# Use of Subsidized Parent Fees

(a) Fees received from subsidized parents are to be expended and earned by the contractor before contract funds shall be claimed for reimbursement. 

(b) Such fees shall be expended on reimbursable costs and earned by providing child days/hours of enrollment beyond the minimum required by the contract at a rate equal to the lesser of the daily/hourly contract rate or the actual cost.

> NOTE: Authority cited: Sections 8261 and 8269, Education Code. Reference: Sections 8261 and 8265, Education Code.