PC government ended hotel discount membership at cost of $632K
Audit says province felt $14K membership fee wasn’t worth it, but change led to higher travel spending
The Blaine Higgs government cancelled its membership in a federal hotel-rate program to save $14,850 — a decision that led to estimated higher travel expense costs of $632,169 per year, according to New Brunswick's auditor general.
Paul Martin said in his new report that the government pulled out of the Government of Canada accommodation directory program in January 2023 without properly analyzing the potential costs.
The current employee travel policy "does not reflect prudent fiscal management," said the audit, presented Tuesday morning to the legislature's public accounts committee.
The federal program gave New Brunswick civil servants access to a directory of hotels that offer discounted government rates.
It also gave them mechanisms to use if they were over-charged or if the hotel rooms were "sub-par," the report said.
But officials told Martin's audit team the program "did not meet the expected value" and the return on investment for the $14,850 membership fee "was deemed insufficient due to the lack of demonstrated evidence of cost savings or measurable benefits."
Auditor General Paul Martin says one trip, where seven employees attended a conference in Barcelona, missed out on potential savings of more than $7,000. (Ed Hunter/CBC)
Officials didn't review hotel expense claims to see how often civil servants were using government rates in the directory and didn't analyze whether the province was saving money, Martin reported.
In fact, he continued, the cancellation eliminated potential savings of $479,484 in travel costs by departmental staff and district education council employees, an amount 32 times greater than the cost of staying in the federal program.
He estimated regional health authorities missed out on an additional $152,685 in possible savings because the discounted rates were no longer available.
New Brunswick government policy requires employees booking hotel rooms to seek government employee rates or discounted rates, whichever is lower.
But Martin's audit said many discount rates listed on hotel websites are the government rates for which provincial civil servants are no longer eligible.
The new policy "lacks clarity and could be misinterpreted," he said.
Martin reported on one trip where seven employees stayed four to six nights at a conference in Barcelona at a total hotel cost of $19,346, missing out on potential savings of $7,304 because they didn't have access to the government rates.
On another trip to Phoenix, Ariz., four employees expensed an average nightly rate of $567 for five nights, despite nearby hotels having a government rate of $168 available — for a total of $6,665 in missed potential savings, he concluded.
David Amos
Surprise Surprise Surprise
David Amos
Reply to David Amos
Paul Martin said in his new report that the government pulled out of the Government of Canada accommodation directory program in January 2023 without properly analyzing the potential costs.
The current employee travel policy "does not reflect prudent fiscal management," said the audit, presented Tuesday morning to the legislature's public accounts committee.
I thought Higgy was supposed to be great at this sort of thing
Greg Miller
Reply to David Amos
Yes, and me also "raided" the federal civil servants pension fund to the tune of billions !
Ronald Miller
Reply to David Amos
He was, do you actually think a premier, of any province, gets involved with hotel rates of civil servants.
David Amos
Reply to Ronald Miller
Yup Higgy hated everything the Feds offered
David Amos
Reply to Greg Miller
Right name Wrong dude and he took our CPP too
Greg Miller
Reply to David Amos
Paul Martin Jr. was responsible.
David Amos
Reply to Greg Miller
Why do you think I came home to run against him twice?
Reply to Ronald Miller
"He was, do you actually think a premier, of any province, gets involved with hotel rates of civil servants."
YES, the accommodation expenses will be set either by the Legislature through the Budget Implementation Bills, OR by the Lieutenant Governor-in-Council as a regulation enacted under an Act of the Legislature.
Lest we forget
"Despite being asked about promotions of New Brunswick in Europe, tourism deputy Yennah Hurley didn't mention a trip she and Tourism Minister Tammy Scott-Wallace made to London and Paris two weeks earlier
Luxury-hotel stays during an unpublicized trip to London and Paris and a personal move from Quispamsis to Fredericton helped deputy tourism minister Yennah Hurley, the former adviser to Premier Blaine Higgs, amass $77,710 in expenses in 2023.
