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BUDGET SUPPORTS SASKATCHEWAN'S NORTHERN STRATEGY

Released on March 31, 2000

Economic and social development in northern Saskatchewan received a major boost

from this week's provincial budget.



Northern Affairs Minister Keith Goulet said the budget significantly increases

provincial government support for the Northern Strategy – a development plan

adopted by the Province and northern leaders in 1998.



"New measures for economic development, increased funding for northern

infrastructure, new training initiatives, and strengthened environmental

protection measures will all benefit," Goulet said.



Infrastructure



The 2000-2001 budget provides $33 million in provincial funding for capital

projects in the Northern Administration District. Highway upgrading will

total almost $17 million; $9 million is provided for new health centres at La

Loche and Stony Rapids; $1.3 million is in place to begin construction of a new

school at Pinehouse Lake; $3 million is allocated for water and sewer projects;

and $3 million is provided for northern housing.



The Province will also administer federal funding for northern airport

improvements at La Ronge, Wollaston Lake and Fond du Lac.



In addition to individual northern projects funded by the new budget, a minimum

of $5 million from the newly established Centenary Capital Fund will be

reserved for northern development initiatives in each of the next four years.



"This commitment to northern Saskatchewan is a direct response to the Northern

Strategy partnership we have developed with northerners and the federal

government," Goulet said. "In the coming weeks, we hope to complete a formal

Northern Development Accord with Canada, northern First Nations, the Métis

Nation of Saskatchewan, and northern municipalities. The Accord will help

achieve additional infrastructure improvements, capacity building by northern

people, and investment to further develop and diversify our northern economy."



Northern forest industry will benefit from an initial $1 million to establish a

forestry training program. The industry will also be strengthened by increased

reforestation, improved forest management services, and upgrading of northern

highways,



"One of the major benefits of sustainable forestry is that can help create long-

term jobs and economic opportunities for northerners," Environment and Resource

Management Minister Buckley Belanger said. "This training ensures that they

can take advantage of these new job opportunities."



Two new occupational health officers will ensure safety education and

enforcement in the forestry sector. As well, Saskatchewan Northern Affairs

will assign an employee to work fulltime with northern communities, assisting

northern residents to take advantage of training, employment and business

development opportunities associated with the forest industry.



Education and Health



Operating funds for northern school divisions have been increased by $1.2

million to more than $31 million for 2000-2001. Part of the increase will be

used to strengthen the northern community schools program.



The budget also includes an additional $1 million for northern health

districts. Provincial funding for health services in the Northern

Administration District now exceeds $28 million.



Taxation



Goulet said northerners would benefit from changes to the provincial tax

system.



"Income taxes will be reduced, a new Child Tax Credit will be introduced and a

fully refundable Sales Tax Credit will be provided to low income families. A

family of four earning $25,000 per year will see total income taxes and sales

taxes reduced by more than 50 per cent."



"The budget represents a significant investment in the future well being of

northern Saskatchewan. As a result, northern living conditions will continue

to improve and northern development will increasingly contribute to the

diversification of Saskatchewan's economy," Goulet said.



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For further information, contact:



Brian Cousins

Saskatchewan Northern Affairs

Phone: (306) 425-7303 or 425-4200

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