State computer glitch blamed for missing daycare center claim payments

DETROIT (FOX 2) - Childcare providers across Metro Detroit say something crucial is missing - payments from the state for families who use vouchers to pay for the service did not arrive in their accounts, leaving many unable to pay their bills.

The backstory:

"I was not paid for 37 of my children," said Betty Henderson, owner of Angels of Essence Day Care.

Local childcare providers say bi-weekly payments have not been paid out for children who attend their facilities thanks to state vouchers.

"Ninety percent of my babies are paid through the state," she said.

"We take the vouchers from the state so that families can go and make a living," said Sharoune Foster, the owner of Foster's Childcare and Learning Center.

So when payments did not arrive, childcare providers tried calling the Michigan Department of Lifelong Education, Advancement and Potential also known as MILEAP.

"You get in line, you get in the queue, you wait for 30 minutes, and then the call automatically disconnects," said Henderson. "I tried calling back after lunch all the way until 4. I was still unsuccessful."

Henderson says it took days to get through for answers.

"They explained there was a glitch in the system, and that some of the payments would go out this week hopefully," she said.

FOX 2: "But they didn’t confirm it?"

"No," she said.

When this Foster checked on her payment status, she was also disappointed.

"Lo and behold, it was only a partial payment," she said.

The money that was missing is significant.

"We’re talking about thousands of dollars," Henderson said. "This is our source of income, not just to pay the staff, but for meals, snacks, electricity, air."

The owner-operator says she can't close her doors, so she found another solution to stay up and running.

"I ended up having to borrow advanced funds for my early Head Start partnership just to make it through this week," Henderson said.

FOX 2 reached out to the state for answers and we were told there was a mistake in the provider payment system for the August 10th through 23rd pay period.

A statement was released which reads in part:

"As soon as MILEAP became aware, we worked with the Michigan Department of Health and Human Services and Treasury to resolve the issue.

"Providers who were impacted are expected to receive payments on Thursday, September 11, and statements are already available in the billing portal."

Providers say the payment can't come soon enough.

"We are deserving of what we are suppose to have," Henderson said.