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Financial Hardship Grants FAQs (concluded)

This program ended in June 2023. This website will remain online through June 2024 for reference purposes.

The American Rescue Plan Act, signed into law in March 2021, provided Minnesota with additional funds to help stabilize the child care industry as the state continues to recover from the COVID-19 pandemic. In June 2021, the Minnesota Legislature created Minnesota’s Child Care Stabilization Grant Program, which was funded by the federal American Rescue Plan Act. It began in June 2021 and will run through June 2023. This included the creation of an additional grant opportunity to help providers experiencing extreme financial hardship, called the Financial Hardship Grant Program. Financial Hardship Grants were separate from the Child Care Stabilization Base Grants, had different eligibility requirements and required a separate application. 

If you need assistance in a language  other than English, please use the resources below:

  • Si necesita ayuda para comprender esta carta, comuníquese con Rocio Sosa, rsosa@thinksmall.org, 651-641-6660
  • Hadaad ubaahantahay caawimaad fahanka warqadan, fadlan la xiriir Abdulkadir Warsame, awarsame@thinksmall.org, 651-641-6673
  • Yog tias koj xav tau kev pab nkag siab tsab ntawv no, thov hu rau Ka Youa Vang at kvang@thinksmall.org, 651-366-6792

Child Care Aware of Minnesota will use Language Line Services for languages other than Spanish, Hmong, and Somali. They can be reached by phone at 651-290-9704 or by email.

Below are answers to frequently asked questions about the Child Care Stabilization Financial Hardship Grant program.

Section 1: Eligibility and Application Process

Section 2: General questions about Financial Hardship Grants

Section 3: Requirements and Allowable Uses of Funds

Section 4: Financial Hardship Grant eligibility criteria questions

Subsection 4.1: Licensed family child care criteria #1

Licensed family child care criteria #1
COVID-related closure where provider receives less than 75% of their total monthly income, including parent fees and, if applicable, reimbursements from the Child Care Assistance and/or Early Learning Scholarship programs

Subsection 4.2 Licensed family child care criteria #2

Licensed family child care criteria #2
Two or more months behind on rent or mortgage payments (or have taken out a loan that has prevented the program from being two or more months past due).

Subsection 4.3 Licensed family child care criteria #3

Licensed family child care criteria #3
Operating loss over the previous consecutive 3 months equal to 25% or more of a provider’s gross income

Subsection 4.4 Licensed child care center criteria #1

Licensed child care center criteria #1
Monthly gross income or operating funds is insufficient to cover four (4) weeks of payroll

Subsection 4.5 Licensed child care center criteria #2

Licensed child care center criteria #2
Two or more months past due on rent or mortgage payments (or have taken out a loan that has prevented the program from being two or more months past due), and are not whole or part owner of the building the child care program is operating in.

Subsection 4.6 Licensed child care center criteria #3

Licensed child care center criteria #3
Operating loss over the previous consecutive three (3) months equal to 33% or more of a provider’s gross income

Subsection 4.7 Certified child care center criteria #1

Certified child care center criteria #1
Monthly gross income or operating funds is insufficient to cover 4 weeks of payroll

Subsection 4.8 Certified child care center criteria #2a

Certified child care center criteria #2a
Public school-based program with Fund Balance of $0 or less

Subsection 4.9 Certified child care center criteria #2b

Certified child care center criteria #2b
Non-public school-based program with Days Cash on Hand of less than 10 days

Subsection 4.10 Certified child care center criteria #3

Certified child care center criteria #3
Operating loss over the previous consecutive 3 months equal to 33% or more of a provider’s gross income

Section 5: Receiving Financial Hardship Grant payments

Section 6: Security, privacy and fraud protection

Section 7: Support and Communication

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