The Liberal party was returned to five more years in office in the Saskatchewan provincial election on June 8, 1938. The election was significant chiefly for the decisive rebuff given to the Social Credit party's bid for expansion from the neighboring province of Alberta. Final returns, including the results of a by-election, gave the Liberal party under Premier W. J. Patterson 37 seats, and the Social Credit party but 2 seats. The Cooperative Commonwealth Federation obtained 11 seats, the Union Progressives one, and the Independents one. For the second consecutive election, the Conservatives failed to get a seat. The chief gains in the election went to the C.C.F., which increased its representation from 5 to 11 seats despite a loss in popular vote. Prospects for the best crop in 10 years are believed to have contributed to the decisive victory of the Government party. Actually the crops proved very disappointing, owing to severe last-hour damage by rust.
Premier Patterson reorganized his cabinet in December, taking in two new members, including Edward M. Culliton, the youngest man to hold a cabinet post in nearly a quarter of a century. Culliton was named Provincial Secretary and Minister in Charge of the Provincial Tax Commission. C. M. Dunn, Minister of Highways in the previous Patterson government, who had twice been defeated by re-election, was replaced, six months after his defeat, by Arthur T. Procter.
Faced with another disappointing harvest in 1938, the Government was forced again to ask for a grant from the Dominion Government to meet current expenditures. Aided by a $2,000,000 grant from Ottawa, the province completed its fiscal year on April 20, 1938, with a deficit of only $191,940, the smallest since 1928-29.
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