Public Accounts Tabled in Legislature

Finance Minister Neil LeBlanc tabled the province's public accounts for the fiscal year ending March 31, 2001 in the legislature today. Increased revenues helped the government narrow the operating deficit gap from a budgeted $268 million to $32 million in 2000-01.

Mr. LeBlanc said that last year's results do not reduce the budgetary pressures for the current year, or the year after, and the province anticipates a drop in revenues due to the global economic slowdown.

"More than ever, we need to stay focused on balancing the budget next spring," said the minister. "This may be more challenging than originally anticipated, nevertheless, we are committed to reaching our target."

The finance minister said that net proceeds from the sale of Nova Scotia Resources Limited (NSRL) provided a one-time gain for the past fiscal year, which resulted in a total reported surplus of $147 million.

The minister pointed out that before applying the funds from NSRL, the province was still effectively left in a deficit position for the year ending March 31, 2001.

"Selling NSRL was a good thing," he said, "but it was a one-time only event. It falls under the heading of 'unusual items'. The proceeds from the sale allowed us to reduce NSRL's $808 million debt down to $435 million."

The Auditor General signed off on the public accounts for 2000-01 with an unqualified audit opinion.

The minister noted that continued compliance with generally accepted accounting principles ensures full and open disclosure of the province's financial statements.