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Sask. government responds to Saskatoon city council’s court injunction move

Click to play video: 'Saskatoon dealing with $11.4M budget shortfall'
Saskatoon dealing with $11.4M budget shortfall
WATCH ABOVE: Saskatoon Mayor Charlie Clark discusses the grant in lieu cut in the 2017-18 Saskatchewan budget and what options the city has to deal with an $11.4 million shortfall in the city’s budget – Mar 28, 2017

Saskatoon city council’s decision to seek a court injunction in a dispute with the Government of Saskatchewan is drawing criticism from Premier Brad Wall.

On social media, Wall stated Saskatoon’s council this year voted to add 50 new employees and put away an additional $5 million in a reserve fund.

READ MORE: Saskatoon mulls legal action over cuts in Saskatchewan budget

Saskatoon will receive $46 million from the province in revenue sharing this year, Wall said.

“We think it is fair they use some of their reserves or perhaps reconsider spending decisions, rather than a court injunction or an increase in local taxes,” Wall wrote.

Council is seeking a court injunction in hopes of preventing an $11.4 million shortfall caused by the province’s plans to scrap grants in lieu of taxes for SaskPower and SaskEnergy.

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Mayor Charlie Clark has said Saskatoon’s only choice is to cut services or raise taxes. Taking money out of the city’s reserves would create future liability, Clark said.

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READ MORE: Saskatoon facing ‘immediate fiscal crisis’: Mayor Charlie Clark

The province has been clear with its third-party partners about an “extremely tough budget,” according to Saskatchewan Government Relations Minister Donna Harpauer.

“I would encourage them to try and find those efficiencies within, be that hiring freezes or whatever choices they make,” Harpauer said.

“That’s what I would encourage them to do rather than download onto the property owners,” she said.

On Monday, Clark told reporters the province is charging ratepayers twice.

“And they’re putting it into their own revenues and then they’re telling us to come up with the difference,” Clark said.

FULL COVERAGE: Saskatchewan Budget 2017: sales tax increasing to deal with $685M deficit

Opposition NDP Leader Trent Wotherspoon said cities were lied to about the money they would receive in the provincial budget.

“It just shows the terrible desperation that this government is placing municipalities, cities and taxpayers in,” Wotherspoon said.

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“Certainly organizations, school boards and municipalities are going to do what they can to stand up for themselves.”

Clark plans to join other municipal leaders for a meeting on Wednesday, which will include Harpauer and potentially other ministers.

WATCH BELOW: Saskatoon’s mayor stands by plans to seek a court injunction with the province

Click to play video: 'Saskatoon’s mayor stands by plans to seek a court injunction with the province'
Saskatoon’s mayor stands by plans to seek a court injunction with the province

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