90-day Extension of Equalization Talks Approved

Premier John Hamm has asked Angus MacIsaac, Minister of Service Nova Scotia and Municipal Relations to extend talks on the province’s municipal equalization proposal for 90-days in response to a request by the Union of Nova Scotia Municipalities (UNSM).

"Our government remains committed to working together with our municipal partners for the benefit of Nova Scotia taxpayers," said Premier Hamm. "This proposal is just that, a proposal and we are willing to consider other options. Our goal is to reach a timely solution to this complex issue which is fair to all Nova Scotians."

The premier indicated he was pleased that the UNSM wants to work with the province and member units to achieve that goal. He said the province does not want to repeat past mistakes of unilaterally forcing any service exchange proposal on municipalities.

On Thursday, March 29, UNSM president Anna Allen wrote to Premier Hamm following a meeting of the provincial organization’s executive committee. In the letter, the UNSM requested a three- month period to negotiate a service exchange agreement that is acceptable to all UNSM members.

The Union of Nova Scotia Municipalities has been notified that the premier and Mr. MacIsaac will contact the UNSM in writing this week to formalize the process.

Mr. MacIsaac reiterated the government’s position on Friday, March 30, that the 12-month notice period for changes to provincial-municipal financial arrangements remain intact for April 1, 2002.