What is magical about the 75th percentile?
The federal government requires states to report the results of their market rate survey at the 75th percentile. However, these rate ceilings vary widely, based on the type of care, age of child, length of day and location of program. States must ensure that the rates they pay are sufficient “to ensure equal access” to child care comparable to that provided to families that do not receive subsidies. Pennsylvania has indicated that the 75%ile assures equal access for families.
