Price hike backdown

Council adjusts jump in childcare costs

GOLDEN Plains Shire Council has backed down from its proposal to slug parents an extra $26 a day for Bannockburn childcare services after mounting pressure from frustrated parents.

But the council says proposed budget changes, to be finalised at a meeting on Wednesday, will force the program into deficit, result in fewer staff and delay the rollout of activities and projects.

The shire’s draft Budget initially proposed Bannockburn Children’s Service childcare fees would rise almost 24 per cent — from $109 per day to $135 a day.

This significant increase led 34 people to make submissions to council — 84 per cent of which were made against the proposal.

Under the new proposal fees will rise just 13 per cent a day — from $109 to $123, while families with children attending five days a week will be charged $565 per week or $113 a day.

But, council documents state the fee change will lead the program to run at a $48,000 loss rather than the previously forecast $216,000 profit.

The initial profit forecast was publicly questioned by Cr David Evans, who said current fees and enrolment numbers meant even if the initial fee schedule was implemented the program would still not be profitable.

Golden Plains Shire Council Mayor Helena Kirby defended the erroneous figure, which she said was prepared on the assumption that enrolments at Bannockburn Children’s Service would be at 93.25 per cent of capacity.

“This was reduced slightly from the preceding year (96 per cent of capacity) to account for the opening of a second childcare centre in Bannockburn in 2018,” Cr Kirby said.

“However, the difficulty in predicting future enrolments meant the expected capacity was different from our initial predictions.”

To be able to financially support the proposed fee cut council is recommended to not replace an off-floor staff member, reduce the number of staff at the children’s centre, slash administrative overheads, defer disability action and community planning and defer replacing the community engagement officer.

“The recommendation to council included in the agenda for next week’s council meeting includes a decrease in the proposed fee, along with a reduction in the anticipated enrolment numbers at the Bannockburn Children’s Service, resulting in a change from an operating surplus of $216,000 to an operating loss of $48,000,” Cr Kirby said.

“This reduction will have no impact on council’s overall budgeted surplus and has no impact on the level of council rates.”