8 CCR 1404-1-4.108 - PRESCHOOL PROGRAM FUNDING AND PER-CHILD RATES FOR CHILDREN THREE (3) AND FOUR (4) YEARS OF AGE

A. Participating providers must agree to guarantee families at least the minimum number of hours defined in this rule for the rate that is provided.
B. Pursuant to section 26.5-4-208(3)(b), C.R.S., in a year in which there is insufficient funding to provide additional preschool services to all eligible children, those eligible children who are in low-income families and meet at least one (1) qualifying factor will be prioritized.
C. Excess funds allocated to the preschool program through underspent funding for children three (3) years of age, or younger in waiver districts, and/or funds remaining after meeting the uses described in section 26.5-4-209(3)(a), C.R.S., may be distributed by the Department through hours of additional preschool services for children who enroll in the year preceding eligibility for enrollment in kindergarten.
D. The Department, working with local coordinating organizations, shall make every effort to blend and braid preschool programming funds where possible with head start, local funding dollars, and the Colorado Child Care Assistance Program (CCCAP), prior to distributing additional preschool programming funds to a child who is in a low-income family per rule section 4.105(A), or who meets at least one (1) qualifying factor in rule section 4.105(B).
E. The per-child rate funding formula for all types of preschool services covered under the preschool program applies to the following categories of services that a family may enroll their eligible child in, as specified in sections 26.5-4-204 and 208, C.R.S., and clarified in these rules:
1. Universal preschool services for children in the school year before they are eligible for kindergarten as described in rule section 4.104(A)(1).
2. Pursuant to section 26.5-4-204(3)(b), C.R.S., all children with disabilities described in rule sections 4.106(A)(1) and 4.107(A)(1), who are three (3) or four (4) years of age, are eligible to receive funding for preschool services in accordance with their Individualized Education Program (IEP).
3. Preschool services for eligible children three (3) years of age or younger, in a waiver district as described in rule section 4.106(A)(2).
4. Preschool services to achieve a specified purpose as described in rule section 4.107(B).
5. Additional preschool services for eligible children four (4) years of age based on low-income status or meeting at least one (1) qualifying factor as described in rule section 4.107(A)(3).
F. Formula and parameters. The Colorado Universal Preschool Program rate formula is expressed as ((PKC*PS*PA) + (PKC*(1-PS))*CL)* LIC*GF*QE*CPI). The formula includes a base rate cost of high quality preschool services (PKC) with specific parameters adjusting for personnel costs (PS) and variances to costs by region (PA). Further adjustments are applied for local costs of living (CL), considerations of a community's poverty level (LIc), geographical factors (GF), increased quality of services (QE), and an annual adjustment for inflation (CPI).
1. PKC (pre-k costs) means the base cost of providing high quality preschool services based on unique characteristics of provider settings and the families/children they serve, recognized best practices and evidence-based standards, pursuant to sections 26.5-4-208(1)(A)(I) and 26.5-4-205(2), C.R.S.
2. PS (personnel share) means the share of costs accounted for by personnel costs, including salaries and benefits.
3. PA (personnel adjustment) means the adjustment factor that accounts for regional variations in personnel costs.
4. CL (cost of living) means a cost-of-living adjustment determined at the county level to reflect evolving local economic realities and support recruitment and retention of a high-quality workforce, as required by section 26.5-4-208(1)(A)(III), C.R.S.
5. LIC (low income by county) means the parameter determined at the county level to account for the identification of children in low-income families, as defined by rule section 4.105(A) and pursuant to section 26.5-4-208(1)(A)(IV), C.R.S.
6. GF (geographic factor) means the factor that adjusts for regional differences and circumstances unique to rural communities that result in variations in the cost of providing preschool services, which may include difficulties in achieving economies of scale in rural areas and in recruiting and retaining preschool educators, as required by section 26.5-4-208(1)(A)(III), C.R.S.
7. QE (quality enhancement) means the component that accounts for the cost of providing professional development activities and salary incentives to teachers and paraprofessionals pursuant to sections 26.5-4-208(1)(A)(I) and 26.5-4-205(2), C.R.S.
8. CPI (consumer price index) means the annual rate of inflation estimated for the Denver-Aurora-Lakewood core based statistical area that is applied to account for exigent economic changes.

Notes

8 CCR 1404-1-4.108
47 CR 04, February 25, 2024, effective 1/22/2024, exp. 5/21/2024 (Emergency) 47 CR 06, March 25, 2024, effective 4/14/2024 47 CR 12, June 25, 2024, effective 5/16/2024, exp. 9/13/2024 (Emergency) 47 CR 15, August 10, 2024, effective 8/30/2024

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