YORKTON - Communities throughout Saskatchewan will receive record-setting Municipal Revenue Sharing (MRS) in the upcoming 2025-26 Provincial Budget with $361.8 million, an increase of $21.5 million or 6.3 per cent from last year, detailed a recent provincial government release.
"Our government continues to deliver reliable, predictable municipal revenue sharing to our communities and is the envy of other municipal governments throughout Canada," Government Relations Minister Eric Schmalz said in the release. "More than $4.6 billion in MRS funding has been delivered through this program since 2007-08, based on the strength and growth of Saskatchewan's economy."
Yorkton Mayor Aaron Kienle told Yorkton This Week the increase is of course good news from a city perspective.
“The City of Yorkton is appreciative of the provincial government's commitment to increasing the Municipal Revenue Sharing program,” he said. “This dependable funding is fundamental to our capacity to deliver essential services and maintain infrastructure for our residents.”
Having a stable source of funding is important said Kienle.
“In these uncertain economic times, the Municipal Revenue Sharing program remains a cornerstone of our financial strategy,” he stated. “We are grateful for the continued support that reinforces our ability to effectively serve the community's needs and invest in future developments.
“We thank the provincial government for their unwavering commitment to a stable funding formula, enabling us to navigate these complexities while remaining focused on local prosperity and growth.”
MRS provides predictable, unconditional funding to Saskatchewan cities, towns, villages and rural municipalities based on three-quarters of one point of provincial sales tax revenue from two years prior. The predictable nature of the funding ensures that communities are able to make budget plans knowing what their annual allocation will be, providing stability for strategic investments at the municipal level.
The Government of Saskatchewan's commitment to affordability to all residents, agricultural land owners, businesses and corporations operating in the province will include a reduction in Education Property Tax mill rates in the 2025-26 Budget.
"In this revaluation year, all property tax classes will see reductions in Education Property Tax mill rates, which will result in property tax savings of more than $100 million annually," Schmalz said in the provincial release. "In this era of uncertainty, the Government of Saskatchewan is committed to examining the tax tools available to us, to provide relief to Saskatchewan property owners facing rising costs."
Here Kienle was more cautious in his response.
“While we acknowledge the reduction in education property tax mill rates, we are mindful of the concurrent changes in property assessments,” he told YTW. “We are closely monitoring how these adjustments will interact to influence the overall financial landscape for our municipality.
“Understanding the combined effects of these factors is crucial to assessing their impact on our fiscal planning and obligations.”
MRS amounts by community including historical allocations will be available on saskatchewan.ca on budget day, March 19, 2025.