It's the largest amount claimed by a senior official in the New Brunswick government for the year, including the premier and cabinet ministers, according to online departmental expense reports."
dawn mills
This maybe true, but why on earth is any public servant going to Arizona or Barcelona? Seems kinda odd. What possible bennifit could there be? At best executives or fed, but why provincial?
David Amos
Reply to dawn mills
Its just another one of those things entitled "public servants" do that the poor folks who pay their wages fail to appreciate. I find it very strange Higgy and the cops etc dare to call us their "clients"
Being petty, childish, and impulsive cost US a ton of money.
David Amos
Reply to Al Clark
Thats Higgy's way Now watch him become a Senator or a Diplomat
Jim Lake
Clearly the ex-premier was not the great financial genius all his cheerleaders like to convince themselves he was.
David Amos
Reply to Jim Lake
I have been pounding on that drum since he was the Finance Minister
Someone should tell Poitras that our election is done with, Higgs is history and he's now allowed to take a break on the anti-Higgs stories.
David Amos
Reply to Don Corey
Good luck with that
Reply to Don Corey
And we New Brunswick taxpayers continue to learn how dearly six years of a Higgs government cost us.
Al Clark
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awwwwwweeeeee
Don Corey
Reply to Jim Lake
Well, you do get the CBC version anyway.
Holt will spend this kind of money in the blink of an eye and you'll never know.....at least here.
Eugene Peabody
And yet another of Higgs signature " data my a-s" move that ended up costing Taxpayers a another unnecessary pile of money . NB is going to be a much better place to live now that we have a new style of leadership .
Eugene Peabody
And another Higgs move of thinking he was saving money but ended up costing a lot more. NB is lucky to have a new management style that will end the former leaders hunch style .
Roland Stewart
Reply to Eugene Peabody
We will have to wait for 4 years before we see the bill.
Need any more proof that fiscal conservatives don't know what they are doing? So hang, on federally we are probably going to elect one much worse than Higgs...
Don Corey
Reply to Mike Barkman
Trudeau is much worse than Higgs on all counts. A new PM will be a major upgrade for Canada, and the sooner the better.
Lou Bell
Another " look , a unicorn " moment by JP ! Come the day before Parliament shuts down for the Hoiday , The Grinch will show his/ her ugly eyes and break the news to Canadians how dire our debt is , how much bigger it's gonna grow , and how NB seniors are gonna hand over their hard earned 62 million dollars for the Holt Liberals to help the Feds hand out billions to all those workers who make up to 150 THOUSAND dollars . Meanwhile , grocery prices for all those seniors is set to go up another 5 % in 2025 !
Lou Bell
Sure a lot less than the 62 million dollars Premier Holt just handed over to her Fed counterparts to reward those who make up to 150,000 dollars ! EXCLUDING SENIORS !!
Lou Bell
Perhaps Mr. Martin should state we also lost over 3 million paid out during the last term in office of the Liberals , who it went to and for what , all for their " Phonie games " . Still haven't heard the true costs to taxpayers !
Mike Barkman
Reply to Lou Bell
Pretty angry aren't you Tiger? It appears you are finally realizing what you elected all those years ago and are lashing out.
Ralph Skavinsky
Reply to Lou Bell
Some seem to have short memories especially if they lean ..left..
Bill Mavin
This is the " fiscally responsible* party - right?
Bob Somers
Reply to Bill Mavin
I am looking forward to our Federal "Finance Minister's" fiscal update on Monday. That should provide you perspective on "fiscal responsibility.
Rafferty Mccorckle
If you stick up for parents, the media will haunt you for the rest of your life.
David Amos
Reply to Rafferty Mccorckle
Seems so
Kyle Woodman
Reply to Rafferty Mccorckle
They are reporting on the Auditor General's findings.
Don Corey
Reply to Rafferty Mccorckle
Poitras sure will.
Kyle Woodman
This is really a hallmark of Higgs being premier. Always spending a dollar to save a dime.
David Amos
Reply to Kyle Woodman
Well put
Ronald Miller
Reply to Kyle Woodman
As opposed to the Liberals, always spending a dollar, saving nothing, and costing us even more dollars, while improving nothing.
