Cost Concerns Around Alberta Daycare Program

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Parents in the Peace Region could be paying more for daycare as early as next month.

That’s because some operators are considering opting out of the province’s childcare affordability grant, arguing the current agreement is unfair and unsustainable.

In 2022, Ottawa and Alberta signed a deal for $10-a-day daycare.

By 2026, operators were expected to cut prices by 50 per cent and wait to be reimbursed by the province.

Under the 2024 agreement, operators are being asked to cut prices further.

The Association of Alberta Childcare Entrepreneurs, which represents over 200 daycares, says they’ve raised concerns with the province for two years.

The Alberta government gave daycares that signed the contracts a three percent Cost Increase Replacement Funding for the last two years and that will increase to six per cent in 2024.

But the association says that’s of little help considering the rate of inflation and the new payment plan where the daycare will have to claim the government part of the fees after 40 days.

It adds that to ease the burden on Alberta daycares, the government should consider opting for a parent payment model.

– Kyle Moore, Trending 55 Newsrooom