Saskatchewan finance minister Eric Cline increased the provincial health budget by $63 million last week, saying the province has to make sure the system is sustainable.
“Let us not fool ourselves,” he said during his budget speech. “With the federal government paying only 13 cents of every health dollar, the future of Saskatchewan’s health system is in our hands alone.”
The health budget is now $1.97 billion and accounts for about 37 percent of the province’s spending.
The $63 million will go into base funding for front-line services, Cline said. This includes things like the provincial drug plan, doctor fees and provincial laboratory services. Fifty million dollars allocated for Y2K readiness last year has been redirected into front-line services as well, he said.
Read Also
Agriculture ministers agree to AgriStability changes
federal government proposed several months ago to increase the compensation rate from 80 to 90 per cent and double the maximum payment from $3 million to $6 million
Support for the health districts was increased by $11 million.
Cline also announced a new $150 million health transition fund. Details on how the fund will work have not been announced, but it will be one-time support “to ease the transition to the health system of tomorrow.”
Health minister Pat Atkinson said a review of the system will take place and that will determine what changes will be made.
The Saskatchewan Association of Health Organizations said the budget presents the health sector with a significant challenge.
“With the biggest portion of the increase going toward funding last year’s collective agreements, little is left for anything else,” said chair Brian Rourke.
Cline also increased the education budgets. Operating funds for kindergarten to Grade 12 were increased by $28.5 million. Operating and capital grants for post-secondary institutions were also increased.
But election campaign promises by both partners of the NDP-Liberal coalition government for free tuition to first-year post-secondary students and $1,000 scholarships to full-time students, were ignored.
Instead, Cline announced post-secondary graduates who stay and work in Saskatchewan will receive a $350 tax credit.
