More transparency needed around Houston’s unbudgeted spending

HALIFAX – New Democrat MLAs continue to raise alarm over the lack of transparency around unbudgeted government spending.

NSNDP MLAs questioned Department of Finance and Treasury Board officials at today’s Public Accounts Committee meeting about how decisions are being made around unbudgeted spending and why the province won’t listen to the Auditor General (AG), who has called on the Houston government to rein in its spending outside of the budget process.

"This government is spending almost 10 per cent of Nova Scotia's budget – Nova Scotians’ money – without oversight from other MLAs. We are the only province in Canada where the government can spend like this without accountability," said NSNDP Finance Spokesperson Lisa Lachance. "This amount has grown astronomically since this government was elected and the Minister and Premier have made it clear they don't care. We know that a lot of this money is going out the door without proper contracts. You wouldn't run your household budget this way."

In July, the Houston government reported more than $1.3 billion in additional appropriations for the 2023-24 budget.

The Auditor General has said that Nova Scotians should be "very concerned" about additional appropriations. In March, she made five recommendations to improve transparency and accountability regarding out-of-budget spending. The Houston government rejected four of the five recommendations.

"We have serious concerns over the level of unbudgeted spending from the Houston government, and their refusal to improve how we do things based on the Auditor General’s recommendations," said NSNDP Health spokesperson Susan Leblanc. "The AG also wrote a scathing report on the Hogan Court hotel purchase and this government's decision to inappropriately use sole source contracts. The Houston government needs to be honest with Nova Scotians about where they are spending public money, and why."

New Democrats introduced legislation to update the Finance Act and require more accountability around this kind of unbudgeted spending.

The first budget forecast for 2024-25 is due by Sept. 30.

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