Saskatoon StarPhoenix

City has yet to formally apply for funds

- ALEX MACPHERSON amacpherso­n @postmedia.com twitter.com/macpherson­a

The Saskatchew­an government is continuing to dole out cash under its new $150-million municipal infrastruc­ture funding plan, and has now approved almost 200 projects across the province.

Worth a combined $21.4 million, the list features a $1.7-million police building in Estevan, a $2.3-million undergroun­d water line project in Prince Albert and a $150,000 BMX bike track in Martensvil­le.

Smaller municipali­ties across the province are using their shares of the cash to buy vehicles and other equipment, upgrade infrastruc­ture and build playground­s.

Examples include a backup generator for Melfort’s multi-use facility ($12,339), a new fire tanker truck for the Rural Municipali­ty of St. Peter ($55,000) and a tractor for the Village of Gainsborou­gh ($36,507).

The City of Saskatoon, however, will have to wait a little longer to find out if a plan to spend its $35.5-million allotment under the program will receive the province’s approval.

City council approved the plan to put the bulk of the cash into the paved roadway reserve, freeing up $12.1 million for projects and $15 million to cover the annual deficit, at a meeting late last month. The remaining $8.4 million is earmarked for sidewalk rehabilita­tion, a downtown festival site and roadside safety improvemen­ts.

The formal applicatio­n to receive the funds has not yet been sent to the provincial government. It is expected before the July 17 deadline for applicatio­ns to the twoyear funding program.

The provincial government hasn’t commented on Saskatoon’s proposal, as it has not received an applicatio­n, but city officials have said they believe the plan is within the program’s rules.

A provincial government spokespers­on said that while timelines vary, projects have on average been approved within a month.

Saskatoon’s annual budget shortfall was most recently estimated at $13.8 million, following a host of emergency measures aimed at cutting expenses and finding savings approved by city council.

Municipali­ties are not allowed to run deficit budgets; any year-end shortfall must be made up the following year by cutting planned expenditur­es or raising property taxes.

The province launched the Municipal Economic Enhancemen­t Program in early May as part of a $2-billion infrastruc­ture funding program that Premier Scott Moe described as an economic “booster shot.”

The pandemic has already blown a hole in the province’s books, with an annual deficit pegged at $2.4 billion and public debt rising, in part due to the borrowed infrastruc­ture dollars, to $24.4 billion.

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