How to Start a Daycare in Oregon

Operating a daycare in Oregon can be an exciting opportunity. Not only does it allow you to pursue your passion for educating and nurturing children, but it can also be financially rewarding. However, before you start your daycare business, you must familiarize yourself with the rules and regulations required to obtain a license and open a facility.

Keep reading to learn how to start a daycare in Oregon, the types of licenses available, what requirements you must meet, what's involved in the application process, and how to comply with state regulations.

Do I need a childcare license in Oregon?

Opening a daycare center requires time and careful planning, including writing a business plan, developing marketing strategies, brainstorming daycare names, and scoping out potential locations. Whether starting a program in a commercial facility or in your home, it’s important to understand the full process beforehand. In most cases, a license is required to operate a daycare in Oregon. The Oregon Department of Early Learning and Care, Office of Child Care (OCC), offers licensing for three types of childcare programs: registered family child care homes, certified family child care homes, and certified childcare centers. 

Registered family child care

A registered family child care home is defined as a childcare program that is licensed to care for no more than 10 children at the provider's residence.

Certified family child care

A certified family child care home is a childcare facility that is certified to care for no more than 16 children and is based out of a single-family home.

Certified childcare center

A certified childcare center is defined as a childcare facility that is certified to care for 13 or more children or a facility that is certified to care for 12 or fewer children and is located in a commercial building.

However, there are several exemptions. Depending on the type of child care provided, you may not need a license to operate; however, you may be required to record the program with the OCC. 

According to the OCC, the following are exempt from licensing:

• You're providing care in the child's home, and all children present, not including your own children, reside in the home.
• You're related to all the children you care for.
• All the children you care for, not including your own, are from the same family.
• You care for the children for fewer than 70 days a year.
• You're caring for three or fewer children, not including your children, at any time.
• You're operating a program for school-age children, focused on a single enrichment activity, and operate for no more than eight hours a week.
• You're operating a program that is mostly a group athletic or social activity sponsored by an organized club or hobby group.
• You're operating a parent-cooperative childcare program. Parents of the children in care must provide care on a rotating basis, and the program cannot operate for more than four hours per day.
• A school district, political subdivision of the state, or a governmental agency operates the program.
• You're operating a program in a facility that provides care to children while the parents remain on the premises and are engaged in an activity offered by the facility or in other non-work activity.
• You're operating a preschool-recorded program or a school-age recorded program.

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Childcare licensing requirements in Oregon

As you begin to start a daycare center, it’s important to understand that program requirements vary depending on the type of facility you're opening. All of these requirements should be considered before proceeding with the application process. Applicants and licensees for any childcare program are required to do the following:

• Complete an introduction to childcare health & safety training
• Complete OCC-approved safe sleep training 
• Obtain food handlers certification 
• Obtain first aid and CPR for infants and toddlers certification
• Obtain OCC-approved Recognizing and Reporting Child Abuse and Neglect (RRCAN) certification
• Complete lead testing of the water supply if used for drinking, cooking, or preparing infant food or formula
• Complete comprehensive background checks with OCC
• Implement a guidance and discipline policy
• Have planned educational activities
• Keep attendance records

Registered family child care

If you are applying for a registered family child care home, your program will need to meet specific requirements.

Provider requirements

There are specific requirements that registered family child care providers must adhere to, including: 

• Be at least 18 years of age
• Be a resident of the home where child care will be provided
• Have competence, sound judgment, and self-control when working with children
• Be physically, mentally, and emotionally capable of performing duties related to child care
• Have completed the Introduction to Registered Family Child Care Training
• Be actively enrolled in OCC’s Central Background Registry (CBR) along with other residents in the home who are 18 years of age or older
• Complete OCC-approved child development training along with any staff

Facility requirements

There are also requirements for the home where the registered family child care business will operate. These requirements ensure that children will be in a safe environment:

• All exposed electrical outlets used by children must be covered
• Appliance cords must be in good condition
• Stable barriers must be used to prevent children from falling into hazards, including secure barriers placed at the top and/or bottom of stairways
• Working smoke alarms and carbon monoxide detectors
• At least one fire extinguisher must be on each floor of the home and must be inspected monthly
• Firearms, guns, and ammunition must be kept locked and stored properly
• Cleaning supplies, paints, and other items that may be hazardous to children must be kept under a child-safety lock
• Fire drills must be practiced monthly
• The provider must have a written evacuation plan for emergencies
• All floors must have access to two usable exits

Ratio and capacity requirements

The following staff-to-child ratio and capacity requirements apply to registered family child care programs. 

