In this extraordinary document, found in Lou Hyndman’s papers deposited with the Provincial Archives in 1986, is a 12-page submission by Manning Consultants Limited to pitch a “Citizens’ Committee on Productivity and Economy in Government.” It was proposed that Manning Consultants co-ordinate the organization of “information request forms,” workshop and final report.
As the document reveals, the proposal is highly moralistic in tone. The document is a response to unfortunate stories in the media about government “extravagance and waste” and lifestyle choices of elected government officials and senior civil servants.
The document’s fiscal conservatism is vintage Preston Manning whose Reform party publicized government waste and inefficiency.
This remarkable document sheds light on Mannings’ fiscal principles – spending money is a public trust, economy starts at the top, not at the bottom, and what services should be delivered by the public or outside the public sphere, etc. -may shed some light on what Manning will recommend in his final report to Premier Smith about Alberta’s health system.
Manning was appointed in January 2023 by Danielle Smith to inquire into the government’s handling of the COVID-19 pandemic. Reaction was particularly hostile given Manning’s $253,000 payday and his earlier work with the Frontier Centre for Public Policy. The Winnipeg-based conservative think tank publishes research such as an annual index on property rights.
Manning had completed what was called a “A fictional, futuristic description of relevant political developments in the Post-COVID period in Canada,” released in May 2022. Written soon after the freedom convoy, Manning imagines public hearings. The 46-page report purports:
• To identify the many unanswered questions that Canadians have raised
concerning the management of the COVID pandemic.
• To imagine the voluntary testimony of public witnesses, medical and
scientific experts, and government “insiders” whose advice has previously
gone unheeded, in seeking to answer those questions.
• To imagine in considerable detail the conclusions, recommendations,
and lessons which would result from such an investigation.
In a related post is the response of the Lougheed government to this citizens’ committee. Reference in the submission is made to appendices which are not included.
DRAFT
NOV 25, 1983
A CONSTRUCTIVE APPROACH TO CHANGING HOW THE
GOVERNMENT OF ALBERTA SPENDS OUR MONEY
A SUMMARY
Early in 1984, a citizen’s committee will make a major presentation to the members of the Alberta Legislature, the Provincial Treasurer, other members of Cabinet, and the general public.
The theme of this presentation will be “A Constructive Approach to Changing How the Government of Alberta Spends Our Money.”
The content of the presentation will be dozens of suggestions contributed by individuals and interest groups for eliminating extravagant and wasteful expenditures by the Government of Alberta, and focusing its resource is on expenditures of highest priority to Albertans.
Preparation of this presentation is being coordinated by Manning Consultants Limited of Edmonton. Members of the committee on productivity and economy in Government will be drawn from interest groups and individuals prepared to make constructive and substantive contributions to the development of our presentation.
The attached paper outlines the reasons why such an undertaking is needed. It provides some guidelines and data relevant to reform government spending practices and priorities and outlines a series of steps whereby individuals and interest groups can participate.
This exercise is expected to be the first of a series of organized efforts to be undertaken in 1984 to develop independent administrative and policy alternatives relevant to the operations of the Government of Alberta.
For further information, please contact E. Preston Manning, Manning Consultants Limited, 11440 Kingsway Avenue, Edmonton, Alberta T5G 0X4 phone 454-0741.
THE PRESENT SITUATION
Over the last ten years, the annual revenues of the Government of Alberta have increased from $ 1.3 billion to $10.3 billion (the latter figure includes heritage fund revenues). Well over 50% of all Alberta Government expenditures are financed from non renewable resource revenues.
Buoyant revenues have enabled the Government to undertake many worthwhile activity these such as the construction of hospitals an expansion of urban transit systems, and embark on many new projects such as the Kananaskis development.
But “easy money” has also encouraged Government Ministers and administrators to forget priorities and indulge in many excessive and unnecessary expenditures. Now, with Alberta experiencing the double-barreled effect of the prolonged recession and a downturn in energy prices, Albertans are becoming painfully aware that their government spending is outdistancing its revenue.
