2026 High Learning Support Needs Funding Program - Quarter 1 Provisional Prepayment

The eligibility criteria for HLSN funding may be categorised into two components: service eligibility criteria, and child eligibility criteria. Both must be satisfied in all cases, to be eligible for funding. The department reserves the right to pause or cease funding to any service if the eligibility criteria are no longer met. 

Service eligibility criteria 

HLSN funding is only available for not-for-profit community preschools who are receiving funding under the NSW Start Strong for Community Preschools or the Mobile Preschool Funding Program.  

The department will not provide HLSN funding for places/hours in a service that are Child Care Subsidy approved. Inclusion funding and support for children in places/hours that are Child Care Subsidy approved may be available from the Australian Government’s Inclusion Support Program.  

Child eligibility criteria 

In addition, to be eligible for the community preschool to obtain HLSN funding to support the inclusion of individual children, a child must: either: 

• be at least 3 years old on or before 31 July in that preschool year and not in compulsory schooling (including homeschooling); or
  • be at least 3 years old on or before 31 July in that preschool year and not in compulsory schooling, including homeschooling (see the NSW Education Enrolment Policy for further information about school enrolment); or
  • turn 3 years old after 31 July in that preschool year and demonstrate exceptional circumstances. Exceptional circumstances are like or related to the following circumstances: any child or family that experiences out-of-home or alternative care arrangements, isolation, violence, trauma, mental health issues, environmental disasters or other crises; and
• have high learning support needs as defined in these guidelines, namely, the child must:
  • have constant and ongoing support needs and require significant adjustments, or a temporary illness or injury that requires short term adjustment, to enable participation in the educational program on the same basis as their peers; and
  • require an ILP that identifies individual goals and the specific teaching strategies and adjustments required to enable participation in the education program on the same basis as their peers; and
  • require consistent support and guidance to engage at the same level as their peers.

The department does not take citizenship and residency status into consideration to determine eligibility of children for funding under the HLSN funding program. 

Provisional prepayment of Quarter 1 2026 HLSN funding 

Eligible providers may opt in for a provisional prepayment of Quarter 1 2026 HLSN funding. A provisional prepayment is available for community preschools with children who were eligible for annual HLSN funding in Quarter 4 2025, are identified as returning to the community preschool in 2026 and who continue to have constant and ongoing high learning support needs and meet the 2026 HLSN program eligibility criteria. 

Providers will still need to submit an individual application for 2026 HLSN funding for attending children for Quarters 1 or 2 2026.

The department will contact eligible providers to notify them of the opportunity to opt in for a provisional prepayment by 31 October 2025. The opt in process is voluntary. The department will provide eligible providers with an opt-in application form to confirm continuing children. Providers are required to submit their completed opt in application form by 14 November 2025. To receive the provisional pre-payment, providers must also sign the 2026 Early Childhood Education Funding Agreement Terms and Conditions (Terms and Conditions) in Early Childhood Contract Management System (ECCMS), or, if advised by the department, the ECEC Digital Hub. Opt-in application forms do not need to be returned if there are no continuing children, or if eligible providers choose not to opt-in. 

The application outcome date and provisional prepayment will be made outside of the regular quarterly payment schedule and will occur by 24 December 2025. The provisional prepayment will be calculated, and funding will be provided based on the number of support hours to be requested for continuing children for Quarter 1 2026. Subsequent payments/adjustments for these applications will then return to the normal 2026 quarterly payment schedule. See Section 5. Application opening, closing and outcome dates of the 2026 HLSN Guidelines for application cut-off and payment schedule. 

Any provisional prepayments received in December 2025 will be offset against payments made for Quarters 1 to 3, 2026. Any provisional prepayment made for a child who does not return in 2026, or who is assessed as ineligible for 2026 HLSN funding, will be offset against HLSN funding for other children if applicable or will be required to be returned to the department as part of Quarter 3 2026 adjustments or refunds. The department will contact providers regarding any return of funding required.

Please note

Providers will still need to submit an individual HLSN application for 2026 HLSN funding for attending children for Quarters 1 or 2 2026. The submission of an opt-in application form, nor payment by the department to a provider does not replace an individual child application. 

Funding 

Community preschools can apply for funding for a child with high learning support needs up to a total of $16,542 (ex GST) per child per year. This funding is provided at a rate of $27.57 (ex GST) per hour for the equivalent of up to 600 hours of support per child per year.