Contracts & Policies Questions and Answers: Part III

This is Part III of my answers to questions raised during a recent webinar “Early Childhood Education Program Contracts & Policies 101: How to Establish and Maintain Effective Business Relationships with Parents.”

You can listen to the webinar for free and download the power point and handouts from the webinar sponsor Early Childhood Investigations (scroll way down on the page).

Enrollment

Q: "Is it okay to ask parents for a copy of their driver's license before enrolling them in our program?"

A: Yes. If you are told by someone that a parent doesn't have a driver's license, then you must ask this parent to show their license before releasing the child to this parent. If the parent refuses to show you her license and takes the child, call 911.

Q: "What should I do as a staff member (who knows that the child won't do well in the center), but the owner accepts the child anyway to boost enrollment?"

A: Other than telling the owner why you don't believe the child will do well in the center, there's probably not much else you can do. If the child struggles in your program, or leaves after a short period of time, you may want to talk to the owner again. Point out how much time and effort was taken with the child and why it was not a beneficial experience for the child.

Q: “Can I refuse care for a child who comes from a home with smokers and carries a heavy tobacco smell on their clothing?”

A: Yes. It’s illegal to discriminate against a parent or child based on race, sex, religion, national origin, and disability. In some states you cannot discriminate based on sexual orientation. Other than these restrictions, you can discriminate based on any other reason: smoking, uncooperative parent, unruly child, etc.

Q: “If I decide not to enroll a family, I’m afraid if I explain why there will be a lot of negativity or backlash from the parent. Because of this why shouldn’t I tell the parent, ‘I’m waiting to hear from another family?'”

A: Because you are then lying to the parent and this is not professional. Also, if you say this and the parent sees your program advertising to fill an opening the next week, the parent may assume that you lied to her and make a complaint to licensing and complain to other parents. It’s best to say, “I don’t think this is the best place for your child.” Don’t blame the child or the parent. Tell the parent you feel that the child would not do as well in your program as she might do in another program.

Holding Fee

Q: “Is a holding fee separate and distinct from tuition?”

A: Yes. A holding fee is paid by a parent in exchange for your promise to hold a space for their child for a period of time. You should get paid for your promise. If the parent doesn’t want to pay your holding fee, then don’t promise to hold the space.

Q: “If I charge a holding fee should I apply it to their first full payment, or just have it as a fee for added income?”

A: Don’t apply any holding fee to child care delivered later. You are giving up the right to fill the space and you should be paid for this. Don’t use the word “deposit” because it implies that the parent might be able to get it back. Use the words, “nonrefundable holding fee.”

Q: “We call it a registration fee.  How do you feel about that terminology?”

A: If a parent who wants to enroll right away pays a registration fee and a parent who wants to enroll their child two months from now also pays the same registration fee, then I don’t like it. If you are holding a spot for a child you should get paid for your promise not to enroll another family for that spot.

Q: “My problem with a holding fee is when it involves expectant parents….I do a two week holding fee but I always worry about what happens if they lose the baby and I cannot afford to refund their money, although I want to.”

A: You can decide whether or not to refund your holding fee if the parent loses the baby. You deserve the holding fee because you turned down other families who wanted the spot. But you can also give a refund because you want to help the family.

Tom Copeland – www.tomcopelandblog.com

Image credit: https://pxhere.com/en/photo/1436183 

To learn more, read my book Family Child Care Contracts and Policies.