Dáil debates

Tuesday, 13 May 2014

Topical Issue Debate

Child Care Services Funding

6:40 pm

Photo of Catherine ByrneCatherine Byrne (Dublin South Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

The three Deputies sharing are Deputy Dessie Ellis, Deputy Thomas P. Broughan and Deputy Seán Kenny. They will have two minutes each. I call Deputy Ellis first.

Photo of Dessie EllisDessie Ellis (Dublin North West, Sinn Fein)
Link to this: Individually | In context | Oireachtas source

I welcome the Minister to his new job and wish him all the best in it.

There is a crisis developing in our public crèches throughout the country and in particular with the Jigsaw project, the Darndale Belcamp Integrated Childcare Services. Over the past few years, there have been cuts to the budgets across a broad range of funders. In the case of Darndale, 260 child care places are in jeopardy. Some of them are from among the most deprived and vulnerable in our society.

Some 98 jobs are at risk with skills and experience that cannot be replaced. I remind the Minister that the 1916 Proclamation states that we must cherish all the children of our nation equally. We must ensure that badly needed services for our children and their families are provided and maintained. Darndale is one of the biggest crèches in the country. An additional €200,000 a year would make it viable both now and into the future. Everything has been tried, including pay cuts, cost reductions and fund-raising, just like other crèches have done around the country.

It is worth noting that €240,000 a year goes to the Revenue, so the Minister is getting money back. It may not be his Department, but another one. Some €330,000 a year is raised from contributions by parents. The social consequences of closing this crèche are huge. Not only will it put people on the dole, but it will also affect parents who themselves work and help in the community. There is no flexibility in funding from Tusla, the DSP, Early Years policy programmes and other funders.

The Early Years policy programme calculations are based purely on child numbers and the band their parents fit into. The DSP reimburses wages and has set allocations for materials and training based on participants' numbers. For one fifth of the money needed for Darndale, we also have a crèche under threat in Ballymun. It is not just this crèche; there are also other serious problems with crèches.

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)
Link to this: Individually | In context | Oireachtas source

I also wish to congratulate the new Minister for Children and Youth Affairs and welcome him to this Topical Issue debate.

Yesterday, I was honoured to cut the ribbon and open the new Golden Years Seniors' Centre in Darndale Belcamp village, when the Minister for Health, Deputy Reilly, was not able to make it due to illness. It was incongruous because at the same time as we were opening the seniors' centre, public representatives heard of the massive threat posed to the Jigsaw integrated child care crèche centre.

As Deputy Ellis said, the Jigsaw centre is the largest community crèche in the country and provides services to 260 children. Its team comprises 55 core staff and 44 community employment, jobs initiative and Tús participants. Some 90% of the children come from the immediate area, which has long been designated by the Department of Education and Skills and other Departments as one of serious social disadvantage. One sixth of the children cared for come from our local Traveller community.

The Jigsaw centre opened in 2001 and was originally to cater for a maximum of 150 children but it is now catering for almost double that number. The centre's CEO, Kelda Barnes, has rightly pointed out that it provides an important link between social and health services and the local community.

The centre provides much needed employment to the local area with 60% of the staff coming from the immediate locality. In addition, the centre has a history of great distinction, having received a Síolta award in 2013 for its work in looking after young children.

As Deputy Ellis also said, the centre has come under incredible pressure in recent years due to a growing deficit. In 2012, the deficit was €65,000, in 2013 it was €63,000 and this year it is heading towards €200,000.

I am informed that there are cuts to community employment support and changes to payments from Pobal. In addition, the HSE has been relentlessly cutting funding for this service. Fund-raising undertaken by the centre has been in grave difficulties due to the recession. My constituents in Dublin Bay North and in Darndale-Belcamp parish in particular are pleading with the Minister to take decisive, necessary and immediate action to solve this serious crisis and ensure the continued viability and success of the wonderful Jigsaw centre.

Photo of Seán KennySeán Kenny (Dublin North East, Labour)
Link to this: Individually | In context | Oireachtas source

I welcome the Minister to his new position.

The Darndale Belcamp Integrated Childcare Service Limited, also known as the Jigsaw crèche, has evolved from small beginnings in 2001 into being the largest community crèche in the country, now catering for 260 children daily. Some 90% of these children are from the immediate catchment area of Darndale, Belcamp and Moatview, which is a recognised area of social disadvantage. It also includes a Traveller community. In fact, one sixth of the children attending the crèche are from the Traveller community.

