Stabilization Grant Info

There has been a variety of financial supports available to providers since COVID-19 impacted our small businesses. Some of these have been loans and others grants.

August 31, 2021 ARPA Child Care Stabilization Grant Memo and Webinar (PDF)

August 20, 2020 Small Business Grant Opportunity (PDF)

September 14, 2020 Coronavirus Relief Fund Reimbursement Application Webinar (PDF)

January 19, 2021 January 23 National Webinar – How Family Child Care Providers Can Take Advantage of the New Small Business Administration Loan and Grant Programs (PDF)

January 29, 2021 Coronavirus-Related Funding Opportunities for Child Care Providers (PDF)

February 5, 2021 Payroll Protection Program Loans First and Second Draw Webinars (PDF)

February 26, 2021 CRRSA Funding Strategies (PDF)

March 1, 2021 CRRSA Grant Application Memo (PDF)

March 29, 2021 Coronavirus-Related Funding Update for Child Care Providers (PDF)

April 6, 2021 CRRSA Grant Application Memo-Second Round (PDF)

July 8, 2021 Child Care Provider Stabilization Grants

July 19, 2021 CRRSA Grant Application Memo – 3rd Round

August 3, 2021 ARPA Grant Memo

Translated Materials on Child Care Provider American Rescue Plan Act Stabilization Grants memo from the Maine Office of Child and Family Services:

August 4,2021 Stipend for Newly Licensed Family Child Care Providers

Copy of OCFS Letter mailed out to Providers week of August 5, 2021. This letter contains information needed for your application. If you did not receive yours contact your licensing specialist or the contact provided by clicking to the sample.

The following information pertains to the American Rescue Plan Stabilization Grant that will be paid out monthly for a year, starting Oct. 2021. Federal guidance identifies who is eligible for the stabilization grant money and what expenses the money can be used for. Each state can set up how they administer the stabilization grant. The Stabilization Grant is the third grant to come about because of COVID-19. It is separate from the Coronavirus Aid, Relief and Economic Security Act (CARES Act)/ March 27, 2020 and the Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSA Act) / December 29, 2020. ~ Info chart on the 3 grant programs

This grant is income and will need to be claimed as such on your federal and Maine state tax. As a grant you do not need to repay it. The increase in your income may impact your health insurance if you purchase it through the Affordable Care Act. Check with your insurance program. For any provider under full retirement age who claims Social Security benefits while working you can earn up to $18,960 in 2021 without it reducing Social Security benefits.

Below are some of the key notes around dates and grant totals. Check the linked August 3rd memo above for guidance on how you can spend funds, staff bonus guidance, and eligibility requirements.

The grants will be administered for 12-months with the first installment of payments to begin October 2021 through September 2022. All licensed child care providers and Child Care Subsidy Program (CCSP) license-exempt non-relative providers are eligible to apply. The application will be on a rolling basis. Those programs approved will only be required to apply once.

Providers may apply for the first instalment of grants if they are providing direct child care by September 1, 2021. Future payments will be automatic. Programs with short-term closures due to their response to COVID-19 cases are eligible to apply. All licensed and CCSP license-exempt nonrelative child care providers who are open and providing direct care by September 1, 2021 are eligible to apply. 

Providers must supply on the application their program’s estimated current total monthly expenses. 

Payments will be based on the following: 

  • Licensed capacity
    • o $100 per licensed slot per month 
    • o License-exempt, nonrelative providers will be reimbursed based on capacity of 2 slots 
  • Additional funds for higher quality levels
    • o Step 1- $50 per month 
    • o Step 2 – $100 per month 
    • o Step 3- $150 per month 
    • o Step 4- $200 per month 
  • CCSP providers
    • o $150 per month 
  • Providing nontraditional hours of care
    • o 6PM to 6AM or weekend hours will receive $100 per month 
  • Staff bonuses
    • o $200 per staff per month and funds must be paid directly to staff 

(Staff Bonus Guidelines)…”staff eligible to receive the staff bonus are those staff that are providing direct care to children (excluding volunteers), owners, and directors”… ~ This might mean that family child care providers themselves are classified as staff as they are providing direct care to children.

Programs wishing to update their status on any of the above after initial approved application will be able to do so through self-reporting options. More details will follow prior to the open application period. 

The grant application will be posted online. Updates with the link to the application will be announced in the near future. 

Grants will be provided through a one-time application. Providers who do not complete the application by the deadline or are newly licensed after each monthly installment of the grant, will be eligible to apply for future payments. Updates and future enrollment periods will be posted under the Child Care Subsidy section on the OCFS COVID-19 Response website. 

Providers with multiple facilities must complete separate applications for each site. 

Grant funds are considered taxable income. Grant funds and staff bonuses will be subject to all state and federal tax. All questions regarding state and federal tax, programs should contact their financial professional/accountant. 

This LINK contains national resources to help child care providers understand how stabilization grants can help their business.

Following are resources specific for family child care providers/programs.

Help is on the Way! Supporting Family Child Care to Prepare for Child Care Stabilization Grants ~ This webinar for family child care providers was presented on June 26, 2021. The National Center on Early Childhood Quality Assurance and its partner, Tom Copeland shared information about the stabilization grants coming to states, territories, and Tribes. The webinar highlighted tools to help apply for the stabilization grants, potential uses for the stabilization grant funds, and information about how to access the grant funds.

Family Child Care Budget Guide ~ The Family Child Care Budget Guide from First Children’s Finance is designed to help family child care providers apply for the Child Care Stabilization Grants. This guide has information on each category in the application with a definition of the category and how to show expenses.

Family Child Care Expense Tracking Tool ~ This tracking tool, by First Children’s Finance, is designed to be adapted by providers to meet their needs. It lists all possible categories of expenditures and provides a tool for tracking expenditures for a 12-month period. It is available as an Excel file and a PDF.