To be eligible for a 2024-25 Keystone STARS CQI Award, a provider must meet all the following requirements both as of August 1, 2024, and at the time the Award payment is issued by the ELRC:
Providers who meet the above eligibility criteria as of August 1, 2024, but fail to meet the criteria at time of payment by the ELRC will be considered ineligible and will not receive a CQI Award.
No. Only certified Child Care Centers, Group Child Care Homes, and Family Child Care Homes are eligible for the award.
If the program is designated as ‘open’ by OCDEL-Certification on August 1, 2024, and the day the ELRC issues payment, the provider is eligible.
Providers should reach out to their ELRC as soon as possible to discuss options prior to December 13, 2024.
Tax Clearance Certificates should be available through the PA Department of Revenue or at the provider’s local tax office and then presented to the ELRC to demonstrate fulfillment on or before November 29, 2024.
No, your program is not eligible as you currently do not hold a regular Certificate of Compliance from OCDEL-Certification on August 1, 2024.
OCDEL is providing a policy exception for STAR 1 programs who successfully move up to a STAR 2, 3, or 4. Programs must be successful in moving up to a STAR 2, 3, or 4 as evidenced by a completed designation case in the PD Registry System and a confirmed designation in PELICAN Keys to Quality on or before October 31, 2024. In addition, these programs must meet all other eligibility criteria at time of payment by the ELRC.
To receive a higher CQI Award amount, STAR 2 and 3 programs must be successful in moving up in STARS as evidenced by a completed designation case in the PD Registry System and a confirmed designation in PELICAN Keys to Quality on or before October 31, 2024. In addition, these programs must meet all other eligibility criteria at time of payment by the ELRC. STAR 2 and STAR 3 programs should contact their Quality Coach as soon as possible if they intend to successfully complete a higher STAR designation by October 31, 2024, so the ELRC can delay sending their Eligibility & Acceptance Letter.
Providers that have completed all other requirements to move up to a STAR 3 or 4 and are awaiting an IAP consultation meeting still working to complete their IAP activities will be considered on a case-by-case basis by OCDEL to determine eligibility. Providers awaiting an IAP consultation meeting that are actively engaged in the IAP with concerns about completing their work by October 31, 2024, should notify their regional ELRC accordingly.
Yes. Providing your program meets all other eligibility criteria at time of acceptance and time of payout of the Award by the ELRC, you are eligible to receive a CQI Award.
Yes, these programs are eligible to receive a CQI Award. However, staff who work solely in other programs such as PKC, HSSAP, and ITCS should not receive salary and/or bonuses from CQI Award funds. In these cases, CQI Award funds should be used for the betterment of the program. Examples of expenses that these programs could use with the CQI Award funds include but are not limited to the following:
Eligible providers must submit signed Keystone STARS CQI Award Eligibility and Acceptance Letters to their ELRC between December 18, 2023, and February 15, 2024. Keystone STARS CQI Award Eligibility and Acceptance Letter received electronically or postmarked after February 15, 2024, will not be accepted and the program will not be eligible for an Award.
For reference, a copy of the Keystone STARS CQI Award Eligibility and Acceptance Letter is available on the Pennsylvania Key website. Eligible providers will receive a Keystone STARS CQI Award Eligibility and Acceptance Letter specific to their program from their ELRC. Only the site-specific Keystone STARS CQI Award Eligibility and Acceptance Letter should be read, signed, and returned by programs to their ELRC.
Yes. Electronic signatures are acceptable when completing and signing the Keystone STARS CQI Award Eligibility and Acceptance Letter.
Providers who think they meet the eligibility criteria for the STARS CQI should receive a Keystone STARS CQI Award Eligibility and Acceptance Letter from their ELRC beginning December 18, 2023. Providers who think they are eligible for an Award but have not received a letter by January 15, 2024, should contact their ELRC immediately. ELRC contact information can be found on the Pennsylvania Key website.
