Finance Minister Vic Fideli. (Photo from Vic Fedeli's Facebook page.)Finance Minister Vic Fideli. (Photo from Vic Fedeli's Facebook page.)
Windsor

Commission reports Liberal deficit $3.7B bigger than reported

The findings of the Independent Financial Commission of Inquiry says the Wynne government left Ontario with a deficit of $15 billion.

Minister of Finance Vic Fedeli and Treasury Board President Peter Bethlenfalvy released the 2017/2018 public accounts and the full report of the commission Friday, and it shows the previous government's deficit upon leaving office was actually $3.7-billion more than reported.

"Only when the Government of Ontario truly accounts for its real deficit can we begin to put the province back on a path to balanced fiscal sustainability," said Fedeli.

"Collectively, the Independent Financial Commission of Inquiry, the release of the 2017/2018 Public Accounts, and the line-by-line review leave no stone unturned," Bethlenfalvy said.

Peter Bethlenfalvy and Lambton-Kent-Middlesex MPP Monte McNaughton. (Photo courtesy of Peter Bethlenfalvy's Twitter) Peter Bethlenfalvy and Lambton-Kent-Middlesex MPP Monte McNaughton. (Photo courtesy of Peter Bethlenfalvy's Twitter)

Some of the key findings of the report say Ontario reported deficits in 20 of the last 27 years. Provincial net debt grew by $263.2-billion.

"Paying for programs and services Ontarians enjoy today through debt imposes costs on future generations who will have to pay back that debt and may not receive the same level of programs and services," reported the commission.

It also found a deterioration in the relationship between the government and the Auditor General over time. The report says "the previous government counted the assets from two jointly sponsored pension plans [the Ontario Teachers' Pension Plan and the Ontario Public Service Employees' Union Pension Plan] as their own to balance the budget, contrary to the Auditor General's opinion."

The commission also made some recommendations including making transparency in preparation of the budget a top priority, restoring the relationship between the government and the Auditor General, establishing a fiscal plan that includes near and medium deficit targets, and coming up with a plan to return Ontario's AAA credit rating.

"The work ahead will be difficult, but the proper management of public finances is a moral imperative that can no longer be ignored," said Bethlenfalvy.

Read More Local Stories