By CAM LUCADOU-WELLS
FAMILY day care parents in Greater Dandenong are set to be charged nearly triple from July due to a $670,000 federal cut, according to the proposed 2015-16 Greater Dandenong Council budget.
Corporate services director Mick Jaensch said the 22 low-cost services in Greater Dandenong used by 880 children could be in jeopardy if there was a family exodus due to the charges.
“We’re still in it but if we can’t run it at break-even, we’d have to look at it.”
The reduced grant comes on top of a $500,000 funding decrease due to the Federal Government freezing indexation of its Financial Assistance Grant to councils.
“It’s actually going backwards, it’s not even going up by CPI,” Mr Jaensch said.
The family day care service is seen as an affordable alternative to private child care and day care providers.
The council, which administers the federally-funded scheme, has increased charges from 42 cents an hour to $1.15 an hour to cover the grant cut.
Part of the sting to families will be softened by the government’s 50 per cent child care rebate.
Chief executive John Bennie said the cuts would impact on many families that are heavily reliant on child care.
Community services director Mark Doubleday said the council intended to keep the service “extremely affordable when compared to other not-for-profit or local government metropolitan family day care schemes”.