Yes, the following documents will be available in Spanish:
Yes. The Keystone STARS CQI Award Eligibility and Acceptance Letter, sent from ELRCs to eligible providers, will include an area in which providers can indicate their declination of the Award. Providers who are choosing to decline the CQI Award will need to sign and return the letter to their ELRC by February 15, 2024.
Yes. Providers may rescind a signed declination if they do so within the application period of December 18, 2023, to February 15, 2024. Providers who choose to rescind their declination should reach out to their ELRC as soon as possible upon making their decision.
Eligible providers do not need to specify why they are declining Award funds.
Eligible providers who misplace their CQI Award Eligibility and Acceptance Letter should reach out to their ELRC for a replacement letter. ELRC contact information can be found on the Pennsylvania Key website.
If the ELRC has not yet made payment when the ‘revocation or refuse to renew’ status has been declared by OCDEL-Certification, the provider will be found ineligible and no longer receive CQI Award funds.
Providers who wish to make a change to the amount of the CQI Award they want to accept after they submit their signed letter to the ELRC should contact their ELRC as soon as possible, but no later than February 15, 2024. If the ELRC has not yet made payment, the ELRC can send the program a new letter which the program can complete and return. If the ELRC has already made payment to the program, the program can return grant funds to the ELRC if they have decided to accept a smaller amount or decline the award in total.
The term submission date is the date the ELRC receives the Keystone STARS CQI Award Eligibility and Acceptance Letter via email, fax, or via USPS as validated with a postmark. It is NOT the date that a provider signs the Eligibility and Acceptance Letter.
Example: ABC Child Care signs and dates their CQI Award Eligibility and Acceptance Letter on January 4, 2024. They email the Letter to the ELRC on January 10, 2024. The submission date for ABC Child Care will be considered January 10, 2024.
Example: 123 Child Care signs and dates their CQI Award Eligibility and Acceptance Letter on January 2, 2024. They place their Letter in the mail (USPS) on January 4, 2024. The letter is postmarked January 7, 2024, by the USPS. The Letter is received by the ELRC on January 11, 2024. The submission date for 123 Child Care will be considered as January 7, 2024.
This can include, but is not limited to:
For information on PDO’s, visit pakeys.org/pdos.
For information on Rising STARS Tuition Assistance, visit pakeys.org/keystone-stars/rising-stars.
For information on T.E.A.C.H, visit pacca.org/teach_scholarship.php.
Programs might consider pooling resources and collaborating to accomplish objectives difficult for smaller programs to fund individually. Examples include, but are not limited to:
No. Any one-time payments or bonuses paid to hourly or salaried staff must be processed through regular payroll operations.
Yes, providing the cost of food is associated with the training event being attended by the program staff or parents.
Federally approved and/or corporate indirect cost rates assessed to affiliated programs are not permissible for the Award.
No. CQI Award funds can only be used for eligible expenses incurred between July 1, 2024, and February 28, 2025.
Yes, eligible providers have the discretion to spend funds within the specified timeframe, but no later than February 28, 2025.
Yes, Family Child Care Homes that file taxes with a Schedule C must also submit a 1040 Form to document the appropriate taxes are being paid. Family Child Care owner/operators are encouraged to consult with their tax professional for additional guidance.
Yes, quarterly taxes are an eligible expense under ongoing operating expenses category.
No, only staff who work directly in the program on a regular, day-to-day basis are eligible to receive funds from the CQI Award.
The following are resource documents providers may find helpful:
Changes occurring between August 1, 2024, and time of payment by ELRC.
Eligible programs can use the Keystone STARS CQI Award funds for eligible expenses in the following categories:
These categories align with the Keystone STARS Performance Standards and represent the area’s most closely associated with quality activity expenditures for ECE programs.
Award funds can be applied to eligible expenses incurred from July 1, 2024, to February 28, 2025.
Additional details on each category are provided below. Programs may wish to review their most recent CQI Plan and/or CQI Plan Annual Update to help identify areas in which the Award funding may best be used to reach their goals. Programs may contact their Keystone STARS Quality Coach for assistance in updating their current CQI Plan.
