In a recent press conference, Minister of Municipal Affairs Ric McIver addressed the media to provide an update on the City of Chestermere and the outcomes of the financial inspection conducted by an independent third party. The inspection, initiated at the Minister’s direction, focused on the city’s financial management from October 2018 to December 2023, covering a crucial period spanning the last municipal election to significant dismissals within the city council.
The Minister’s statement highlighted the comprehensive nature of the inspection, which involved the review of over 10,000 items of correspondence, more than 1,000 tests of financial transactions, 80 tests of financial and information technology controls, and over 30 interviews. The findings of the report revealed significant irregularities, improper management, and deficiencies in financial controls during the specified period.
One of the key issues identified in the report was the lack of appropriate policies and tools for logging transactions and protecting data, indicating a systemic failure in financial governance. Additionally, out of 565 council expenses tested, only one was found to have been submitted with full documentation and approval in accordance with city policy, raising concerns about transparency and accountability in expenditure management.
Furthermore, instances were noted where the council and administration incurred costs without proper authorization or inclusion in the city budget, violating provisions of the Municipal Government Act. Specific examples cited in the report included actions by the former mayor that contravened legislative requirements, such as executing agreements without council approval.
Minister McIver emphasized the importance of transparency and accountability in municipal governance, asserting that the findings underscored the need for robust checks and balances to protect public interests and tax dollars. In response to the inspection report, the Minister issued two binding directives for the City of Chestermere. The first directive requires the council to discuss and address each recommendation in a public meeting and submit an approved plan to the Minister’s office. The second directive mandates the current Chief Administrative Officer to publish the inspection report on the city’s website and make print copies available upon request.
The Minister urged residents to familiarize themselves with the inspection report and engage in the upcoming byelection process to address vacancies in the city council. He reiterated the government’s commitment to restoring good governance in Chestermere and expressed hope that the report would catalyze necessary changes to policies, procedures, and practices.