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Finding the Right Funding Formula – Winnipeg Free Press

Opinion

Manitoba school divisions are getting increased funding this year. Representatives of the provincial government say that this will exceed the inflation rate. However, many school boards only receive a one percent increase or less. That means some may have to cut basic services or raise education property taxes.

It's a reminder of how important education funding reform is to the province.

Manitoba's NDP government last week announced a 3.4 per cent increase in overall funding for school divisions. That's slightly higher than the province's projected inflation rate of two to three percent for 2024. Departments will receive $93.4 million in additional operating funds in 2024-25. All 37 school divisions will receive some kind of increase.

MIKE DEAL/WINNIPEG FREE PRESS files Education Minister Nello Altomare

MIKE DEAL / WINNIPEG FREE PRESS files

Minister of Education Nello Altomare

However, thanks to the province's complex funding formula — based in part on projected student enrollment — some units will see increases well below the rate of inflation. Because school costs are often stable (they are not directly related to annual changes in student enrollment), divisions that receive below-inflation increases may be forced to cut services—such as library hours or the number of teachers they employ—to balance their costs. budgets.

The opposition Tories pointed out that the 3.4 per cent increase was far less than the six per cent increase delivered by the previous PC government last year. However, Tory MP Wayne Evasco, the interim leader of the official opposition, failed to point out that his government's increase followed six years of austerity, which in some cases forced school divisions to cut services.

However, because the 3.4 percent increase does not apply to all departments, not all schools will receive adequate funding in 2024-2025.

In addition, Education Minister Nello Altomare announced that school divisions will be allowed to raise education property taxes again, which was not allowed under the previous government (unless they are willing to give up provincial compensation grants).

The reintroduced tax authority would allow school boards to fill funding gaps when grants fall short. However, it also penalizes homeowners who live in parts of the province with stable or declining student populations.