SUPPORTS ITEM NO. 2 CS&B COMMITTEE AGENDA JULY 31, 1997 ADMINISTRATIVE REPORT Date: July 14, 1997 Dept. File No. CC File: 2402 TO: Standing Committee on City Services & Budgets FROM: Director of Community Services, Social Planning SUBJECT: 1997 Childcare Grants Allocation - Report 2 of 3 RECOMMENDATION A. THAT Council approve 24 Childcare Program Enhancement Grants totalling $128,895 as listed in Appendix I, with conditions as noted; source of funds: 1997 Childcare Grants Funds, 1997 Operating Budget. B. THAT Council approve 20 Inner-city Childcare Sustaining Grants totalling $194,500 as listed in Appendix I, with conditions as noted; source of funds: 1997 Childcare Grants Funds, 1997 Operating Budget. C. THAT Council approve one Childcare Program Development Grant of $5,000 to assist Grandview Terrace Childcare Society with the non-capital costs associated with opening a new licensed Preschool Program; source of funds: 1997 Childcare Grant Funds, 1997 Operating Budget. GENERAL MANAGER'S COMMENTS The General Manager of Community Services submits Recommendations A, B and C for CONSIDERATION. COUNCIL POLICY On March 13, 1997 Council approved the 1997 allocation of $665,895 for the Childcare Grants Program. Approval of grant recommendations requires eight affirmative votes. PURPOSE This report makes recommendations for the following Childcare Grant categories: - Childcare Program Enhancement - Inner-city Childcare Sustaining - Program Development This is the second of three reports regarding the 1997 Childcare Grants Program. BACKGROUND On March 13, 1997, City Council approved a budget of $665,895 for the Childcare Grants Program. On June 17, 1997, Council approved allocations totalling $322,500 leaving an available balance of $343,395. DISCUSSION The primary focus of the summer cycle of the Childcare Grants Program is the Program Enhancement and Inner-city Sustaining grant categories. This year the number of grant applications received for these categories increased by 25% over 1996 levels and the requests exceeded the 1997 category funding available by over $170,000. While some applications could be easily excluded because they did not meet the high need criteria, most of the applications came from organizations serving high need families and/or providing high need services such as infant/toddler care. A few of the applications were submitted as collaborative projects in response to a request from the Childcare Co-ordinator for applicants to look at cost effective approaches. As in previous years, Social Planning has chosen to make recommendations which stretch the City dollars for the benefit of as many families and children as possible. 1. Program Enhancement Grants The purpose of these grants (maximum $10,500 per organization) is to provide non-profit, licensed childcare programs with funds to enhance the quality of care offered. In the 1997 Childcare Budget Ceiling Report, it was recommended that initiatives be related to food supplement programs, child/staff ratios, extended hours of operation, training of volunteers and co-ordinated administration. Priority is given to group daycare and school-aged childcare programs in high need areas and/or under-served areas of the City. Part-time preschool programs are only eligible if exceptional need is identified. Applicants are asked to complete a one page Phase I application form indicating the type and estimated cost of the initiative which their organization would like to undertake. If the application meets the basic criteria, then the applicant is encouraged to fill in a detailed Phase II application form. The following factors are considered during the grant review process: - the size, type and location of program - provision of services for infants and toddlers - the level of need of the children and families - the financial need of the service and organization - the type of initiative proposed - the commitment to parent involvement - effective use of prior grant funding - a collaborative approach In total, Phase I Enhancement grant applications were received from 35 organizations. One application was received well after the deadline and therefore could not be included in the process. Two applications were determined to be ineligible because the proposed initiatives did not fit the priority areas noted above, or the childcare service was clearly serving few low income families. One application was dropped from the process because the organization has decided to close their childcare service and one applicant was transferred to the Inner-city category. In all twenty-nine applications were moved forward to the next stage and all submitted Phase II application forms. Social Planning is recommending approval of 24 Program Enhancement Grants (see Appendix I). 2. Inner-city Childcare Sustaining Grants The purpose of this grant is to provide non-profit organizations with up to $12,500 to offset basic operating costs such as personnel and food expenses, so that fees in eligible high need programs can be kept below the city-wide average. While this does not address the larger issue of affordability for low income families, inner-city grants are helping to stabilize fees in high need areas of the City. Programs eligible for inner-city funding, clearly stand out as serving high need, low income families. A significant number of the children attending these programs have been designated as "at risk" by the Ministry of Social Services or require extra family support. All of the children are considered to be living in high risk neighbourhood environments. Twenty-two childcare programs applied for funding under the Inner-city category. One program was transferred to this category based upon information submitted on their Phase I Program Enhancement application. Site visits/interviews were conducted by the Childcare Co-ordinator. Issues of poverty, illiteracy, cultural and linguistic barriers, drug and alcohol abuse, unsafe neighbourhoods, inadequate housing, and the need for preschool mental health supports continue to be the most frequently cited concerns. Centres also noted increasing needs for food supplement, clothing exchange and family support programs. A number of programs commented on the increasing numbers of children being enrolled who are in foster care or under the close supervision of the Ministry. Social Planning is recommending approval of 20 Inner-city Childcare Sustaining grants (see Appendix I). 3. Program Development Grants This grant category provides up to $5,000 to non-profit societies to assist with the non-capital costs associated with developing new childcare services, particularly in high need areas of the city. To date only one application has been received this year. Grandview Terrace Child Care Society, which in co-operation with the Britannia Community Centre, operates a "3-5" group daycare and an after-school daycare program in a City owned portable located on School Board property, is proposing to open a new part-time preschool of 16 spaces serving up to 32 children aged three and four years within the same facility. Staff are recommending a $5,000 grant. The Grandview Woodlands area has been identified as a high priority for this type of service. Furthermore the proposed program will maximise the use of the City-owned portable and increase the financial viability of the existing programs. The minimal capital costs associated with this expansion are addressed in the companion Childcare Capital Grant report. CONCLUSION This is the second of three reports related to the allocation of the 1997 Childcare Grants. Social Planning is recommending for Council approval: - 24 Program Enhancement grants $128,895 - 20 Inner-city Childcare Sustaining grants $194,500 - 1 Program Development grant $ 5,000 This leaves a balance of $15,000 in the 1997 Childcare Grants Fund for allocation later this year (see Appendix II). This year's review points to the necessity for the City and the childcare community to work closely with the Vancouver Regional Operating Agency of the Ministry for Children and Families, the Vancouver Richmond Health Board, the Vancouver School Board and the Ministry of Human Resources to address the issue of adequate funding for childcare, particularly in high need neighbourhoods. It also points to the need for small isolated childcare programs to become linked into the broader continuum of prevention and early intervention services for young children. The discussions have already begun and will form a major part of the Childcare Co-ordinator's workplan for this next year. APPENDICES on file in City Clerk's Office * * * * *