In Over Their Head

Filed Under: Local

Ever the hear the expression “government has no business being in business”? According to an auditor’s report the City of Winnipeg had lost about $50 million as of the end of 2004 due to poorly run city owned/operated ventures called SOAs or special operating agencies.

It isn’t just photo-radar that’s failing city taxpayers. A new investigation says city hall’s business-style agencies are bleeding tens of millions of dollars from the public purse.The city’s special operating agencies (SOAs) - managing services from gravel to golf courses - are failing to bring in sufficient revenue after being organized in a shoddy manner, an auditor charges.

A confidential internal city hall probe has found that the relatively new SOAs for a gravel pit, municipal golf courses, the city’s dog pound and vehicle fleet are generally falling millions of dollars short of their financial goals and had cost the city roughly $50 million through to the end of 2004.

The audit’s report obtained by the Sun states senior city managers “failed to adequately monitor the SOAs … or respond on a timely basis to significant issues.”

Incompetence on the part of city managers? Heaven forbid.

 

2 Comments so far. Click here to join the discussion!

  1. gfroese

    As I understand it, the photo-radar isn’t costing the city money, it’s just making less than they initially proposed it would. Saying that it is bleeding money from the city is mis-leading.


  2. Len Kutchma

    I’m not talking about photo-radar. The media has been concentrating on it but I intentionally did not mention it because I agree with you. I’m referring to the various city-run ventures like gravel pits, golf courses etc.


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