The Saskatchewan government's finances have taken a hit from a drop in oil revenue and Crown land sales.
The province says in its firstquarter financial report that overall revenue is forecast to be down $113.2 million from the March budget. The drop in nonrenewable resource revenue is forecast at $245.8 million.
But that will be partially offset by increased tax revenue, more income from liquor and gaming and an increase in federal transfers.
The budget projected a surplus of $95 million and, by law, half of any surplus has to be transferred to the province's rainy-day fund.
