Reinvestment in school board budgets continues

"Despite a decline in student enrolment of approximately four per cent annually in the province�s K-12 education system, and the resulting reduction in the number of schools operated by boards, the 2001-2002 budget for school board grants is being maintained at 1998-1999 levels," said Education Minister Judy Foote today.

As a result of school district restructuring, government committed, in 1996-1997, to allow school boards to retain the savings from school closures for capital expenditures for a three-year period. This continued every year since 1996-1997 bringing the total amount that has been reinvested in capital, as a result of school closures, to $23.4 million.

Once that three-year commitment was honoured, the savings were to have been returned to government. Instead, a decision was made, in each of the past two years and again for this fiscal year, to allow those savings to remain with school boards. In fiscal year 2001-2002, $5.6 million will be reinvested as a result of this initiative.

"Government�s continuing reinvestment in school board operating grants is a clear indication of our commitment to maintaining a high quality system of education in our province," added the minister.

Media contact: Andrea Maunder, Communications, (709) 729-0048.

2001 03 22                    3:15 p.m.