Newspaper articles and editorials have begun to appear with increasing frequency criticizing the Government for waste and extravagance. Such criticisms (see Appendix A) how focused on extravagant personal expenditures by ministers and their aides, huge cost overruns on projects such as the MacKenzie Health Science Centre, and large expenditures60 million) on nonessential projects like the ” beautification” of the Legislature grounds,
Recently, the Government itself (see Appendix B) has begun to seriously address the problems of revenue shortfalls and ever-increasing expenditures. Albertans have been told that they must “reduce their demands on government” and “tighten up”; that municipalities and social agencies must be more financially responsible; and that the users of healthcare , educational, and other services must personally bear a greater portion of the cost.
The approach which the Government appears to be taking to the problem is characterized by reliance on conventional ”belt tightening” measures (orders from the provincial treasurer for percentage reductions in stop and program expenditures), and the judgment Ministers and senior civil servants themselves as to where economics can and should be achieved.
A CONSTRUCTIVE APPROACH TO CHANGING HOW THE GOVERNMENT OF ALBERTA SPENDS OUR MONEY
The painful process of ”changing how the Government of Alberta spends our money” has begun.
Some contributors to this process , in particular ministers and senior civil servants, will be working from within the system”. Their efforts will no doubt achieved certain results, but are unlikely to be sufficient due to the bias of their perspective they see government expenditures from the ”top down”) and an inherent conflict of interest (few Ministers wish to come on ”scale down” their own departments.)
Other contributors to the process will take an essentially negative approach focusing primarily on the exposure and criticism of current examples of waste an extravagance in Government spending,. Others will demand deep cuts in the civil service and the slashing of program expenditures. And while such criticisms and suggestions no doubt have a role to play in changing Government spending practices and priorities, they are obviously not the whole answer.
A third and complementary approach to “changing how the Government of Alberta spends our money” is to directly and list the help of those who use and pay for government services and programs , in a constructive effort to change Government spending priorities and practices.
Alberta citizens, taxpayers, consumers of government services, providers of goods and services to government, members of interest groups, associations and the general public or in contact with Government offices and services on a day-to-day basis. Such people see and hear things examples of good service and the prudent use of public funds, as well as examples of poor service, ways, and extravagance- which Ministers and Deputy Ministers sometimes choose to ignore. –
It is appropriate and necessary that the “consumers” of government goods and services and the “owners” of government revenues become directly involved in efforts to achieve greater productivity and economy in government. To this end, a citizens’ Committee on Productivity and Economy in Government is being organized to perform the following tasks:
- To identify specific areas in which public money is being well spent and prudently managed by the Government of Alberta or its agents.
- To identify those public expenditures which citizens an interest groups consider of highest priority areas where government expenditure should be maintained or increased, even during a period of restraint).
- To identify specific areas in which public money is being wasted or mismanaged by the Government of Alberta or its agents.
- To identify those public expenditures which citizens and interest groups consider of lowest priority areas where government expenditures could be reduced or eliminated).
- To identify tasks presently performed by the Government of Alberta which could conceivably be performed better and more cost-effective Lee by others (such as non profit organisations, other levels of government, or the non governmental sector).
THE NEED FOR GUIDING PRINCIPLES
Lasting improvement in the productivity and economy of the Government of Alberta cannot be achieved by “ad hoc” criticisms And changes alone. Attention must be given by all concerned to the development of certain principles which would be useful in guiding the Reformation of government spending practices and priorities. In addition to the formal principles of sound financial management, such guidelines might include the following:
1, Public money is money “held in trust”
Money collected by the Government of Alberta (weather from taxes, or user fees, or royalties on resources) belongs to the people of Alberta, and should be collected, managed, and spent “in trust”. The specific cultivation of “trusteeship” attitudes (commitments to the conscientious management of public funds in the interests of Albertans) among elected officials and civil servants, ought to be a priority.
- Economy starts at the top, not at the bottom.
