Building Blocks Grants – Capacity Building

The Victorian Government is proud to continue our work to reform early learning across the state − making it bigger, better, and fairer.

We’re already seeing how reforming early learning is helping to transform communities. Children are getting a better start to their education, families are saving money, and parents have greater flexibility to return to work when and if they choose.

Because of new partnerships with kindergarten services and record investment, all Victorian children can now get 2 years of Free Kinder.

That achievement is significant, but it’s also just the start of our Best Start, Best Life reforms.

Victorian 3-year-olds are benefitting from at least 5 hours of kinder a week. We will increase that to 15 hours by 2029. Over the next decade, the number of 4-Year-Old Kinder hours will increase – doubling play-based learning for every 4-year-old child in Victoria to 30 hours a week.

We’re also building 50 Victorian government-owned and affordable Early Learning Victoria centres. The first 4 of these centres opened in 2025 and 14 more opened in 2026. We’re continuing to build these in areas of greatest need, making it easier for all Victorian families to get childcare.

Change of this scale does not happen overnight. It requires a lot of hard work, serious commitment and sensible planning. That’s where the Building Blocks grants come in.

Since launching in 2020, the Building Blocks Grants program has funded new kinder buildings, as well as expansions and improvements that have supported the sector to create additional kindergarten places where they’re needed most. It’s allowed us to expand early learning and work in close partnership with local governments and not-for-profit providers to deliver more, and better, integrated, family and community services.

The life-changing potential of these reforms speaks for itself, but there’s still work to do.

That’s why I encourage all eligible organisations to consider applying for these grants. I look forward to seeing your exciting submissions, just as I look forward to this funding creating new partnerships between the Victorian Government and providers who share our vision of delivering a once-in-a-generation reform of Victorian early learning.

Hon Lizzie Blandthorn MP

Minister for Children

The Victorian Government is delivering an unprecedented early childhood reform agenda.

In June 2022, the Best Start, Best Life reforms were announced. A key component of these reforms, which commenced from 2025, is to increase 4-Year-Old Kinder from 15 to 30 hours per week by 2036. This means that over the next decade, 4-Year-Old Kinder will increase to a universal 30-hour a week program of play-based learning for 4-year-old children across Victoria.

The Best Start, Best Life reforms include the government’s commitment of $1.68 billion, announced in 2018, to support the delivery of increased hours and the rollout of infrastructure expansion required for the 3-Year-Old Kinder reform.

3-Year-Old Kinder is already rolling out across the state, expanding universal access to 15 hours of government-funded kinder every week. 3-Year-Old Kinder programs are gradually increasing, to reach 15 hours per week across Victoria by 2029. 4-Year-Old Kinder will transition in stages from 2025. From 2036 all children across Victoria will be eligible for 30 hours of 4-Year-Old Kinder each week.

To support these major reforms the government is expanding kindergarten infrastructure. It has committed to introduce the Best Start, Best Life reforms over the coming decade and to co-invest with the early childhood sector to build and expand kindergartens across the state. The Building Blocks grant program is an integral part of that commitment and is critical to ensuring universal access to increased hours of 3- and 4-Year-Old Kinder across Victoria over the next 10 years.

See What Type of Grant Can I Apply for? below, for further details on the funding streams and amounts available.

The Building Blocks Capacity Building stream offers grants to help increase capacity through new or expanded kindergartens.

Capacity grant funding has already increased significantly since the introduction of free 3-Year-Old Kinder, with grants now scaled in line with the number of new places created.

Further increases to grant rates were announced as part of the 2023–24 Victorian State Budget. These latest increases provide the sector with additional funds for infrastructure projects that will deliver the extra kindergarten places needed to support the Best Start, Best Life reforms.

All new and eligible Building Blocks applications will be able to access increased funding rates at up to double the rates previously available.

All applications must address unmet demand as identified in the relevant Kindergarten Infrastructure and Services Plan (KISP) and/or other information or data that demonstrates unmet demand. If the KISP shows no unmet demand in the relevant area, applicants must supply further information to demonstrate unmet demand for kindergarten places. This may include local context not captured in the KISP, travel patterns, enrolment information or other data. KISPs will be updated as part of the Best Start, Best Life program and while this process is underway, we encourage you to apply based on the information currently available to you. Please refer to the KISP section below for further information regarding KISPs and the rollout of additional hours of 4-Year-Old Kinder.

Making the best use of existing facilities and resources can help many services to offer more places to local families. Before progressing with an infrastructure solution, consider how you can maximise your enrolments and make best use of your existing facilities.

Your project must be for a facility in Victoria that is, or will be, approved to provide a funded 3- and 4-Year-Old Kinder program and must offer or intend to offer both programs.

Grant applicants are required to provide a funding co-contribution if a proposed project will offer long day care for early years children (for example non-kindergarten aged children), which therefore require additional rooms to standard kindergarten rooms, rather than sessional kindergarten.

