Interim Funding to Keep Services Running

Summary#

• This bill lets the Manitoba government keep paying for programs and services at the start of the 2026–27 fiscal year while the full budget is finalized. It gives temporary (interim) authority to spend part of the money set out in the government’s budget plan (the Estimates).

• It covers day‑to‑day operations, building projects, and certain loans and guarantees, with clear dollar caps and percentages.

• Allows up to about 75% of planned operating spending to be used for 2026–27.

• Allows up to about 90% of planned capital spending, loans, and guarantees to proceed.

• Lets the province lend to its agencies (like health, education, or Crown bodies) for capital projects, up to a set limit.

• Sets small, specific caps for inventory purchases and paying down older long‑term liabilities (past debts already on the books).

• Caps new commitments to finish projects started in the year.

• Spending can continue even if programs shift between departments.

• Takes effect as soon as it receives royal assent and applies for April 1, 2026 to March 31, 2027.

What it means for you#

• Residents and families

  • Government services like health care, schools, and social supports keep running without interruption at the start of the fiscal year.
  • Building and repair projects (roads, facilities, equipment) can continue instead of pausing for budget timing.

• Patients, students, and caregivers

  • Hospitals, clinics, and schools can pay staff and bills on time, helping avoid delays in services.

• Workers and public servants

  • Paychecks and program funding continue as usual while the full budget is debated.

• Businesses and contractors

  • The province can award and pay contracts for operations and capital projects within set limits.
  • New commitments to finish projects started this year are allowed but capped, which may affect the timing and size of future tenders.

• Provincial agencies and institutions (health authorities, schools, Crown organizations)

  • Access to provincial loans for capital investments can continue within the set totals.
  • Government guarantees can support borrowing for certain projects, up to the cap.

• Taxpayers

  • This bill does not set tax rates or create new programs on its own. It mainly provides bridge funding authority based on the government’s budget plan.

Expenses#

Estimated spending authority for 2026–27: allows the province to use part of the planned budget so services continue smoothly.

• Operating expenditures: up to about CAD $15.64 billion (75% of the planned amount).
• Capital investments: up to about CAD $0.87 billion (90% of the planned amount).
• Loans and guarantees: up to about CAD $0.84 billion (90% of the planned amount).
• Loans to provincial reporting entities for capital projects: up to about CAD $1.92 billion (90% of the planned amount).
• Inventory purchases to be sold later: up to CAD $4 million.
• Payments to reduce previously recorded long‑term liabilities: up to about CAD $167.9 million.
• New commitments made this year to complete projects/contracts: capped at CAD $1.5 billion.

Note: These are maximums the government is allowed to use during the interim period; they are not extra costs beyond the budget plan.

Proponents' View#

• Keeps essential services running on April 1 so people are not hurt by budget timing.
• Is standard practice each year to bridge the gap until the full budget is passed.
• Lets important construction and equipment projects continue, avoiding costly delays.
• Provides flexibility if responsibilities shift between departments, so programs don’t stall.
• Sets clear limits (75% or 90%) to prevent overspending before the full budget vote.

Opponents' View#

• Grants large spending authority before full debate on the complete budget, which some see as reducing oversight.
• High interim percentages (especially 90% for capital and loans) may allow major projects to proceed with limited scrutiny.
• Adding loans and guarantees can increase financial risk if borrowers cannot repay.
• Paying down long‑term liabilities and buying inventory are allowed, but the public may not see clear details on which items are covered until later.
• The cap on future commitments still allows significant obligations that could limit choices when the final budget is set.