So, there are guidelines for when a child should be sent home in our contract packet. (I just looked it up, as I had scanned it in after we started going) and they are generally in line with was said here. "Extreme fatigue" is on that list.
As for the first incident, I don't want to call that an "issue" as once I talked to her and mentioned that while she's entitled to paid leave, I am entitled to the proper notice, she fixed it. Her mother is watching DD at no additional charge to me while she is out (next week).
But, there is a point in her getting burned out. I can feel it a little bit. I don't see it compromising the care of the kids. DD talks about the "fun" they have over there. She is good with activities and takes them on field trips often. I know she needs the income and can't afford to close down permanently, but I also know that she has some personal things going on right now that may just be stressing her out to the point that she feels she needs a break. I care about her as a person, but I also want to make sure that DD is in a good environement. So, now I'm thinking this afternoon, I should have a conversation with her about this (vs the whole lying to get a day off incident).
DD is starting preschool in the fall. That would be a good time to transition her into alternate care if necessary. DH and I have already discussed that timeline as well.