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30
Changes in the Subvention System
80.
:
There has been criticism of the system for subventing voluntary
agencies, and Members are already aware that your Government proposes
to apply a new system. Until standard costs for the various services
have been set, services will continue to be supported in line with
existing subvented standards. Subject to the necessary funds being
voted by Finance Committee, with effect from April 1982, Priority I
services will be subvented on full assessed costs, while Priority II
services will be subvented in a sum based on a defined percentage of
assessed costs. In both classes of cases funds raised privately will
not affect the subvention due.
81.
Arising out of the proposals in the White Paper "Primary
School Education and Pre-Primary Services", the present system of subventing
day-care centres for children between the ages of 2 and 6 will be .
replaced by a general scheme of financial assistance to parents of low
income families who have children attending child care centres or
kindergartens. A new arrangement, will also be introduced to permit
non-profit making agencies running day-care centres to claim
reimbursement of reasonable rents in accommodation outside public
housing estates. This will not only help to keep fees down, but will
also encourage the expansion of this service outside public housing
estates.
Manpower Shortage