Shutdown looms as state cuts threaten remote island daycare

One of the poorest communities in the state may be without its only long daycare centre, with the owner blaming looming changes to state subsidies — and being 4.5km outside a cutoff zone.

Bay Island Early Learning and Care centre owner Petrae McLean says the state subsidy scheme for childcare operators needs to be reformed. Picture: Contributed

A new state subsidy scheme for kindergartens is threatening to close an island community’s only long-day childcare centre.

Macleay, Russell, Lamb and Karragarra islands will be left without a full daycare centre if the Bay Island Early Learning and Care centre on Macleay Island shuts.

Owner Petrea McLean said the centre was “on the brink” of closure because the new policy would slash critical government teacher subsidies by $83,000.

She said for her centre to remain open it would be forced to convert to a community “sessional kindergarten” under the new funding scheme, which took effect on January 1.

As a sessional centre, it would not receive government subsidies for operating after business hours.

The state government has also denied the centre additional remote funding because the facility was 4.5km “too far north’’.

A red circle shows Macleay Island with Russell Island to the south and the mainland and Redland Bay to the west. Picture: Google Earth

Ms McLean said her service missed out on about $15,000 in annual state government money this year because Macleay Island was classified as “remote inner” rather than “remote outer”.

Under the federal government Accessibility Remoteness Index of Australia, Russell Island is deemed to be “remote outer” and eligible for extra funding, while Macleay Island, 4.5km away is “remote inner” and gets less funding.

Ms McLean said if her service was on nearby Russell Island, less than a 5km ferry trip away, she would be eligible next year for up to an extra $19,000, enough to save her struggling business.

The Macleay Island centre, which is a 25-minute ferry trip from Redland Bay, has been battling the state government to get its “inner remote” status changed to “outer remote”, in line with the status of nearby Russell and Karragarra islands.

An Education Department spokesman said the remote classifications were federal government standards based on Australian Bureau of Statistics data and methodology.

Inside the long daycare centre at Macleay Island. Picture: Contributed

The spokesman said “remote inner” long daycare services, such as Ms McLean’s, received $383 per child a year while those classified as remote outer got $997.40 per child.

Along with rises in the cost of living, the centre has been forced to stare down competition from a free state government “sessional” service which runs for six hours a day for 40 weeks a year out of a classroom at the nearby Russell Island State School.

Ms McLean said the looming subsidy changes would pit all privately-owned childcare centres against free state government kindies operating out of state schools.

Parents using the Russell Island Remote Indigenous State-Delivered Kindergarten, which closes at 2.45pm each day, get the service for free and do not have to rely on a Child Care Subsidy.

Since the Russell Island school service started operating in April 2022, Ms McLean said the number of students from Russell Island who used her service fell from 23 to three a week.

“While the benefits of the state-delivered care to Russell Island residents and their children is undisputed, the state is forcing me to compete with its own free services and has made it an unlevel playing field,” she said.

“We cannot compete with the free state sessional kindergartens which do not suit families with working parents and do not open from 6am to 6pm all year around.

“The state has even said it was going to open a free service across the road from me using empty classrooms at the Macleay Island State School.

“My service, which is the only long-day centre on all four islands, is not seen to be as remote as Russell Island, even though we all catch the same ferry service.

“This is a low socio-economic area and parents are hurting because of rises in costs of living but the state government is not making it easy for parents to opt for a reputable and enduring service which employs qualified staff.”

Bay Island Early Learning and Care centre on Macleay Island is licensed for 99 students and caters for all four bay islands. Picture: Contributed

Queensland Education Early Childhood Community Programs and Partnerships director

Alexis Spencer said the state was monitoring the island situation to ensure all young children had equal access to childcare.

Ms Spencer said the state education department was ensuring the Macleay Island centre was able to viably operate quality programs and services and had provided it with a range of funding and choices including a “Kindy Uplift” subsidy.

But, Ms Spencer said there was no further funding available from the department for the Macleay Island facility.

She said a departmental review of enrolments showed an increase in student numbers at the Macleay Island centre since the Russell Island service started.

“Before the opening of the Russell Island state-delivered kindergarten in April 2022, the number of enrolled eligible aged children at the Macleay Island centre was 18,” Ms Spencer said in a letter.

“The latest information received by the Macleay Island facility from July 2023 demonstrates there were 19 eligible aged children enrolled, with marginal falls in the number of enrolments

between April 2022 and July 2023.

“As the service owner identified a need in the Southern Moreton Bay Islands area, the department will examine available data and contextual factors to identify any gaps or inefficiencies to ensure all young children have an equitable access to supports they need.

“Should gaps and/or inefficiencies be confirmed, the department will increase its level of monitoring of funded organisations, where relevant, to ensure adequate and appropriate service delivery is occurring.”

Ms McLean has set up a petition on Change.org to get island residents to lobby the state to reconsider classifying her business from “remote inner” to “remote outer” to cash in on the additional remote funding so her business would remain viable.

Originally published as Shutdown looms as state cuts threaten remote island daycare