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Thankfully Hydro's Information Dam is Leaking

Author: Colin Craig 2014/05/23

Manitoba Hydro has picked up the tab for $250,970,319 in bills racked up by Aboriginal reserves up north as part of “negotiation” and “process costs” for proposed dams.

But don’t ask to see the receipts; Hydro claims it’s all “confidential.”

You can’t make this stuff up – a quarter billion dollar secret! If you find this hard to believe, all the documents are posted on the web site of the Canadian Taxpayers Federation (CTF); a donation-based taxpayers watchdog organization.

While the CTF has been hitting a brick wall on this issue, fortunately Hydro’s “information dam” has sprung another leak.

Recently, a whistleblower within Manitoba Hydro leaked an audit document that investigated approximately $5 million in spending by the York Factory First Nation on these ‘negotiation’ and ‘process costs.’

The findings were anything but reassuring. The audit document noted there was an overpayment of “$78,500 to $108,000” for airfares and there were “mileage claims that did not match amounts paid to staff.”

The document goes on to describe a $250,000 advance related to the Keeyask project that Hydro staff is working to “reach agreement on reconciliation or repayment.” There were also “5 other non-compliant items with estimated value between $29,995 and $105,495.” If you’re keeping score at home, that’s over $500,000 worth of flagged concerns on an estimated $5 million or so of expenses.

The latest situation is reminiscent of an audit letter concerning the Tataskweyak Cree Nation that was leaked last year to the CTF. That document noted an attempt to receive double reimbursement for travel expenses of around $100,000. Further, Hydro funds meant for a specific project were lent out for other projects; including “$2,320,000 to Water and Sewer Participation” that could be “clawed back” by Hydro.

A whistleblower from that community previously provided media with cheque stubs from a consulting firm for large sums of money. The firm has been billing for work on these Hydro projects. She alleged she was paid $700 to attend a two-hour meeting.

Hydro claims the overall $251 million in expenses are A-Okay and points to an ombudsman’s report that says Hydro can, under current information laws, keep all these expenditures hidden from the public.

A few years ago the provincial government passed Bill 31, legislation that made it harder for the public and watchdog groups like ours to get access to provincial government documents that involve aboriginal reserves. Several grassroots aboriginal people even spoke out against the bill, noting it was a bad idea and would make matters less transparent.

Now that law helps Hydro keep information under lock and key, and helps the province avoid embarrassment. Go figure.

Hydro also likes to claim these expenses are “commercially sensitive.” Really? What’s “commercially sensitive” about the $74,757 that was spent on a “signing ceremony” for a new dam agreement back in 2009? Clearly, Manitoba’s information laws are too restrictive.

The fact that someone on the inside of Manitoba Hydro leaked the latest document shows all is not well on the inside. One thing is for certain, it’s great that Manitoba Hydro’s “information dam” is leaking. Even a trickle of information is better than a drought.

 

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