Mr. Speaker, I am pleased to speak today to the motion by the member for Pontiac asking for action to be taken to address the missing, remarkably, $3.1 billion.

Canadians expect their government to be good public administrators of the public purse. They expect their elected representatives, regardless of party affiliation, to carefully scrutinize spending and to hold the government accountable. Canadians expect responsible and sound fiscal management. In turn, Canadian taxpayers expect their government to use their money to provide the critical services we all rely upon.

In every circumstance, it is unthinkable that a government would be irresponsible in tracking and reporting 100% of its spending. This is all the more the case when it involves the commitment to spend $12.9 billion on public security and anti-terrorism. I feel confident in saying that Canadian taxpayers share the concerns raised by the Auditor General in his spring 2013 audit report regarding $3.1 billion of that amount not yet accounted for. This will, in all likelihood, be of concern to Canadians, as the very services they rely upon are hindered by the cuts to front-line services, including pensions and the tracking of tax fraud, for example. This is particularly galling when the government is asking Canadians to do more with less.

Some have suggested metaphorically that the Conservatives could take another look between the sofa cushions to find the misplaced $3.1 billion. All joking aside, the failure to account for this amount of taxpayers' money is a very serious matter. Contrary to what the government has alleged, the Auditor General has expressed concerns.

First, this is what he and the Assistant Auditor General had to say at the public accounts committee a week back, after determining that $3.1 billion was missing between 2001 and 2009. When asked what happened in 2010, he advised, “Our audit only went up in this time period and at the end of this time period this method of reporting was stopped”.

The Assistant Auditor General then added that “the Treasury Board Secretariat has stopped collecting data from the departments in terms of the annual reports and are in the process of putting together another framework that they hope to have in place by, I think, some time in 2014”.

That is an incredible gap in accountability.

In the text of the Auditor General's report, he stated, at point 8.24:

In 2010, the Treasury Board approved the Secretariat’s request to end the government-wide reporting requirements on Initiative spending. The last reports entered into the database are those related to the 2008–09 fiscal year. The Secretariat stated that it would develop a new mechanism for managing and collecting performance information on the Public Security Initiatives. At the time of the audit, a project was in the pilot stage, but a new mechanism was not yet in place.

That is not terribly reassuring.

Treasury Board has allowed a gap of four years in tracking spending by departments, and in such a serious and important area. The President of the Treasury Board has tried to pass the buck to the departments, saying that it is their duty to report, and besides, reports can be found in the public accounts. Perhaps he could show Canadians where, since neither we nor the Auditor General can find the $3.1 billion reported as spent or for what purpose. He has alleged that the Auditor General found no fault in the monitoring and reporting of this total committed $12.9 billion for public security spending, yet the Auditor General's report is quite clear. The Auditor General did find problems. Let me share this quote from his news release on his report. He stated:

The Treasury Board Secretariat was required to prepare summary reports for Treasury Board. The audit found that these reports were not provided. Though the Secretariat was the only department collecting detailed performance information on public security investments, it did not use this information to generate a government-wide perspective of PSAT spending and results, nor did any other federal department or agency. In the absence of any sort of overall monitoring and reporting, information to explain the difference of $3.1 billion between the funding allocated to departments and agencies and the amount reported spent was not available.

He further stated:

We believe that the government missed an opportunity to use the information it collected to generate a picture of spending and results under the Public Security and Anti-Terrorism Initiative across departments.

He then added:

The government recognizes that it needs to improve the way it reports financial and non-financial information for future government-wide initiatives.

Why is the apparent loss somewhere, possibly, of these billions an issue? As my colleagues have mentioned, there are many ways these monies could have been spent to benefit Canadians and protect our security.

There is no suggestion that addressing terrorism or ensuring national security is not important. It is important, as elected officials, that we are responsible for ensuring that once dollars are committed for that purpose, they are used for that purpose.

The government does have the power to redirect budget allocations, which they regularly do through supplementary estimates. However, there is no evidence that this has occurred in this instance.

Even more troubling is the apparent lack of policy supporting revenue sources. For instance, perhaps thought could be given to reversing the staffing cuts to the Canada Revenue Agency. As my colleague has raised numerous times in the House, we have been seriously concerned that there is $29 billion missing in uncollected taxes. Just a fraction of the missing $3.1 billion could restore the Conservatives' cuts to that agency.

We are reassured that finally, after our raising this concern several weeks in a row, the minister has agreed to restore some dollars to the agency. We are not totally sure yet whether the Conservatives have restored the audit and compliance staff. Certainly it is an important matter. Where is the action and accountability on that?

The Conservatives do not seem to be worried about money that slips through the cracks. They are more interested in cutting from programs that support the vulnerable in our society. For example, my colleague from Laval—Les Îles has brought forward Bill C-480, which would allow seniors to withdraw money from their RRSPs to advance pay their funeral expenses. The government claws that back from the GIS payments. We are talking about seniors who are living on the poverty line. That is why they need to receive a GIS. We have been proposing that at a mere $132,000, all seniors would be covered.

The government shows very little concern when it says that it is only $3.1 billion. We are very concerned about the lack of tracking of the spending of this money in the same way we are concerned that it gives short shrift to the potential for revenue generation, such as collecting taxes that have not been paid and putting proper charges on those who exploit our resources.

One area we are particularly concerned about is aboriginal affairs. In thinking that it would increase accountability, the government decided to pick on two segments of our society. They are picking on unions and first nations by telling them that they have to be more accountable and report over and over again to be accountable for every cent they spend, yet here is the government saying that it is only $3.1 billion and it is not a big deal. We might eventually find it if we pore through the public accounts.

There just seems to be an incredible degree of hypocrisy. Nowhere is that hypocrisy greater than when we come to youth.

Every member of Parliament has the privilege of taking a look at what the government will allocate for summer jobs. I have to say that it was painful this year, because more than half of those Canadians who offered jobs to students were turned down, and the government cannot be bothered to find $3.1 billion. It broke my heart to sign off on a report saying which groups would get student jobs, and all these fantastic organizations that would like to hire students, such as aboriginal organizations, the University of Alberta, and I could go on, would not. That is a whole lot of students in my riding who will not get summer employment and may not be able to continue their education.

Just in closing, I find this issue absolutely critical to our job as members of Parliament. All of us in this House, whatever our partisan affiliation, are elected to hold the government accountable for spending. I expect the Conservative members to be equally astonished and upset with the apparent lack of care and attention to $3.1 billion.

Linda Duncan

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