Four categories of grants can be applied for:

• Integrated Children’s Centre
• New Early Learning Facility
• Modular Kindergarten Facility
• Expansions.

Through these grant categories, the Building Blocks Capacity Building stream will:

• create additional infrastructure capacity for funded 3-Year-Old and/or 4-Year-Old Kinder, including the early years of the rollout of additional hours of 4-Year-Old Kinder
• address unmet demand as identified in the relevant KISP
• promote integrated service delivery, so families can access early childhood education and care, health and development and family services at one location
• improve access to local and responsive early childhood services for children from vulnerable and/or disadvantaged families
• establish early childhood infrastructure at or near school sites.

Note applications require a cost plan prepared by a licensed quantity surveyor (excluding modular kindergarten grants) which includes a minimum cost contingency of 15%.

Kindergarten Infrastructure and Services Plans

Kindergarten Infrastructure and Services Plans (KISPs) were agreed with all local governments to support the infrastructure expansion required for 3-Year-Old Kinder. KISPs set out agreed estimates of kindergarten supply and demand, and unmet demand over the implementation of the reforms. Collectively, they provide a consistent, state-wide planning framework designed to support sector planning and help ensure investment is targeted where it is needed to support the reforms.

While a KISP is not a funding document and does not commit any party to funding specific projects, future investment requests through Building Blocks and decisions about local government or not-for-profit projects must address unmet demand identified in the relevant KISP and/or other information or data that demonstrates unmet demand. We will consider the entire KISP and any other information and data provided to fully understand the data regarding the demand for kindergarten and the local context of service delivery, demographics, and geography. This information is included in the ‘Local Context’ section of the KISP and may be referenced by the applicant when addressing criteria as part of a Building Blocks grant application. If the KISP shows no unmet demand in the relevant area, applicants must supply further information to demonstrate unmet demand for kindergarten places. This may include local context not captured in the KISP, including travel patterns, enrolment information or other data.

KISPs will be updated to incorporate the additional demand generated by 4-Year-Old Kinder and other up to date data as required, however this process will extend beyond this coming grant round. Your application for this grant round should align with forecast unmet demand in the existing KISP for the area, and/or be supported by other evidence that demonstrates that the project will support demand in the early years of the rollout of 4-Year-Old Kinder. Please refer to details of the rollout schedule.

For the local government area (LGA) where a project is located, applicants to the Capacity Building stream must refer to the published KISP or, where the published KISP is out of date, other evidence to demonstrate that the project is in an area with infrastructure need based on the rollout of additional hours of 4-Year-Old Kinder must be supplied. Please refer to Published KISPS and details of the rollout schedule.

Additionally, where enrolments are drawn from outside an applicant’s immediate LGA, applicants must demonstrate where forecast enrolments are drawn from to illustrate alignment to KISP demand.

From 1 January 2027, new commercial, industrial and manufacturing buildings in Victoria must be designed and constructed as all-electric, in accordance with the Victorian Government’s Building Electrification Regulations.

This requirement applies to all new Building Blocks projects involving the construction of a new facility.

New builds must:

• be designed and constructed as all-electric buildings
• include electric systems for:
  • heating and cooling
  • hot water
  • cooking and other building operations (where applicable)
• provide sufficient electrical capacity and infrastructure to support the full operational needs of the building, including future demand.

New builds must not include:

• a connection to reticulated (mains) gas
• gas appliances (e.g. for heating, hot water or cooking)
• gas piping or infrastructure, including provision for future connection.

Building permits cannot be issued where a new gas connection is proposed.

These requirements support Victoria’s transition to lower-emissions, energy-efficient buildings by eliminating on-site fossil gas use and enabling operation on renewable electricity. They ensure new early learning facilities are fit for a fully electrified, net zero future.

Further information on the regulations can be found here: New electrification and efficiency standards and regulations for Victorian buildings.

Purpose of grant

Integrated Children’s Centres are hubs for the community, bringing together a range of services working together to deliver education, care, health and support services to children and their families.

Project requirements

Integrated Children’s Centres funded through Building Blocks must provide or intend to provide:

• a funded kindergarten program for 3 and 4-year-old children. This can be sessional and/or integrated with long day care kinder services
• must be a new building and cannot be an extension or refurbishment of an existing facility
• Long Daycare (unless there is no projected demand in the local area)
• flexible, multi-purpose spaces and other services that meet the needs of the local community, including one or more of the following services:
  • Maternal and Child Health services
  • allied health services for early years (e.g. early childhood intervention services)
  • family services
  • supported playgroups or community parent-led playgroups
  • parenting groups or programs
  • occasional care
  • family day care program coordination
  • counselling services
  • community meeting spaces
  • outside school hours care
  • adult education programs.

Funding available

Funding support available through this program more than doubled in 2023 to provide additional support to the sector to invest in new capacity in areas of demand. For example, the grant available for a facility that delivers two new 33-place rooms of kindergarten increased from $2 million in 2022, to $4.5 million in 2023.

