The provincial government’s municipal revenue sharing grant composes nearly one-fifth of Moose Jaw’s revenues, so city hall is ensuring all necessary paperwork is updated so funding can continue to be received.
The provincial government has provided this particular grant to Saskatchewan municipalities for many years. During the 2018-19 fiscal year, the Ministry of Government Relations began a review of the municipal revenue sharing program, according to a report to city council. The main changes to the program were:
- Funding would be based on the value of 0.75 of one percentage point of the provincial sales tax (PST) from the second preceding year;
- Funding percentages would remain basically the same but would be rounded to one decimal point;
- Beginning in 2019-20, targeted sector support of $1.5 million from municipal revenue sharing would be allocated to support programs, projects and initiatives directed at good governance, legislative compliance and increased inter-municipal and regional co-operation;
- Municipalities will attest to their compliance with a set of legislative provisions to remain eligible, after a test year for additional eligibility criteria in 2019-20. Full implementation is intended for 2020-21.
The six eligibility requirements include providing an audited financial statement, waterworks reporting (if applicable), education property tax returns (being in good standing), council procedures bylaw document, an employee code of conduct statement, and council members’ public disclosure statements.
Beginning in November, municipalities will be asked to complete an annual declaration, the report said. If they do not meet all six requirements or do not submit their declarations before the closing date of Jan. 15, their municipal revenue sharing grant for 2021 may be withheld until all requirements are met. They will have to take the necessary steps to meet all the requirements and then notify the ministry that this has been completed before funding will be released.
Grants from the province make up 21.31 per cent of the City of Moose Jaw’s revenue, or more than $10.5 million, according to the 2020 budget. Moose Jaw is expected to receive $6,831,325 in municipal revenue sharing in 2020.
During its Jan. 13 regular meeting, council voted unanimously to submit all the necessary documents and have the director of financial services sign the declaration of eligibility and submit it to the Ministry of Government Relations.
“This year is really a trial run of it for 2019. If you were not in compliance in 2019 you will still receive your revenue sharing, but they do want us to go through that process,” said finance director Brian Acker. “Obviously if you are short in any of the areas, you have to remediate them … . The City of Moose Jaw does conform to those six criteria.”
The next regular council meeting is Monday, Jan. 27.
