Following negotiations with the DCYA, Early Childhood Ireland is pleased to confirm a change to the rule regarding Higher Capitation with effect from September 2012.
Services in receipt of the higher capitation rate of €73 per week per child and who provide more than the standard ECCE hours (3 hours per day, 5 days per week, 38 weeks per year) will no longer be required to deduct the full amount of the higher capitation from the non-ECCE rate.
The standard rate of €62.50 must be deducted, with the balance of the capitation being allowed to the provider to compensate for the additional cost of employing higher qualified staff.
Is this change relevant for all services?
This change is applicable to those full day care services (delivering more than the ECCE programme hours) that are in receipt of the higher capitation.
Can I still pass on the benefit to the parents?
Services now have the choice to pass on the benefit of higher capitation to parents (as has happened up to now) or to use the higher rate to attract and retain staff with higher qualifications. This change provides some element of discretion to services.
What are the next steps?
Work with your CCC to make the necessary changes to your fees policy.
Early Childhood Ireland has been negotiating with the DCYA to support full day care services in providing higher quality programmes through employing staff with higher qualifications. We believe that this change represents an opportunity to retain higher qualified staff, to improve quality and to help with sustainability of services. In the short term it means additional work in amending fees policies and this can be done with the support of your CCC.