Funding amounts are scalable. This means that funding is increased, and decreased pro-rata based on the number of Approved Places being created. For further information regarding scalability, please refer to Building Blocks Capacity Building Assessment Factsheet.

We will only consider project costs relating to the early childhood infrastructure element of an Integrated Children’s Centre. For example, if a proposed project also includes a library or sport and recreation facilities, then the costs for these elements cannot be included in the application.

All new builds must comply with the New builds – emission reduction and electrification requirements outlined in these guidelines.

Project completion

Integrated Children’s Centres must be completed and acquitted within 24 months of the funding being announced by the Minister for Children.

Purpose of grant

New Early Learning Facilities provide high-quality early learning programs, including funded kindergarten programs for 3 and 4-year-old children.

The location and design of new early learning facilities should respond to the needs of local families and support partnerships with other local services for children and families.

Project requirement

New Early Learning Facilities funded through Building Blocks must provide or intend to provide:

• a funded kindergarten program for 3 and 4-year-old children and support the delivery of other services, including Long Daycare, Maternal and Child Health Services, or playgroups.

The funding must be for a new building and cannot be an extension or refurbishment of an existing facility.

Funding available

Funding support available through this program more than doubled in 2023 to provide additional support to the sector to invest in new capacity in areas of demand. For example, the grant available for a facility that delivers two new 33-place rooms of kindergarten increased from $1.5 million in 2022, to $4 million in 2023.

Funding amounts are scalable. This means that funding is increased and decreased pro-rata, based on the number of Approved Places being created.

All new builds must comply with the New builds – emission reduction and electrification requirements outlined in these guidelines.

Project completion

New Early Learning Facilities must be completed and acquitted within 18 months of the funding being announced by the Minister for Children.

Purpose of grant

Modular kindergarten facilities are a templated, modern, and efficient solution for delivering quality infrastructure in shorter timeframes. Modular kindergarten facilities can be located on sector-owned land.

Modular templates

The Modular Kindergarten program is a templated design program and does not accommodate structural changes to the designs.

Modular kindergarten buildings are self-contained and include all the fixed features necessary to obtain service approval and to deliver a kindergarten program.

There are 3 standard templated options:

• a 1-room building with 33 approved places
• a 2-room building with 66 approved places
• a 3-room building with 99 approved places.

In addition, there are 2 compact options available (1-room and 2-room) which can be allocated to projects where the ‘standard’ templates are deemed unviable.

Standard templates can be found on the VSBA website or copies can be requested by emailing the VSBA Early Childhood Grants team on building.blocks@education.vic.gov.au.

Funding information (what can and cannot be funded)

Funding for modular kindergartens does not require a co-contribution to deliver the standard scope.

The standard scope includes the manufacture, delivery and installation of a pre-designed and templated modular kindergarten facility, one room provisioned for Maternal and Child Heath or other allied health or community use with templated joinery, outdoor learning areas, non-fixed Fixtures, Furniture and Equipment, and required car parking.

A co-contribution is required where applicants seek to extend the scope of the project, including:

• additional scope requirements to address environmentally sustainable design outcomes or local government policy requirements
• additional scope requests (e.g. increased outdoor play space)
• changes to the templated floor plan, or works required to address existing site conditions (site remediation).
• building modifications required to meet Bushfire Attack Level requirements, where these arise due to the applicant’s preferred siting and alternative compliant siting options are available.

Important – building modifications to the template

To support delivery within program timeframes, building modifications that alter the approved modular template may not be accepted, regardless of co-contribution.

This includes modifications that require additional design review or structural changes, as the program does not have capacity to accommodate these within required delivery timeframes.

For example:

• changes that require structural strengthening of the building (e.g. wall struts or reinforcement to support fixed joinery or layout changes)
• alterations to the core building layout or footprint
• modifications that trigger re-engineering, re-certification, or redesign of the modular system.

Minor changes that do not impact the structural integrity, certification, or delivery methodology of the modular template may be considered, subject to VSBA approval.

Site preparation responsibilities

Applicants are responsible for providing a clear site that is environmentally ready for early childhood development and use, including:

• demolition of all major structures and removal of debris
• addressing any environmental hazards or contamination to ensure the site is safe for children.

Applicants may choose to complete these works prior to construction. If the site is not fully prepared, applicants remain liable for all costs associated with demolition and remediation.

These requirements must be discussed with the VSBA during the application process and will be formalised through a Development Agreement.

Additional information

The VSBA will determine which pre-designed templated option the applicant is eligible for, based on the local demand context and site constraints. The VSBA can provide detailed items and specs to further assist with understanding the scope of the project (and what can and cannot be funded).

The VSBA has a team dedicated to the delivery of approved modular kindergarten grants. Projects are delivered by the VSBA in collaboration with the applicant, providing an end-to-end delivery process, including project management services throughout the modular kindergarten process. This approach can reduce the resourcing requirements on applicants compared with independently designed and managed projects.

Further details on funding and information on the modular kindergarten program can be requested by emailing building.blocks@education.vic.gov.au.

