Bernard Allen (Cork North Central, Fine Gael)
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Question 135: To ask the Minister for Health and Children if she will make a statement on the situation whereby funding which had been granted for three years to a play-school (details supplied) in County Cork is being sidelined for another purpose; and if she will review the situation in view of the quality of service which the play-school has provided for almost 25 years in the Cork community. [43949/09]

Barry Andrews (Dún Laoghaire, Fianna Fail)
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I have responsibility for the implementation of the Early Childhood Care and Education (ECCE) scheme which is being introduced in January 2010 and also for the Community Childcare Subvention Scheme (CCSS) which was introduced in 2008.

Many community-based childcare services were, immediately prior to the introduction of the CCSS, supported under the staffing grant scheme implemented under the Equal Opportunities Childcare Programme (EOCP). To assist services to adapt to the new funding arrangements provided for under the CCSS transitional funding measures were introduced under which participating services are guaranteed minimum funding levels based on their EOCP grant amount in 2007. As a result, services were guaranteed at least 95% of their 2007 funding level in 2008, at least 85% of the 2007 funding in 2009, and are guaranteed at least 75% of the 2007 funding in 2010. Under this arrangement community childcare services participating in the CCSS are being funded based on the level of service they provide and the profile of the parents benefiting from the service, plus in some cases a top up amount to ensure they receive the guaranteed funding provided for under the transitional measures.

In most cases, the level of funding paid to community services in the CCSS has increased and, in the absence of the ECCE scheme in 2010, not more than 25% of services would have been expected to qualify for the transitional rate. Community-based services may choose to participate in either or both schemes from January, however this will not increase the 75% funding guaranteed in 2010. Where a service participates in both schemes, the parent will choose the scheme that is most beneficial for their child. No child may be funded under both schemes as this would be double-funding.

The following is an example of how funding will be generally applied to a service which chooses to participate in both schemes. A service which received €80,000 funding in 2007 and which would have qualified in 2010 for subvention amounting to €50,000 (in the absence of ECCE funding), would receive €10,000 in transitional funding, bringing its total funding to €60,000. If the service qualifies for €19,600 in ECCE funding and their subventions are €10,000 lower (as a result of ECCE supported children choosing that scheme over the CCSS) it will receive €59,600 in total capitation and subvention in 2010 resulting in €400 of transitional funding to bring it to €60,000. This funding arrangement is being implemented to ensure that childcare services participating in both childcare programmes are not double-funded.

In relation to the childcare service referred to by the Deputy, I understand that the service has made an initial application to the ECCE scheme and is currently considering whether to go to contract. The service has been funded under the EOCP and currently under the CCSS programme and will be guaranteed in 2010 at least 75% of the funding provided to them in 2007. However, the total funding which childcare services participating in both the CCSS and the ECCE programmes will qualify for in 2010, and which will be based on the example above, cannot be determined until early next year when the parental returns in relation to both schemes are submitted.