Funding Woes: Small Czech Towns struggle to Provide Childcare

Across the Czech Republic, small towns are facing a critical challenge: securing funding for essential infrastructure projects, especially in the realm of childcare. This struggle is playing out in municipalities like Tetín,a village of 160 nestled within the Jičín region.

Uncertainty Clouds Childcare Expansion Plans

Mayor Matěj Hlavatý of Tetín, a member of the STAN party, is spearheading a project to expand the municipal office, creating space for a new children’s group. However, the project hinges on a subsidy from the Ministry of Labor and Social Affairs. The Ministry’s program, designed specifically for municipalities under 500 residents, presents a tight timeline. Applications must be submitted by December 20,2024,with implementation targeted for March 2026.

“I can’t start building if I don’t have the paper in my hand. If I started building, I would break the budget discipline, and if someone filed a criminal complaint against me, I go to jail. That’s a reality,” Mayor Hlavatý states,highlighting the legal and financial risks associated with commencing construction before the subsidy is officially secured.

A Widespread Challenge

Mayor Hlavatý’s predicament is mirrored in other small towns across the Czech Republic. Mayors from Bohuňov in the Pardubice Region and Barchov, also within the Pardubice region, have voiced similar concerns. They face a arduous choice: risk legal or financial repercussions by starting construction without a confirmed subsidy, or risk losing the opportunity to expand crucial childcare services.

“It is indeed a huge risk to build without a decision to provide a subsidy,” says Iveta Krebsová, Mayor of Barchov, reflecting the shared anxiety among these smaller municipalities.

Calls for Policy Reform

These challenges underscore an urgent need for policy reforms that provide greater clarity and stability to municipalities seeking funding for essential projects. A more obvious and responsive funding process, with clearer timelines and reliable commitments, would empower these towns to invest in their communities and provide vital services to their residents.

Rising Tensions: Municipalities Clash with the Ministry of Labor

Tensions are escalating between Czech municipalities and the Ministry of Labor regarding the provision and funding of preschool care. A new amendment to the Education Act, designed to hold municipalities accountable for providing childcare spaces and imposing financial penalties for those who fail to do so, is at the heart of the conflict.

Two Key Flashpoints

The current dispute has two main flashpoints:

• Municipalities Must Provide a Place, Otherwise, They Threaten to Pay Parents: The Education Act, effective since September 2017, requires municipalities to guarantee childcare capacity. However, it lacks enforcement mechanisms.A new amendment proposed by the Ministry of Labor seeks to introduce a financial penalty for municipalities that fail to provide sufficient spots.This penalty would amount to approximately five thousand crowns per affected parent. The amendment, approved in December 2024, awaits Senate approval.
• Peripetia with Subsidies for Children’s Groups: In the autumn of 2024, disagreements arose between mayors and the minister of Labor Marian Jurečka regarding subsidies for children’s groups. The Ministry…

Navigating Preschool Construction Subsidies: A Complex Process for Municipalities

The construction of new preschool facilities is a critical need across the Czech republic, requiring meaningful financial investment from municipalities. To address this challenge, the Ministry of Labor and Social Affairs (MLSA) initiated a subsidy program aimed at supporting municipalities in their efforts to create more preschool care spaces. Though, the process of accessing these subsidies has proven to be complex and frustrating for many mayors.

Initial Hurdles and Delays

Initially, the MLSA announced a subsidy call that excluded VAT as an eligible expense, a decision that caused immediate consternation among mayors who had already factored in these costs during their budget planning. “Although the ministry afterward announced a new challenge, without VAT as eligible costs. For many mayors, it meant to get millions of crowns that they had no place to take. And when they were invested in readiness,” stated one mayor.

Following criticism, the MLSA reversed its stance and announced a new call for applications in December 2023, reinstating VAT as an eligible expense.However, this new round of funding came with added pressure for municipalities already grappling with project timelines.

Timing and Project Planning: Key Challenges

The MLSA emphasizes that municipalities are obligated to provide preschool care and that the subsidy program is intended to facilitate their efforts in meeting this mandate. The ministry argues that some mayors have left application submissions to the last minute,resulting in delays and poorly filed projects. “They are obliged to provide preschool care for years,and that they have not been very interested in the subsidy call for the construction of children’s groups for a long time. The Ministry therefore stretched the deadline for requests and speaks that part of mayors She left everything at the last minute and also sent poorly filed projects,” a statement from the ministry explained.

The MLSA’s spokesperson, Jakub Augusta, further clarified the timeline for processing applications, stating: “The evaluation deadlines are listed in the general challenges: Within 50 working days of the project, checking the acceptability and formal requirements of the project should be terminated, the factual evaluation of 25 days, 35 days is at the selection committee and the management of the evaluation process.A total of 110 working days, ie about 5.5 months, including weekends.” He emphasized that evaluators are working diligently to process applications in the order they were received.