• Providers may provide care for a maximum of 10 children under 13 years old. This includes the provider’s own children and any other children whom the provider is responsible for:
  • A maximum of six children can be preschool‐age or younger, of which only two children can be under 24 months of age
  • Four school‐age children, in addition to the six children preschool‐age or younger
  • More school‐age children can be in care if there are fewer than six preschool‐age or younger children, as long as there are no more than 10 children in the home at any one time
  • No child younger than 6 weeks old can be in care in a family child care home. This does not include the provider’s children

Certified family child care

A certified family child care home must also meet specific licensing requirements.

Provider requirements

These are the requirements to become a certified family childcare provider:

• Be at least 18 years of age if the facility is certified for 12 children or at least 21 years of age if the facility is certified for more than 12 children
• Have one of the following:
  • At least one year of qualifying teaching experience in the care of a group of children in an ongoing group setting such as a kindergarten, preschool, child care center, certified family child care home, registered family child care home, or Head Start program
  • Before applying to be certified for up to 16 children, complete one year of successful operation as a certified family child care facility for 12 if the qualifying teaching experience is based on registered family child care
  • Completion of 20 semester credits or 30 quarter credits in a college or university in early childhood education or development
  • Documentation of attaining at least step eight in the Oregon Registry

Facility requirements

Here are the requirements for the home where the certified family childcare business will be operating. These requirements ensure that children will be in a safe environment:

• All exposed electrical outlets used by children must be covered
• Appliance cords must be in good condition
• Stable barriers must be used to prevent children from falling into hazards, including secure barriers placed at the top and/or bottom of stairways
• Working smoke alarms and carbon monoxide detectors
• At least one fire extinguisher must be on each floor of the home and must be inspected monthly
• Firearms, guns, and ammunition must be kept locked and stored properly
• Cleaning supplies, paints, and other items that may be hazardous to children must be kept under a child-safety lock
• Fire drills must be practiced monthly
• The provider must have a written evacuation plan for emergencies
• All floors must have access to two usable exits

Ratio and capacity requirements

For certified family child care programs, the number of caregivers and group size depend on the number and ages of children in the provider’s care. 

If all children are in the same age group, the staff-to-child ratio is as follows:

If children in care include infants and/or toddlers, the staff-to-child ratio is as follows:

If the children in care is a mix of preschool and school-aged, the staff-to-child ratio is as follows:

Certified childcare center

There are separate rules and requirements that all certified childcare centers must follow in order to obtain a license.

Provider requirements

Below are the requirements for a certified childcare center director:

• At least 21 years of age
• Have one of the following:
  • At least one year of training and/or experience in the management and supervision of adults and knowledge of child development for the primary ages served in the center, as evidenced by a combination of professional references, education, experience, or training
  • Documentation of attaining at least step nine in the Oregon Registry
  • One year of training and/or experience in the management and supervision of adults OR knowledge of child development for the primary ages served by the center as evidenced by a combination of professional references, education, experience, or training, and a plan approved by OCC that shows how the missing component will be addressed and how the program will be operated until the director has obtained the proper training, experience, or knowledge

Facility requirements

Certified childcare centers must meet the following facility requirements to ensure they create a safe and hazard-free environment for children:

