What is a Legally operating Unregistered Provider (LUP)?

Federal regulations guarantee the right of parental choice in selecting child care.  As a result, parents may utilize legally operating unregistered providers, also known as an LUP and receive state payment for the child care. There are two situations in which an LUP provider can participate in the State of Montana child care assistance programs.
Provider's Home -LUP - The provider cares for the children in the provider's home for two or fewer children.  If all the children are from one family, three or more children can be in care.

 

 

 
 
 In Child's Home-LUI - The provider cares for the children in their home, for all the children of one family. LUI providers are paid by the parent. The parent is responsible for employer taxes and minimum wages if care is done in the parent's home.  The Parent receives the child care scholarship payment from the State after the billing invoice is submitted to the child care resource and referral agency.  Parent failure to reimburse the child care provider is cause to terminate child care scholarships.  
If the LUP provider is caring for the children of more than one family they must submit an application for each family prior to child care being provided and must not overlap care for the children of each separate family.  Also, if you change the family for which you are doing child care, a new LUP application must be submitted prior to child care.    
In addition, the provider must be able to answer "yes" to all of the following statements or the application may be denied.
1. The provider is 18 years of age or older
2. The provider will be providing care less than 24-hours within the day.
3. The provider will care for only one or two children, or, all the children from the same family.
4.

 

 The provider agrees to attend an Orientation Training, which includes health and safety issues, within six (6) months of application.  The provider is responsible for contacting the local child care resource and referral for the dates and times of this orientation session. The training will be 8 hours and there is a cost to the provider.
5.

 

 

 The provider, and all the adults in the LUP’s home, must agree to criminal and child and adult protective services background checks that will go back to the age of eighteen (18).  If an out-of-state check is needed, the provider is responsible for pursuing the background check as well as the cost involved.  If an applicant is unable to obtain an out-of-state criminal report from any state, the applicant can use a Department of Justice fingerprint card; have fingerprints taken at local law enforcement office; and pay a fee of thirty-two dollars ($32) to have the criminal check done.  Cards can be obtained from Child Care Partnerships. The results of these checks will be used in deciding if this application will be approved or disapproved.
6. The provider does not  live in the same household as the parent that needs child care services.
7. The provider is in good health as specified on the health statement included in the registration packet.
Furthermore, the provider agrees to:
a.

Review and discuss with the parents the immunization record of the children in care;

b.

Examine the home for the fire and safety conditions and discuss the conditions with the parents.

HOME  /  RESOURCE & REFERRAL  /  PROVIDERS  / HEAD START  /  CACFP  /  EVENTS  /  LINKS