This information will outline the standard inclusions of the modular program, what will require a co-contribution, requirements for funding, and any agreements or licences required. Please ensure you have reviewed these documents prior to applying.

Eligibility criteria

Modular kindergarten facilities are funded by the VSBA where demand for kindergarten is identified and clearly demonstrated and where the templated buildings can be accommodated on site.

Modular kindergarten facilities funded through Building Blocks must provide or intend to provide:

• a funded kindergarten program for 3 and 4-year-old children
• proposals may also support the delivery of other related services, including Long Day Care, Maternal and Child Health Services, or playgroups.

Applicants seeking a modular kindergarten must contact the VSBA Early Childhood Grants team to discuss the application before it is submitted. The team will work through site suitability, budget, and delivery elements to ensure the modular kindergarten building can fit on site and is an appropriate solution for the site.

Funding available

Projects eligible for a modular kindergarten facility funding will be able to apply for a grant to deliver the manufacture, delivery and installation of the modular kindergarten facility, outdoor learning areas, non-fixed Fixtures, Furniture and Equipment and required car parking.

Organisations can apply for a 1, 2 or 3- room modular kindergarten facility and associated works. Depending on the site constraints and which modular template may be suitable, the average project budget is between $1.5 million and $3.5 million.

Applying for funding

Potential modular kindergarten projects undergo a pre-application process with the VSBA. This will support and enable a streamlined application process. The assessment process will take into account the fact that modular buildings are a templated design and are delivered by the VSBA.

For further information regarding modular grant merit assessment criteria, please refer to the Building Blocks Capacity Building Assessment Factsheet.

For more information about delivery options, average project costs, and other modular considerations. Please see the Modular Grant webpage and FAQs on the VSBA website

Examples of modular kindergarten projects can also be found on the VSBA website.

Conditions of funding

Applicants are required to ensure the existing site conditions are suitable for the development of a kindergarten and associated community spaces, including addressing any soil contamination and undertaking remediation works where applicable before project approval.

Applicants are required to lease the buildings on DE’s standard terms and conditions. Lease terms are, on average, 20 years plus two additional terms (of 10 years). The modular building will remain the property of DE for the duration of the lease. Buildings can be sub-leased by the applicant to not-for-profit early years’ service providers.

Applicants are also responsible for building maintenance during the terms of the lease period.

Project delivery and reporting requirements

Modular kindergarten facilities will be delivered in collaboration with the applicant and the VSBA and are delivered ready for service approval within approximately 14 months.

Project approvals (including planning, environmental, cultural heritage, and building), site conditions and service connections may impact this timeline.

A Project Control Group (PCG) representing key stakeholders will be established at the commencement of the project. The applicant will be required to nominate a representative/s from their organisation. The PCG will meet throughout the project life cycle to report on project progress discuss and decide on key decisions and issues.

Purpose of grant

Expansion grants increase the number of Approved Places of existing facilities that are already approved to provide a funded kindergarten program for 3 and 4-year-old children.

Project requirements

Expansion grants must provide or intend to provide an increase to Approved Places at existing facilities delivering funded kindergarten programs for 3 and 4-year-old children.

Funding available

Funding available through this program increased substantially in 2023 to better support the sector to create new capacity in areas of demand. For example, the grant available for an expansion that creates additional capacity of 33 places increased from $900,000 in 2022 to $1.5 million in 2023.

The funding level for an expansion is scalable based on proposed services expanding to create 33 Approved Places. This means that funding is increased and decreased pro rata, based on the number of Approved Places being created.

Expansion stream applicants must provide a condition report of the existing buildings in their application. This report should confirm the buildings are fit for their intended purpose. Providing this information helps give a full understanding of the current state of the site and the proposed work.

Expansions – emissions reduction and electrification requirements

Expansions to existing buildings may include refurbishment, renovation, or the construction of new building areas. These works are not required to be fully all-electric where an existing gas connection is already in place. However, new gas connections must not be introduced as part of an expansion.

Where an existing gas connection is retained, it may continue to be used to service the expanded or upgraded areas of the building. However, applicants are strongly encouraged to design expansions to be all-electric wherever feasible, particularly where new building areas, kitchens, or major building systems are being delivered.

This includes the installation of electric systems for heating and cooling, hot water, and cooking, and ensuring electrical infrastructure is sufficient to support current and future building needs.

Where a project includes or involves the construction of a new, standalone building on an existing site, this is considered a new build and must comply with the New builds – emission reduction & electrification requirements outlined in these guidelines.

Project completion

Expansion projects must be completed and acquitted within 12 months of the funding being announced by the Minister for Children.

Modular Kindergarten Facilities exclusions

**The following cannot be funded through the Modular Kindergarten Facilities grant:

• soil hygienist reports
• site preparation, including clearing or demolition
• soil remediation on project sites (e.g. asbestos, PFAS, arsenic)
• building modifications required to meet Bushfire Attack Level requirements where these arise due to the applicant’s preferred siting, and alternative compliant siting options are available.

