Anyone familiar with Dependent Care Reimbursement Accounts?

I’ve been told by our benefits guy that I can set it up two ways- the traditional withold pre-tax and have the employee bring me the child care bill that I pay, or (my preference) withold pretax, designate as child care, and then pay to the employee who then pays his own child care bill. I would prefer to not have to do the paperwork and record keeping of paying his bills, but my payroll service is not familiar with option two. The last thing I want to do is get us into trouble with the IRS, so I want to make sure it’s copacetic.