• Meet local planning and zoning requirements, building codes, environmental health requirements, and be approved by the fire marshal
• Submit a building floor plan or drawing of the facility to OCC
• All floor levels used by children for play and napping shall have two usable exits to the ground level
• Keep usable exits clear of any obstructions
• All exposed electrical outlets used by children must be covered
• Appliance cords must be in good condition
• Protective barriers must be used to prevent children from falling into hazards
• Working and regularly tested smoke alarms and carbon monoxide detectors
• At least one fire extinguisher must be available in the center
• Cleaning supplies, paints, and other items that may be hazardous to children must be kept under a child-safety lock
• Fire drills must be practiced monthly
• The provider must have a written evacuation plan for emergencies
• There must be at least 75 square feet of outdoor space for each child using the area at one time and a minimum of 35 square feet of indoor activity area per child 

Ratio and capacity requirements

Certified childcare centers must follow the staff-to-child ratio requirements below:

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Childcare licensing application process in Oregon

A completed application is required when opening or reopening a childcare program, renewing the annual certificate or registration, and changing owners, operators, or locations. All applications must be submitted at least 45 days before opening the program, and the application process and fees vary depending on the program type.

Registered family child care

Step 1: Register for the introductory course

Attend the Introduction to Registered Family Child Care training, where applications for licensing and submitting a background check will be provided.

Step 2: Complete the required training

Ensure that all additional training requirements have been met.

Step 3: Enroll in the Central Background Registry (CBR)

The provider and all  individuals 18 years of age and older who reside in the home must enroll in the Oregon Central Background Registry (CBR). Once CBR applications are processed, applicants can then complete fingerprinting. 

Step 4: Submit the application and fees

Complete and submit the license application, the required Safety Set Training verification, and the $30 application fee. Training verification includes:

• Current first aid and infant and child cardiopulmonary resuscitation (CPR)
• Food Handlers Certification
• Recognizing and Reporting Child Abuse and Neglect (RRCAN)
• OCC-approved Introduction to Child Care Health and Safety (ICCHS)
• OCC-approved Safe Sleep training

Step 5: Complete health and safety review

Once the application has been completed, a licensing specialist will reach out to conduct a health and safety review. During this visit, they will inspect the home and check for compliance with requirements. If approved, you will receive an annual license that is valid for two years.

Certified family child care

Step 1: Comply with planning, zoning, and building codes

Certified family child care homes are required to meet local planning and zoning requirements, building codes, and environmental health requirements. This includes testing the water for lead and submitting a building floor plan or drawing of the facility to the OCC. You will need to provide documentation that your home is in compliance with local laws. 

Step 2: Complete the pre-certification visit

Oregon’s OCC requires certified family childcare home applicants to undergo a pre-certification visit to determine if they qualify as a childcare provider with a certified family childcare license and if the home is suitable. 

After submitting the above documentation and meeting all requirements, a licensing specialist will visit the space and determine how many children it can accommodate, suggest changes, and inspect other areas of the home. They will also discuss program rules regarding staff and enrolling in the Central Background Registry (CBR). They will provide the application packet once they’ve determined that an application can be submitted.

Step 3: Complete environmental health inspection

The application packet will include information on scheduling the environmental health inspection. Corrections must be made before a license is issued if any issues are found. 

Step 4: Enroll in the Central Background Registry (CBR)

The provider and all individuals 18 years of age and older who reside in the home must enroll in the Central Background Registry (CBR). Once CBR applications are processed, applicants can then complete fingerprinting. 

Step 5: Submit the application and fees

Complete and submit the license application and the applicable application fee. 

Step 6: Pass an initial inspection

Once you have approval from your fire safety and environmental health inspection, a licensing specialist will conduct your initial inspection. During this visit, they will inspect the facility and check for compliance with all requirements. They will also check all staff qualifications. If there are any items that are not in compliance, you will be informed and given an opportunity to correct the issue.

A temporary license will be issued if the facility meets the majority of the OCC requirements. Once you receive a temporary license, you may begin to care for children. A temporary license can be issued for up to 180 days. Within 180 days, if your facility shows that it can meet all requirements on a continuing basis, you can qualify to move from a temporary license to an annual license. An annual license is valid for one year from the effective date of the temporary license. 

