Gyeongnam Province to Convert Private Daycare Centers to Public... 10 Billion KRW Budget Allocated, Purchase Plan in Place

Applications to Childcare Departments of Each City and County by April 6

Building Purchase, Land Donation, and Guarantee of Existing Operating Rights

Gyeongnam Provincial Government Office.

[Asia Economy Yeongnam Reporting Headquarters Reporter Lee Seryeong] Gyeongnam Province will purchase private daycare centers and convert them into public daycare centers.

Due to the impact of COVID-19, with an increase in home childcare and a sharp decline in the number of births, daycare centers in the province have been closing one after another due to operational difficulties. In response, Gyeongnam Province decided to invest 10 billion KRW to purchase private daycare centers and convert them into public daycare centers.

The target private daycare centers must own both standalone land and buildings, have a capacity fulfillment rate of 60% or higher for six months prior to the announcement date, and have received an A grade in daycare center evaluations, among other eligibility criteria.

The buildings will be purchased at appraised value, and the land will be donated under the condition that the existing operators are guaranteed operational rights equivalent to the appraised value of the land for up to 20 years.

Priority will be given to private daycare centers located in areas without public daycare centers or in childcare vulnerable areas with low public childcare utilization rates.

Final selection will be made through on-site inspections and reviews by the Childcare Policy Committee based on the necessity of public conversion and operational plans, followed by recommendations from the Ministry of Health and Welfare.

If selected for purchase, up to 2.1 billion KRW will be supported, including purchase and remodeling costs, and after conversion to public daycare centers, 30% to 100% of childcare staff salaries will be subsidized.

Applications can be submitted to the childcare departments of city or county offices by April 6. For detailed information on application procedures, eligibility, and selection methods, please refer to the announcement board on the Gyeongsangnam-do website or contact the childcare departments of the province or city/county offices.

An official from the province stated, “This is the first time the province has undertaken purchasing private daycare centers to expand public daycare centers,” adding, “We will create a stable childcare foundation and strengthen publicness by cooperating with private daycare centers.”

Park Hyunsook, Director of Family Support Division, said, “Purchasing private daycare centers is a cooperative measure with the private sector to increase public childcare without constructing new public daycare centers,” and added, “We will prioritize purchasing daycare centers in childcare vulnerable areas to create a childcare environment that parents can trust.”