“You want to reduce spending? Which hospital do you want to close? How many teachers should we fire?”

We’ve heard this before. Supporters of ever-growing government insist that there is no fat left on the government steak to cut. We all know that isn’t true.

There are simple ways to reduce government spending without impacting services, like keeping projects on time and on budget. The Alberta government recently announced that the Grand Prairie Regional Hospital – a poster child for delays and cost overruns – would see its development delayed as the government looks for a new construction management firm.

This project has been nothing short of a taxpayer nightmare.

Originally announced in 2007, the hospital’s costs have increased by hundreds of millions of dollars and the project has long missed its 2015 deadline.

Unfortunately, all this extra money has been spent and not a single patient has been treated. Albertans will now be left with fewer services or higher taxes.

Who’s at fault for this hospital debacle?

While the government and the construction company play the blame-game, taxpayers continue to get burned.

There are reports of poor planning from the very beginning, as the government opted for "a design and build as you go" strategy. Not surprisingly, there has been hundreds of design changes, some requiring the demolition of already completed work. It’s easy to see how costs have ballooned.

Cost overruns and missed deadlines are not unique to this government project.

Albertans have seen everything from schools, roads, drainage projects and transit lines to government-backed refineries and the Olympic Games riddled with cost overruns or delays.

So, what gives?

Governments will have you believe that problems are always circumstantial. Some unforeseen issue with the land, some mistake made by a private company or a rare supply shortage in South America perhaps.

But the true problem stems from two core issues.

People are always willing to be less diligent when their money is not at stake. And a political win now trumps losses tomorrow.

Government spending limits would be a good first step to guard against the ever-present temptation to waste other people’s money. This would force governments to prioritize and keep a closer eye on cost overruns.

The construction company should also have skin in the game. The firm will have a much greater incentive to get the project done on time if a bonus payment or financial penalty is on the line.

What about the political incentive to low-ball project costs and get shovels in the ground as quickly as possible? The quick political benefit of low-cost projects and jobs today always seem to outweigh the more significant costs that arise down the road when projects are rushed through.

Financial penalties would also make sure businesses aren’t entering an agreement they know are underbudgeted and hastily planned with the hopes of coming back for more taxpayer dollars once the project is underway.

Further, hiring competent managers within government whose pay or job is at risk if they pick a bid they suspect can’t be completed as promised, would undoubtedly help.

At the end of the day, it’s our governments that are responsible for the use, and in the Grande Prairie Regional Hospital’s case, misuse of taxpayer dollars.

Far from the boogeyman argument that the only way to cut spending is to shut down schools and rid our streets of police officers, governments can save money by ensuring projects are built on time and on budget.

This column was originally published in the Edmonton Sun on October 2, 2018.