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2012 budge stays the course

You can't please all of the people all of the time.

You can't please all of the people all of the time.

Last week the province rolled out a budget for the coming year and while reactions are mixed, Premier Brad Wall says it's all about keeping "The Saskatchewan Advantage," and that the province is on course to achieve the goals set forth by the throne speech last year.

It's been noted that the budget is again balanced, and the biggest increases are in the human services area, with a $92.8 million increase in funding for the health regions, along with $3.5 million to the Seniors Personal Care Home Benefit, expanded Saskatchewan Assured Income for Disability programs. There were also increases in education and new housing programs, which include the first time home buyer's credit, as well as tax incentives for new multi-unit rental properties. The highways budget will become the biggest the province has seen, with a total budget of $581.5 million.

There's no question Saskatchewan is in an enviable fiscal position. With an unemployment rate of 5.3 per cent, a GDP growth rate of 4.2 per cent, and a balanced budget, the province is the envy of the nation. Last week's budget is reflective of the current state of the province. The 4.7 per cent growth in spending is high, but the government managed to submit a balanced budget without increasing taxes.

In addition to changes to the film tax credit among the most controversial aspects of the budget was the decision to increases various medical fees. These include an increase in the co-payment for seniors' and children's prescription drugs of $5, an increase of $250 for the cost of ambulance trips under the Senior Citizens' Ambulance Assistance Plan, and a $20 monthly fee for hygienic supplies for residents of special care homes.

Even with these issues, given the state of every other province, on the whole, it's hard to feel too upset.

That said, as pointed out by some who have reviewed the budget, positive economic times aren't the time to become complacent. The more efficient the government operates in good times, the less painful bad times will be. "This budget nudges the province in the right direction. But it leaves something to be desired." - Steve Lafleur, policy analyst, Frontier Centre for Public Policy.

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