N.S. auditor general warns Houston government’s bill threatens independence

Nova Scotia’s auditor general is speaking against a bill that would allow the government to fire her without cause.

Nova Scotia’s Auditor General Kim Adair is urging Premier Tim Houston’s government to withdraw proposed changes to legislation to the Auditor General Act, warning it would interfere with the core values of her office.

“What’s being proposed here in Nova Scotia is a substantial change to the way our office operates,” said Adair. “We have serious concerns that the changes tabled in this bill will erode the independence of this office going forward.”

Under the amendments tabled on Tuesday, the Houston government would have power to veto or -censor reports or portions of reports for reasons they include as solicitor-client privilege, litigation privilege, settlement privilege or public interest immunity.

The proposed changes to the act would also require the auditor general to submit reports a minimum of two-weeks in advance of the report going public, while giving the government the ability to withhold the report or censor parts within.

Other changes would allow the government to fire the auditor general without cause or incapacity with a two-thirds majority vote in the House of Assembly, which the Houston government has already with their super-majority, where they hold 43 of 55 seats.

Adair said independence is key for legislative audit offices and what’s being proposed is a substantial change and seriously impacts the ability to publicly report the work done by the office.

“The ability to remove the auditor general without cause, combined with the ability to control our public reporting, impacts the independence, integrity, and objectivity of this office,” said Adair.

If these changes are made, Adair said this would make Nova Scotia an outlier, suggesting that in most provinces across the country, there must be “cause” to remove the auditor general.

Adair confirmed she met with senior officials yesterday to discuss the amendments but confirmed she nor her office was consulted about the changes beforehand.

“We didn’t know they were coming, and we had no input,” said Adair.

Premier Tim Houston defended the changes Wednesday, claiming they align Nova Scotia’s legislation with other provinces across the country.

“I don’t think we are doing anything to impact the ability of the auditor general to do their job,” said Houston. “I think we are kind of levelling up with practices that are in place and working just well in a number of other provinces.”

But Adain shot down that claim and said most provinces require “cause” for dismissal.

“So, Nova Scotia would become an outlier,” said Adair.

The Canadian Taxpayers Federation says the amendments being proposed by the Houston government undermine the independence of the auditor general’s office.

“Hopefully they back down on this but we certainly need all taxpayers in Nova Scotia to stand up and oppose any efforts to make the auditor general accountable to the politicians, rather than to the people,” said Devin Drover, lead counsel with the Canadian Taxpayers Federation.

“This is completely wrong and I think the (Houston) government are hoping people don’t care because they released the details of the bill on a day in which everyone was talking about the budget.”

Opposition NDP leader Claudia Chender is calling on the PC government to drop the proposed changes to the bill.

“We are clear in our contention that this legislation is designed to muzzle the auditor general and it takes away her independence,” said Chender. “We are sacrificing a chunk of our democracy.”

Adair was appointed as Auditor General in 2021 and since that time has made more than 200 recommendations to government and said with a few exceptions, almost all the recommendations have been approved.

One exception is a recommendation that Adair has made three years in row relating to government spending outside of the legislature.

Last week, Adair tabled her latest financial report and found $1.38 billion in over-budget spending that was not approved in the legislature.

Adair called for changes to the Finance Act that would require all spending over and outside the provincial budget to first be reviewed and voted on by MLAs in the legislature to ensure taxpayers and legislators know exactly where public funds are going.

For more Nova Scotia news, visit our dedicated provincial page.