The Building Blocks Capacity Building stream will not fund projects that:

• do not create additional kindergarten capacity and do not address unmet demand as identified in the KISP and/or through other relevant information provided
• are not at facilities that offer (or intend to offer) both 3- and 4-Year-Old Kinder programs
• are located outside Victoria
• do not align with the program objectives
• do not meet the requirements outlined in these guidelines
• do not meet the assessment criteria
• have already started or been completed (i.e. retrospective funding)
• are further stages of existing or completed projects.

Your organisation can apply if it is:

• a Victorian local government (Council)
• a not-for-profit community organisation that is a legal entity (for example, an incorporated association, incorporated cooperative or Indigenous corporation) that has been operational for at least 2 financial years
• a Victorian non-government school registered with the Victorian Registration and Qualifications Authority or Victorian Catholic Education Authority.

For-profit organisations cannot apply for any grant streams within the Building Blocks program.

For further information regarding grant eligibility, please refer to the Building Blocks Capacity Building Assessment Factsheet.

Victorian Government schools

Victorian Government schools are being assessed for suitability for a kindergarten aligned to demand data estimates. Schools are being prioritised based on agreed demand in the relevant Kindergarten Infrastructure Services Plan. Should a kindergarten be required in your area, the Kindergarten on School Sites team will be in contact to discuss further assessment.

All requests from Victorian government schools for new or expanded early childhood infrastructure on department owned land should be made to the Kindergarten on School Sites team at KOSS@education.vic.gov.au.

A Building Blocks Capacity Building Assessment Factsheet is available to help you understand the Capacity Building assessment process.

This factsheet explains the type of information you need to include in your application. Please make sure that you refer to this factsheet when preparing your application.

The Minister reserves the right to provide investment to projects. The Minister may also, on advice from DE, provide funding to partners, in exceptional circumstances, to support the provision of funded 3- and 4-Year-Old Kinder services across the state.

Applicants must provide as part of their application decanting arrangements for the service if required throughout project delivery.

A Division 6 Asbestos Audit Report is project site-specific and is required for any project that involves work to a building where the fabric of the building will be disturbed.

Division 6 Asbestos Audit Reports must:

• be performed by a trained professional such as an Occupational Hygienist
• contain the results of a visual and invasive inspection of a building to monitor and identify Asbestos Containing Material (ACM)
• include the logged results of the asbestos audit in an asbestos register, which is to be updated following all subsequent audit reports and removal works.

Please note that a Division 5 Asbestos Audit Report will not be accepted.

If ACM is discovered in a building or site, an asbestos management, removal, and disposal plan must be developed and provided as part of your grant application.

Information and examples of consultants who specialises in asbestos and site assessment, are listed at:

• the State Government Construction Supply Register under Contamination Testing category
• WorkSafe Victoria

For further information about asbestos safety, including how to find and identify asbestos, asbestos management and asbestos disposal, visit Asbestos Victoria.

A Soil Hygienist Report is required for any project that disturbs the soil (including installation of outdoor shade sails) to determine the suitability of the site for the proposed purpose of an early learning centre.

It is important that an environmental professional is engaged to provide a Soil Hygienist Report – and not a geotechnical report. If applicable to your project, a Soil Hygienist Report must be included in your grant application.

Soil Hygienist Reports must:

• be performed by a qualified environmental professional
• align with standards such as the National Environmental Protection (Assessment of Contaminated Sites) Measure (NEPM)
• involve a desktop review of past site history and soil investigation samples for analysis of contaminants such as arsenic, asbestos, and heavy metals with particular focus on where project soil works are proposed
• compare contamination results against NEPM human health and ecological investigation levels as well as Victoria EPA Industrial Waste thresholds
• include a statement to indicate if the site is suitable for the intended use as an early learning centre and/or potential project risk
• specify if contaminated soil is identified above the levels specified for the intended use as an early learning centre
• if contaminated soil is identified above the levels specified for the intended use as an early learning centre, a Soil Management Plan (SMP)must be developed for safe management or removal and disposal of the contaminated soil. The SMP must also be provided as part of your grant application.

Examples of consultants who specialise in soil hygienist testing and site assessment, are listed below:

• The Australian Contaminated Land Consultants Association
• The State Government Construction Supply Register under Contamination Testing category.

