'Culture of entitlement' in Richmond County, says watchdog's report into expense scandal
Report recommends updating and standardizing travel, expense policies
The final report by Nova Scotia ombudsman Bill Smith into the expense scandal in Richmond County shines "the lamp of scrutiny" on the municipality, the provincial watchdog said Monday.
The report, which has been posted online, said there is a "culture of entitlement" in the Cape Breton county, where the warden and chief administrative officer expensed tens of thousands of dollars on travel, meals and alcohol with little documentation or oversight.
Smith said the report speaks for itself.
"There was ... a former chief justice in Alberta that said words to the effect that the purpose of the ombudsman is to shine the lamp of scrutiny in otherwise dark places ... and I think we've done that."
RCMP, Elections Nova Scotia investigating
A recommendation for a forensic examination included in a preliminary version of the report has been removed.
Smith said since the preliminary document was leaked to CBC News in October, there have been several developments including investigations by the RCMP and Elections Nova Scotia, as well as a forensic audit from the accounting firm Grant Thornton.
- Nova Scotia ombudsman slams Richmond County officials for 'self-serving' expenses
- Forensic audit calls out Richmond County CAO, some councillors
- Former Richmond County warden Steve Sampson to sue for libel
"In light of the extensive and ongoing scrutiny of the municipality's expense-related activities, the Office of the Ombudsman is satisfied that the purpose of its preliminary recommendation for a forensic audit has been met," Smith wrote in the report.
Smith told CBC he wasn't surprised by the investigations launched by the RCMP and Elections Nova Scotia, saying it's within their mandates.
Smith encouraged by council's response
He described the response from the new council in Richmond County as "very encouraging," adding they intend to follow up on the recommendations.
They include a review of travel and expense policies, training for councillors and staff — including the CAO — and a review of budgeting processes
I think they're in agreement for the most part with the recommendations and we'll certainly be writing to them to confirm that and to monitor the followup.- Ombudsman Bill Smith
The report also recommends the province consider bringing in standard travel, expense and accountability policies for all municipalities. It goes on to suggest the government look at hiring an auditor general to focus on municipalities.
"I think they're in agreement for the most part with the recommendations and we'll certainly be writing to them to confirm that and to monitor the followup," said Smith.
Progress to be monitored
Smith's office plans to monitor progress at both the provincial and municipal level and will request quarterly updates.
Former warden Steve Sampson and CAO Warren Olsen were singled out in the ombudsman's report for questionable alcohol and travel expenses. Olsen resigned last month. Days later, Sampson was fired from his job as an outreach worker in the Liberal party's caucus office.
Sampson is continuing with his defamation suit against four people in Richmond County, who he says unfairly targeted him in Facebook posts.