Alberta auditor general finds 8 new ways province could keep better track of its spending

Alberta's auditor general says the provincial government has no goals for the use of its victims of crime fund — five years after the office first recommended it.

Auditor Doug Wylie's latest report, released Thursday, also found a now-defunct government corporation paid laid off employees more severance than they were contractually obliged to, and left no paper trail to explain why.

Wylie's report included eight new recommendations for the government, most of which propose better estimating, tracking, or recording of internal machinations.

"They are necessary to demonstrate accountability," says Wylie's introductory letter. "Accountability is a cornerstone of public trust.

Although Wylie's team found $1.7-billion worth of understated expenses by the Alberta government last year, the 2020-21 books looked much better, he said.

"They heard our message last year in our reporting, and in the majority of cases, were quick to act and try to make sure that those situations didn't happen again," he said in a Thursday interview.

Among his team's findings was confusion about severance payouts when the government dissolved Energy Efficiency Alberta in September 2020. Created by the NDP government, the provincial corporation offered grants and programs to help citizens, businesses, municipalities and others make efficiency upgrades to reduce greenhouse gas emissions and save money.

The auditor's report says 24 employees either lost their jobs or moved to another arm of government. The nearly $900,000 paid out in severance was more than their contracts entitled them to, said assistant auditor Eric Leonty.

There may have been good reasons for that, Leonty said, but the dissolving organization didn't have any proof, sending the auditor's staff chasing private lawyers to get some of the information.

The relevant government department — in this case, Environment and Parks — should have kept the information, the report says.

Although the province made progress on 22 previous auditor recommendations, it has failed to present a plan for its victims of crime and public safety fund, the report says.

The auditor first noted in February 2016 the justice department had no objectives for how to spend the surpluses from the fund.

Last year, the legislature passed a law to broaden the potential uses for that money. The cash, which comes from surcharges levied in court, was used for programs such as counselling for people traumatised by crime. The government now also uses it to help pay for a new "RAPID" law enforcement team of sheriffs and fish and wildlife officers, drug treatment courts and other measures.

As of last March, there was a nearly $64-million surplus in the fund.