Opposition charges NDP has ‘conveniently’ withheld financial results, sparking fears that B.C. deficit has skyrocketed

The failure to give the public a look at the government’s books is part of a trend of not taking the necessary steps after an election

Opposition MLAs say the NDP are 12 days late and counting in filing their quarterly financial outlook. The delay is fuelling speculation over the reason — is it simple administrative delay or is it hiding a deficit ballooning higher than the $8.9 billion figure revealed in September?

B.C.’s finance minister Brenda Bailey and her ministry say that despite the delay, the government is within the extended timeline allowed in an election year.

These questions come as Premier David Eby is telling the business community he wants a “reset” of their relationship with the provincial government.

At a B.C. Chamber of Commerce lunch on Tuesday, the premier said he plans to reduce the provincial deficit, boost economic development and freeze hiring in the public service.

“There is currently a hiring freeze in the public sector. Not in the front-line services, like health care, education … but in the administration,” Eby told business leaders.

Eby didn’t elaborate when asked about the freeze on Thursday, but said  government will also be conducting a review of administrative costs in health care.

He also said he understands the challenges faced by British Columbians because of poor economic conditions, which in turn reflects on the provincial budget.

“Our budget is under huge pressure. We’re at the bottom of the economic cycle right now. Resource prices are low. The decision of people whether or not to buy a home has been constrained by high interest rates,” explained Eby.

“People are feeling those high interest rates in other ways as well. They’ve got less money to spend. They’re going to restaurants less. … The same pressure that families are feeling in their budgets, we are seeing that in government budgets as well.”

As for when the fiscal update could be released, Bailey said more information will be provided next week.

Peter Milobar, the official Opposition’s finance critic, argued that by law the NDP were required to provide the financial update, which will be the second since February’s budget, by Nov. 30. He said it is now the middle of December and there is no word on when the report is coming.

“The same week that the premier is telling the business community that he wants to reset the relationship, they’ve conveniently withheld the second quarter results,” he said.

“I think they would have been very interested to know ahead of that luncheon on the 10th, just what the state of books are in British Columbia, as he’s flinging out previously undisclosed hiring freezes and things of that nature.”

The ministry said that under provincial law, the government doesn’t have to meet the Nov. 30 deadline in a year with a fall election, but has 90 day deadline that started after final election results were in.

Still, Milobar said, the failure to give the public a look at the government’s books is part of a trend of not taking the necessary steps after an election, such as releasing mandate letters for new ministers and calling the legislature into session to take immediate action on voter priorities.

He said the government has shrugged off those responsibilities until the new year as it negotiates with the Greens.

“Everyone in the province is being held up, not knowing what the work of a minister is supposed to be, what the priority is supposed to be, what the priority of the government is. … The actual nitty gritty detail that comes in those mandate letters, and what’s the fiscal situation? We don’t know any of that.”

The B.C. Chamber of Commerce CEO, Fiona Famulak, isn’t as concerned as Milobar about the delayed update but said timely and transparent reporting is important to monitor progress and that any increase of the deficit would be a concern.

As for the “reset” of the relationship with the NDP, Famulak said she plans to push the government to fulfill its promises.

“The proof will be in the pudding and we look forward to seeing the actions taken and the results delivered, and will hold the government’s feet to the fire so that the economy is prioritized, such that private sector job growth increases, our natural resources are unlocked to create the economic opportunities that they can and that economic opportunity benefits British Columbians of all generations.”

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