YES or NO: Waive the Gap Fee during Local Area Emergencies (eg lockdowns)

The Australian Childcare Alliance (ACA) NSW is calling for the reintroduction of the waiver of the gap fee for parents for services in Local Area Emergencies as declared by the NSW Government and confirmed by the Federal Department of Education. 

Without the Federal Government's allowance of the choice to be able to waive the gap fee, parents/guardians will be required to pay the gap fee under existing Complying Written Agreements so that Child Care Subsidies can be legally remitted to the ECEC service.

The precedent had previously been set allowing waivers of the gap fee during the height of the COVID-19 pandemic in mid-2020. However, this was abandoned in favour of the use of Additional Child Care Subsidies (Temporary Financial Hardships), Business Continuity Payments, and the COVID-19 Disaster Payments for individuals (and other new financial supports since).

Nevertheless, ACA NSW believes the choice to be allowed a waiver of the gap fee during a lockdown provides the appropriate reassurances for both services and parents, especially due to its simplicity of government administration as well as the reassurance it provides. Moreover, it has NO negative impact on the Federal Government's existing budget for Child Care Subsidies.

ACA NSW's first request for consideration has been made to the Federal Minister for Education (the Hon Alan Tudge MP) seeking the reintroduction of the waiver of gap fees for services in declared Local Area Emergencies.

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PUBLISHED: 13 JULY 2021