In a year-end interview with the Canadian Press news agency the minister responsible for government spending in Canada says billions in federal funding left unspent each year is a sign of good financial management.
“And you know my opinion is, if they can achieve the public policy goal at a more accountable cost to the taxpayers,” said Minister Tony Clement who is the President of the Treasury Board, “I think that’s generally a good thing.”
Last year, $7.2 billion was handed back to the treasury, with funds left unspent in most government departments. The money was returned even as departments continue to make cuts as part of a deficit-busting exercise the government launched in 2012.
Critics such as Liberal Senator Colin Kenny are concerned about the lapsed funding. In an article published by the Ottawa Citizen newspaper the Senator says “A stealth campaign of additional budget cutting is afoot in Ottawa, occurring under the radar of most Canadians. It involves federal organizations grossly underspending their close-to-the-bone budgets without providing any explanation to taxpayers.”
In November Canadian Press journalist Mike Blanchfield reported “Almost 14% of the money that Canada’s newly amalgamated Foreign Affairs Department planned to spend alleviating poverty in poor countries in the last year has been returned, unspent, to the Finance Department.”
Also in November, Global News journalist Amy Minsky pointed out “The federal government held on to more than $10 billion it was expected to spend in 2012-13.”
Senator Kenny in his article conceded cutting costs was important but “it’s essential that these activities be carried out in a transparent manner.”
“Each year, before approving public spending, the citizens’ representatives in Parliament get to know what the government is planning to spend money on. The government is supposed to present this information in a documents called the Main Estimates and the Supplemental Estimates.”
More information:
CBC News / Canadian Press/Stephanie Levitz – Tony Clement says lapsed funds mean good financial management – here
Ottawa Citizen/Colin Kenny – Kenny: ‘Stealth cuts’ undermine parliamentary oversight – here
Canadian Press/Mike Blanchfield – Harper government accused of fattening budget surplus as $125M in foreign aid not spent – here
Global News/Amy Minsky – Ottawa sits on more than $10 billion in 2012-13, statements show – here
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