September 16th, 2019

Prior to 1998, school boards received some provincial capital grants, but they also raised taxes for operating and capital purposes. In 1998, the Province introduced an allocation-based funding model, which means the Province sets the tax rates and school board funding is a provincially determined. Boards have limited ability to raise funds for locally determined needs. In 2009, the Ministry of Education reviewed the funding approach to existing capital programs and the effectiveness of the former New Pupil Places funding model in light of declining enrolment.

As a result, a number of changes were introduced in 2010. The current Capital Priorities Grant program which funds major capital construction projects is a debt support grant that does not fluctuate with enrolment. This funding is typically allocated on an annual basis for capital needs identified for the following two to three years. Boards are required to submit business cases for each project, and requests must align with Ministry priorities. The Ministry makes the final determination on which projects, if any, will be funded.