At a recent meeting in Sligo, a group of independent providers of Early Childhood and School-Aged Care services in the Sligo-Leitrim area outlined their serious concerns about the recent changes introduced to childcare services' funding.
These concerns relate to the Department of Children's new requirement for 'Detailed Financial Reporting'. In essence, this entails producing exceedingly costly Chartered accounts at the end of the year as a condition for availing of Core Funding from the Department.
James Gilmartin, an independent candidate in the upcoming local elections in North Leitrim, is calling on Minister Roderic O'Gorman to address what he feels is an unwarranted, unnecessary and costly requirement being placed on private childcare providers.
He outlined how, up to now, childcare providers have submitted accounts to Revenue through regular accountants or on an individual basis - this standard will no longer be deemed acceptable for the Department of Children if providers wish to avail of Core funding from the Department.
Instead, regardless of size, each provider is forced to employ a chartered accountant to furnish end-of-year accounts at a considerable extra cost.
The Department had yet to finalise the terms and conditions prior to signing up for the Core Funding.
Providers were informed at the time that simple income and expenditure accounts or similar would be sufficient for the Department. Many providers have indicated they would never have signed up if they knew in advance that such draconian and costly reporting procedures were required.
While large-scale operators may absorb this cost, the majority of providers in our area will not be able to. Already, four such providers in the area have indicated that they will cease operations this year or next year due to this.
"These small-scale childcare providers give invaluable service to parents, their children and to communities and they must be supported in every way possible. Removal of this ridiculous requirement for chartered accounts would be a first step in the right direction," James Gilmartin concluded.
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