Ontario Budget 2001 : ONTARIO BUDGET CHAMPIONS VALUE FOR MONEY, ACCOUNTABILITY REFORMS

TORONTO — Finance Minister Jim Flaherty today announced sweeping reforms to implement value-for-money measures in the public sector.

The Minister announced a panel of experts in the private sector would be formed to review the role of government in the 21st century. "This panel will start a public discussion on where government does and does not belong," Flaherty said.

"We will be undertaking a value-for-money review of all government spending. It will rely on private-sector expertise in carrying out its work," Flaherty said.

Last year, of every dollar the Government spent on programs and capital, more than 80 cents went to individuals and organizations in the broader public sector.

"That is why hospitals, school boards, municipalities, social service agencies, colleges and universities must be accountable to the taxpayers of Ontario for the money that they spend," Flaherty said. "We challenge them to show courage. To focus on services that are the most valuable to the people of Ontario. To eliminate programs that are outdated and that no longer serve their original purpose."

Under the Government's proposed accountability plan:

• All public sector organizations will have to meet minimum requirements to ensure they are accountable to the public
• All significant public sector organizations, including hospitals, municipalities, school boards and social service agencies, will be required to balance their budgets each year
• An Accountability Office will be set up in the Ministry of Finance to help ensure that transfer partners are providing value for taxpayers' money
• A proposed Public Sector Accountability Act will require all significant public sector organizations to publicly report their annual business plans and how well they performed against these plans.

The Government will also introduce legislation to amend the Audit Act to empower the Provincial Auditor to ensure that institutions funded by Ontario taxpayers use that money prudently and effectively.

"I believe that no other jurisdiction in North America is so actively pursuing value for taxpayers' money," Flaherty said. "We owe this to the people of Ontario."

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For more information visit www.fin.gov.on.ca