Lou Bell
Reply to Kyle Woodman
Rerally ? He saved NB taxpayers 130 million in needless expense from the Liberals for their Phonie Games . And now those same Liberals are back to try it again !
Lou Bell
Reply to Lou Bell
Pilfering 101 , courtesy of the Holt Liberals . Remember , our current Premier was a part of that failed attempt , thaks to Premier Higgs .
Rosco holt
Reply to Lou Bell
How much cancelling all the contracts cost the province?
Odd the surplus evaporated when Holt took power.
Anne Wallenberg
Penny wise and pound ...
David Amos
Content Deactivated
Reply to Anne Wallenberg
foolish
David Amos
Content Deactivated
Reply to Anne Wallenberg
fool ish
David Amos
Reply to Anne Wallenberg
We all know the last word
Ronald Miller
Meanwhile we are finding out the current gov't underestimated the nursing bonuses to an even larger degree than their first screwup on the math.
Kyle Woodman
Reply to Ronald Miller
How does that relate to this story?
Henry Hill
Higgs is history. Moving on
Jim Redmond
I unconditionally support all of the decisions made my the PC government.
Ralph Skavinsky
Reply to Jim Redmond
I don't Jim...everyone screws up at times.
Jim Redmond
Reply to Ralph Skavinsky
Agreed that mistakes sometimes happen, but on balance, the PC government is correct a lot more than their opponents.
Ronald Miller
Reply to Jim Redmond
The current gov't has broken more promises in their first few weeks than the previous one did in 6 years, quite impressive actually.
hs fisher
Reply to Jim Redmond
you would
Ronald Miller
Reply to Jim Redmond
The voters in Quispamsis were wrong. Not Higgs.
Jim Redmond
Reply to Ronald Miller
If it's a conservative government, I'm fine with that because on balance, they are best for the province.
David Amos
Reply to Ronald Miller
At least 42 voters understood the wicked game
Ralph Skavinsky
Reply to Jim Redmond
Yes, to that I do agree Jim
Ron parker
Reply to Jim Redmond
and they still lost.
james bolt
Spending $600,000 in order to save $14,000
That is the sort of conservative economic acumen that Stephen Harper might have displayed
Ralph Skavinsky
Reply to james bolt
I applaud Harper for giving us TFSAs...if anyone has a few bucks why not give it a try. Make interest without paying tax...yesss
David Amos
Reply to Ralph Skavinsky
He also bailed out the banksters correct?
David Amos
Reply to David Amos
Banks got $114B from governments during recession
Support for banks 'more substantial than Canadians were led to believe': CCPA report
CBC News · Posted: Apr 30, 2012 10:55 AM ADT
"Canada's banking system is often lauded for being one of the world's safest. But an analysis by CCPA senior economist David Macdonald concluded that Canada's major lenders were in a far worse position during the downturn than previously believed.
Macdonald examined data provided by the Canada Mortgage and Housing Corporation, the Office of the Superintendent of Financial Institutions and the big banks themselves for his report published Monday.
It says support for Canadian banks from various agencies reached $114 billion at its peak. That works out to $3,400 for every man, woman and child in Canada, and also to seven per cent of Canada's gross domestic product in 2009.
The figure is also 10 times the amount Canadian taxpayers spent on the auto industry in 2009.
"At some point during the crisis, three of Canada's banks — CIBC, BMO, and Scotiabank — were completely under water, with government support exceeding the market value of the company,"
Paul Rainville
Reply to james bolt
creative accounting...
Paul Rainville
Reply to james bolt
no interest in monetary policy
Paul Rainville
Reply to james bolt
budgets balance themselves.
james bolt
Reply to Ralph Skavinsky
He at least recognized a good idea when Paul Martin told him one
David Amos
Reply to james bolt
Thanks for the laugh
Ralph Skavinsky
In fairness I think most of you realize Higgs or any Premier for that matter doesn't delve into each department...no way to have "hands on" for all matters.
