Resolutions

Fund Education Through Sales or Income Tax

Year: 2009

Resolution

Therefore be it resolved that the Saskatchewan Urban Municipalities Association lobby the Government of Saskatchewan to move education costs back to either sales or income tax.

Provincial Response

Response: . In 2008-09 the Education Property Tax Credit program was extended. The credit on non-agricultural land was increased from 10% to 12% and the credit rate for agricultural land was increased from 38% to 47%. We are committed to increasing education property tax credit rates over four years while, at the same time increasing funding to the School Operating Grant by 20%. In addition to the property tax relief program, the Premier directed Jim Reiter, Legislative Secretary to the Minister of Education, to conduct a review of the role of property tax in the funding of K-12 education, the reliance of Saskatchewan’s education funding on the property tax base and the level of tax burden on various types of property owners. The objects of this review were to ensure the development of a long-term, equitable and transparent system for funding k-12 within the province. The report that Mr. Reiter has presented to me provides options that will form the basis for reforming the education tax system and reducing the education portion of property tax, which will result in greater cost-effectiveness while continuing to provide a high quality education for all students.

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