The crèche service currently employs 55 core staff, some of whom have been there for the 13 years of its existence, and 44 staff from community employment, jobs initiative and Tús. They include one full-time and eight community employment participants from the Traveller community. In this regard, I believe they are unique.

In recognition of its excellence as a crèche, Jigsaw was presented with the Síolta award by the previous Minister for Children and Youth Affairs, Deputy Frances Fitzgerald. I had the pleasure of being present at the award ceremony as a Deputy for the area.

Over recent years, the centre has had to accept financial cuts which it absorbed by way of pay cuts, changing the centre's structure, and fund-raising to the extent of €112,000 in 2013. The centre has now reached a crisis and has been in discussion with its main funders - Tusla, the Department of Social Protection, and the Childcare Directorate - to try to source an additional €200,000 to keep the centre open. The centre was recently informed by the previous Minister, Deputy Fitzgerald, that further payments from Tusla would be made available while a long-term solution was being worked out.

I appreciate that the Minister, Deputy Charles Flanagan, has only just commenced work in his new Department. However, the situation is quite stark for the centre. The only way it will remain open is by direct intervention from the Minister himself. As a Dublin North East Deputy, I believe it is unacceptable that such a vital service as the Darndale Belcamp Integrated Childcare Service, which has the full support of the local community and public representatives, would close.

The centre needs to know this week that these funds can be provided, as its cash flow is drying up. The centre has informed the staff and parents of the actual date of closure, which will be by month's end or else they face the risk of trading recklessly.

Photo of Charles FlanaganCharles Flanagan (Laois-Offaly, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I welcome the opportunity to respond to the issues raised by Deputies Seán Kenny, Ellis and Broughan. I had an opportunity of discussing the matter briefly with Deputy Seán Kenny on the day following my appointment last Friday.

I would like to acknowledge the importance of the services delivered by Darndale Belcamp Integrated Childcare Service Limited to some 260 children across the areas of Darndale, Belcamp and Moatview. The centre was established in January 2001 and has evolved into the largest crèche nationally.

In 2013, the Darndale Belcamp Integrated Childcare Service incurred expenditure of €2.022 million and received funding amounting to €1.96 million. This resulted in a deficit of some €62,000. I am aware that the centre has been experiencing cash-flow difficulties recently and that this has given rise to concerns regarding its future operation.

In order to assist the centre, the Child and Family Agency recently prepaid funding due in May and June. I want to acknowledge the support of the agency in this regard. I would expect that the agency will be open to providing some further pre-payments to the centre if this is of assistance in seeking to resolve underlying issues.

The Child and Family Agency is one of a number of State agencies which provide funding to support the provision of services at the centre. The level of support provided is significant and is being provided at a time when all service providers are faced with particular challenges arising from the need to restore order to our public finances. The Child and Family Agency provided funding of almost €360,000 last year.

My Department is responsible for funding three child care schemes, including the community child care subvention programme, the child care education and training support programme - which are both administered by Pobal - and the early childhood care and education programme which is administered directly by my Department. Funding to the centre under these schemes amounted to over €550,000 in 2013. This represents total funding in excess of €900,000 from my Department's Vote.

Funding is paid to the service in respect of actual attendance of children under the various programmes and funding is paid according to national capitation rates paid to all pre-school services. The Department does not provide a grant to the service directly for salaries or administration in any way.

I have asked my officials to meet urgently with the Child and Family Agency and with Pobal, which administers a number of child care schemes on behalf of my Department, to explore all possible solutions to the current difficulties, which I acknowledge are real.

My predecessor, the Minister, Deputy Frances Fitzgerald, recently advised the centre that, in her view, the overall provision of early years services in the area might usefully be considered in seeking solutions to the current difficulties. I concur with this view as we need to ensure all available resources to support these key services are maximised. All services in receipt of State funding have had to generate efficiency savings and, while I appreciate the challenges involved, it is important that all such avenues are fully explored.

