Post-secondary education, libraries, employment services and regional parks will see large cuts, the number of capital projects planned are down, and spending increases for most services just meet inflation.
The 2017-18 provincial budget, released March 22, is estimated to spend almost $11.87 billion on government operations, an increase of $199 million from the previous year. That’s a 1.7 per cent increase – projected inflation for the next year is 1.6 per cent. For capital projects, the province will spend $1.59 billion, a decrease of $422 million.
“In order to control spending it was critical to focus on priorities,” said Kevin Doherty, the finance minister. “That means we will continue to fund important public services, while at the same time, always looking for more cost-effective ways to deliver those services. It also means that in some areas, government funding will be reduced, suspended or eliminated entirely.”
There will be at least 574 people laid off as a result of the budget. The province will also see tax increases.
Health
Operations: $5,121,234,000 (+$26,384,000)
Capital: $84,153,000 (-$171,927,000)
The health regions – even as they merge into a single province-wide health authority – will receive $3.4 billion, an increase of 1.2 per cent.
The Saskatchewan Cancer Agency will receive $170 million, an increase of $3.3 million.
The province will phase out services like the hearing aid plan, which will save $3 million; podiatry services, which will save $1.2 million; continuous positive airway pressure generators to help people with breathing problems, which will save $800,000; and low-cost orthotics, which will save $285,000. These will be transferred to the private market, with the government helping those with low incomes.
Special care home fees will increase based on income, with around 50 per cent of residents expected to not be affected.
Chiropractic services will no longer be covered for low-income safety net recipients starting July 1, 2017, which will save $1.25 million.
Education
Operations: $1,902,315,000 (+$126,503,000)
Capital: $119,086,000 (-$272,305,000)
There will be no major changes to the province’s 28 school divisions. They will continue to have elected boards. Doherty said the government decided to reverse course after a record amount of public feedback expressed opposition to the move. The divisions will get $1.86 billion, losing $22 million from last year.
There will be $55.8 million in funding for child care spaces.
Regional libraries like Wapiti Regional Library will only get $2.5 million in funding this year, losing $3.5 million. The Regina and Saskatoon Municipal Libraries will lose all provincial funding.
Social Services
Operations: $1,117,769,000 (+$75,347,000)
Capital: $3,410,000 (-$3,590,000)
Income assistance programs will increase by $67.2 million to $586.2 million in order to address larger caseloads and higher average costs per case. Child and Family Programs’ budget will increase by $13.4 million to more than $256 million. Disability Programs will see an increase of $2.3 million to more than $209 million.
A program that allowed recent post-secondary graduates to borrow up to $10,000 of their unused Graduate Retention Program tax credits introduced last year will be suspended to save $8 million.
The Transitional Employment Allowance, Saskatchewan Assistance Plan and Saskatchewan Assured Income for Disability programs will be changed to save $10.6 million. Doherty said the ministry was doing a review of these programs, examining what has to be done to make them sustainable, as costs are increasing fast.
Advanced Education
Operations: $694,736,000 (-$39,841,000)
Capital: $21,500,000 (-$4,282,000)
Post-secondary institutions like Cumberland College will lose five per cent of their base operating funding, saving $30.1 million.
The Saskatchewan Advantage Grant for Education Savings, which helps those parents investing in a Registered Education Savings Plan by giving a 10 per cent grant up to $4,500 since Jan. 1, 2013, will be suspended after Dec. 31, 2017.
Parks, Culture and Sport
Operations: $62,313,000 (-$19,128,000)
Capital: $5,050,000 (-$26,092,000)
Funding for regional parks has been reduced by half. The Community Rink Affordability Grant and the Main Street Saskatchewan Program have been suspended, saving $1.7 million and $550,000 respectively.
Economy
Operations: $256,201,000 (-$3,471,000)
Capital: $460,000 (+$460,000)
The Skills Training Benefit will be eliminated, saving $2.4 million. That will be replaced by the Canada-Saskatchewan Job Grant, which will receive an increase of $1 million. Student Summer Works will be eliminated, saving $2.4 million.
There will be a $2.0 million decrease to Adult Basic Education, a $2.1 million decrease to the Provincial Training Allowance, a $2.1 million decrease to the Saskatchewan Apprenticeship and Trade Certification Commission and a $1 million decrease to Employability Assistance for Persons with Disabilities.
A Labour Market Services Office will close in Melfort.
Government Relations
Operations: $391,037,000 (-$16,010,000)
Capital: $281,041,000 (+$177,824,000)
Communities will retain the revenue-sharing program that allows them a share of money that’s equal to one per cent of the PST. Since PST revenue is down, they’ll receive $258 million, a decrease of $13.8 million.
The province will also contribute $134.2 million towards infrastructure grants.
First Nations and Métis will receive $210 million in program funding, a decrease of 0.9 per cent.
Agriculture
Operations: $386,982,000 (+$14,773,000)
Capital: $0 (-$18,500,000)
The province will fund business risk management programs like Saskatchewan Crop Insurance for $264.1 million.
It will end the Saskatchewan Pastures Program after public consultations as to future management of the land.
Highways
Operations: $239,468,000 (-$32,375,000)
Capital: $860,837,000 ($-14,900,000)
There will be $122.2 million for maintenance of the transportation system, down $28.6 million.
Over the next year, 900 kilometres of highway will be worked on, which includes two sets of passing lanes for Highway #5 between Humboldt and Saskatoon.
The Saskatchewan Grain Car Corporation will be closed. Thirteen shortline railways will get first access to the cars.
Environment
Operations: $15,3148,000 (+$2,951,000)
Capital: $16,417,000 (-$8,587,000)
Milk jugs are added to the recycling program, with people now able to get a deposit like pop cans.
Saskatchewan Transportation Corporation
The Saskatchewan Transportation Corporation will close, with freight ending May 19 and passenger services ending May 31.
The province said that the subsidy for each passenger has grown from $25, 10 years ago, to $94 today. It would cost $85 million to continue to operate for the next five years.
Doherty said all attempts to change the business model of the company have failed and that it would not be worth the investment to switch to smaller, more fuel-efficient coaches.
The buses are expected to be sold via the government asset disposal protocol.
