Alberta Auditor General releases seven reports
Press Release
EDMONTON, AB—November 18, 2024—Auditor General Doug Wylie tabled seven reports in the Alberta Legislature today.
“Our reports emphasize the critical importance of effective processes, strong controls, and comprehensive performance reporting of government programs and services for the benefit of all Albertans,” said Auditor General Doug Wylie. “Government programs and services that reflect these elements help ensure Albertans get the most value from their tax dollars and receive the essential services and supports they rely on.”
The reports include:
- Audit of the 2023-2024 Consolidated Financial Statements of the Province of Alberta, Annual Summary of Ministry Audit Work, and the Summary of 2023 Financial Audit Results of School Jurisdictions in Alberta
- Highway Maintenance Contracts Performance Audit
- Processes to Assess and Manage the Condition of Affordable Housing Performance Audit
- Travel, Meal and Hospitality Expenses of the Premier, Ministers, and Their Staff
- An Analysis of Annual Performance Reporting by School Authorities
- Reporting Performance Results to Albertans Assessment of Implementation
- Victims of Crime and Public Safety Fund—Systems to Manage Sustainability and Assess Results Assessment of Implementation
“Our work also reinforces the critical importance of accountability reporting to Albertans,” said Wylie. “By sharing the results of our independent audit work, we provide Albertans with a clear view of how public resources are spent. Independence in our reporting strengthens public trust.”
All reports and related news releases are available at oag.ab.ca.
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NOTE: Please see the following Backgrounder for additional information on the Auditor General reports released today.
For more information, please contact:
Cheryl Schneider, Executive Director, Engagement and Communications
Mobile: 780-399-0554 | Telephone: 780-422-8375
Email: cschneider@oag.ab.ca
BACKROUNDER
Audit of the 2023-2024 Consolidated Financial Statements of the Province of Alberta and Annual Summary of Ministry Audit Work
“I am pleased to report that my office issued a clean audit opinion on the Province’s Consolidated Financial Statements for the year ended March 31, 2024,” said Wylie. “This means Albertans can be confident that the financial statements of the province are free of material misstatements and are presented fairly in accordance with public sector accounting standards.”
The audit focused on the following five key risks—or those matters that, in the Auditor General’s professional judgment, were of most significance:
- Environmental Liabilities
- Pension Liabilities
- Private Equities, Inflation-sensitive and Alternative Investments
- Investments in and Toll Commitments Related to the North West Redwater Partnership
- Personal Income Tax Revenue
“The goal of sharing key audit matters is to make the auditor’s report more informative by offering clearer insights into the audit. It also helps users discuss important issues with management and those responsible for overseeing the organization,” said Wylie.
The Auditor General issued 11 new recommendations dealing with improvements needed to financial information preparation and reporting, and grant management processes. He also repeated four recommendations, three of which relate to user access controls of information systems.
Since December 2023, the Auditor General has issued 24 new recommendations to those we audit. Many of these new recommendations focus on the need for better processes and effective and efficient monitoring of programs and services. During this same period, 15 recommendations were implemented, while 97 from previous audits remain outstanding.
Summary of the 2023 Financial Audit Results of School Jurisdictions in Alberta
This report summarizes the results of examination of audits performed by the independent auditors of all school jurisdictions in Alberta, as required under Section 19(4) of the Auditor General Act. The purpose of the summary of the financial information and recommendations made to school jurisdictions is to identify trends across the sector.
Highway Maintenance Contracts Performance Audit
The Department of Transportation and Economic Corridors has processes to ensure it monitors the performance of its highway maintenance contractors and supports the contract structure but not all of these processes are effective. Recommendations to the department:
- ensure contractors meet their requirements
- improve guidance and processes to administer extra work
Why our Findings Matter to Albertans: The department spends over $300 million per year to maintain its highways. It needs effective systems to ensure contractors do the work they are getting paid for and any extra work it gives the contractors follows its procurement policies.
Processes to Assess and Manage the Condition of Affordable Housing Performance Audit
The Department of Seniors, Community and Social Services does not have effective processes to assess and manage the condition of provincially owned affordable housing.
Recommendations to the department:
- maintain facility condition information
- improve oversight processes
- implement performance measures
Why our Findings Matter to Albertans: Vulnerable Albertans who require support to afford housing may be living in deteriorating housing with potential health and safety problems. Also, deferred maintenance can impact the financial sustainability of the affordable housing program.
Travel, Meal and Hospitality Expenses of the Premier, Ministers, and Their Staff
This annual, rotational audit reviewed expenses from the following ministries: Advanced Education; Affordability and Utilities; Arts, Culture and Status of Women; Children and Family Services; Education; Energy and Minerals; Indigenous Relations; Seniors, Community and Social Services; and Tourism and Sport.
These nine ministries had processes to ensure compliance with policies, for the period from April 1, 2023 to March 31, 2024; however, some processes at three ministries could be improved. The ministries of Affordability and Utilities, Children and Family Services, and Energy and Minerals should improve controls to ensure all expenses are disclosed as required by the public disclosure policy.
Why our Findings Matter to Albertans: Albertans expect ministers and public servants to be responsible and transparent when spending taxpayers’ dollars to conduct government business. Effective processes are needed to ensure that people are complying with the expense policies. Albertans need the assurance that these systems are well-designed and working effectively.
An Analysis of Annual Performance Reporting by School Authorities
The Office of the Auditor General examined a sample of school authority annual reports from 2021-2022 to see if the reporting reflects the characteristics of effective performance reporting. The report focuses on overall observations in the sector rather than reporting on, and making recommendations to, each individual authority.
The report found that authorities’ annual reporting on some of these key characteristics could be improved. Improvement can be made by providing more information on areas critical to authorities’ success; integrated financial and non-financial information; and lessons learned which will affect setting future targets and outcomes.
Reporting Performance Results to Albertans Assessment of Implementation
Upon completion of an assessment of implementation in 2024, the Department of Treasury Board and Finance informed the Auditor General that it will not be implementing a previously accepted recommendation on a compliance monitoring process. The department indicated that there is no current government directive to monitor whether ministries are complying with reporting standards. The department further states it doesn’t have the authority to monitor ministries’ compliance with reporting standards. This recommendation is now assessed as Not Implemented and it will remain part of the Auditor General’s total outstanding recommendations.
Victims of Crime and Public Safety Fund – Systems to Manage Sustainability and Assess Results Assessment of Implementation
The Department of Public Safety and Emergency Services has implemented a February 2016 recommendation to develop and approve a business plan with measurable desired results for the Victims of Crime and Public Safety Fund.
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