Vancouver City Council |
ADMINISTRATIVE REPORT
Date: May 8, 2003
Author/Local: Carol Ann Young/6042
RTS No. 03382
CC File No. 2402
Meeting Date: June 10, 2003
TO:
Vancouver City Council
FROM:
Director of Social Planning
SUBJECT:
Childcare Endowment Reserve Report
RECOMMENDATION
A. THAT Council authorize payment of an operating subsidy of up to a total of $99,000 to the Vancouver Society of Children's Centres for the 60 infant/toddler spaces at Dorothy Lam Children's Centre, Quayside and Library Square for the period January 1 - December 31, 2003. Source of funds: City Childcare Endowment Reserve.
B. THAT Council authorize payment of an operating subsidy of up to a total of $39,600 to the Vancouver YWCA for the 24 infant/toddler spaces at the Leslie Diamond Centre for the period January 1 - December 31, 2003. Source of funds: City Childcare Endowment Reserve.
C. THAT Council authorize payment of an operating subsidy of up to a total of $39,600 to Collingwood Neighbourhood House for the 24 infant/toddler spaces for the period January 1- December 31, 2003. Source of funds: City Childcare Endowment Reserve.
GENERAL MANAGER'S COMMENTS
The General Manager of Community Services submits Recommendations A to C for CONSIDERATION.
COUNCIL POLICY
The Civic Childcare Strategy, approved by Council in October, 1990, recognized the need to ensure the availability of start-up and operating subsidies to sustain those new childcare facilities being opened in high density neighbourhoods as a result of rezoning negotiations or City initiated projects. In May, 1991, Council approved the creation of the Childcare Endowment Reserve.
On December 15, 1994, Council approved the terms and conditions of the Childcare Endowment Reserve, including eligibility criteria and the process of accessing these funds.
In April, 1996, Council clarified that the City Childcare Endowment Reserve was to be established as an interest bearing fund.
In January, 2000, Council approved a strategy, in principle, of winding down the existing City Childcare Endowment Fund over the next ten years as outlined in the January 10, 2000, Administrative Report. Council approved the maximum rate for the infant/toddler operating subsidy at $1,650 per licensed infant/toddler space per annum for the period January 1, 2001 - December 31, 2002, from the Childcare Endowment Reserve.
Approval of grant recommendations requires eight affirmative votes.
PURPOSE
The purpose of this report is to authorize payment up to the maximum subsidies available for 2003.
BACKGROUND
On April 8, 1996, Council approved childcare agreements covering the period 1995 to 1998, with three eligible childcare operators, the Vancouver Society of Children's Centres (VSOCC), the Vancouver YWCA (YWCA), and the Collingwood Neighbourhood House Society (CNH). The agreements laid out the terms and conditions for accessing infant and toddler operating subsidies and set the maximum contribution level per space per annum for the term of the agreements. In January, 2000, Council directed the Law Department to renew operating agreements with the three eligible childcare operators.
Social Planning was directed by Council to administer the Childcare Endowment Reserve funds, to report back on the actual funding spent each year, and to seek Council annual authorization of payments up to the contribution limits for each eligible childcare operator. In January 2000, Council approved the maximum rate for the infant/toddler operating subsidy at $1,650 per licensed space per annum for the period January 1, 2001 - December 31, 2002. In January, 2000, Council approved a strategy, in principle, of winding down the existing Endowment Fund over the next ten years.
Provincial policy changes regarding the consolidation of child care grants and the elimination of wage lift funding will impact the overall operation of infant/toddler programs. These changes took place April 1, 2003. In order for the Child Development Coordinator to assess the impacts of such changes with the three organizations currently accessing Endowment funds, we are requesting that Council extend the Endowment grant at the current approved rate for one additional year. This will facilitate an opportunity to conduct a more coordinated review of the overall funding to child care, given recent government changes, and report back in early 2004.
DISCUSSION
The following table sets out the approved and actual payments for the infant/toddler operating subsidies for the three VSOCC infant/toddler childcare programs - Library Square (12 spaces), Dorothy Lam (24 spaces), and Quayside (24 spaces); Collingwood Neighbourhood House Society (24 spaces); and YWCA (24 spaces) from January 1, 2002 to December 31, 2002.
The Provincial Government provides, on average, an operating grant for infant/toddler programs in the amount of $220 per child per month. As the operating costs for infant/toddler care cannot be fully realized through parent fees as the cost would be prohibitive, the City's infant/toddler operating subsidy is critical to program affordability.
FINANCIAL IMPLICATIONSAs of May, 2003, there is approximately $4,079,000.00 in the Childcare Endowment Reserve.
2003 Maximum Subsidy Contribution
Operator
Eligible Spaces
2002 Maximum Subsidy
2002 Actual
Recommended 2003 Max. Subsidy
VSOCC
60
99,000
99,000
99,000
YWCA
24
39,600
39,600
39,600
CNH
24
39,600
39,600
39,600
CONCLUSION
The Childcare Endowment Reserve funds continue to be required to support the VSOCC infant and toddler programs at Library Square (12 spaces), Quayside (24 spaces), Dorothy Lam (24 spaces); the infant/toddler programs at YWCA - Leslie Diamond Centre (24 spaces), and Collingwood Village (24 spaces). Social Planning recommends authorization of payment of the 2003 infant/toddler operating subsidy for the operators up to the contribution levels contained in this report.
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