Certified childcare center 

Step 1: Comply with planning, zoning, and building codes

Certified childcare centers must comply with all planning and zoning laws. Before you acquire a physical space for your childcare business, you must verify with the local municipality that the facility is zoned appropriately for child care. You will also need to ensure that the facility meets all building codes and environmental health requirements. This includes testing the water for lead and submitting a building floor plan or drawing of the facility to the OCC. You will also need to provide documentation that your center is in compliance with local laws. 

Step 2: Complete the pre-certification visit

Oregon’s OCC requires certified childcare center applicants to undergo a pre-certification visit to determine if they qualify as a childcare provider. 

After submitting the above documentation and meeting all requirements, a licensing specialist will visit the space and determine how many children it can accommodate, suggest changes, take measurements of the indoor and outdoor areas, and inspect other areas of the facility. They’ll also discuss program rules regarding staff qualifications, staff-to-child ratios, and enrolling in the Central Background Registry (CBR). They’ll provide the application packet once they’ve determined that an application can be submitted.

Step 3: Complete fire marshal and environmental health inspections

The application packet will include information on scheduling the fire marshal and environmental health inspection. Corrections must be made before a license is issued if any issues are found. 

Step 4: Enroll in the Central Background Registry (CBR)

The provider and all individuals including administrative and support staff in childcare centers must enroll in the Central Background Registry (CBR). Once CBR applications are processed, applicants can then complete fingerprinting. 

Step 5: Submit the application and fees

Complete and submit the license application along with the application fee, which is $100 plus $2.00 multiplied by the maximum licensed capacity.

Step 6: Pass an initial inspection

Once you have approval from your environmental health inspection, a licensing specialist will conduct your initial inspection. During this visit, they will inspect the facility and check for compliance with all requirements. They will also check all staff qualifications. If there are any items that are not in compliance, you will be informed and given an opportunity to correct the issue.

A temporary license will be issued if the facility meets the majority of the OCC requirements. Once you receive a temporary license, you may begin to care for children. A temporary license can be issued for up to 180 days. Within 180 days, if your facility shows that it can meet all requirements on a continuing basis, you can qualify to move from a temporary license to an annual license. An annual license is valid for one year from the effective date of the temporary license. 

How to stay compliant with a daycare license in Oregon

After receiving the proper license, all childcare programs must remain compliant with all regulations. A tool such as brightwheel’s center management feature provides a reliable way to manage your administrative tasks, record keeping, capacity tracking, staff-to-child ratios, and more. Center management software can save you time and help with maintaining compliance in the areas below.

Registered family child care

Throughout the two-year licensing period, registered family child care providers will receive at least two unannounced visits from their licensing specialist. Below are a few areas that the specialist will be reviewing:

• Ages and number of children in the home
• Appropriate supervision of children
• Ensure that adults are enrolled in the CBR
• Health, safety, and sanitation rules are met

Certified family child care and certified childcare center

Certified family child care and certified childcare center programs are subject to at least one announced visit from their licensing specialist during the licensed year. During this visit, the specialist will, at minimum, review the following:

• Number of children in the entire facility (capacity)
• Appropriate supervision of children
• If staff‐to‐child ratio requirements are met
• If group size requirements are met
• If qualified staff are with each group of children
• Upcoming training requirements

Funding resources for your childcare business

As you go through the licensing process, you may come across grants or other funding resources that can help fund your childcare business. A grant is an often overlooked financial resource given by a government agency or private foundation that does not need to be repaid. This makes them an attractive funding option if you are looking to expand or enhance the quality and accessibility of your program.

Grants provide funding that can be used towards a variety of purposes, such as improving facilities, purchasing new equipment or materials, or offering professional development opportunities for staff. The available resources vary by state so it is crucial to research and understand the grants for childcare providers in Oregon to make informed decisions about which ones to apply for.

Start a daycare in Oregon

The journey to opening a childcare business isn't easy, but with a clear understanding of the steps involved and proper planning, it can be a big success. As a first step, obtain the proper license for your program and then you can focus on creating a safe and secure environment where children can thrive.