The NSW Government is committed to ensuring that all children in New South Wales can participate in 600 hours of quality preschool education in the year before school, no matter where they live or what their circumstances are.
Value of Start Strong
600 hours of quality early childhood education
Research shows that children who participate in a quality early childhood education program for at least 600 hours in the year before school are more likely to arrive at school equipped with the social, cognitive and emotional skills they need to engage in learning.
The benefits endure well beyond primary school. Higher levels of educational attainment, economic participation and family well being have all been linked to moderate levels of participation in early childhood education.
Making early childhood education more affordable
To ensure that affordability is not a barrier for families with young children, in 2016 the NSW Government allocated an initial $115 million in funding for Start Strong.
In the 2017-18 NSW budget, the investment in Start Strong was extended through to 2021, with an additional $217 million committed over four years to strengthen the State’s ability to ensure universal access to an early childhood education program for 600 hours in the year before school.
This funding adds to the $150 million that was already allocated under the previous Preschool Funding Model, and is designed to significantly reduce preschool fees, making 600 hours of early childhood education more affordable for all families.
Preschool providers are required to pass on 75% of the additional funding to families through fee reductions.
Parents and carers should check with their preschool provider regarding their child’s fees as each preschool sets its own fee levels.
A new funding model
Beginning on 1 January 2017, funding under Start Strong for preschools is based on 600 hour enrolments.
Funding for enrolments of less than 600 hours is capped at 50% of the increased base funding rates, with pro-rata funding decreases depending on hours enrolled.
Start Strong for preschools
Changes for preschools
Services are required to pass through at least 75% of the increased government funding to families through lower fees.
Most preschool providers only need to make minor adjustments to their service provision in order to be able to take full advantage of the funding model.
Base rate funding for Aboriginal children and children from disadvantaged backgrounds increased in 2017 to $6,600 per child per annum at community preschools, which is the full cost of service delivery.
The NSW Government's initial $115 million funding for Start Strong also included $30 million targeted to Aboriginal children and children from disadvantaged backgrounds at long day care centres, supporting parental choice and reducing fees for families who need it most.
Preschool Operating Hours
Operating Hours are determined by the hours each day which meet the following criteria:
- Service meets all of its obligations under the National Law and Regulations including compliance with staff child ratios for total enrolled preschool children during the operating hours.
- Service fee covers the total hours children are eligible to attend.
- All children enrolled in the service on that day are able to attend for the full duration of the operating hours.
Clarification of Terminology
Operating hours of services are not to be confused with the following terms:
- Opening hours: staff may be employed outside operating hours for set up, pack up, training or staff meetings but children are not present. These hours should not be included as part of preschool operating hours.
- Session hours or program hours: may include limited hours where a specific program is delivered during the day. This may be part of the preschool operating hours.
- Before and after care hours: may include additional hours outside operating hours. This should not be included as part of preschool operating hours as additional fees are usually charged.
A Start Strong funding calculator (XLSX 1184.01KB) for community preschools is available to assist in planning. The calculator provides a guide to how a service's Start Strong funding is calculated.
The funding calculator runs in Microsoft Excel 2010 and later. Users with earlier versions of Microsoft Excel may need to download the Microsoft Office Compatibility Pack to avoid compatibility issues.
Please note: the calculations provided in this tool are indicative. If your service receives funding from a parent service provider, the actual amount you receive may vary according to the policy of your organisation.
Start Strong for Long Day Care
Under the Start Strong Long Day Care (LDC) program, long day care services have received additional funding to support children aged four to five from low-income or Aboriginal families.
The funding is being rolled out in the 2017/2018 year to help increase access to early childhood education in the year before entering school.
Long day care services that are listed on the Australian Government's Child Care Management System (CCMS) and regulated under the National Quality Framework are eligible to receive Start Strong LDC funding.
If long day care services are receiving funding under the NSW State Government Early Childhood Education Long Day Care Grants Program, they are not eligible for Start Strong LDC funding.
To be considered eligible under the Start Strong LDC program, the Approved Provider’s service must:
- Have service approval to operate as a centre based service under the Education and Care Services National Law Act 2010 and have checked the long day care Nature of Care field under Service Details on the National Quality Agenda IT System (NQAITS)
- Deliver an early childhood education program to children four and five years old, in their year before school, for 600 hours, that is:
- Taught by teachers holding an approved early childhood teaching qualification
- Using the Early Years Learning Framework
- Be operating and reporting through CCMS between August 2017 and May 2018; and
- Complete the preschool indicator of the CCMS between August 2017 and May 2018 for the ABS ‘National Early Childhood Education and Care Collection’. Long day care services are required to report against preschool programs. The ‘preschool indicator’ of the CCMS applies to long day care services.
Funding is calculated based on the NSW enrolment data from the representative week 31 July 2017 to 6 August 2017.
To be considered eligible under Start Strong LDC, children must be:
- Listed on CCMS
- At least four years old on, or before, 30 June 2018
- Attending an early childhood education program
- Not yet in compulsory schooling.
