Halifax council’s finance committee has urged the implementation of a strategy to enhance financial transparency in both the mayor’s office and the wider municipality following an audit that questioned $111,000 in Mayor Andy Fillmore’s expenses.
During the committee meeting on Wednesday, a decision was made for the chief administrative officer to devise corrective actions based on the findings of the audit conducted in June. The audit highlighted four transactions from Fillmore’s office that were found to be non-compliant with municipal policies, leading the regional auditor general to involve the RCMP in the matter.
Although Fillmore refrained from participating in the committee’s deliberations due to potential conflict of interest concerns, he expressed acceptance of the auditor general’s conclusions. Emphasizing the significance of accountability, Fillmore underscored the need to not just pinpoint the issues but also comprehend their origins, address all vulnerabilities, and prevent their recurrence.
The motion endorsed by the committee incorporated amendments suggested by the mayor, expanding the scope of the plan to encompass not only his office but the entire municipality. Fillmore commended the collaborative effort in enhancing accountability standards for taxpayers and stressed his expectation for consistent application of these standards across the municipality.
The finalized plan is anticipated to be presented to the council within the next two months. Councilor Sam Austin expressed hope that the plan would revisit a prior decision granting the mayor’s office more autonomy, which Austin criticized for its negative outcomes.
In his report to the committee, the municipality’s auditor general, Andrew Atherton, disclosed involving the police due to his discomfort with the findings exceeding his expertise. Fillmore acknowledged that he and his team had undergone additional training on procurement processes following the audit. He clarified that the expenses in question had undergone the necessary approval procedures, including oversight from senior officials.
One notable expense involved hiring a human resources consultant, which escalated from an estimated $50,000 to $90,000. The audit revealed deviations from the standard procurement process, as competitive bids were not sought for the contract. Additionally, the mayor’s office engaged a speechwriter without following proper procurement procedures and incurred expenses for legal services without approval from the regional government’s solicitor.
Fillmore confirmed reimbursing the legal expenses personally, asserting they were not of a personal nature. The mayor underscored the importance of learning from the audit’s findings to prevent similar occurrences in the future.