News release

Annual Report for 1998 Released

Auditor General Roy Salmon has released his annual report for 1998. Amendments to the Auditor General Act passed by the legislature in June 1998 call for earlier release of this report and result in more timely reporting.

The report outlines the results of audits conducted during 1998, including the three special audits that were reported upon separately during the year. While commenting on the continuing improvements in management processes that have taken place, as well as the initiatives that have been planned, the report discusses the numerous issues facing government as it deals with the complexities of balancing program and fiscal objectives.

In June 1998, the minister of finance tabled a plan to improve Nova Scotia's financial reporting and move it to full compliance with accepted accounting principles. The auditor general supports this plan and will be monitoring its progress.

Year 2000 readiness continues as an issue, although progress is acknowledged. Much remains to be done within a fixed time frame.

Initiatives to address the need for school facilities without adding to the province's stated debt load continue to challenge both the government and the auditor general. Achieving appropriate risk transfer and dealing with accounting issues has been challenging and complex. However, improvements in the processes have been achieved.

The auditor general comments extensively on the financial situation in the health sector. Two chapters of the report discuss the significant deficits that exist in regional health boards and non-designated organizations, with particular reference to the Queen Elizabeth II Health Sciences Centre. The need for all participants in the health care system to work together is discussed.

The issue of the significant backlog in the workers' compensation appeals process and its impact on claimants is discussed following from the issue of a special report to the minister of labour. This has been acknowledged and new legislation and other initiatives are under way to address it.

Copies of the report are available at the Nova Scotia Government Bookstore, 1700 Granville St. Halifax, 1-800-526-6575 or 1-902-424-7580. The full report and highlights are available on the Internet at http://www.gov.ns.ca/legi/audg/ .