By Derek Cornet

La Ronge Council to push for five per cent liquor tax at upcoming SUMA convention

Jan 15, 2019 | 1:00 PM

La Ronge Council will be calling for the provincial government to implement a five per cent tax on the sale of alcohol next month at the Saskatchewan Urban Municipalities Association’s (SUMA) annual conference.

According to the resolution put forward by the town, the five per cent tax would then be returned to communities in proportion to local alcohol sales to be invested into initiatives to increase community safety and wellbeing. In order to implement the tax, council wants SUMA to be an advocate and pressure the Saskatchewan Liquor and Gaming Authority (SLGA), as well as the Ministry of Finance, to do so.

“The costs of problematic alcohol use in the province are high and broadly impact the health, safety and wellbeing of Saskatchewan communities,” the resolution states. “Pricing and taxation are identified as best practice policy options for reducing alcohol consumption and related harms. Municipalities have limited capacity to address local consequences of problematic alcohol use in their communities.”

La Ronge Mayor Ron Woytowich would like to see the provincial government commit to implementing the tax, but he believes it’s unlikely. He said the percentage the province earns from alcohol sales is low and he doesn’t expect the government will share some of those profits. Woytowich noted, however, municipalities do need some way to increase capacity to deal with the consquences of alcohol consumption.

“My own opinion is we’re not going to get it, but there is nothing wrong with trying,” he said. “If [the] government is not willing to increase taxes, give us the power to do it and those of us who feel we need it will tax. Right now, we don’t have that right.”

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At the SUMA convention in 2018, La Ronge Council met with SLGA officials where they learned the municipality lacked the legal authority to implement a five per cent levy at local liquor retailers. A spokesperson with SLGA told larongeNOW the town couldn’t target certain businesses based on its products and services.

While details have yet to be finalized, Woytowich expects all councillors with the exception of Counc. Rex McPhail will attend the meeting in Saskatoon, adding acting-administrator Robbie Bender and Director of Infrastructure Mike Maggrah were also invited. Woytowich stated the convention is a good chance for council to network with other councils, as well attend a tradeshow and various training workshops.

“It is the one chance we get to communicate and talk with other municipalities,” he said. “We find out what they’re doing. A lot of times we find out where money is coming from, what emphasis should be put on … and find out the problems they have and how to avoid them.”

derek.cornet@jpbg.ca

Twitter: @saskjourno