Big rise in childcare costs

By TANIA MARTIN
PARENTS will feel the pinch in their hip pockets as the Shire of Yarra Ranges prepares to raise childcare centre fees by 20 per cent.
The fee increase comes after the shire undertook an extensive review of its childcare services.
Parents will pay an extra $40 a week, with the increase seeing the fees rise to $242 a week.
In April last year the council announced it would be assessing its two childcare centres – the Sherbrooke Childcare Centre in Upwey, and the Durham Long Day Care Centre in Kilsyth – as they were running at a combined annual loss of $430,000.
The council then undertook a review of its childcare services and released a best value report.
Following the release of the report the council formed a panel to assess submissions and expressions of interest (EOI) made in response to the document.
The Shire’s director of social and economic development, Alison Crane, said last week that the 20 per cent fee increase came as a compromise to keep the centres in Upwey and Kilsyth open.
Ms Crane said the EOI process did not return any possible solutions to the council’s financial problems regarding the centres.
She said the fee increase would help reduce the council’s 200506 childcare subsidy by a further 20 per cent or $86,310.
Sherbrooke Childcare Centre parents’ committee spokesman, Christian O’Dea, said he was disappointed that the council did not consult the parents before increasing the fees.
However, the parents’ committee was pleased that council was not going to close the Upwey and Kilsyth centres.
Mr O’Dea said the parents’ committees from both centres met with council in July to discuss the EOI process, but no mention was made of the planned fee increase.
“We are concerned at the impact this fee increase is going to have on lowincome families,” he said.
However, Ms Crane said that the new fee structure was within the average range across Victorian council’s.
She said if you compare the shire’s fees to that of neighbouring shires you would notice Yarra Ranges is neither the highest nor the lowest.
Cr Alan Fincher said the report outlined clearly, fairly and reasonably the shire’s position.
He said the Yarra Ranges only has 75 childcare places.
He also emphasised that it does not have the budget or the scale offered by other councils such as Knox City Council.
“We are honouring our promise to the childcare centres in Upwey and Kilsyth to keep them open, and I think this is a fair and reasonable fee structure for that service, while ensuring our promise is honoured,” Cr Fincher said.
The fee increase will be introduced by October.