The document discusses a formula funding approach for early childhood education and care (ECEC) facilities in Germany. It proposes a funding model composed of multiple formulas that calculate financial resources for ECEC facilities based on operating costs. Key components include base rates that cover fixed and variable costs, child-related weighting factors that account for individual needs, and facility-related factors for local conditions. The approach aims to provide funding stability for providers while ensuring efficient use of public funds based on facility usage and quality goals.

1. Financing Elementary Education Kathrin Bock-Famulla 7 th Meeting of the OECD Network on Early Childhood Education and Care Paris, 21st June 2010

2. ECEC in the German context 21. Juni 2010 Page Increasing … demand for institutional EC CARE … importance of EC Education Enforcing … quantitative extension … qualitative improvements of the German ECEC system(s ) … requiring effective investments in ECEC

3. Central hypotheses 21. Juni 2010 Seite Funding structures & mechanisms Allocation of resources impact S tructures and range of services effect Professional pedagogical practices in facilities affect Education and development of children

4. Basic assumptions and mission of the project 21. Juni 2010 Seite Funding mechanisms and structures govern the quantity and quality of services Desired ECEC quality should be the main starting point for the design of a funding approach H eterogeneous educational needs of children require different and diverse educational practices Needs-based educational practices are based on unequal allocation of resources

7. The formula funding approach 21. Juni 2010 Seite … can be described as a function of the operating costs of an individual ECEC facility … is composed of multiple mathematical formulae by which the financial resources to be made available to an ECEC facility are calculated

18. 21. Juni 2010 Seite Bertelsmann Stiftung Germany [email_address] Thank you for your attention!