However, the current financial situation is by far the most bleak. The level of funding from the NSW Department of Community Services was frozen for approx. 12 years. During this time, the annual running costs, such as wages and insurance continued to rise. Then in 2006, a new Funding reform was introduced. The new funding formula, which has just taken effect, is based on the number of children attending the service. With Braidwood’s small population resulting in less than full enrolments at the Preschool, the amount of funding allocated is less than that currently being received, and so the amount of funding could be reduced after the five year adjustment period. The future worry is that even with full enrolments, the dollar amount of the funding would not be sufficient to cover costs, resulting in higher fees and continuing financial loss.

The Preschool’s parent run committee has been writing letters to state and federal politicians, and the responses have been both depressing and confusing. On the one hand, the Federal Government’s Early Childhood reform agenda is making a major investment in early childhood education ($970 million in Commonwealth funding, over five years to 2013). The Federal Government has made a commitment to provide access to a quality early childhood education program for all children by 2013, delivered by a university trained early childhood teacher. This is a wonderful promise, but the immediate funding available to the Preschool may not keep the wolf from the door until 2013. The NSW Government Minister for Community Services, Ms Linda Burney, on the other hand, has advised the Preschool in writing, that ‘some services will need to examine the effects of utilisation patterns, and numbers of staff and their qualifications, on providing a long term sustainable service.’ Braidwood Preschool currently employs a university trained Director and a teacher, and the assistants are currently undertaking study to achieve an early childhood qualification, yet the State government funding is placing the employment of these staff under threat.

By Judy Knowles for Braidwood Preschool committee.