Wayne Strelioff, CA
Auditor General of British Columbia

Canadian Environment Industry Association
Speaking notes – luncheon

June 13, 2001

Introduction

Thank you for the warm introduction and the opportunity to discuss with you this new and significant responsibility assigned to my Office by the Legislative Assembly earlier this year.

The purpose of establishing a commissioner for the environment and sustainability within my Office is to provide legislators with credible and independent information on the performance of government.

This new initiative has two key components.

• The first is that – by law – government organizations are to develop sustainability objectives, indicators and targets.
  
  
• This information is to be included in their annual performance plans and reports made public each year. Accordingly, each minister will be accountable for progress within his or her mandate.
  
  
• The second component has me appointing a senior person within my Office to be referred to as the commissioner for environment and sustainability.
  
  
• Under the auspices of my Office – which includes our considerable due diligence methods and standards – the commissioner is to assist me by carrying out several specific responsibilities.
  
  
• Those responsibilities are to:
  
  
  • Report on the ecological health of our province by examining the available information on environmental trends and sustainability.
    
    
  • Assess the extent to which government organizations have incorporated appropriate sustainability indicators and targets into their performance plans.
    
    
  • Examine emergent issues or topics including how government manages key environmental risks.
    
    
  • And, receive public submissions on environmental matters and ensure the subject matter of those submissions are referred to and addressed by the appropriate agency.

These responsibilities are consistent with a growing consensus that objective, independent monitoring of ecological performance is every bit as important as objective, independent monitoring of financial and economic performance.

In my presentation today, I plan to discuss with you:

• the role of my Office and what we do
  
  
• the range of subject matters we examine, and
  
  
• the steps we are taking to establish a strong and credible work program for the commissioner for environment and sustainability.

My presentation is about 20 minutes. After my presentation, if you have questions, I will do my best to answer them.

With me today is Morris Sydor. Morris has the responsibility to bring this new initiative to life within my Office. Morris has also led much of our past work pertaining to examining environmental risks.

Both of us are looking forward to taking the steps required to make sure we bring to life this new initiative in a careful, and responsible manner.

Both of us know that providing independent, credible and evidence-based information and assurances on environmental issues and on our progress towards sustainability is important to all BC citizens.

Our role

As the Auditor General, I am an officer of the Legislative Assembly.

I am appointed by an all-party committee which has the responsibility to recommend to the Assembly – unanimously – a person to be the Auditor General for a term of 6 years.

I can be removed from Office through a vote in the Legislative Assembly – as far as I know, this has never happened in Canada.

I report to the Assembly. My reports – which are public – are automatically referred to a standing committee of the Assembly which has the responsibility of dealing with the contents of my reports in meetings open to the public and the media.

In general, the role of an Auditor General is to help all legislators and, thus, BC citizens, hold the government accountable for its use of public resources and for its management of the considerable responsibilities entrusted to government by BC citizens.

I have an Office of about 90 people with a wide range of professional credentials and experience.

We have access to all parts of government, to all types of information, and we decide what to report and when. And, our report are public documents.

What we do

The goal of our Office is to do what we can to encourage the government to provide legislators and BC citizens with the best information possible for assessing the performance of government.

We have four business lines.

• We examine government financial statements to ensure they present reliable measures of such key items as surplus or deficit.
  
  
• We assess how well government manages the key risks it faces in achieving its planned results. Those risks relate to the integrity of financial information, whether what government does is done in a cost effective manner, and whether government conducts its business in a manner that is consistent with public expectations.
  
  
• We review the quality of the performance information provided by government to legislators and the public.
  
  
• And, we help legislators make use of performance information in their scrutiny of government.

Recent work of our Office has focused on such risks as:

• The extent to which we are prepared for earthquakes.
  
  
• The extent to which we provide children a safe learning environment.
  
  
• Whether government receives value for money from its management consulting engagements and whether such contracts are awarded in a fair and open manner.
  
  
• How well the financial institutions commission monitors credit unions and trust companies.
  
  
• And, governance and risk management at the BC Ferry Corporation.

Our current work includes:

• Signing off on the government’s financial statements for the year ended March 31, 2001, we should be ready to report by the end of July.
  
