The territorial government is committing additional support for Yukon municipalities. In total, $22 million went out to the Yukon’s eight incorporated communities for this year’s comprehensive municipal grant. This is a $1.1 million increase over the previous year.
The eight communities that benefit from the grant are: Carmacks, Dawson City, Faro, Haines Junction, Mayo, Teslin, Watson Lake and Whitehorse.
Whitehorse saw the single largest increase in its grant allotment, but also receives the largest grant by far. The capital was granted $8.5 million — $558,611 more than last year.
Dawson, Haines Junction and Watson Lake all saw increases of approximately $100,000 — $105,259, $109,163 and $118,574 respectively.
Mayo is getting $74,514 more than last year and the increases for Faro and Carmacks are $66,517 and $60,212.
The smallest increase, $22,231, is going to Teslin which also receives the smallest grant overall at $1.4 million, about $70,000 less than the next smallest recipient, Carmacks.
The announcement of the 2023 grant funding states that the government’s grant allocation process uses a formula that incorporates information from the previous two years including population, properties, infrastructure and the tax base of each municipality. The cost of goods in the communities when compared to prices in Whitehorse are also considered.
A department of Community Services representative told the News that all those factors are considered in the calculation and the smaller increase Teslin received cannot be attributed to any one factor.
“Our government is proud to provide this core funding to municipalities as they deliver sustainable services and effective local decision making. The comprehensive municipal grant was created to help communities address the many demands they face. This funding is the cornerstone of our financial support for healthy, resilient and sustainable Yukon municipalities,” said Community Services Minister Richard Mostyn.
The announcement of the funding increases describes the municipal grant as the territorial government’s core ‘unconditional’ funding provided to municipal governments. The grants have been going out to municipalities since 1991.
The statement notes that this is not the only payment to municipalities the Yukon government will be making in the near future as it will be transferring its “grants in lieu of taxes” later this year. These grants act as payments instead of taxes on the Yukon government properties within municipal boundaries. About $9.9 million went out to municipalities through these payments last year.
Contact Jim Elliot at jim.elliot@yukon-news.com