Seize the opportunity to press for new municipal funding model: MHCA

Winnipeggers – and their political leaders – should seize the opportunity before them this year to push the province to negotiate a new revenue-sharing model for the city, MHCA President & CEO Chris Lorenc says.

Winnipeg now has a new mayor – Scott Gillingham – and elected a new council last fall, and it is looking at a provincial election campaign this fall.

That makes for the right conditions to press the three leaders of Manitoba’s main political parties to commit to negotiating a fairer deal to share tax revenues with municipalities and especially with Winnipeg, in particular.

Lorenc will make the remarks at the April 13 Civic Leaders Dinner hosted by Winnipeg Chamber of Commerce, at which MHCA is a sponsor.

The dinner is attended by the Mayor and Council, senior political staff and senior administration, along with leaders from business and community organizations.

Manitoba’s recent announcement to increase base grants to all municipalities was welcome, but only a first step of a necessary new funding-model discussion, Lorenc’s address points out.

The base-grant increase acknowledges the limited financial resources with which Winnipeg and all municipalities have to meet service demands. The sharing of tax revenues should be more proportionate to the wealth generated by citizens, it says.

“Consider that the Capital Region hosts 67% of the population and contributes 65% to the provincial GDP. This economic powerhouse should benefit from a greater share of the revenues spun off from its ‘economic eco-system’, enabling greater growth.

“Given the pending provincial election, let’s press the party leaders to commit to voters to negotiating a new funding model.”

 To read the full address, click here.