Treasurer and Member for Riverton Mike Nahan has moved to quell concerns about the future of not-for-profit community childcare centres but not everybody is convinced.
Thirty three centres across Perth including the Willetton Childcare centre and Treasure Island centre in Cannington would no longer receive state government support to manage their properties from June 30, 2018.
It was expected to save $1.4million annually.
Dr Nahan said they would still receive State Government support by not having to pay land tax, payroll tax and some would be some exempt from paying local government rates.
The State Government would also continue to invest $6.5 million each year to support its Community and Neighbourhood Development program.
He reassured the affected centres they would work with them based on their individual circumstances to ensure a smooth transition.
“The State Government began assisting childcare centres with property management in the 1980’s when government assistance was critical in addressing unmet community needs,” he said.
“Today there are 310 community managed and not-for-profit child care services in Western Australia – only 33 operate from State Government managed properties.
“As the industry regulator, the state government has recognised that it is no longer appropriate to be involved in property management, and will work with the 33 affected childcare centres to make transitional arrangements by June 30, 2018.”
He said there was no short term maintenance work required at Willetton after the State Government recently invested more than $300,000 to repair the roof, air conditioning, playground and kitchen.
He said the City of Canning had a proud history of assisting not-for-profit organisations and he did not expect the Willetton centre’s rent to increase.
“Though the centre will now need to set aside funding for long-term maintenance, as the other 277 centres do,” he said.
Treasure Island centre manager Julie Callaghan said while she understood the centres should be financially sustainable and viable the changes would ultimately mean higher fees.
“We’ve been presented with five options and whatever we choose it is going to affect families, parents, the people who work here and the community,” she said.
“If we do have do an increase, I don’t want to have to do a $7 or $10 increase, we don’t want to go above $100.
“At the end of the day I’m a mum as well and I know what it costs for childcare and to survive as a parent as well.
“As a community based service I don’t want to lose sight of why I do my job.”
Member for Cannington Bill Johnston said cutting the funding of the centres and other centres across the metro area was not in the interest of families.
“When the government has got $1.8billion to spend on a football stadium you’d think they’d have $1.4million to spend on children,” he said.
Mr Johnston also criticised Dr Nahan for highlighting the $300,000 the State Government gave to the Willetton centre while the others had received nowhere near that.
A City of Canning spokesman said the city would liaise with the current childcare centres directly about the occupation of their facilities but no decision had been made.
“The city will be meeting with representatives of the Department of Local Government and Communities in the coming weeks to discuss the circumstance of the change in government policy,” he said.