I mentioned the centre incurred a deficit of €62,000, partly achieved through successful fund-raising. Fund-raising projections for this year are not as strong and there is a risk of a projected deficit of up to €200,000. While I acknowledge the need to avoid such a deficit, the centre's income projections show income of €1.8 million continues to be available. With such a level of financial support, it should be possible to work constructively to achieve continued services and avoid the closure scenario the Deputies outlined. The funders will be available to support this process. My Department is giving the matter priority attention. I hope a resolution to the current difficulties can be found within the total resources available to the centre and to support the provision of early years services generally in the area.

6:50 pm

Photo of Dessie EllisDessie Ellis (Dublin North West, Sinn Fein)
Link to this: Individually | In context | Oireachtas source

I thank the Minister. In the past, the HSE promised the centre funding for a specific number of staff and 40 children and operational costs, which never materialised. Instead, it reduced funding by €300,000 in the past five years. Had the commitment been honoured, it would have given an additional €191,000 for 2014. The Minister could investigate whether the HSE reneged on a commitment. Alternatively, Tusla could redirect some of its funding. The question whether the Department can provide additional funding is very important because we have the most vulnerable children and the social consequences if they and their families do not have such support would be very significant. We need urgent action. I heard the Minister say he would try to get as many people as possible involved to try to find a solution. It is imperative we find a solution. This is not the only problem we have with crèches. I mentioned the Ballymun crèche earlier. Other problems arise because of how funding is directed.

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)
Link to this: Individually | In context | Oireachtas source

The Minister mentioned the issue of pre-payments from the Child and Family Agency and his Department. Is it possible for the Minister to visit the Jigsaw centre and work with Ms Kelda Barnes and her staff to examine all possible ways the project can continue throughout 2014? Everybody is thinking of the global changes that must be made in budgetary spending and the need for a much more expansive approach from next year. In that context, the core point facing the Minister and the centre is to get through 2014 and then to have a proper budgetary consideration for 2015.

A few days ago I asked the Minister's predecessor about the after-school child care initiative for which €14 million was allocated and under which only 42 children have been allocated places so far. Some funding could be available in the Department that could be the core element in keeping the project open and working successfully to the end of the year. It is the linchpin in many aspects of Darndale-Belcamp parish and the wider area. The success of children going on to finish second level education and the growing success of people going on to third level is all based on what the crèche does.

Photo of Seán KennySeán Kenny (Dublin North East, Labour)
Link to this: Individually | In context | Oireachtas source

I thank the Minister and welcome the fact he is open to making further pre-payments to the centre to tide it over the temporary crisis. I am also glad the Minister's officials are giving the matter priority to ensure it receives funding on a proper basis. I support the points made by the other Deputies on the importance of the centre for the entire Darndale-Belcamp area. The area has gone through many difficulties and is beginning to improve. The public and community services provided to children at this young age help them to get into primary school and go on to second level and third level and they are the key to tackling social disadvantage. It is important the Minister and his officials give it the priority it needs to put the centre on a proper, permanent basis.

Photo of Charles FlanaganCharles Flanagan (Laois-Offaly, Fine Gael)
Link to this: Individually | In context | Oireachtas source

Again, I thank the Deputies for raising the issue. A number of options have been proposed, involving the HSE, the Child and Family Agency and my Department. All possible options are being explored. There have been a number of high level meetings and these will continue until resolution can be found. I am acutely aware that access to affordable, quality child care can be a significant barrier to many low income and disadvantaged families availing of work opportunities. I have heard from the Deputies that it is the case in this area. This year, my Department is providing investment totalling more than €260 million to support the programmes.

I attach a significant priority to child and family services, including the provision of early years services, which we are discussing. I hope the difficulties at the Darndale-Belcamp centre can be satisfactorily resolved. All the parties mentioned must work to resolve the difficulties in a constructive and proportionate manner. I am very conscious of the point Deputy Ellis made regarding the health services and the manner in which commitments may not have been fulfilled as projected.

As a first step, I have arranged for a meeting of the funding agencies, following which I expect there will be an early meeting with the centre to explore on a constructive basis all options for achieving a sustainable approach to the operations at the centre. I ask all parties to work with this process, as indicated by my predecessor, to use whatever space can be provided to identify constructive solutions, of which we have had some today, which will continue to deliver a service to young children and their parents in the Darndale-Belcamp area. I undertake to keep in close contact with the Deputies and others on the issue.