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Saturday, October 11, 2008
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Saskatchewan municipalities received a 7 per cent increase in revenue sharing in the 2008-09 provincial budget, and a further 8 per cent increase was announced in April of 2008. The government is committed to developing a long-term revenue sharing agreement in consultation with municipalities.

2008 - 2009 - Budget $51,577,000

Unconditional Grants

There are two components to the rural unconditional revenue sharing grants as follows:

2008 - 2009 unconditional grant budget:

Unconditional Grants  

 $ 44.621Million

Organized Hamlets

   $   0.756Million

Total  

  $ 45.377 Million

1. Unconditional Grants

Unconditional grants are based on a formula that includes the road system and other service expenditures in each Rural Municipality (RM). The new rural road classification system (class 2 to 6) in each RM is used to calculate the roads portion of the grant. Adjustments are made based on the taxable assessment per kilometer and the relative cost of road construction in each RM to provide equalization of fiscal capacity among RMs.

A three year rolling average of the net operating expenditures (gross expenditures less related revenues) in each RM for other services is determined from the RM's financial statement. An adjustment is made based on the taxable assessment per capita, to equalize the fiscal capacity of each RM to provide other services. The transportation and other services components are then added together to determine the unconditional grant for each RM. In some RMs an adjustment is also added for villages that have dissolved into the RM and have not formed an organized hamlet.

2. Organized Hamlet Grants

  • 60% of the Base + Per capita amounts for towns and villages paid under Urban Revenue Sharing
  • $1,215 base amount + $71.08 per capita, based on 2006 census populations

Grants are paid to the rural municipality on behalf of the organized hamlets, as they are not incorporated.

Conditional Grants

There are four components to the rural conditional revenue sharing grants as follows:

  • Heavy Haul-High Volume (HH-HV) road construction
  • Bridge construction / maintenance / inspections
  • Traffic counting
  • Communities in Transition

2008 - 2009 Conditional Grant Budget:

  • Heavy Haul-High Volume Roads $2.25 million
  • Bridges $3.10 million
  • Communities in Transition $0.70 million
  • Traffic Counting $0.15 million
  • Total Conditional Grants $6.20 million

Communities in Transition

Budget $700,000

As part of Rural Revenue Sharing, $700,000 will be provided to the Communities in Transition (CIT) Program in the 2008-2009 fiscal year.  

The primary purpose of the CIT Program is to provide funding assistance in those Rural Municipalities (RM) that assume financial liabilities related to environmental-based physical infrastructure when a village dissolves into an RM.  These infrastructure issues are often detrimental to the safety and health of communities and their residents.  Beginning in 2008-2009, the CIT program will also provide funding for eligible feasibility and administrative costs associated with municipal restructuring, as previously funded through the Municipal Restructuring Fund that was managed by the Saskatchewan Association of Rural Municipalities and funded by the Ministry of Municipal Affairs. 
 
Saskatchewan communities that assume financial liabilities related to municipal restructuring.  The program has built in flexibility to meet these needs, as different situations may require unique solutions.  The program may be modified, if required, to ensure the successful delivery in upcoming fiscal years.  This will be determined following a review of the program at the beginning of each fiscal year.
For further information on the CIT Program contact the Grants Administration and Financial Management Branch in the Ministry of Municipal Affairs at (306) 787-8809.

 Heavy Haul-High Volume Roads

Budget $2,250,000

Bridge Construction, Maintenance  and Inspection

Budget $3,100,000

Traffic Counting

Budget $150,000

The Ministry of Highways and Infrastructure manages the HH-HV, bridge and traffic counting programs. Highways and Infrastructure approves projects, supervises tendering and construction, and reviews the grant claims. The claims are then forwarded to Municipal Affairs for payment.

Traffic Counts

Municipalities do not need to apply for traffic count grants, or to have counts completed. Traffic counts are done by the Ministry of Highways and Infrastructure on a rotation schedule.

Mail completed forms to the appropriate
Municipal Project Engineer,
Ministry of Highways and Infrastructure at:

Northern Region
Box 3003
Prince Albert, SK S6V 6G1

Central Region
2174 Airport Dr.
Saskatoon, SK S7L 6M6

Southern Region
1630 Park Street
Regina, SK S4N 2G1

 

Municipal Bridge Application  

Mail completed forms to:
Bridge Services
Ministry of Highways and Infrastructure
240 Henderson Drive
Regina, SK S4P 5P7

 

Application for Grant Payment   

For further information contact:

Ministry of Municipal Affairs
Grants Administration & Financial Management
410 - 1855 Victoria Avenue
Regina, SK S4P 3T2

Contact:
Mary Ulmer, Program Advisor
Phone: (306) 787-2662
Fax: (306) 787-3641
E-mail: Mary Ulmer


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