Funding for additional equity enrolments will be calculated based on the increase in enrolment numbers, by comparing the August 2017 collection period to the May 2018 collection period. The August 2017 enrolment data cannot be changed in CCMS.
Payments are made to Approved Providers according to the enrolment table below:
Non-Equity enrolments for 4 and 5 year olds (amount per child)
Children enrolled for 600 hours or more
Children enrolled for less than 600 hours
Top-up amount paid for each additional child enrolled for 600 hours or more at May 2018, when compared to August 2017 data
* Under Start Strong, children will be classified as equity enrolments if they are from a low income or Aboriginal family. Low income status is determined by the SEIFA band of the Service.
Details of funding will be communicated to the Approved Provider. The entire amount for the Approved Provider will be paid as one upfront payment, even if there are multiple services.
Initial payments will be made by 30 June 2018 and payments for each additional equity enrolment will be made in October 2018.
The Approved Provider must spend the funds allocated to each service to:
- purchase resources
- develop an early childhood education program based on the Early Years Learning Framework, or
- develop staff, including upgrading qualifications from a diploma to a four year degree.
The full quantum of funding should be expended for those purposes, and should primarily aim to benefit children in the year before school. Please note that late payments will not be made after December 2018.
The funds need to be expended during the 2018/19 financial year.
Transferring service approval
Approved Providers are required to notify the regulatory authority that an approved service is being transferred to another approved provider.
If an Approved Provider transfers a service after receiving funding under this program, the Approved Provider must provide any unspent funds in relation to that service to the new Approved Provider.
To ensure funding is paid correctly, Approved Providers may also notify the Department of Education of transferring service approval via email at email@example.com including:
- Service approval number
- Date of intended transfer
- Name and provider approval number of transferring and receiving Approved Providers
- Contact number of transferring and receiving Approved Providers
- Email address of transferring and receiving Approved Providers
Department of Education may publicise and report on any funds awarded to the Approved Provider.
The Approved Provider is encouraged to publicly acknowledge this funding received through the National Partnership for Universal Access to Early Childhood Education which is a joint initiative of the NSW Government and the Commonwealth Government. Such acknowledgement may be by way of (for example) an announcement in a regular newsletter or an annual report.
How to receive funding
All eligible Approved Providers will receive communication from the department. The Approved Provider needs to:
- Ensure the service information in CCMS is correct.
- Nominate a person in authority at the Approved Provider’s service who will be the SP-Admin Account holder in ECCMS. The SP-Admin Account holder is the only person who can accept the Terms and Conditions to generate payments. Only one person per provider can be nominated as SP-Admin.
- The nominated person needs to obtain an AUSkey from the Australian Taxation Office to enable access to the funding agreement in ECCMS (the Early Childhood Contract Management System).
- Email the AUSkey details to the department at firstname.lastname@example.org, so that the ECCMS account can be created. The ABN for the AUSkey must be identical to the ABN that will be linked to the service account in ECCMS to allow you to log in. The department will email the Approved Provider once the ECCMS account is set up.
- Please ensure that your ECCMS SP-Admin account holder can log into ECCMS successfully.
- Access the ECCMS page on the department’s website
- Select the link “Click here to Login to ECCMS”
- Select the user name in the list, enter the password (which has been issued by the Australian Business Register during the AUSkey application process), and then click ‘Continue’.
- The SP-Admin account holder must review and/or update details in ECCMS:
- the Main Service Provider page - ensure that service details and contacts are up to date on the Main Details tab, Contacts and Address tabs
- Each Funding Specification page – ensure that details and contacts are up to date on the Main, Contacts and Address tabs
- Accept the Terms and Conditions in ECCMS. The Approved Provider will not be paid unless the Terms and Conditions are accepted in ECCMS.
More information about AUSKEY
More information on getting an AUSkey is available on the ATO website: https://www.ato.gov.au/Business/Business-Portal/Getting-started/Getting-an-AUSkey/
All AUSkey enquiries need to be directed to the Australian Business Register (ABR): https://abr.gov.au/AUSkey/
You can also check for solutions at the online AUSkey Help and Support page: https://abr.gov.au/AUSkey/Help-and-support/ or contact AUSkey by phone on 1300 AUSKEY (1300 287 539).
More information about ccms
CCMS helpdesk telephone: 1300 667 276
CCMS helpdesk email: CCMSHelpdesk@education.gov.au
More information about start strong long day care funding
Early Childhood Education Directorate
Information and Enquiries: 1300 755 426
Information and resources
Early Childhood Education
Information and Enquiries
1300 755 426
- Start Strong funding details for community preschools (PDF 107.56KB)
- Start Strong and PFM comparison table for community preschools (PDF 117.85KB)
- Start Strong program guidelines for community preschools
A package of business supports is also being developed to help services make the transition and is being delivered by peak organisations Community Early Learning Australia and Community Connections Solutions Australia.