OGGO Committee Report

Supplementary Report to the June 2012 Report of the Standing Committee on Government Operation and Estimates entitled:
“Strengthening Parliamentary Scrutiny of Estimates and Supply”

Submitted by the New Democratic Party of Canada

During the study on estimates undertaken by the House of Commons Standing Committee on Government Operations and Estimates, the Committee concurred that more support was needed for members of Parliament and Committees to undertake informed reviews of the estimates so as to ensure that tax-payer money is well spent. While we concur with the majority of the report and recommendations we feel it necessary to qualify our position on one aspect of the report.

A widely supported measure recommended by distinguished experts testifying before the Committee on how best to achieve improved capacity was to clarify and strengthen the role and the mandate of the Parliamentary Budget Officer (PBO).

As testified by Dr. David Good, Professor, School of Public Administration, University of Victoria,

“First, I would make the Parliamentary Budget Officer a full agent of Parliament to assist parliamentarians and committees. I think the role and mandate of the Parliamentary Budget Officer needs to be clarified and strengthened by making the office legislatively separate and independent of the Library of Parliament, thereby operating as a full agent of Parliament. A confused mandate, which I think we've had since its creation, only serves to increase partisanship and the scoring of political points rather than channelling substantive information to elevate the level of debate to assist parliamentarians in the scrutiny of the budget and the estimates. As a full agent of parliament, the Parliamentary Budget Officer would have authority to have greater access to documentation.”[1]

As pointed out in the Committee report, the current legislated mandate of the PBO includes providing independent research and analysis to Parliament on the government’s estimates and financial management.

A number of distinguished experts commended Canada for the decision to establish of the Office of the PBO and recommended that a number of changes to his mandate could have the effect of further strengthening Parliament’s capacity for thorough and informed financial reviews. They recommended that the PBO be appointed as a full officer of Parliament reporting directly to Parliament, as is the case with the Auditor General and that steps be taken to ensure the PBO is granted total access to all relevant information.

According to Dr. Joachim Werner, Associate Professor, Public Policy, London School of Economics and Political Science,

“Drawing on international experience, I think there are a number of possible changes. I'm not saying these are changes you should be making, but changes that could be considered if your aim is to strengthen Parliament.

The first one, in my view, is to protect and enhance the role of the Parliamentary Budget Officer. A number of countries are creating similar institutions, and the Parliament in Canada has really been at the cusp of this development. Internationally, the Parliamentary Budget Officer of Canada is very highly regarded, and it's certainly a major change, in my view, at least, in the degree the parliament in Canada has access to an independent, highly professional research capacity.

I believe that some adjustments are possible to the legal framework for the Parliamentary Budget Officer. In particular, this role could be strengthened, or the status be strengthened, if he were a full officer of Parliament. Moreover, steps could be taken so that the Parliamentary Budget Officer has total access to all relevant information. In the past I believe there have been incidents where departments have not been quite as forthcoming with providing information to the Parliamentary Budget Officer as perhaps they should have been. But overall, I see this as a very positive development, and I see some scope for strengthening it also on the basis of international experience.”[2]

It was also recommended that by revising the PBO mandate to report to the OGGO Committee it would ensure better access to analytical work on the estimates, thereby ensuring a more informed review.

Witnesses advised that making the PBO a full officer of Parliament and having the PBO report to the Committee, would help address the PBO’s request for greater access to documentation. It would also address the need for expanded support for committees to help them to better understand the estimates documents and gain access to more in-depth analysis on the estimates.

According to Mr. John Williams, former Member of Parliament and former Chair of Public Accounts Committee,

“I think the PBO, the Parliamentary Budget Officer, can assist committees such as this one immensely. I agree with Mr. Marleau that he should be an officer of Parliament. I also think that making him an officer of Parliament means that he does not get stuck in limbo, wondering what he can or cannot do, or what authority he does or does not have, and becoming his own little soapbox rather than a support mechanism for the committee. That, I think, is important.

The Auditor General supports the public accounts committee. His report is tabled and referred to the committee. You have this close relationship between documentary support by the Auditor General and the committee's capacity to make inquiries of witnesses. The Parliamentary Budget Officer should be doing the same, giving you the report so that you, as the members of Parliament, can ask the important questions. Because the Parliamentary Budget Officer really doesn't have a reporting mechanism right now, he has his own press conferences and speaks in public.

The Auditor General doesn't do that. I would think you should be looking at it along the same lines for the Parliamentary Budget Officer—an officer of Parliament, reporting here, giving his reports to you, and you ask the questions.”[3]

The advice provided to the Committee is clear – an expanded, more independent mandate for the PBO would greatly improve the capacity of Members of Parliament to undertake an informed review of the estimates. We see no justification for further analysis or delay in taking these steps.

Consequently, we recommend:

That the government take immediate action to make the Parliamentary Budget Officer an officer of Parliament; and further, that the Parliamentary Budget Officer be mandated to report to the Standing Committee on Government Operations and Estimates with respect to its estimates work.

[1]     Dr David Good, Professor of Public Administration, University of Victoria OGGO Meeting 39, 1640.

[2]     Dr. Joachim Wehner, Associate Professor of Public Policy, London School of Economics and Political Science, OGGO Meeting 35, 1550.

[3]     John Williams, Mr. John Williams, former Member of Parliament and former Chair of Public Accounts Committee OGGO Meeting 37, 1705