Commission on the Reform of Ontario's Public Services

A Comprehensive Resource Plan to Live Within One Per Cent
Per Year in Education
The funding policy changes contemplated by the <strong>Commission</strong> to live within a one per cent
annual growth rate in education program spending to 2017–18 are summarized below:
Our recommendation of a one per cent annual increase in education funding means that the
education sector’s 2017–18 budget will be $1.6 billion larger than it was in 2010–11. However,
a combination of higher compensation costs, the remainder of FDK expansion as now planned
and other real fiscal pressures point to an additional $4.4 billion in spending in 2017–18, as
shown in the table below. The result in 2017–18 is a shortfall of $2.8 billion:
TABLE 6.1 2017–18: Where the Status Quo Outlook Leads with 1% Annual
Spending Growth
1% growth per year in education spending increases by 2017–18 $1.6 Billion
Compensation cost increases by 2017–18
(Annual wage increases as per current public-sector trends of settlements — MOL BPS data)
($2.0 Billion)
Remainder of FDK expansion under current model ($1.2 Billion)
Real fiscal pressures by 2017–18 (annualization of 2011–12 enhancements, amortization of approved
capital projects, increased teacher qualifications and experience)
($1.2 Billion)
Shortfall ($2.8 Billion)
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