The Parliamentary Budget Office (PBO) on Wednesday said transparency in federal spending “reached a new low” under former Finance Minister Chrystia Freeland, according to Blacklock’s Reporter.
Analysts expressed anger over concealment of financial accounts that confirmed dramatic overruns in deficit spending.
“The federal government’s ability or willingness to produce high quality, timely financial statements continues to deteriorate,” said a Budget Office report Fall Economic Statement: Issues For Parliamentarians.
“It reached a new low this year with a historically long delay in the signing of Public Accounts by the Auditor General 253 days after the fiscal year ended.”
Annual release of Public Accounts is mandated to detail all spending by federal departments and agencies in a budget year. Each budget year expires March 31. Public Accounts for last year were tabled December 17.
“The Public Accounts were tabled almost a full nine months after the fiscal year closed,” wrote the PBO.
“Even worse, the audited financial statements were inexplicably tabled the day after the Fall Economic Statement rather than prior to or alongside the government’s economic and fiscal plan.”
“As noted ad nauseam by the Budget Office, the timely publication of the Public Accounts is crucial for transparency and accountability in government finances.”
“By publishing the Public Accounts earlier the government would provide parliamentarians with more time for financial scrutiny.”
The most recent Public Accounts were tabled one day after Finance Minister Freeland quit cabinet. Authorities denied concealing the records to avoid embarrassment over a 55% overrun in last year’s targeted deficit, from $40 billion to $61.9 billion.
“We always endeavour to table the Public Accounts at the earliest opportunity,” Comptroller General Annie Boudreau testified December 18 at the Commons public accounts committee.
“There were several significant transactions.”
“Was there any political pressure to delay this?” asked Conservative MP Kelly McCauley.
“The answer is no,” replied Boudreau.
“So it just happened organically?” asked McCauley.
“There were a lot of big transactions this year,” replied Boudreau.
McCauley called the delay a tactic that enabled cabinet to mislead taxpayers about overspending.
“I believe the government delayed the Public Accounts so that when we asked what the deficit was in November they did not have to tell the truth.”
“It almost looks like it was done to cover up the fact that we ended up with a $61.9 billion deficit.”
“Apparently you can lie about it,” said McCauley.
“You can lie to Canadians about it. The accounting numbers don’t change but you can say somehow that down is up and left is right.”