A Call for Collaboration: Building a Enduring System for Preschool Care

While the MLSA emphasizes the municipality’s responsibility to provide preschool care, it is clear that streamlining the subsidy process is crucial for ensuring timely and effective development of new preschool facilities. Open interaction, transparent guidelines, and a collaborative approach between the MLSA and municipalities are essential for overcoming the current challenges and creating a sustainable system for preschool care in the Czech Republic.

Boosting Czech Municipalities: funding, Extensions, and Ongoing Challenges

The czech Republic’s Ministry of Regional Development is dedicated to supporting local communities in their efforts to enhance infrastructure and services. A new funding program,launched with ample financial resources,offers municipalities opportunities to invest in projects that improve quality of life and promote sustainable development. The initiative covers a wide range of projects, including:

• Infrastructure upgrades like road repairs, public transportation improvements, and the development of green spaces
• Renovation and modernization of public facilities such as schools, libraries, and community centers
• Support for innovative and sustainable solutions in areas like renewable energy, waste management, and smart city technologies

Applications are open to all municipalities in the Czech Republic. Recognizing the importance of accessible facts and clear guidance, the Ministry of Regional Development has established dedicated support channels to assist municipalities throughout the application process.

“Colleagues from the National Renewal Department provided personal consultation to applicants in the preparation of project applications, which is definitely not a common practice. And they continue to provide support if necessary. In addition, we are preparing a webinar again, where we will answer any mayors’ questions and outline the next procedure. Minister Jurečka will also join this online meeting,” adds Augusta,highlighting the ministry’s commitment to hands-on support.

This proactive approach aims to ensure that municipalities are well-equipped to navigate the application process successfully. The Ministry of Regional Development is confident that this funding program will empower municipalities to invest in their communities and create a brighter future for all citizens.

Extension Granted Amidst Time Constraints and Budget Concerns

Following a public dispute between ministers and mayors regarding project deadlines, municipalities have received a one-month extension for submissions. The deadline for submitting projects under the announced allocation has been shifted from March 2026 to the end of April 2026.

The Ministry of Regional Development has notified applicants of this extension, confirming the updated deadline and clarifying whether the requested funding is sufficient within the allocated budget. As of late January, CZK 700 million was reserved for the subsidy, while applications requesting almost CZK 900 million have been submitted.

Mayors Express gratitude While Acknowledging Deeper Issues

Mayors have welcomed the one-month extension, recognizing its value in providing them with more time to complete necessary preparations. However, Matěj Hlavatý, mayor of Tetín, emphasizes that this extension only addresses a symptom of a larger issue.

“For us, this means that we have to have an approved building in February 2026, so that we can have stamps from hygiene, fire brigade stamps and write the children’s group in the list of children’s groups,” explains Matěj Hlavatý.

This dispute highlights the complex challenges municipalities face in meeting tight deadlines and securing funding for crucial projects. While the extension offers a temporary solution, continued dialog and collaboration between the government and local authorities are essential to ensure the smooth implementation of vital initiatives that benefit communities nationwide.

How can the Czech Republic’s government better support municipalities in their efforts to build new preschool facilities?

Interview: Navigating Preschool Construction Challenges

A Conversation with Matěj Hlavatý, Mayor of Tetín

Archyde News: Mayor Hlavatý, thank you for taking the time to speak with us today. We understand that your town, like many others in the Czech Republic, is facing challenges in building new preschool facilities. Could you shed some light on the specifics of these challenges?

Mayor Hlavatý: Certainly. The current situation is a bit complex. While we are committed to expanding childcare options in Tetín adn ensuring that every child has access to quality early education, the process of securing funding and navigating the bureaucratic hurdles can be quite daunting.

Archyde News: The Ministry of Labour and Social Affairs (MLSA) recently launched a subsidy program specifically designed to assist municipalities with preschool construction.Has your town benefited from this initiative?

Mayor Hlavatý:We applied for the subsidy, but regrettably, the initial call had some inconsistencies, excluding VAT as an eligible expense. This caused significant problems, especially since we had already factored VAT into our budget. Fortunately, the MLSA reversed course and allowed VAT to be included in the later round of applications. But by then,the process had become complex and time-sensitive.

Archyde News: Have the timelines and deadlines of this program presented further obstacles?

Mayor hlavatý:They certainly have. The MLSA maintains that municipalities are responsible for providing preschool care, implying that we should be prepared to start projects at any given time. However, when we’re dealing with complex construction projects that require thorough planning, approvals, and material sourcing, those tight timelines become quite challenging.This recent extension of the deadline is a welcome relief, but ideally, there should be more flexibility built into the process to accommodate the realities on the ground.

Archyde news: Looking ahead, what do you view as the most critical steps toward a more effective system for supporting preschool development in the Czech Republic?

Mayor Hlavatý: I believe a greater emphasis on collaboration between the central government and local municipalities is essential. We need open interaction, transparent guidelines, and a willingness to adapt the system to the practicalities faced by communities across the country. Essentially, it comes down to building a system that supports, empowers, and truly enables municipalities to deliver on their commitment to providing quality early education for Czech children.