Transferring a service approval

June | 2020

This fact sheet provides information about transferring an education and care service approval in South Australia.

Terms used in this fact sheet:

Transferring approved provider: An approved provider who holds a service approval that they propose to transfer to another approved provider

Receiving approved provider: An approved provider who is intending to purchase, or otherwise procure, a service from another approved provider

Declared approved service: A service that was either a licensed childcare centre under the Children’s Services Act SA 1985 (the previous law) or operating as a preschool or out of school hours care (OSHC) service before 1 January 2012

Savings provisions for declared approved services: The Education and Care Services National Regulations 2011 (the National Regulations) include savings provisions. Savings provisions are requirements of a previous law that are carried over when a new law is made. Services operating before 1 January 2012 can continue under the same space requirements that existed before the commencement of the National Law. However, a service transfer will end the savings provisions. Please refer to r. 337 for long day care services, 338 for preschools and 339 for OSHC services.

For declared approved services only:

Current law applies from the time of transfer

When a declared approved centre-based service is transferred to another approved provider, the current requirements of the National Law for measuring indoor and outdoor children’s spaces come into effect. The declared approved service must then meet the current unencumbered indoor and outdoor space requirements that are specified in r. 107 and 108.

Consequently, the indoor and outdoor space available for children’s activities at the service must be re-calculated by a building practitioner using the criteria in regulations 107 and 108.

However, if the service has been renovated or transferred since 2012, it may already meet current requirements.

It is important that you contact the Education Standards Board (ESB) if you are intending to transfer a declared approved service. This is so you can discuss any implications on indoor and outdoor space requirements.

For more information, see ‘Indoor and outdoor space requirements’ (below) and the Facilities for centre-based services fact sheet.

The transfer process

Step 1) Notify the ESB 60 days in advance

The transferring approved provider and the receiving approved provider must jointly notify us at least 60 days before the transfer is intended to take effect (including all the required information). The Education Standards Board (ESB) may accept a shorter timeframe only in exceptional circumstances.

The form Notification of transfer of service approval: centre based (SA04) is available through the National Quality Agenda IT System (NQA ITS) portal.

Please note: If you are transferring a service that is not a declared approved service, you may be required to provide a building floor and site plan if there have been changes to the service premises or areas used for children since the service approval.

For declared approved services only:

If transferring a declared approved centre based service, you must submit a current building floor plan and site plan with the notification form.

The building floor plan must clearly indicate:

- all room usages throughout

- all encumbrances, such as built-in cupboards, sinks and lockers

- all facilities provided, such as toilets, hand-wash basins, nappy-change facilities and food preparation areas

unencumbered indoor play spaces

A site plan is also required indicating:

- all children’s outdoor play space

- the location of storage sheds, fences and gates

- unencumbered outdoor play spaces.

A schedule of calculations by a building practitioner is usually required. This should include the unencumbered indoor and outdoor space available to children, in accordance with current regulatory requirements. These calculations, as well as the number of children’s toilets and basins, will determine the maximum capacity of the service that can be transferred to the new approved provider.

For more information, see ‘Indoor and outdoor space requirements’ (below) and the Facilities for centre-based services fact sheet.

Step 2) The transfer notification is assessed

Once all documents have been submitted, the ESB will assess the information and make a determination. We may consent, intervene or request further information:

  • Consent: This is taken to be given if the ESB does not intervene in the transfer. It is anticipated that the transfer of service approval will take place on the specified date that was provided on the notification.
  • Intervene: The ESB will notify both the transferring approved provider and the receiving approved provider if it decides to intervene in the transfer at least 28 days before the date on which the transfer is intended to take effect. (This is provided that the transfer notification and all the supporting documents were received at least 60 days before the intended transfer date.) We will outline the reasons for the intervention if we have concerns about matters relating to the transfer. If we intervene in the transfer, the transfer must not proceed until we consent to it.
  • Request further information: The ESB may request further information to assist with our determination to consent or intervene in the transfer. We may also suspend the transfer or determine that more time is required to make a decision.

For declared approved services only: 

If sufficient information has not been provided to determine the unencumbered indoor and outdoor space for children, this may delay the transfer process. Once the required information is provided, the ESB will confirm the maximum number of children that can be educated and cared for at the service following the transfer.

Step 3) After the transfer

Once the ESB has consented to the transfer, both the transferring approved provider and the receiving approved provider must notify us in writing within two days after the transfer takes effect, specifying the date of the transfer. This notification may be received via the ESB email: educationstandardsboard@sa.gov.au 

When we receive this notification, we will provide an amended service approval to the receiving approved provider.

Other important matters to consider

A number of other matters must be considered about a proposed transfer. These include:

  • Transfer of documents and records relating to children currently enrolled at the service: The documents are listed in r. 177 and include records such as enrolment, accident, injury, medication records, and child development assessments and evaluations. The documents must not be transferred unless a parent of the child has consented to the transfer.
  • The storage of documents about children who previously attended the service and are not currently enrolled at the service: This is the responsibility of the transferring approved provider.
  • Updating documents: This includes the service policies and procedures, philosophy, service related forms and the quality improvement plan to ensure they are current and reflect the receiving approved provider’s policies and practices. 
  • Giving written notice to parents of children enrolled at the service: This must be done at least two days before the transfer of service approval has taken effect. The receiving approved provider is responsible for this notice.

For declared approved services only:

Declared approved services and calculating unencumbered children's space 

Long day care services that were previously licensed under the Children’s Services Act were taken to hold a service approval from 1 January 2012 with their current indoor and outdoor status.

The method used to calculate usable unencumbered space for children before 1 January 2012 was different to the current method. For example, cot sleep rooms could be counted towards the unencumbered space, and thoroughfare areas were not excluded. There were also different minimum indoor and outdoor space requirements applied at different times.

As a result, calculations under the current requirements may affect the approved maximum number of children to be educated and cared for at a service.

Preschool and OSHC services that were operating immediately before 1 January 2012 were taken to hold a service approval at that time with their existing indoor and outdoor spaces.

Indoor and outdoor space requirements

There must be at least 3.25 m2 of unencumbered indoor space for each child being educated and cared for by the service.

For more information, see our Facilities for centre-based services fact sheet.

Thoroughfare areas

Passageways or thoroughfare areas, including door swings, are not included as countable play spaces. They are not considered to be usable space for children. These areas are used for the movement of adults or children.

For more information, see our Facilities for centre-based services fact sheet.

Counting a verandah area as indoor space

An approved provider may apply to us to have a verandah area counted as indoor space if:

  • the area is suitable for children
  • it can be suitably weatherproofed
  • it is appropriate for the safety and wellbeing of children.

For more information, see our Verandah areas counted as indoor space fact sheet.

Contact details

Education Standards Board
Phone: (08) 8226 0077 or 1800 882 413
Website: www.esb.sa.gov.au
Email: educationstandardsboard@sa.gov.au

This fact sheet provides guidance for approved providers of education and care services to help them operate in line with the National Quality Framework. We also recommend referring directly to the legislation:

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