  
• Later this month, we will be reporting on the degree to which governments in BC are prepared for major fires in interface fire zones. Interface fire zones are those areas that exist between urban and rural development.
  
  
• In July, we will report on our examination of certain governance and financing issues related to public transit in the lower mainland – TransLink.
  
  
• We are examining the work environment of the public service and the extent to which those elements associated with quality service actually exist.
  
  
• In addition, we are performing work related to a diverse range of organizations and a diverse range of financial, operational and conduct of business risks.

Our reports can be found at our website - www.bcauditor.com.

Over the last ten years, we have examined the government’s management of several risks related to the environment. This experience will serve us well as we take on our new responsibilities.

Environmental risks we have examined pertain to:

• Protecting water quality
  
  
• Monitoring pulp and paper mill effluent
  
  
• Managing woodlot licences
  
  
• Habitat protection
  
  
• Monitoring forest silviculture
  
  
• And, the stumpage and royalty system.

Our experience, I think, is one key reason the Legislative Assembly concluded that it makes sense to house within my Office these new responsibilities pertaining to the environment and sustainability.

Establishing a strong and credible work program

About 15 months ago, the government announced it was thinking about establishing a chief environmental auditor.

We were consulted as to the best approach.

After much discussion, research and consultation, we recommended that if such an initiative is to be established it makes most sense to follow the model implemented by the Parliament of Canada.

Parliament established a commissioner of the environment and sustainable development within the Office of the Auditor General of Canada.

From all reports, the work of the federal commissioner is considered very worthwhile.

After carrying out its own research and consultation, the BC government decided to propose such a model to the Legislative Assembly.

In April, the required legislation was approved. During the debate, all parties expressed support for the initiative.

I think our Office was asked to carry out this responsibility for several key reasons:

• We have performed environmental audits since the 1980’s, the most recent being our assessment of drinking water sources.
  
  
• Our reputation for due diligence and evidence-based work is well respected – before we set out our findings, conclusions and recommendations, we do our homework.
  
  
• Our independence ensures what we report is credible.
  
  
• The approach being followed in BC is one that is modeled after what was implemented by the Parliament of Canada – the Federal model is highly respected by the public, media, environmental experts and politicians.
  
  
• We have much experience in the challenges and pressures that come with public reporting in our system of government.
  
  
• And, we are a cost effective choice.

Key points to make

• This initiative is one that will focus on sustainability, not just on the environment, although the initial emphasis will likely be on environmental matters.
  
  
• We will encourage government organizations to consider economic, environmental and social factors when establishing policies and making decisions.
  
  
• We will not be a new regulatory agent.
  
  
• And, we will work with and not duplicate what is being done by others, for example the Forests Practices Board.
  
  
• We will not be setting policy.
  
  
• Our recommendations are not binding – we must persuade through public reports and discussions and through evidence-based findings, conclusions and recommendations.
  
  
• There is good practice and experience to build on within BC, across Canada and elsewhere – we will benefit from the experience of others throughout the world.

What we have done so far

So far, I have taken several steps

• I have assigned to Morris Sydor the responsibility for bringing this initiative to life.
  
  
• We have solicited applicants for the position of Commissioner – there is considerable interest.
  
  
• The creation of a selection committee was disrupted by the election – by law, I am to ask for a nominee to the selection committee from the government caucus and the opposition caucus.
  
  
• Now that the dust has settled as far as the election is concerned, it is time to get going.
  
  
• In the meantime, we are developing an initial work program.

Closing comments

This initiative is not a large one – we have funding for six or seven professionals.

I have a core staff that has experience in environmental audits, as well as an understanding of emerging expectations for sustainability reporting.

But, we will need access to a broader range of competencies, experience and thinking.

I expect the Commissioner address this need once he or she is hired and is in the saddle.

But, as I said at the beginning – this initiative is one that must be led by government.

Because it is the government that is now expected to develop sustainability objectives, indicators and targets.

It is the government that is to report on its progress. It is the ministers of government that are to be accountable for progress within their mandates.

The government will need help – your industry is well positioned to provide that help – I ask that you rise to this challenge.

I look forward to the day when economic, social and environmental factors are a routine part of public debate, government decision making and government performance reporting.

I also look forward to our reports on BC’s progress towards sustainability.

We have much work to do but the purpose is worthwhile.

Thank you.

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