Sault College has decided to permanently close its Early Learning Centre (ELC) after incurring substantial operating losses since opening the childcare centre nearly two years ago.
In an email statement to SooToday Wednesday, student services vice-president Janice Beatty said a number of factors played a role in the decision, including increased costs tied to the COVID-19 pandemic.
While the college would not disclose specific numbers in terms of annual operating losses, it says the projected loss for the childcare centre is in the “six figures” range.
“Since the ELC’s opening it has almost always operated at a loss, and the centre has been subsidized by college operational revenue to cover operating losses,” said Beatty. “COVID-19 has impacted how we may operate on a go forward basis and has substantially increased costs in this regard.”
“The existing operating loss annually was substantial, and the projected loss was expected to be larger still.”
A total of 106 children have been affected by the closure, in addition to 12 employees.
The college says it’s been “in discussion with the local union executive” regarding ELC staff.
The childcare centre, which also served as a lab for early childhood education (ECE) students at the college, was unveiled by Sault College in 2018.
The $2-million project was funded by a handful of sources, including Northern Ontario Heritage Fund, District of Sault Ste. Marie Social Services Administration Board and Sault College.