The Building Blocks Extension Scheme will deliver additional capacity by supporting existing early learning and childcare Core Funding partner services to extend their premises, or in the case of community services, to purchase or construct new premises.
The scheme has four strands: extensions to existing premises for private services, extensions to existing premises for community services, purchase of new premises for community services and construction of new premises for community services.
To secure the State’s interest in the assets delivered through the scheme, the Department is establishing charges over buildings of successful applicants. The charge period for successful applicants under both the community and private extension strands is fifteen years, while the charge period for successful applicants under the construction or purchasing strands is seventeen years.
The primary rationale for having charges in place is to ensure that the funding that the State has provided to enable the expansion of full day early learning and childcare places for 1-3 year olds continues to be used in the manner intended and is not repurposed for early learning and childcare of different types or indeed other uses beyond early learning and childcare.
In addition to the charges, the successful applicants will be required to remain as Core Funding Partner Services for the duration of the charge in order to ensure that conditionality in relation to fee management remains.
During the charge period, if a service wishes to close, or sell its premises, or where a service withdraws from Core Funding, the Department may seek a pro-rata de-committal of the grant, in line with the grant agreement.
In addition to the charge against their premises, successful applicants are required to complete a grant agreement and a deed of covenant.
A significant majority of successful applicants are community-led services. Many are in premises leased from third parties. In instances where these services are at risk of closure, the Department has in place a range of supports to ensure that services remain viable.
