Council agrees to nine‑month lease deferment for Learning Fun House daycare

Learning Fun House asked the Bird Island City Council for short‑term help to stabilize operations and the council approved a nine‑month deferment of the center’s lease payments.

A representative for the center described a recent drop in reserves and said the program secured a $19,500 line of credit to cover payroll and operating needs. The speaker said the center plans an 8.8% tuition increase effective April 1 and other enrollment and staffing adjustments. "We just needed some breathing room," the presenter said, explaining the center had been working with local and regional agencies and First Children’s Finance on a restructuring plan.

Council members asked detailed questions about cashflow projections and whether the center’s projected enrollment and rate changes would restore sustainability. The council noted available county and state grant sources and the EDA’s involvement in publicity and capital fundraising. The council discussed that the city currently pays the USDA mortgage on the building while the center handles insurance and interior maintenance.

A council member moved to defer the lease payments for the remainder of the nine months in 2025; the motion was seconded and carried. Council members said the city’s assistance—about $5,400 in waived lease payments for the period—was intended to give the center time to implement the rate increase and allow the EDA and First Children’s Finance to complete their recommended changes.

The deferment is a short‑term, one‑time accommodation; the council requested updates on enrollment, the first‑finance review and whether additional actions will be necessary later in the year.