Framework agreement between the city and independent daycare centres on personnel and material costs adjusted
At its meeting today, Chemnitz City Council approved an amendment to the "Framework agreement between the municipality and independent providers on the funding of personnel and material costs for daycare centres in accordance with the Saxon law on the promotion of children in daycare centres (SächsKitaG)".
This includes an increase in the reference value for material costs, the adjustment of the flat-rate administration fee, the granting of a payment instead of rent for providers who operate a daycare centre in their own property, as well as the possibility of a flat-rate expense allowance for the assumption of building ownership by independent providers.
The previous framework agreement was last adopted on 12 December 2012. The amendment to the framework agreement was developed and agreed with the working group of independent providers and a sub-working group.
The City of Chemnitz has 70 municipal daycare centres and 70 independent daycare centres as well as 94 daycare centres.
The City of Chemnitz's expenditure on personnel and material costs for independently-run daycare centres currently totals around 39.3 million euros per year. The adjustment to the framework agreement will have a financial impact of €532,000 per year from 2017. The sum was calculated on the basis of the current status quo and is included in the 2017/18 budget.
The adjustments in detail:
Increase in the material costs reference value
The 3.5 % increase in the material costs reference value is taken into account in the framework agreement. Following the cost-saving measures adopted in all Chemnitz daycare centres, including the municipal ones, Chemnitz is well below the Saxon average in terms of material costs.
Adjustment of the administration fee
Previously, a flat-rate administration fee of 122.72 euros per year was paid for each child. From 2017, this will be increased annually by 10 euros per occupied place.
Granting of a payment instead of rent
Up to now, independent providers who operate a daycare centre in their own property have only been able to claim rent payments to a limited extent, although they have to build up reserves for maintenance and depreciation. The new framework agreement now stipulates that from 2017, providers of daycare centres in their own property can receive a payment based on the capacity of the facility according to current demand planning.
Assumption of the building owner
Up to now, independent providers who take over the building management of municipally owned buildings have not received any compensation. In the revised version of the framework agreement, independent sponsors are granted an expense allowance of 1% of the agreed grant amount in the respective annual instalment of EUR 100,000 or more.