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$10-a-day child care could leave private centres bankrupt

The deadline for child care operators to opt-in to the federal program is Sept. 1, but the director of the Ontario Association for Independent Childcare Centres said once centres reduce their revenue, they won't have enough money to cover all their costs.
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File photo.

As the opt-in deadline for the $10-a-day child care program approaches for Ontario operators, it's still unclear how exactly the program would work.

Maggie Moser, director of the Ontario Association for Independent Childcare Centres (OAICC), told The Sam Laprade Show on Tuesday, Aug. 16, that the 74-page guideline the provincial government released in April is "problematic" and could potentially leave private centres bankrupt.

The funding formula states that the government will fund eligible expenses up to a certain amount. However, Moser explained that once operators reduce their revenue, they won't have enough money to pay for everything.

"They [the federal government] will decide what's reasonable, they will decide what they will pay [and] what they won't pay, and it doesn't pay the full cost of what the centre is giving up in fees," she said.  

She added that the federal government would only reimburse parents the 25 per cent fee if the childcare centre has opted in by Sept. 1. But with no contract to look at, Moser said this leaves private daycare centres in a difficult spot.

"These are all fairly big issues we're trying to get around…so our parents can get their refunds, but our members are also legally protected."

Listen to the full interview with Maggie Moser below:

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