Organisations that receive a grant must:

• agree to the requirements outlined in these guidelines (failure to do so may result in funding being withheld)
• enter into a formal Common Funding Agreement with DE or a Letter of Intent for Modular Kindergarten Facility grants
• agree to deliver Free Kinder for at least 10 years after the completion of the grant project
• co-contribute to construction costs if a proposed project will include an early years Long Day Care Centre rather than sessional kindergarten, on a non-government school site
• where applicable, follow the Building Blocks Acknowledgement and Publicity Guidelines, including liaising with the Department and holding events on request, such as sod turns and openings, and erecting signage for projects
• submit an acquittal form and the required supporting evidence for approval by DE upon completion of the project
• agree that no additional Department of Education state funding will be allocated to the proposed project and if additional costs arise, they must be met by the applicant
• agree that any leasing arrangements of facilities developed through the grant will not be used to yield commercial or near-commercial rents, and that the longstanding practice of charging services peppercorn or low rents is continued, with any rent charged to be applied to maintenance costs of the service
• must retain their not-for-profit status for at least 10 years after the completion of the grant project
• not-for-profit organisations must demonstrate that land on which the funded project is located is:
  • owned by an incorporated association or company limited by guarantee
  • held by a trustee on behalf of the organisation
  • other legal structures approved by the Department.
• appoint a not-for-profit (NFP) service provider, if they do not intend to run the service themselves. If an appropriate EYM or other NFP provider cannot be identified, applicant must discuss possible exceptions with the VSBA.
• Building designs, including any permanent physical features, should align with the requirements outlined in the Kindergarten Funding Guide of providing a welcoming and culturally inclusive environment for all families. They should encourage families to participate and value and respect the interests, abilities and culture of every child and their family.

To remain eligible for funding, you must not enter into a contract or commence any works proposed in your application before we inform you of the application outcome.

Before submitting your application, we encourage you to review the following webpages, which further clarify your obligations for receiving Building Blocks funding:

• Acknowledgement and Publicity Guidelines
• Common Funding Agreement Terms and Conditions

The Betrayal of Trust report found that survivors of institutional child abuse were sometimes unable to identify an appropriate legal entity to sue.

The Royal Commission into Institutional Responses to Child Sexual Abuse also recommended that governments consider requiring organisations they fund to be insured against child abuse.

From 1 July 2019, non-government organisations funded by the Victorian Government to deliver services to children will be required, as a condition of funding, to be:

• incorporated separate legal entities that can be sued in their own right in child abuse proceedings
• appropriately insured against child abuse.

The new requirements will improve the ability of child abuse survivors to bring a legal claim for compensation and ensure that successful claims can be paid.

There are other grant programs that provide funding for the development of early childhood facilities and services. DE must be advised of other funding applications for your project. We reserve the right to consider grant applications made for other programs, offered by DE or other government departments and to submit Capacity stream applications to other department agency led grant programs for consideration for funding under those programs where appropriate.

The Local Jobs First (LJF) Policy issued under the Local Jobs First Act 2003 supports businesses and workers by ensuring that small and medium size enterprises are given a full and fair opportunity to compete for both large and small government contracts, helping to create job opportunities, including for apprentices, trainees, and cadets. The LJF Policy is implemented by Victorian Government departments and agencies to help drive local industry development.

The LJF Policy applies to grant projects where the value of the grant is above the threshold values of:

• $3 million or more in metropolitan Melbourne
• $1 million or more in regional Victoria
• any grant for a project valued at less than $3 million that the Minister has declared to be a significant project.

Projects funded through Building Blocks Capacity Building stream will have to comply with the Local Jobs First Policy.

All early childhood education and care providers that deliver a funded kindergarten program in Victoria are eligible to receive Free Kinder funding from 2023, subject to meeting terms and conditions.

Applicants to the Building Blocks Capacity grant stream must agree to deliver Free Kinder for at least 10 years after the completion of the grant project. Find out more about Free Kinder.

As a condition of grant funding for the Capacity Building stream, successful applicants must comply with project monitoring and reporting requirements, including:

• monthly status reports through an online reporting system to provide an update on progress, updating proposed, forecast, and actual dates for project milestones, flagging risks and issues, and providing the required evidence when payment milestones have been met
• advising DE in advance of key milestones including architect appointment, design completion, sod turn and construction completion and providing opportunities for public communication of these milestones
• advising DE of scope changes (relating to time, cost, and project scope) by completing and submitting a Request for Variation (RFV) form via the online reporting system
• if the project is delayed by more than a year since the original completion, provide the VSBA with updated audited financial statements
• site inspections, meetings, and teleconferences with Department staff or representatives if required, this may include more frequent updates as your project nears completion
• production of building contracts, receipts and/or invoices when requested
• acquittal through an online reporting system.

All successful applicants are required to upload information into DE’s reporting system to complete their acquittal.

Recipient organisations must contact DE immediately if they:

• require a project extension
• propose a change in project scope
• propose a change in project costs which results in either an overspend or underspend.

Applicants will be required to complete a Request for Variation form (submitted through an online reporting system), together with detailed evidence that explains the reason for the variation. The applicant will be asked to allocate any underspend towards additional eligible items in line with the guidelines before an acquittal is accepted. Overspends remain the responsibility of the organisation.

Further information about Acquittal Requirements and Project Variations can be found in the frequently asked questions.

To support community safety and ensure kindergartens can be accurately located by emergency services, all Building Blocks funded projects must ensure that the kindergarten name and site address are registered with the Victorian Naming Authority (Geographic Names Victoria, GNV).

