Quebec outlines new financing for subsidized daycares

Quebec hasunveiled the details of its new funding scheme for provincially subsidizeddaycares, calling it a more efficient approach to running the system.

The arrangement will see government funding fordaycarescutby $120 million a yeartakingfull effect in 2018.

The announcement comes after months of negotiations between the government and the four associations representing Quebec's publicly funded centres de la petite enfance(CPEs), as well assubsidizedprivatedaycares.

Those negotiations concluded this weekwith Monday'sdecisionbythe AssociationQubcoisedes Centres de la PetiteEnfance(AQCPE)to accept a government offer of $41 million in transitional fundingto help the province's non-profit, publicly subsidized daycares toprepare forand cope with the coming cuts.

The province's subsidizedprivate daycares will receive $20 million in transitional funding.

Winners or losers?

Quebec FamilyMinisterSbastienProulxsaid the transitional funding can only be used for improvements todirect services to children and changes to management practices.

"There will be accountability for this," he said.

Proulxsaid the measures will bring "more stability" to the province's publicly funded daycare system.

"We're all winners," he said.

Not everyone shared the minister's enthusiasm for the deal, however.

"We don't in any way see this as a victory," GinaGaspirini, president of theAQCPE,told CBC Montreal Tuesday. She said while the transitional funding will help,by 2018, Quebec's network of 950CPEswill have to cope with the full effect of $120 million less annually.

How thatcut will affectCPEs will only become clear in the next year or so, she said.

"For sure we're cutting in working hours and services because it's a huge amount.Every daycare will have to make major cuts," Gaspirini said.

The number of work hours for educators is one area that she said will likely be affected.

"It means the children might have to spend part of the day with someone who's not their regular educator, parents will have less access to speak with educators, and educators will have less time to plan, to have sit down meetings all that will have to be cut and that will have a direct impact on the children."

By the numbers

The government provided examplesof what the new financing arrangement means for different types of daycare:

• A small CPE of 21 places that currently receives a subsidy of $261,357 will see that amount cut by 2.6 per centto $254,646.
• A subsidized private daycare with 65 places with a current subsidy of $674,677 will receive $648,095, representinga reduction of 3.9 per cent.
• A CPE with 60 places that currently receives $724,270 will have its subsidy reduced to $691,475, representing a 4.5 per cent reduction.

Thenew per-child subsidy scalefor direct services at CPEsand private daycareswas outlined as follows:

CPEs

• 0-17 months: $52.47 per day
• 18-47 months: $32.95 per day
• 48-59 months: $26.44 per day

Private daycares

• 0-17months: $50.20per day
• 18-47months:$31.53per day
• 48-59 months: $25.31per day

Parents will pay a per-diemrate that startsat $7.55 for those with a household income under $50,000and slowly creeps up as a household's income nears $75,000.

Above $75,000, the increase spikes sharply.

Families with a household income ofmore than $155,000will end up paying a total of $20 per child a day.

Food, special needs

The new measures includea provision that will see food subsidies indexedto the consumer price index for 2015 and beyond.

The government also said that subsidies for childrenwith special needs and children from disadvantaged communities will not be affected by the funding cuts.