In changing Government spending policies and practices, there is often a tendency to “start at the bottom” rather than to “start at the top.” It is well known that Alberta has more MLAs (79) to serve a population of 2.4 million than does British Columbia (57) to serve a population of 2.8 million. It is also well known that Alberta has almost as many Cabinet Ministers (30) as the Federal Government (36) Add more then Ontario (29), Canada’s largest and most populous province (8.8 million). Manpower profile how the Alberta civil service is also characterized by a “bulge” at the senior administrative level.
Measures to streamline the civil service and program expenditures at the lower levels would be much more understandable and saleable, is such measures were preceded by actions to reduce the number of seats in the Alberta legislature, reduce the cabinet to a more realistic size, and eliminate the access of senior administrative positions.
3, “Moderation” should characterize the official lifestyle of elected officials and public servants.
Public officials are engaged in public service. Their “official lifestyle” should therefore be modest rather than extravagant. A “public trustee”, Even an important and respected trustee call ma does not, how’s a matter of privilege, need to travel by private aircraft or limousine, stay at the most expensive hotels, and entertain lavishly. Also, hey cabinet ministers “time” should not automatically be considered more valuable than that of the individuals and groups whom he is elected to serve.
- The division of labour between the public and private sectors should be guided by “who can do the best job most cost effectively”.
As a general rule, the public sector should not be performing those functions which could be performed better and more cost effectively by private citizens, associations of citizens, or other responsible and accountable institutions. Before undertaking any new task, or automatically voting continued financial support for the performance of existing functions, elected officials and public sector administrators should constantly ask the question, “Is there somebody out there who could do this job better and more cost effectively than ourselves?”.
- Neglect not the forest for the trees.
In examining Government spending and priorities, it is very easy to focus on the trees rather than the forests. The wasting of two or $3000 by Cabinet Minister on an extravagant trip sometimes receives more attention then some other action which is less blatant but may result in the miss allocation of 10s of millions of dollars.
Government decisions which result in the duplication of services or the misallocation of capital (both public and private) belong 2 yes latter category. For example, how much inefficiency is introduced into the Alberta economy, and how much money is wasted, by overtaxing the resource industry during boy end times, and paying out millions of dollars in subsidies and incentives to “stimulate” Bing industry when its activities have been slowed by recession and Government interference?
- The priorities of people should be the priorities of the government.
While politicians add administrators often develop complex definitions of priorities and methods of establishing men, should not the priorities of ordinary people (those to whom public funds belong) be the primary guide to Government priorities?
Do not people still have a basic hierarchy of needs which suggests:
- food, energy, clothing, and shelter or essentials, as our opportunities to earn income and invest savings in order to provide such essentials.
- That health care, education, police protection, and basic income maintenance services are also very necessary.
- The other goods and services offered by the public sector are important, but do not fall in the above two categories.
- That the amount of dollars which individuals and responsible institutions have left in their hands after their basic needs have been met is a measure of the financial resource is available to free individuals and institutions to pursue their highest aspirations.
Something Needs to be Done
In order to convince Members of the Legislature, the Cabinet, and the Provincial Treasurer that Albertans want significant changes in Government spending practices and priorities, large numbers of Albertans must demonstrate that they feel strongly enough about this issue to do something. Five concrete steps are proposed.
- An Invitation to Participate
A cross section of interest groups, associations, and individuals having regular contacts with the Government of Alberta he is in the process of being contacted with respect to participating in a three month “grass roots effort” to influence productivity and economy in government.
These preliminary contacts are being made by E. Preston Manning (see Appendix C for resume) of Manning Consultants Limited. Manning Consultants Limited is prepared to provide coordination and support services to the proposed Committee on Productivity and Economy in Government, as required.