This category includes the following eligible expenses:
Early Learning coursework and/or professional development that is eligible for funding through the Professional Development Organizations (PDO), Rising STARS Tuition Assistance Award, T.E.A.C.H, and/or the CDA Voucher programs will not be an allowable expense for the CQI Award unless the program can show proof that these funding sources are unavailable.
Early Childhood Education Program
This category includes the following eligible expenses:
* Programs are encouraged to purchase a curriculum and/or developmental assessment tool from the OCDEL approved listings in order to ensure the tools are aligned to Pennsylvania’s Early Learning Standards. The updated listings of OCDEL approved
curricula and assessment tools can be found here. Only OCDEL-approved curricula and developmental assessment tools can be used by programs to meet STARS quality indicators EC 3.4.1 and EC 3.4.2.
**Federal regulations prohibit the use of funds for “construction” or “major renovations,” but will allow funds to be used for “minor remodeling”. More information on minor renovations can be found in the Best Practices in Keystone STARS Financial Award Spending document.
Partnerships with Families and Communities
This category includes the following eligible expenses:
Leadership and Management
This category includes the following eligible expenses:
* When using award funds to pay for additional staff compensation and/or bonuses, providers must also include these amounts when calculating overtime pay for these individuals, as required by the United States Department of Labor. In addition, program employees who receive an hourly and/or salary wage are not permitted to receive a 1099 payment from Award funds. Any increased compensation issued to program employees who receive an hourly and/or salary wage must be reflected on the program’s payroll where the required employer payroll taxes are applied.
** Staff who work solely in programs such as PA PKC, HSSAP, and/or ITCS should not receive salary and/or bonuses from CQI award funds. In these cases, CQI Award funds should be used for the betterment of the child care program.
Accreditation Costs toward an OCDEL – Approved Alternate Pathway
This category includes the following eligible expenses:
The Keystone STARS CQI Award cannot be used for any of the following expenses. Although the list is not exhaustive, the following is provided for general guidance.
Non-compliance with the requirements of the Keystone STARS Continuous Quality Improvement Award Eligibility and Acceptance Letter could result in the provider being required to return the CQI Award funds to the ELRC.
The following timeline reflects important dates for eligible programs to consider.
Beginning on September 3, 2024, eligible providers will:
Beginning on September 3, 2024, but no later than December 13, 2024, eligible providers must:
Beginning on September 3, 2024, and ending on December 13, 2024, the ELRC will:
Beginning on October 7, 2024, and ending on December 27, 2024, the ELRC will:
Beginning on October 7, 2024, and ending February 28, 2025, eligible providers will:
No later than March 28, 2025, providers will:
While providers will not submit receipts to the ELRC (unless requested), providers must keep original receipts for their records. These receipts may be reviewed by the ELRC, OCDEL Program Representatives, and/or state/federal agents for auditing/monitoring purposes. All Award-related documentation must be maintained for seven years.
The following is a listing of documents that are unallowable as a receipt or invoice:
Providers issued an Award must submit a FER and return unspent Award funds to their ELRC by the deadline (March 28, 2025). Providers who fail to meet the requirements will be subject to the Dunning Cycle as detailed in Commonwealth Management Directive 310.10. OCDEL’s Dunning Cycle will consist of three letters informing providers of the spending and reporting requirements they agreed to in the Award Eligibility and Acceptance Letter. Failure to respond to the Dunning Cycle will result in an additional letter informing providers of referral to OAG and their Keystone STARS suspension. The OAG is statutorily authorized to collect delinquent debt for state agencies pursuant to 71 P.S. § 204(c).
Repayment plans may be offered by an ELRC if a provider must return Award funds to the Commonwealth. If a provider agrees to a repayment plan with an ELRC and misses a regularly scheduled installment, the provider will forgo the Dunning Cycle and be referred to OAG for recoupment.