This is to ensure the kindergarten is included on official Victorian maps – VICMAP, Emergency Management Victoria maps, and postal maps – used by emergency services when responding to incidents.

Building Blocks Grant recipients must:

• contact Geographic Names Victoria at geo.names@transport.vic.gov.au to:
  • confirm the suitability of the proposed kindergarten name (GNV will check for duplicates within a specified radius depending on the location, and ensure compliance with the Naming Rules)
  • provide the site address and proposed kindergarten name for registration.

Geographic Names Victoria will then gazette or register the kindergarten name and ensure it is added to the relevant emergency management and postal maps.

Please allow 6 months for this process.

Local Council Authorities awarded Building Blocks Grants

All Local Council Authorities delivering new kindergartens, including all with new roads and unique addresses, should be gazetted/registered with the Victorian Naming Authority (GNV).

The reason for this is community safety, so that the address can be included on official Victorian maps (VICMAP, the Emergency Management Victoria maps, and the postal maps).

As part of this process, councils should complete the below steps as soon as possible:

• Identify/confirm the site address with GNV. This is actioned by uploading the M1 form with the address on it to VICMAP (i.e. rates or GIS officer) to update the official Victorian maps with the new roads/addresses. (Note the kindergarten cannot be included on the map if the new road is not on the map.)
• Any questions can be directed to Vicmap.help@transport.vic.gov.au.

Applications to Building Blocks Capacity Building stream are open all year round, and an outcome is anticipated approximately three months from submission.

For Modular Kindergarten Grants, please contact VSBA Early Childhood Grants team by emailing building.blocks@education.vic.gov.au to arrange a pre-application meeting and site assessment.

Application forms can be accessed online through SmartyGrants. Applicants must complete a free registration to use the Smarty Grants application system. For assistance with the online application system, please email the Smarty Grants Support Desk or call 03 9320 6888 between 9am and 5pm, Monday to Friday. You can also consult the help guide.

If you are unsuccessful in obtaining funding for a Building Blocks Capacity grant you may:

• contact the Early Childhood grants team for feedback on your application and outcome
• seek a review into the assessment of your application.

The VSBA Early Childhood Grants team can be contacted by emailing building.blocks@education.vic.gov.au.

Before applying, please refer to the Building Blocks Capacity Building Assessment Factsheet. This factsheet contains important information about your grant application.

Please also read the frequently asked questions.

If you have any queries, contact the VSBA Early Childhood Grants team at building.blocks@education.vic.gov.au.

The information you provide will be dealt with in accordance with the Public Records Act 1973 and the Privacy and Data Protection Act 2014.

Building Blocks is critical to support the Victorian Government’s Best Start, Best Life reforms including Free Kinder for all 3- and 4-year-old children. Building Blocks Capacity Grants support local councils and early learning providers to build and expand kindergartens.

Capacity Building Stream

The Building Blocks Capacity Building stream offers several grant categories that must increase capacity through new or expanded funded kindergarten services. All applications must address unmet demand as identified in the relevant Kindergarten Infrastructure and Services Plan (KISP).

Four categories of grants can be applied for:

• Integrated Children’s Centre
• New Early Learning Facility
• Modular Kindergarten Facility
• Expansions.

Your project must be for a facility located in Victoria that is, or will be, licensed to deliver Free Kinder for a 3- and 4-Year-Old Kinder program. It must offer, or intend to offer, both programs. This can be sessional or integrated with long day care. For further funding conditions please refer to the Capacity Guidelines.

Document purpose

Examples of items that can and cannot be funded

For a list of items that can and cannot be funded under the Building Blocks Capacity Building grant stream, refer to the Capacity Guidelines.

Eligibility assessment

Grants offered under the capacity building stream are highly competitive, and organisations need to ensure their applications include the required supporting documentation to increase their chances of being successful.

All applicants are required to provide

For further information on eligibility requirements, please refer to Building Blocks frequently asked questions.

Merit assessment criteria

All applicants are required to provide responses to the selection criteria. Funding recommendations will be based on the extent you can demonstrate that your project addresses the following assessment criteria. These are weighted according to specified percentages.

The weightings align with Building Blocks Capacity Building stream objectives:

• the proposed project supports the integrated delivery of early childhood and related family services and/or the establishment of partnership arrangements with other services (15%).
• improves access to high quality early childhood services for the local community (15%).
• the proposed project supports the establishment of connections with local government and non-government schools (15%).
• the proposed project facilitates access for children of all abilities (15%).
• the proposed project promotes environmental sustainability, and includes environmentally sustainable features in design or construction (15%); and
• confirmation the project is ready to commence construction (25%).

Merit assessment criteria (Modular applications only)

Modular Application merit assessment is streamlined to take into account the fact that Modular buildings are a templated design delivered by the VSBA. The redistributed weightings also align with Building Blocks Capacity Building stream objectives:

• the proposed project supports the integrated delivery of early childhood and related family services and/or the establishment of partnership arrangements with other services (30%).
• improves access to high quality early childhood services for the local community (30%); and
• the proposed project is supports the establishment of connections with local government and non-government schools (40%).

