EDITORIAL—Spare schools HST impact
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If the B.C. Government’s Harmonized Sales Tax (HST) is to become reality next year, a mitigating measure to reduce its impact on a specific group is absolutely essential.
As it stands, school districts in B.C. will see their operating costs increase by an estimated $24 million due to the HST on school supplies, student transportation, and maintenance, as well as any renovation work and land acquisition.
School districts can’t run deficits like senior government, and budgets do not automatically expand to adsorb new costs, such as increased union contracts, or other service and supply costs.
In a district like Delta which is experiencing continued dwindling enrolment, and has already had to close a pair of schools earlier this year, the financial impact may be huge and the damage far reaching.
Delta School District officials have crunched the numbers and estimate they can expect to pay an additional $300,000 to $400,000 because of the HST.
Those are precious education dollars that would be better spent in the classroom rather than be funneled back to the government’s coffers.
And given the fiscal restraints facing the province, it’s unlikely government grants will be increased to cover the HST bill of school districts.
Hence, the provincial government must grant them an HST rebate.
To do nothing is unacceptable.
Many other communities are already witnessing their school boards struggling with tight or inadequate funding.
Over the past few years, dozens of B.C. schools have closed in other districts, and many programs and renovation upgrades have been shelved due to budget constraints.
To hit districts with even greater costs, for absolutely no return, is extremely counter-productive to the objectives of public education.
The economic benefit of the HST is debatable at best; damaging at worst.
It’s best we keep children and their education out of this experiment.
—with files from Abbotsford News
