Solving the Problem: Fixing Saskatchewan's antiquated K-12 funding system

REGINA: The Canadian Taxpayers Federation (CTF) today released a report on school funding that calls on the province to dramatically reduce pressure on property taxpayers. The report comes in response to the Wall government's call for strategies to lower school property taxes. Under the CTF proposal, the province would provide 75 percent of school funding within three years, up from the current 50 percent.

"Saskatchewan still puts the heaviest burden on property taxpayers to fund schools compared to any other province in Canada," said CTF Saskatchewan Director Lee Harding. "The system needs an overhaul, and a permanent increase in the annual provincial operating grant. Otherwise an antiquated system will continue to discriminate against farmers and low-income earners, for whom school property taxes represent a disproportionate percentage of income."

Under the CTF's proposal, school funding would rise from $750 million this year to $1.1 billion by 2011. Should the province continue increase school funding at the same pace, it could remove school funding from local property taxes altogether by 2014. Five other provinces do not fund schools through local property taxes.

"In the last election campaign, the Saskatchewan Party promised to increase K-12 operating funding by $118 million over four years. In fact, the province needs to raise operating funding by that amount every year," Harding said.

"Rebate programs are a poor way to deal with the problem of high property taxes. They create unnecessary administration and lack income testing. Boughen Commission concluded that in 2003 and it's the same thing today. Manitoba's provincial government set their mind to reducing their school tax burden on property and today the province picks up 75% of the cost. There's no reason Saskatchewan can't do the same," concluded Harding.

The CTF's report, "Solving the Problem: Fixing Saskatchewan's antiquated K-12 funding system" also calls for the province to facilitate more school choice, as is done in Alberta. There, independent charter schools are fully funded by the province, and approved private schools get up to 70 percent funding. This has fostered innovation and academic excellence in all schools, including those in the public system.

The 18-page report is available online at the .pdf link above.