- Information Request
Individuals and groups contacted by the coordinator will be requested to complete the attached information request (Appendix D). Please form requests respondents to provide hey brief description of the most productive or prudent use of funds by the Government of Alberta or its agents which respondents have seen in the last two years; the name of at least one major department, program, or service of government which respondents feel should have its budget increased next year; a brief description of the most inefficient and wasteful use of funds by the Government of Alberta or its agents which respondents have seen in the last two years; the name of at least one major department, program, or service of government which respondents feel should be dropped altogether next year; the name of at least one function, service or actively currently performed by the Government of Alberta which respondents feels should be delegated to some other level of government or non governmental institution.
Individuals and groups with interests and expertise in particular areas of government expenditures will be requested to answer these five key questions with respect to Government spending in their area of interest.
For example, some specialized interest groups may wish to focus their analysis exclusively on one of the high expenditure categories such as Hospitals and Medical Care ($2.2 billion), Social Services and Community Health ($1.2 billion), Education ($1.1 billion), Transportation ($854 million), Advanced Education ($818 million) and Public Works ($523 million). * Figures based pm the 1983-84 estimates of Alberta Government expenditures.
Others (search has associations of contractors, developers, road builders, engineers and architects) may wish to focus their analysis primarily on the capital side of provincial government spending, while primary industry associations (petroleum, forestry, agriculture_ may wish Two focus their analysis on the economic efficiency of resource management policies.
Individuals and groups with a general interest in all areas of government expenditures will be asked to address the same five key questions on the Information Request from the perspective Government spending as a whole.
Formation of the Committee for Productivity and Economy in Government
Individuals and groups which decide to participate and respond to the Information Request will also be asked to suggest names of individuals who would be willing to serve as members of the Committee for Productivity and Economy in Government.
Here the committee so desires, Manning Consultants Limited will continue to support its activity through the coordination of:
- Distribution, collection, and collation of additional information requests.
- Fund raising to support the activities how’s the Committee for Productivity and Economy in Government
- Arrangement of meetings and collation of results for presentation to the government.
- Securing Input from the Public
Copies of this paper (which is also being prepared in pamphlet form) will be broadly distributed to the general public, and advertisements containing the Information Request form will be placed in newspapers across the Province. The scope of this activity will be determined by the extent of interest group support and the success of the fund raising effort.
Anyone who shares the view that a” constructive approach to changing how the Government of Alberta spends our money” should be taken, will be invited to complete the Information Request form and participate in the process.
People who belong to groups such as service clubs, union locals, churches, Chambers of Commerce, industry associations and professional Associations will be asked to initiate discussions at one of their group meetings using the Information Request as a reference. The results of such discussion should be communicated to the Committee for Productivity and Economy in Government.
- Workshop to Prepare Presentation to the Government
A major workshop open to interest group representatives and members of the public will be scheduled for February, 1984. The purpose of this meeting will be to collect and review the responses to the work of the citizens Committee for Productivity and Economy in Government, and to develop an appropriate presentation of the results to the Government of Alberta. The objective is to present the results of the process to the Provincial Treasurer, other members of Cabinet, members of the Legislative Assembly and the general public, prior to the finalization of the 1984-85 Provincial Budget.
CONCLUSION
Times are changing in Alberta. Productivity and Economy in Government is an issue which affects us all regardless of our background or position or where we live in the Province.
Hey wholly negative and critical approach to this issue would be unfortunate, in that it would destroy many of the good things that have been done over the last 10 years and contribute little to genuinely improving the financial performance of the Provincial Government.
Approaches to productivity and economy in government which are too “conservative” or bureaucratic are also insufficient, In that the current spending practices and priorities of the Government are deeply entrenched and will not be altered by anything less than bold and innovative proposals vigorously pursued.
The development of a “constructive approach to changing how the Government of Alberta spends our money” here’s a timely and important task in which all concerned Albertans are earnestly invited to involve themselves.
FOR FURTHER INFORMATION
For further information, contact E. Preston Manning, President, Manning Consultants Limited, 11330 Kingsway Avenue, Edmonton, Alberta T5G 0X4 (phone 454-0741).
Source: Provincial Archives of Alberta, PR1986.0245, (Hyndman papers) Box # 105, File #1416.
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