Establishment funding

Announcement

Round two of Establishment Funding for 2009/2010 closed 31 October 2009. Fourteen early childhood education centres were awarded a total of $410,000 in funding. Establishment Funding helps community based centres purchase equipment and resources, and to assist them in becoming licensed. Following are the successful services:

• Agape Christian Preschool has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Rotorua. 
• Aoga Amata Pacific Island Church Avondale has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Avondale, Auckland. 
• Arrowtown Community Preschool has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Arrowtown, Otago.
• Barnardos Early Learning Centre - Sir Edmund Hillary Collegiate has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Manukau City, Auckland. 
• Centre Kidz-Early Childhood Centre has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Paraparaumu, Wellington.
• Creator's Christian Childcare Centre has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Hamilton.
• Early Learning Counties Manukau – Alfriston College has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Manurewa, Auckland.
• Granity-Ngakawau Playcentre has been awarded $20,000 for equipment and resources. 
• Habourside Kids Childcare Centre Under 2's has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Takapuna, Auckland.
• Harbourside Kids Childcare Over 2's has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Takapuna, Auckland.
• Longford Kindy has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Gore, Southland.
• Planet Sunshine has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Gisborne.
• Pukehina Educare has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Te Puke, Bay of Plenty.
• Te Kura Hononga has been awarded $20,000 for equipment and resources and $10,000 for staffing and recruitment costs for its new service in Glen Eden, Auckland.

Round three closes 31 January 2010.

All applicants should apply in a round which closes at least three months before the ECE centre's intended licensing date; so that any funding is received before the service is licensed.

Please contact your local Ministry of Education office if you require further information, or wish to apply for Establishment Funding.

Background

Establishment Funding was established in November 2004. The aim of the initiative is to assist new and extending early childhood education (ECE) centres by providing a financial contribution to particular operational costs.

ECE centres must meet significant costs in order to meet licensing requirements, namely equipping and resourcing the centre. The need to meet these additional costs often results in a delay in centres becoming licensed while funds are raised, particularly for community based centres established in low socio-economic communities.

The provision of Establishment Funding prior to licensing allows centres to recruit and employ qualified staff to oversee curriculum programme planning and development, and to purchase equipment and resources (including curriculum materials). This allows centres to start operating with increased levels of equipment and resources and with an education programme in place. This supports improving quality in ECE.

This financial contribution aims to reduce barriers to, and delays in, the establishment and/or extension of licensed centres.

Funding

Applicants can apply for a maximum of $30,000 (inclusive of GST) comprised of:

• Equipment and resources – up to $1,000 per new licensed child place, up to a maximum of $20,000; and
• Recruitment and staffing – up to $15,000 for the recruitment and employment costs of qualified staff to oversee curriculum programme planning for up to 10 weeks prior to licensing.

Centres that are extending their building to increase licensed child places by a minimum of five can apply for funding for equipment and resources of up to a maximum of $1,000 per new licensed child place.

Funding can not be used to reimburse centres for costs already incurred, for example equipment and resources that have already been purchased or wage costs already incurred.

Eligibility

All community based groups establishing a licensed ECE centre are eligible to apply.

All community based ECE centres that are increasing licensed child places by a minimum of five additional places by extending their building are eligible to apply.

Groups must be planning to licence within six months of the closure date of the application round they apply in.

Groups are encouraged to apply in a round that closes at least three months before the ECE centre’s expected date of licensing in order to allow sufficient time for the application to be processed, assessed, and if successful, paid before the ECE centre licenses.

Applicants must be a GST registered and community based legal entity or apply through an organisation that is a GST registered and community based legal entity.

Home-based ECE services are not eligible to apply.

For further details on eligibility please see the guidelines in the Establishment Funding Application Form.

Allocation process and timelines

Applications must be made on the Establishment Funding Application Form, available as a download in MS Word format available from the download box on the top right of this page.
There are four allocation rounds each year with applications closing:

• 31 July - $360,000 available for allocation
• 31 October - $360,000 available for allocation
• 31 January - $240,000 available for allocation
• 30 April - $240,000 available for allocation

Where application dates fall on a weekend or a non-working day, the next working day will be the accepted closing date.

Applications must be sent to the Ministry local office clearly marked as "ECE Establishment Funding Application". Contact details for each Ministry office are in the Establishment Funding Application Form.

Results of each application round are usually announced within 8 to 10 weeks of the closing date of the round.  All applicants will be advised of the result of their application by letter.

Criteria

The Ministry assesses and prioritises each eligible application:

• First, services in areas of low ECE participation as measured by Ministry network data are prioritised against those that are not;
• Second, stand alone services are prioritised above those that are affiliated to an organisation or association that has five or more ECE services affiliated to it;
• Third, new services are prioritised over those that are extending.

Further information

The Establishment Funding Application Form has further information, and link to questions and answers relating to Establishment Funding is included below.

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Establishment funding: frequently asked questions (FAQ) -

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