Wisconsin Shares staff members have been working hard to explain all of the changes that went into effect on July 1, due to the tiered reimbursement W2 child care reimbursement system. Here are some great pieces of information that they want YOU to know about tiered reimbursement:
YoungStar does NOT alter a family’s co-payment. However, in some cases, families may have to pay more to the provider. If the provider’s private rate is higher than the Wisconsin Shares payment plus the parent’s co-payment, the provider may require that the parent pay the difference up to the provider’s private rate, or the provider may choose not to charge the extra amount to the parent.
For 2 Star providers, the Wisconsin Shares payment decreases by 5%. This still does not change the Wisconsin Shares Co-payment amount. It may, however, make child care more expensive if the provider chooses to pass on the 5% reduction to the parent.
YoungStar bonuses or reductions are NOT reflected in authorization notices. The change in payment will be calculated as part of the issuance amount and it will ONLY show up on the check stub of EFT remittance.
Accredited providers, who are rated as 5 star programs, will be paid the same amount as before tiered reimbursement. The Quality Rating incentive payment replaces the 10% accreditation payment increase. But the rate shown on the Authorization Notice will appear to be less than shown previously. Providers should review their EFT Remittance or check stub to see the Quality Rating incentive amount.