Ronald Miller
Reply to Ralph Skavinsky
Exactly, common sense tells most of us that, the left that posts on here is not part of that group.
Ralph Skavinsky
Reply to Ronald Miller
Yes exactlly,I mean surely common sense should enter the pic. I for one was glad to offer my congrats to Ms Holt on her win in hope others would give her a chance to prove her ideas in running the province
Ronald Miller
Reply to Ralph Skavinsky
I wanted to as well but then she started breaking promises within 24 hours of being elected, and they have already hinted that other promises will be broken in the coming months. Does anyone think she will actually have 4 balanced budgets, I like the chances of a snowball you know where better.
A Stewart
Reply to Ralph Skavinsky
But in all fairness, Higgs had a slash / austerity mentality. When ordered to cut costs, people may have panicked and done under duress without proper vetting.
Ralph Skavinsky
Reply to A Stewart
We can assume all kinds of things, can't we. That thought can also be used in other governments like Gallant, but no some of you never think fairness...too bad.
Al Clark
Reply to Ralph Skavinsky
In fairness I think most realize that Higgs was the ultimate micro-manager. Pretty much all of his cabinet ministers will tell you he was not a team player
Reply to Ralph Skavinsky
That may be, but we are talking about Higgs and his government here.
Don Corey
Reply to Al Clark
I'm of the opinion that you're correct on that count; his management style (or lack thereof) was very much like that of Trudeau.
Ronald Miller
Thankfully the $100 million/year Higgs was saving us in debt payments dwarfs this. But the left should be happy, they always say, the more you spend, the better things will be.
danny rugg
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Reply to Ronald Miller
Was Higgs smarter than a third grader? No way. Even in New Brunswick.
Ronald Miller
Reply to danny rugg
You would have no way of knowing, you never made it that far.
Ralph Skavinsky
Reply to danny rugg
Oh for heavens sake man. Get real.
Bob Smith
Another Higgs judgement based on feelings, not facts. We're lucky the Cons didn't get re-elected...
Ronald Miller
Reply to Bob Smith
Do you actually think a premier, of any province, is involved with hotel rate decisions? Let me guess, you think he decides pay raises, or not, for every single employee in gov't too.
Bob Smith
Reply to Ronald Miller
Higgs micro managed every aspect of his government. Who called the shots on the tiny amount he announced for everyone in NB only for the rules to be changed days later? Higgs. Hailing his great "fiscal conservatism" while trying to pretend he didn't know about gov't costs seems a stretch in logic...
Ronald Miller
Reply to Bob Smith
You and logic have played keep away for most of your life.
Ronald Miller
content deactivated
Reply to Bob Smith
"Higgs always stayed at the Fredericton Inn to save the province money. He didn't stay in $1000 a nig..."
Bob Smith
Reply to Ronald Miller
So, he went cheap in his hotel stays yet you claim Higgs wouldn't care about costs for civil servants? Keep drinking that blue Kool-Aid.
Ralph Skavinsky
Reply to Bob Smith
I am sure Tammy was reprimanded...everybody makes mistakes..everyone. Live and let live has always been my motto. Might suggest others might give that philosophy a try?
Ronald Miller
Reply to Ronald Miller
Hey look, my shadow appears again. I always know I am getting the best of Bobby's side when he starts posting under my name.
Ronald Miller
Reply to Bob Smith
Why is it only the left seems to get fooled when Bobby posts under my name.
Ronald Miller
Reply to Bob Smith
The left will never be right. Left will always be left.
David Amos
Reply to Ronald Miller
Who is who in this circus?
Reply to Ronald Miller
And the right is never right.
Rosco holt
Conservative good fiscal management= NOT.
AL BANNISTOR
at that's what made higgy such a great money manager!
David Amos
Reply to AL BANNISTOR
Surely you jest
AL BANNISTOR
Reply to AL BANNISTOR
no level of sincerity implied...he couldn't manage a lemonade stand
AL BANNISTOR
why?
Greg Miller
Good grief m-- and much our our taxes go to support poor decisions like this ! Too bad the "differential" is not recoverable.
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