CA AB603

Alternative payment programs must establish electronic banking programs (including direct deposit options) by July 1, 2019 for payments to licensed and license-exempt child care providers.

Child care providers may choose to receive electronic payments but are not required to do so; programs already requiring electronic payments may continue that requirement.

Alternative payment programs must include detailed payment descriptions showing the amount paid by child served and month of service covered.

Starting July 1, 2019, alternative payment programs must provide child care providers at least 14 calendar days' notice before implementing changes to reimbursement amounts, hours of care, rates, schedules, parent fees, or service terminations.

Notice of service changes may be provided electronically (if requested by the provider) or via United States Postal Service and does not violate parent confidentiality.