British Columbia Auditor General cites two ‘significant errors’ in government’s final accounts

British Columbia’s accountant general’s office says it has found two “significant errors” in the New Democrat government’s year-end public financial statements, but the Treasury Department says it has been advised to continue with what it calls long-standing accounting practices.

Michael Pickup said in a statement that the errors could mislead users of the financial statements, but he did not suggest there was any wrongdoing.

Finance Minister Katrine Conroy released the government’s audited financial statements for the past fiscal year on Thursday, which put the province’s deficit at $5.035 billion, down from a previous forecast of $5.9 billion.

Pickup, who could not be reached for further comment, said in the statement that one error involved the way the government reported money from the federal government and other sources, and the second error involved the province understating contractual obligations.

Pickup, whose office previously raised similar concerns, said revenues this year were understated by $7.67 billion and liabilities overstated by the same amount, while contractual obligations included in long-term contracts were understated by $5.7 billion.

The Ministry of Finance said in a statement that it will continue to work with the Court of Audit on future financial statements.

“The Auditor General has identified two reservations, both of which continue from previous years,” the statement said.

“The ministry reviews these recommendations annually and has taken the advice of the Court of Audit to heart not to make any changes to long-standing practices in these areas.”

The Canadian Press