CD14-12, OEC14-02 January 28, 2014 Participants in the Hand-Up Pilot Program must pay a monthly premium towards the cost of their child(ren)’s child care based on their family’s excess adjusted gross income over the maximum allowed monthly income for full Child Care Assistance. Participants remain eligible for and receive Child Care Assistance under the Hand-Up Pilot Program until their premium equals the value of the child care services they are receiving unless the case is closed for another reason. Calculate premiums as 44% of the participant’s excess adjusted gross income. Determine the participant’s excess adjusted gross income over the maximum income allowed monthly for full Child Care Assistance (not Transitional Child Care) for the applicable family size. Subtract the maximum allowed for the participant’s family size from the participant’s adjusted gross income to determine the participant’s excess adjusted gross income. Multiply the participant’s excess adjusted gross income by 44% to arrive at the premium the participant must pay.EXAMPLE: It is determined the participant’s excess adjusted gross income is $100. To determine the monthly premium, multiply the $100 excess adjusted gross income by 44%. The participant must pay a monthly premium of $44. Participants must pay premiums on a monthly basis or on a different periodic basis to match an employer’s payroll period, if payroll deduction is used by the participant. Encourage participants to use payroll deduction, if available to them. Inform the participant of the amount of their initial monthly premium by first class mail at least 15 days prior to the premium due date (the last day of the month for which coverage is calculated) using form CD HU-1 Premium Notification Letter. Recalculate premiums each time the family unit’s circumstances change, such as income, family size, address, etc., per 1230.000.00 INTERIM CHANGES. Notify the family of any premium amount changes via the CD 150-HU-PAR5 Hand-Up Pilot Program Action Notice – Case Change. Permanently remove participants who fail to pay their premium for 60 days from the Hand-Up Pilot Program. Send a letter to the participants advising them of this action.