The Department of Education ("the Department") has announced the transition process into the new Child Care Subsidy, for new Early Childhood Education and Care (ECEC) services, and also for change in ownership of ECEC services.
Here's a summarised version for your quick application:
1/ If you are continuing to operate your ECEC service(s) as you normally do (ie. "business as usual"), you will not need to apply for CCS approval. However you will be required to complete an online CCS transition form, which will become available in April 2018.
2/ If you are setting up a new ECEC service to commence operating before 2 July, you need to apply for Child Care Benefit (CCB) approval as soon as you can before March 31, to ensure that you receive these payments on behalf of your families until the introduction of the new Child Care Subsidy System on 2 July.
ECEC services which receive CCB approval by March 31 will:
- be eligible to receive CCB and CCR (Child Care Rebate) until 1 July 2018
- be eligible to attract the Child Care Subsidy (CCS) from 2 July 2018 - but must complete an online transition form that will become available in April 2018
ECEC services which apply for CCB approval on or before March 31 but do not receive approval until after 31 March, will:
- be eligible to receive CCB and CCR from the date their CCB approval becomes effective until 1 July 2018; and
- will need to complete a new application for CCS approval in order to receive CCS from 2 July 2018 - this application form will become available in April 2018.
As part of the transition arrangements to the new Child Care Subsidy System, the Department will stop accepting applications for CCB approval on 1 April 2018.
3/ If you are taking ownership of an existing ECEC service before 2 July, your business circumstances will be deemed as an exceptional circumstance, under which you can still apply for CCB approval after 31 March if required.
In the context of the transition to the new CCS System, the Department has produced a Transition Fact Sheet and a Frequently Asked Questions Fact Sheet, which provide even greater detail on the transition process.
We recommend that you read these carefully to ensure that you fully understand what you need to do in the lead up to the new regime which takes effect on 2 July 2018.
These latest documents have also been posted to the ACA's "New Child Care Subsidy" webpage.
In April, we will let you know when the CCS online transition form and application forms have become available.