By Josh Hall and Sheldon Spackman

More Support Needed

Alberta childcare centres need more help from province: NDP Critic

Jun 15, 2020 | 2:03 PM

An NDP MLA from Edmonton says it’ll take more than just allowing them to re-open to help ensure the long-term viability of childcare centres in Alberta.

Rakhi Pancholi says it’s important to understand that many of the province’s childcare centres are small businesses or non-profits and rely largely on two sources of income, those being parent fees and government subsidies/wage top-ups.

“When they closed down in mid-March (due to the COVID-19 pandemic) they had zero income, and for the two-and-a-half months roughly that they were closed, they had no sources of income and limited access to several supports and there was no direct provincial supports provided,” says Pancholi, the Official Opposition Critic for Children’s Services. “Some childcare centres are now reopening as a result of phase 1 of the relaunch, but we know that they are absolutely still struggling.”

The MLA for Edmonton-Whitemud says she recently hear from the owners of a childcare centre in Red Deer who said they won’t make it much longer without help from the province.

Pancholi feels the government is applying a band aid to the crisis and without a long-term plan for much-needed investment.

Prevention, Access, Recovery, and Coordination

Safe Harbour officially hands over shelter keys, establishes accessible navigation hub

13h ago

lacombe and sylvan lake

December 2025 (un)employment data released for Alberta sub-regions

14h ago

21 years with WCPS

Darcy Blum appointed principal of Lacombe Outreach School

15h ago

“A childcare centre like the one I spoke to in Red Deer would have only been eligible and only received $4,500 to reopen, based on a formula of $66 per space, per childcare centre,” notes Pancholi. “For them, that meant $4,500 which is roughly about 10 per cent they told me of their monthly operating costs. So that was a drop in the bucket.”

Pancholi notes that Alberta childcare centres also received $1,500 for personal protective equipment (PPE), money she says was spent in one day by the above-mentioned childcare centre which anticipates those supplies to be depleted in short order.

“The important part going forward, is that right now, even though childcare centres can reopen, there’s limits on how many children they can have in their spaces, so they’re operating at reduced capacity,” says Pancholi. “So they still have significant restrictions on their ability to have income. They’re going to be struggling for a significant period of time.”

A statement provided to rdnewsNOW on behalf of Rebecca Schulz, Minister of Children’s Services, acknowledges that current guidelines may be limiting to some programs, but adds the ministry is working with the Chief Medical Officer of Health to determine what restrictions may be adjusted or lifted.

“The Government of Alberta has taken significant steps to help Alberta businesses get the relief and support needed to weather the pandemic and be better positioned for recovery,” reads the statement. “Specific to childcare, we are providing up to $19 million in grants to support licensed daycare and out-of-school care programs, family day homes and agencies, and preschools. This was a redirection of the funding normally spent on wage top-ups and subsidy, which is what the sector had asked for.”

The statement adds, “The first two installments of this support have been paid and we are now looking at how the remaining amount (about $7 million) can be rolled out and when, by working with centres to identify gaps in other programs. If any centre has specific ideas, I am happy to hear them.”