For more information about delivery options, average project costs, and other modular considerations, please refer to the Modular Kindergarten Program webpage.

Please think ahead

Two documents that require the most time to secure are the Soil Hygienist Report and the Asbestos Report. It is recommended that applicants obtain these reports or engage these services prior to the commencement of the application process.

Soil Hygienist Report

A Soil Hygienist Report is required for any project that disturbs the soil to determine the suitability of the site for the proposed purpose of an early learning centre. It is important that an environmental professional is engaged to provide a Soil Hygienist Report – and not a Geotechnical Report.

A Soil Hygienist Report must:

• be performed by a qualified environmental professional
• align with standards such as the National Environmental Protection (Assessment of Contaminated Sites) Measure (NEPM)
• involve a desktop review of past site history and soil investigation samples for analysis of contaminants with particular focus on where project soil works are proposed
• compare contamination results against NEPM human health and ecological investigation levels as well as Victoria EPA Industrial Waste thresholds
• include a statement to indicate if the site is suitable for the intended use as an early learning centre and/or potential project risks
• specify if contaminated soil is identified above the levels specified for the intended use as an early learning centre.

If contaminated soil is identified above the levels specified for the intended use as an early learning centre, recommendations for a soil management plan must be developed (i.e. for safe management or removal and disposal of the contaminated soil) and provided as part of your grant application. Examples of consultants who specialise in soil hygienist testing and site assessment are listed below:

• The Australian Contaminated Land Consultants Association
• The State Government Construction Supply Register under Contamination Testing category

Further information on the Department’s soil assessment report information can be found in the Children’s Services Soil Report Factsheet.

Division 6 Asbestos Audit Report

A Division 6 Asbestos Audit Report is project site specific and is required for any project that involves work to a building where the fabric of the building will be disturbed.

Division 6 Asbestos Audit Reports must:

• be performed by a trained professional such as an Occupational Hygienist
• contain the results of a visual and invasive inspection of a building to monitor and identify ACM
• include the logged results of the asbestos audit in an asbestos register, which is to be updated following all subsequent audit reports and removal works.

If ACM is discovered in a building or site, an asbestos management, removal, and disposal plan must be developed and provided as part of your grant application. Information and examples of consultants who specialise in asbestos and site assessment, are listed at:

• The State Government Construction Supply Register under Contamination Testing category
• WorkSafe Victoria.

For further information about asbestos safety, including how to find and identify asbestos, asbestos management, and asbestos disposal, please visit Asbestos Victoria.

Project management requirements

A qualified and experienced project manager must be identified at the time of application and appointed within four weeks of the funding announcement. The name and contact details (email, telephone number, including mobile) of the proposed project manager must be included in the application. The project manager must be appointed before the Victorian Common Funding Agreement can be executed (excluding modular kindergarten projects).

After submission of applications

After applications are submitted, the Department will check to confirm that applications meet the eligibility requirements:

• ensuring that all the required documentation has been provided
• assessing all eligible applications against the assessment criteria
• convening an assessment panel to oversee recommendations and manage any conflicts of interest.

We may also undertake further project cost assessments in instances where project costs are particularly complex, or further clarification is required.

Following this process, the Department will provide its recommendation to the Minister for Children for final approval. The Minister reserves the right to provide strategic investment to projects. The Minister may also, on advice from the Department, provide funding to partners, in exceptional circumstances, to support the provision of funded 3- and 4-Year-Old Kinder services across the State.

Past performance

We will review your past performance and assess whether it is likely to have an impact on successful delivery of your project. This will include considering whether you have:

• taken appropriate steps to deliver previous projects funded through the Building Blocks program (or previous Children’s Facilities Capital and Inclusive Kindergartens Facilities program) within appropriate timeframes, overdue projects funded by the Department and whether extensions have been requested and approved.
• completed projects funded by the Department and whether you have submitted all documentation required to acquit the grant funding, including regular monthly reporting and acquittal within the contracted timeframe; and/or
• proposed an operator of the service with a record of delivering a quality kindergarten program, particularly in the same community or area as the project.

Poor performance against these factors may result in projects not being recommended for funding or funding withdrawal.

Review of application outcome

If you are unsuccessful in obtaining funding for a Building Blocks Capacity grant you may:

• contact the Early Childhood grants team for feedback on your application and outcome
• seek a review into the assessment of your application.

The VSBA Early Childhood Grants team can be contacted by emailing building.blocks@education.vic.gov.au.

Resources

The following links are provided as a starting point for considering best practice approaches to early childhood education and care, accessibility and design. Applicants are encouraged to undertake their own research to identify solutions that will meet their needs.

• Australian Children’s Education & Care Quality Authority
  • National Quality Framework
• Department of Education
  • Disability Standards for Education
  • Victorian Early Years Learning and Development Framework
• Centre for Excellence in Universal Design – The 7 Principles of Universal Design