Michael McDowell (Dublin South East, Progressive Democrats)

That is not so. The equal opportunities childcare programme is the Government's key response to the need to develop child care to support the child care needs of parents, with a particular emphasis on those who may be in employment or education or training to prepare for employment. The programme aims to increase the supply of centre based child care places by 55% at its conclusion.

Since the equal opportunities childcare programme was launched in 2000, the funding package has been increased on a number of occasions to match increased demands to develop this important sector. The Government is aware of the importance of providing child care to support the economy and social inclusion through labour market participation. It has made additional capital funding available immediately to build on the momentum generated by the programme in community groups throughout the country, rather than await a follow on programme under a new national development plan.

The original funding package of €318 million allocated for the seven year programme in 2000 has increased to slightly more than €499 million and includes increased provision for capital developments for which €205 million has been allocated. This figure includes part of the additional capital provision of €90 million made available by the Minister for Finance, Deputy Cowen, in budget 2005 over the period 2005-09 to develop child care infrastructure. Far from decreasing the amount of funding available, it has been increased as late as the most recent budget.

Since budget 2005, I have announced a record allocation of some €67 million in capital funding for community based not for profit groups in two tranches, one in December 2004 and another on 4 March 2005, bringing the total amount committed under the programme to date to more than €395 million. This funding will lead to the creation of more than 36,000 new child care places, of which 24,600 have already been completed.

I am aware that capital grant applications for funding under the Equal Opportunities Childcare Programme 2000-06 are with my Department from groups in County Kerry, including Aonad Óige an Fhirtéaraigh, Ballyferriter, Comhlacht Óige Lispóil Teoranta and Coiste Forbharta Fionn Trá from Ventry. The availability of the additional capital funding allocated in budget 2005 will enable me to make further capital grant assistance available to groups that address significant child care service gaps, where the project proposal represents good value for money. In light of this, Aonad Óige an Fhirtéaraigh and Comhlacht Óige Lispóil Teoranta were advised in December 2004 that, while their projects had not been prioritised for immediate funding, they will be reconsidered in future.

I hope to make further capital commitments in 2005 and, thereafter, to child care projects which link clearly with the aims of the programme, are sustainable, offer value for money and can clearly demonstrate that they would fill a clear service gap in their local area.

In December 2004 the programme appraisal committee appraised an application for capital grant assistance from Coiste Forbharta Fionn Trá Teoranta in Ventry. The appraisal process raised concerns about the range of services being offered by the proposed service and its long-term sustainability. As a result, it was not recommended for capital grant assistance. The group has recently appealed this decision. Following receipt of an appeal in the child care directorate of my Department, Area Development Management Ltd., which is engaged to assess all applications for funding on my behalf, is requested to re-assess the application in light of any additional information which may be supplied by the group in support of its application. When this reassessment is complete, the application will then be considered further by the programme appraisal committee chaired by my Department. The group will be informed of the outcome in due course.

Efforts are being made to achieve a good geographical spread through the appraisal and approvals process. Almost € 17.4 million has been approved for County Kerry under the child care programme, with 52 capital grants approved to establish either new or quality enhanced community-based not-for-profit or private child care facilities. The county has also benefited from 47 staffing grants to groups which have a focus on disadvantage. This funding to child care providers in Kerry is leading to the creation of over 1,700 new child care places and to the support of over 1,000 existing places. Kerry County Childcare Committee also receives annual funding to support its developmental work. The levels of support going to County Kerry under the equal opportunities child care programme compare very positively with other counties in the southern and eastern regions.

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