the payment are registered with TrustLine have been of child care. License-exempt providers who fingerprinted and have been cleared through a are paid with child care subsidies may have to check of criminal records by the California meet special requirements. Unless they qualify Department of Justice and the Federal Bureau for an exemption as a close relative, they are of Investigation (FBI). They have been found required to register with TrustLine and to to have no child abuse records or other complete a Health and Safety Self- criminal history that would make them Verification. 20 However, unlike licensed inappropriate as child care providers. 17 Call providers, license-exempt providers do not (800) 822-8490 or visit www.TrustLine.org for have to obtain fingerprints or criminal record further information. checks for other individuals living in the 16. Can I Provide Care While I’m Going home where care is being provided. When Through the TrustLine Process? paid with child care subsidies, the only Yes. License-exempt providers may provide individual who must go through the TrustLine care while going through the TrustLine process is the provider him/herself. 21 See the process. 18 TrustLine website at www.TrustLine.org for further information. Also check with your 17. If I Provide Care to a Family that Is local child care subsidy agency. Eligible for Subsidized Child Care, Can I Be Paid by the State Note: Cooperative arrangements are not Retroactively for this Time? eligible for subsidies because no money is exchanged for care. 22 © 2011 Child Care Law Center Know the Law About License-Exempt Child Care in California Page 4 19. What are Payment Rates for License- their subsidy; each agency should develop Exempt Providers? written grievance policies and make them The California Budget Act of 2010 reduced available to providers. 24 the maximum amount that can be reimbursed • License-exempt providers can also appeal for license-exempt child care. Based on this a decision by TrustLine if the agency change in law, effective November 1, 2010, denies the provider’s application to be registered. 25 the maximum amount available for child care assistance will be reduced by 10 percent. The California Department of Education (CDE) 21. As a License-Exempt Provider, Am I has determined the new ceilings by county. Protected by Federal and State Labor The Reimbursement Ceilings for Subsidized Laws? Child Care are published on the CDE website: Currently, state and federal law holds that http://www.cde.ca.gov/fg/aa/cd/ap/index.a license-exempt providers who provide care in spx the child’s home are considered to be “domestic servants” and thus “employees.” 20. What Appeal Rights Are Available to As “employees,” general labor protections License-Exempt Child Care Providers? such as minimum wage apply to these • License-exempt providers who are paid providers. However, license-exempt providers with child care subsidies do not have the caring for children in their own home are right to appeal negative decisions about considered independent contractors and are the subsidy payment, although parents who receive the subsidy can appeal.