To be eligible for a Keystone STARS CQI Award, a provider must meet all the following requirements both as of November 30, 2023, and at the time of the Award payment by the ELRC:

1. The provider holds a regular DHS Certificate of Compliance.
2. The provider is designated as a Keystone STAR 2, 3, or 4 program and is not in a Keystone STARS Suspension status.

   *See Special Consideration for STAR 1 Programs who are Actively Working to Move up in STAR Levels below.

3. If applicable, the provider must have completed the reporting requirements for the following grants:
   1. ARPA Stabilization Grant
   2. Workforce Support Grant 1.0
   3. Workforce Support Grant 2.0
4. The provider does not owe liens/liabilities to the commonwealth and/or federal government, including tax liabilities.

Providers who meet the above eligibility criteria as of November 30, 2023, but fail to meet the above criteria at time of payment by the ELRC will be considered ineligible and will not receive a CQI Award.

OCDEL is providing a policy exception for STAR 1 programs who were actively working to move up to a STAR 2, 3, or 4 designations as of November 30, 2023, and will complete their move-up designation on or before January 12, 2024. To be granted the policy exception, a STAR 1 program must have had an open designation case in the PD Registry system as of November 30, 2023. In addition, these programs must be successful in moving up to a STAR 2, 3, or 4 designations as evidenced by a completed designation case in the PD Registry System on or before January 12, 2024.

The table below shows the Keystone STARS CQI Award amount based on provider type and Keystone STAR designation.

Eligible programs can use the Keystone STARS CQI Award funds for eligible expenses in the following categories:

• Staff Qualifications and Professional Development
• Early Childhood Education Program
• Partnerships with Families and Communities
• Leadership and Management
• Accreditation Costs (toward an OCDEL-approved Alternate Pathway)

These categories align with the Keystone STARS Performance Standards and represent the most closely associated areas with quality activity expenses for ECE programs. Award funds can be applied to eligible expenses incurred from July 1, 2023, to May 8, 2024. Providers should refer to the Keystone CQI Award FAQ for Providers for additional information on allowable 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.

• Purchase of land, construction, and/or major renovations.
• Purchase of gift cards, money orders, gift certificates, travel checks, and/or any other comparable legal tender.
• Purchase of alcohol.
• Purchase of vehicles.
• Payment toward staff entertainment, including amusement, diversion, and/or social activities or any costs directly associated with such costs (such as tickets to shows or sports events, meals, lodging, rentals, transportation, and gratuities) that are not professional development-related events.
• Costs of membership in civic, community, and social organizations (Kiwanis, Lions Club, Rotary, etc.).
• Purchase of any second-hand (used) items, including but not limited to those from individuals, yard sales, and auctions.
• Coursework and/or professional development activities that can be funded through the Professional Development Organizations (PDO), Rising STARS Tuition Assistance Award, T.E.A.C.H, and/or the CDA Voucher programs.
• 1099 payments to salaried and/or wage employees of the child care program.
• Federally approved and/or corporate indirect cost rates assessed to affiliated programs.

The following timeline reflects important dates for eligible programs to consider.

Beginning on December 18, 2023, eligible providers will:

1. Receive a Keystone STARS CQI Award Eligibility and Acceptance Letter from their ELRC electronically or through the United States Postal Service (USPS). The Eligibility and Acceptance Letter will include the following:
   1. The maximum dollar amount of the CQI Award the provider is eligible to receive.
   2. The eligible spending categories.
   3. The legal requirement to use the funds and submit a final expense report.
   4. General timeline requirements.
   5. An attestation statement.

Beginning on December 18, 2023, but no later than February 15, 2024, eligible providers must:

1. Review the Keystone STARS CQI Award Eligibility and Acceptance Letter that they receive from the ELRC.
2. Enter the dollar amount they wish to receive (up to the maximum allowable amount).
3. Sign and date the Keystone STARS CQI Award Eligibility and Acceptance Letter acknowledging that they understand and agree to the attestation information.
4. Return the Keystone STARS CQI Award Eligibility and Acceptance Letter to the ELRC electronically (through email or fax) or USPS on or before February 15, 2024.