Financial acquittal

Partner Providers must submit an annual financial acquittal for each Partner Service for all funding received under the Funding Agreement.

If requested by the OECD, each Partner Provider must be able to demonstrate to the OECD that:

• all funding received across Funded Program Streams has been spent in accordance with the applicable spending rules, and
• evidence has been retained to demonstrate compliance with those spending rules.

Evidence may include, but is not limited to:

• Service fee schedules and fee structures
• family fee statements
• financial reports, receipts, invoices and bank account statements
• employee payslips and employment contracts

Partner Providers and their Services that do not meet their financial obligations may be required to repay unspent funds and may have funding suspended if they are found to be in breach of the Funding Agreement.

Upon review of the annual financial acquittal, the OECD will:

• adjust future funding payments to account for any unexpended funds identified, or
• take no further action where a nil balance of deficit is reported.

Under the Funding Agreement, Partner Providers and their Partner Services may also be required to return any unspent funds to the OECD.

The OECD may undertake compliance reviews to assess a Partner Service’s use of preschool funding and compliance with program requirements.