Province Provides Equalization Grants to Municipalities

The province is providing Nova Scotia municipalities with $30.5 million to help maintain a basic level of service at a reasonable level of taxation.

The annual equalization grant is for 2012-13.

"The province continues to provide grants to municipalities to help ensure they are meeting the needs of their communities," said acting Service Nova Scotia and Municipal Relations Minister Sterling Belliveau. "A municipality's share is based on its expenditure need and its ability to pay."

The province determines the amount to be distributed through the equalization program based on available funds. The same funding level has been maintained for seven years. The province does not have an obligation to allocate a specific amount to municipalities through the equalization program, but the funds provided are unconditional.

"Government is currently reviewing the funding programs and services we deliver to municipalities to confirm they are properly structured," said Mr. Belliveau. "We want to strengthen communities throughout the province and ensure that money is being allocated in a way that is fair for all municipalities."

Service Nova Scotia and Municipal Relations is conducting the first collective fiscal review of municipal programs in more than 10 years. The consultation phase has begun in conjunction with the Union of Nova Scotia Municipalities and the Association of Municipal Administrators.