(a) Based on local factors, including a market rate survey provided by the Commission, a Board shall establish maximum provider payment rates for child care subsidies at or above a level established by the Commission to ensure that the rates provide equal access to child care in the local market and in a manner consistent with state and federal statutes and regulations governing child care. At a minimum, Boards shall establish provider payment rates for full-day and part-day units of service, as described in §809.93(f) of this chapter, for the following:
  (1) Provider types:
    (A) Licensed child care centers, including before- or after-school programs and school-age programs, as defined by CCR;
    (B) Licensed child care homes as defined by CCR;
    (C) Registered child care homes as defined by CCR; and
    (D) Relative child care providers as defined in §809.2 of this chapter.
  (2) Age groups in each provider type:
    (A) Infants ages 0 through 11 months;
    (B) Infants ages 12 through 17 months;
    (C) Toddlers ages 18 through 23 months;
    (D) Toddlers age 2 years;
    (E) Preschool age 3 years;
    (F) Preschool age 4 years;
    (G) Preschool age 5 years; and
    (H) School-age 6 years and older.
(b) A Board shall establish enhanced payment rates:
  (1) for all age groups at certified Texas Rising Star provider facilities; and
  (2) only for infant, toddler, and preschool-age children at child care providers that participate in integrated school readiness models for those age groups pursuant to Texas Education Code §29.160.
(c) The minimum enhanced payment rates established under subsection (b) of this section shall be greater than the maximum rate established for providers not meeting the requirements of subsection (b) of this section for the same category of care up to, but not to exceed, the provider's published rate. The maximum rate must be at least:
  (1) 5 percent greater for a:
    (A) certified Two-Star Provider; or
    (B) child care provider meeting the requirements of subsection (b)(2) of this section;
  (2) 7 percent greater for a certified Three-Star Provider; and
  (3) 9 percent greater for a certified Four-Star Provider.
(d) Boards may establish a higher enhanced payment rate than those specified in subsection (c) of this section for certified Texas Rising Star providers, as long as there is a minimum 2 percentage point difference between each star level.
(e) A Board or its child care contractor shall ensure that providers that are paid for additional staff or equipment needed to assist in the care of a child with disabilities are paid a rate up to 190 percent of the provider's payment rate for a child of that same age. The higher rate shall take into consideration the estimated cost of the additional staff or equipment needed by a child with disabilities. The Board shall ensure that a professional, who is familiar with assessing the needs of children with disabilities, certifies the need for the higher payment rate described in this subsection.
(f) The Board shall determine whether to pay providers that offer transportation as long as the combined total of the provider's published rate, plus the transportation rate, is subject to the maximum payment rate established in subsection (a) of this section.
(g) A Board may establish a higher enhanced payment rate for nontraditional hours, as defined by the Board.

Source Note: The provisions of this §809.20 adopted to be effective January 29, 2007, 32 TexReg 336; amended to be effective September 8, 2008, 33 TexReg 7568; amended to be effective January 8, 2013, 38 TexReg 155; amended to be effective February 16, 2015, 40 TexReg 708; amended to be effective October 1, 2016, 41 TexReg 7529; amended to be effective July 6, 2020, 45 TexReg 4528; amended to be effective October 3, 2022, 47 TexReg 6437; amended to be effective July 29, 2024, 49 TexReg 5540