INFRASTRUCTURE FUNDING, REVENUE SHARING HIGHLIGHTED IN BUDGET

Increased funding for needed infrastructure projects and a continued commitment to revenue sharing at last year's record levels highlight the 2010-11 provincial budget for municipalities.

"Our budget demonstrates our government's commitment to municipalities to help maintain and build economic momentum in our province," Municipal Affairs Minister Jeremy Harrison said. "Providing infrastructure dollars to municipalities is forward looking. It allows our government to leverage federal investment and keep Saskatchewan moving forward."

Municipal revenue sharing continues at $167.4 million for 2010-11, the same record-setting level allocated to municipalities in the previous budget.

Capital funding of $177 million will be allocated to municipalities. Total funding for federal-provincial-municipal infrastructure programs increases to $115.8 million, a 71.7 per cent increase over the 2009-10 budget. This includes $60.6 million for stimulus programs that need to be completed before March of 2011 and $51.9 million for longer term projects.

In 2010-11, $58.3 million in federal flow-through funding from the Gas Tax Program will help more municipal infrastructure projects move forward. Funding of $2.3 million is provided to maintain commitments under the Saskatchewan Infrastructure Growth Initiative (SIGI), providing assistance to growing communities that face increased costs, including commercial and residential lot development.

In addition, the budget provides $2.9 million for transit assistance for the disabled, $12.8 million for grants in lieu of taxes, and $9.6 million for the Saskatchewan Assessment Management Agency.

Overall, this budget includes $369 million in 2010-11 for municipal financial assistance, including flow-through dollars from the federal government, representing a 12 per cent increase from $330 million in the 2009-10 provincial budget.

Harrison noted the Provincial Government also expedited $77.7 million in infrastructure funding to communities in 2009-10 to get dollars into the hands of municipalities to start or continue projects and take advantage of the coming 2010 construction season.

"We're pleased with our budget this year and our ability to support infrastructure," Harrison said. "It is part of the historic investment of more than $1 billion that our municipal, provincial and federal governments have committed for municipal infrastructure from 2008-09 through 2013-14."

-30-

For more information, contact:

Jeff Welke
Municipal Affairs
Regina
Phone: 306-787-6156
Email: jeff.welke@gov.sk.ca
Cell: 306-536-1185