Wagga City Council says receiving emergency childcare funding would not have altered its decision to stop licensing Family Day Care services.
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The NSW Education Department has confirmed council-funded Family Day Care services would have been eligible for financial support from the state government.
Education Minister Sarah Mitchell has pledged an $82 million coronavirus childcare package for local government services, which will be rolled out from next month.
The city's 25 educators operating under the Regional Family Day Care scheme were told on Tuesday morning that council would no longer provide licences for their services from the end of June.
Parents and educators received the distressing news in the same email, sent on Tuesday morning and seen by The Daily Advertiser, which gave them a June 26 deadline to make alternative arrangements.
Mayor Greg Conkey said on Thursday that all 25 Family Day Care educators had been moved successfully to different schemes.
Family Day Care educator Shannon Castle disagreed and said she and other educators were still planning their next move.
"We have all been digging around. Not one of us have moved. Some schemes are coming down next week. Some schemes need 10 to 15 educators to move over as a group to make it financially viable," Ms Castle said.
"Nobody has made any decision. None of us were consulted at all."
In a statement Wagga council said the NSW government was "not providing any financial assistance to Wagga Family Day Care co-ordination unit operations". "Council does not operate childcare centres," the statement said.
Council general manager Peter Thompson said the "difficult decision" to end licences had been made after two years of running the FDC scheme without federal government funding.
"The cost to us next year would be $250,000 as a net loss," Mr Thompson said.
A spokesperson from the Department of Education confirmed it had been in contact with Wagga Council's Family Day Care Service.
"[The department] confirmed their eligibility for a payment under the NSW government's $82 million funding relief package for local government run education and care services," the spokesperson said.
"Eligibility is contingent on services remaining open and prioritising care for children of essential workers, vulnerable and disadvantaged children and existing enrolments."
Council said it had completed its review into the viability of Family Day Care before the onset of COVID-19.
