Early Learning and Child Care (ELCC) Infrastructure Fund Allocation - Issue Report

Report To:                       Manitoulin-Sudbury District Services Board

From:                                  Lori Clark, Director of Integrated Human Services
                                                 Amy Winnington-Ingram, Integrated Human Services Manager

Date:                                    November 20, 2025

Re:                                         Early Years and Child Care Service System Plan Update - Issue Report

Strategic Plan Goal:   3. Grow with Purpose and Resilience
Objective:                          3.1. Lead with innovation to expand services that meet evolving community needs and support sustainable growth across the districts

ISSUE

To seek Board approval to enter into a service agreement with Our Children, Our Future (OCOF) for the allocation of the $1.5 million Early Learning and Child Care (ELCC) Infrastructure Fund, in alignment with Ministry guidelines, the Directed Growth Plan, Strategic Goal #3 of the DSB’s Strategic Plan, and the Early Years and Child Care Service System Plan.

BACKGROUND

On March 31, 2025, staff received a memo from the Ministry of Education outlining updated 2025 allocations, including the Early Learning and Child Care (ELCC) Infrastructure Fund. The fund aims to increase inclusion in child care for underserved communities through the creation of new licensed child care spaces.

An issue report was presented to the Board in May 2025, providing an overview of the new ELCC fund and advising that a district-wide child care needs survey was being launched to identify priority regions for investment.

As outlined in the ELCC Infrastructure Fund Guidelines, the District Services Board (DSB) is responsible for administering the local application process. The process must be equitable and transparent, allowing eligible licensed child care centres to apply.

The guidelines specify that:

• The DSB may conditionally approve applications pending Ministry floor plan approval, where CWELCC eligibility has been confirmed.
• Upon approval, the DSB must enter into a service agreement with the eligible licensee before any funds are flowed.
• Projects must be completed, and funds expended, by December 31 of the project year.
• All service agreements must be executed by December 31, 2025. Any uncommitted funds beyond this date must be returned to the Ministry.

CURRENT SITUATION

As noted in the October Issue Report, the results of the 2025 Child Care Needs Survey confirmed that Sudbury East and Manitoulin Island remain the highest priority areas for new child care spaces, based on:

• High waitlist volumes;
• Limited available licensed spaces; and
• Ongoing staffing challenges impacting operational capacity.

Consistent with the Directed Growth Plan, staff invited applications from eligible licensed child care operators to access the ELCC Infrastructure Fund. Following this process, Our Children, Our Future (OCOF) was the only eligible service provider to apply.

OCOF has committed to ensuring that the selected municipality best positioned to meet community needs and maintain long-term viability will be prioritized for infrastructure investment.
 

ANALYSIS

The OCOF proposal aligns with the Ministry’s funding objectives and the Manitoulin-Sudbury DSB’s Directed Growth Plan, supporting system expansion in high-priority, underserved communities.

This initiative also directly supports:

• Strategic Plan Goal #3 – Grow with Purpose and Resilience, which focuses on making intentional, long-term investments in people, infrastructure, and the organization to respond efficiently and proactively to emerging needs.

                  o    Specifically, this project advances Objective 3.1 (lead with innovation to expand services that meet evolving community needs), and Objective 3.2 (invest in                                             renewing capital assets and infrastructure).

• The Early Years and Child Care Service System Plan Strategic Priority: Accessibility – Expand Access to Child Care Services, which aims to ensure families have equitable access to a range of high-quality, licensed child care options and improved service awareness.

By entering into a service agreement with OCOF, the Board will ensure the $1.5 million ELCC Infrastructure Fund is committed and used within Ministry timelines, supports data-driven and equitable investment, and strengthens long-term access and system resilience across the district.

RECOMMENDATION

That the Board approve entering into a service agreement with Our Children, Our Future (OCOF) to administer the $1.5 million ELCC Infrastructure Fund, authorize staff to release funds in accordance with Ministry guidelines, and direct staff to report back on project outcomes upon completion.