It was one of 16 boards axed in the budget to save the Hodgman government $7 million, with the foundation receiving $500,000 annually.

Its chairwoman Elizabeth Daly said she wanted the minister to allow the board to remain in operation so that it could continue to advocate for children and early learning.

"We understand the economic situation and know that the funding issue is difficult but rather than repealing the foundation, I'm hoping to talk about letting it lie on the table for 12 months to see what we can do to support the government policies without funding," Ms Daly said.

"It is the kids and families who are at stake here. No one education department can do this by themselves and we think there are some positive things that we can still do."

The foundation's board meets four times a year, at a cost of about $10,000.

It is an advocate for early year child development, conducts and supports research in this area, and has supported innovative projects in the form of grants, on which its funding was spent.

The foundation's past chairwoman, Sue Jenkins, said the group played a role in setting up child health centres in disadvantaged communities in Tasmania, and helped to implement relevant community programs based on research.

An example of this was the Empowering Parents, Empowering Communities parenting program.

"Twenty-five parents have gone through the training and can now run the courses themselves. Over 80 per cent of these have gone on to get employment due to a growth in self-confidence," Dr Jenkins said.

"We have learnt that for every dollar you invest in supporting families with very young children, you actually gain at least $7, and in terms of later educational, mental health and general well-being outcomes, the return is huge."