March 22, 2017

2017-18 Budget Helps Meet Municipal Infrastructure Challenge

The 2017-18 Provincial Budget is providing a major increase in infrastructure investment to help Saskatchewan municipalities meet the needs and challenges of their communities and regions.

Municipalities are receiving $434.2 million in direct provincial support in the budget, an increase of $29.1 million or 7.2 per cent from the 2016-17 Budget.

Infrastructure funding accounts for $134.2 million of that total, up 60.1 per cent from the $83.8 million allocated to infrastructure support in the 2016-17 Budget.

“Replacing and enhancing infrastructure is critical for communities and municipal governments,” Government Relations Minister Donna Harpauer said.  “This is unquestionably a challenging budget year, but we’re committed to giving our municipal partners the support they need to make investments in the facilities and systems that improve the quality of life of the citizens they serve.”

The $134.2 million in infrastructure funding support includes:

  • $60.8 million from the Ministry of Government Relations for provincial support under the New Building Canada Fund;
  • $36.4 million from the Ministry of Government Relations for the provincial portion of the federal-provincial Clean Water and Wastewater Fund;
  • $15.0 million from the Ministry of Government Relations for the Saskatoon North Commuter Bridge; and
  • $22.1 million from the Ministry of Highways and Infrastructure for the Municipal Roads for the Economy program ($14.0 million), the urban connector program ($6.7 million) and the strategic partnership program ($1.4 million).

The 2017-18 Budget maintains the municipal revenue sharing formula of one percentage point of Provincial Sales Tax (PST) revenue.  As a result, municipal revenue sharing will be $257.8 million, a decrease of 5.1 per cent from the record funding in the last budget, reflecting the reality of lower PST revenue in more challenging fiscal times.

Urban revenue sharing for all cities, towns, villages and resort villages will amount to $165.7 million in 2017-18.  Revenue sharing for rural municipalities, which includes organized hamlets, will total $72.8 million.  Northern municipalities will receive $19.2 million in the coming fiscal year.

Saskatoon, the province’s largest city, will receive $46.4 million and Regina will receive $40.5 million in municipal revenue sharing.  Revenue sharing totals for individual municipalities can be viewed at

The Budget also provides $42.2 million in other funding to municipalities from ministries, including grants for such services as policing, libraries, urban parks and transit assistance.

Direct provincial support to municipalities has increased by $192.3 million or 79.5 per cent since the 2007-08 Budget.