Families, staff shocked by shock closure of Elfin House Community Childcare Centre

A popular childcare centre in operation for almost 50 years had not opened its finance books to the public since 2022 with the last report showing a concerning deficit. FULL STORY

Elfin House Community Childcare Centre abruptly closed.

The last time the popular Rockhampton not-for-profit childcare centre that shut its doors within hours of announcing its closure reported its finances, it had an almost $100,000 deficit and it argued it did not need to publicly disclose them.

The shock closure of Elfin House Community Child Care Centre on Friday has upended the lives of families and workers in the community, with caregivers and educators given no notice the centre would not be opening again.

One distraught family member who asked to remain anonymous said it was devastating that the children in day care and kindergarten could not say goodbye to one another.

It can now be revealed the centre submitted an annual financial report for the year ending December 31, 2021 to the Australian Charities and Not-for-Profits Commission (ACNC) with a $96,916 deficit at the end of 2022.

It must provide an annual information statement and an annual financial report to the ACNC in order to maintain their registration as a charity or not-for-profit.

In the report submitted, the centre’s committee argued against their requirement to submit their financial information.

“In the opinion of the committee of management the association is not a reporting entity since there are unlikely to exist users of the financial statements,” they stated in the report.

Elfin House cares for children on weekdays and has a kindergarten during school terms. Picture: Getty Images

The centre’s 2022 annual information statement for financial report is overdue and its 2023 statement and report are due at the end of this month.

According to the most recent annual information statement submitted, the centre’s revenue was $1,164,749 and its expenses were $864,772.

The same report shows an increase in staff gifts, wages, superannuation and uniforms, but Work Cover costs went down.

Staff gifts jumped from $5898 in 2020 to $11,479 in 2021.

The centre has 17 full-time employees, one part-time employee and one volunteer, according to the statement.

The Morning Bulletin understands the centre sent a message to families on Friday, June 21, the last day of the school term, requesting they immediately collect their children because the centre would no longer be operating.

The post, believed to be from the centre which provides care for up to 70 children aged between 12 weeks and 5 years of age, stated “(we) have been advised by the Department to no longer operate further due to not meeting Nominated Supervisor regulations and ongoing financial concerns. We will need an immediate collection of children where possible. There are no words to express the inconvenience that this has caused for all involved, enrolments will be ceased as of today.

“Thank you to all families for your ongoing support and we wish you all the best.

“Kind Regards, The Entire Elfin House Team”.

An Education Department spokeswoman told The Morning Bulletin the centre informed them of its decision to close the Monday after it informed families, and stated they were helping people find childcare and helping staff with work.

The centre did not answer phone calls.

“The approved provider, Elfin House Community Child Care Centre Inc. advised the RA of its decision to close the service immediately on 24 June 2024,” the spokeswoman said.

“Closure of services is a business decision by the approved provider.

“The approved provider advised the RA that they are in contact with other services in the local area, that families are being supported to find alternative childcare arrangements and that staff are being considered for future employment opportunities.”

The spokeswoman said the centre made a business decision to close and it had not been subject to any actions as a result of regulation breaches.

She said the department, as the Queensland Regulatory Authority (RA), is responsible for regulating education and care services and enforcing compliance with the Education and Care Services National Law (National Law) and the Education and Care Services National Regulations (National Regulations) in Queensland.

“In this case, the closure of this service was a business decision by the approved provider,” the spokeswoman said.

“There has been no formal compliance or enforcement action taken by the Regulatory Authority at this time.”

“As the RA for early childhood education and care services, the Department of Education places the highest priority on the health, safety and wellbeing of all children attending these services.

“Approved providers have clear legislative requirements to ensure adequate supervision and to protect children in their care from harm and hazard.”

Some parents have encouraged the community to get behind the centre as people come to terms about its mystery closure.

Elfin House cares for children on weekdays and has a kindergarten during school terms.

The abrupt closure also came as a shock to Rockhampton MP Barry O’Rourke, who was not aware until contacted by The Morning Bulletin, and Rockhampton Regional Council.

Divisional Council Grant Mathers said they were expecting further information in a briefing to be prepared for councillors.

The centre was so well-loved that thirteen educators were nominated for The Morning Bulletin’s favourite childcare educator of 2024, a competition run this month.

The Education Department has encouraged affected families seeking advice about alternative arrangements to contact the local Rockhampton Early Childhood Regional office on 4932 4022 or [e-mail].

Originally published as Families, staff shocked by shock closure of Elfin House Community Childcare Centre