Supplementary information on the costing of indexing the maximum per capita payment under the Fiscal Stabilization Program
Published on January 21, 2021
This blog post provides supplementary information on the qualifying provinces and their respective payments underlying PBO’s 20 January 2021 costing of the Fiscal Stabilization Program (FSP).
Tables 1 and 2 below present the cost of the FSP program before and after indexing the maximum per capita payment by each qualifying province. Note that the most recent provincial budgetary documents used to calculate FSP payments and loans were current as of December 2020. Subsequent COVID-19 measures and economic developments and their impact on provincial revenues are not taken into account.
| _Cost of FSP program before indexing the maximum per capita payment Table 1_ |
$ millions | Description | 2020-21 | 2021-22 | 2022-23 | 2023-24 | 2024-25 | 2025-26 |
|---|---|---|---|---|---|---|---|---|
| Nova Scotia | FSP payment | - | 59 | - | - | - | - | |
| Cost of interest free loan (loan amount = $564M) | - | 4 | 4 | 5 | 7 | 11 | ||
| Ontario | FSP payment | - | 884 | - | - | - | - | |
| Cost of interest free loan (loan amount = $2,842M) | - | 18 | 22 | 25 | 38 | 53 | ||
| Manitoba | FSP payment | - | 83 | - | - | - | - | |
| Cost of interest free loan (loan amount = $193M) | - | 1 | 2 | 2 | 3 | 4 | ||
| Alberta | FSP payment | - | 265 | - | - | - | - | |
| Cost of interest free loan (loan amount = $1,565M) | - | 10 | 12 | 14 | 21 | 29 | ||
| British Columbia | FSP payment | - | 309 | - | - | - | - | |
| Cost of interest free loan (loan amount = $1,230M) | - | 8 | 10 | 11 | 16 | 23 | ||
| Total cost | - | 1,640 | 51 | 57 | 85 | 119 | Source: Parliamentary Budget Officer. |
| _Cost of FSP program after indexing the maximum per capita payment Table 2_ |
$ millions | Description | 2020-21 | 2021-22 | 2022-23 | 2023-24 | 2024-25 | 2025-26 |
|---|---|---|---|---|---|---|---|---|
| Nova Scotia | FSP payment | - | 166 | - | - | - | - | |
| Cost of interest free loan (loan amount = $457M) | - | 3 | 4 | 4 | 6 | 9 | ||
| Ontario | FSP payment | - | 2,502 | - | - | - | - | |
| Cost of interest free loan (loan amount = $1,224M) | - | 8 | 10 | 11 | 16 | 23 | ||
| Manitoba | FSP payment | - | 234 | - | - | - | - | |
| Cost of interest free loan (loan amount = $41M) | - | 0.3 | 0.3 | 0.4 | 1 | 1 | ||
| Alberta | FSP payment | - | 751 | - | - | - | - | |
| Cost of interest free loan (loan amount = $1,079M) | - | 7 | 9 | 10 | 14 | 20 | ||
| British Columbia | FSP payment | - | 874 | - | - | - | - | |
| Cost of interest free loan (loan amount = $664M) | - | 4 | 5 | 6 | 9 | 12 | ||
| Total cost | - | 4,550 | 27 | 31 | 46 | 65 | Source: Parliamentary Budget Officer. |