Report of the Auditor General of Canada on the 2021–22 Consolidated Financial Statements of the Government of Yukon

Opening Statement to the Standing Committee on Public Accounts of the Yukon Legislative Assembly

Report of the Auditor General of Canada on the 2021–22 Consolidated Financial Statements of the Government of Yukon

7 December 2022

Sophie Miller, Chartered Professional AccountantCPA, Chartered AccountantCA
Assistant Auditor General

Mr. Chair, thank you for the opportunity to discuss our audit of the consolidated financial statements of the Government of Yukon for the 2021–22 fiscal year. I would like to respectfully acknowledge all Yukon First Nations and acknowledge that the committee meets on the traditional territories of the Kwanlin Dün First Nation and the Ta’an Kwäch’än Council. I am accompanied today by David Irving, who was the principal responsible for the audit, and Michelle Spence, who was the director.

As the Government of Yukon’s auditor, our primary responsibility is to audit the government’s consolidated financial statements and express an opinion on them. As legislative auditors, we also report on the government’s compliance with specified authorities.

The consolidated financial statements in the Yukon Public Accounts is a key government accountability document that can help legislative assembly members understand the results of the government’s financial transactions. Therefore, our audit supports the legislative assembly’s oversight of the government, promotes transparency, and encourages good financial management.

The committee’s review of the Yukon Public Accounts is an important step in ensuring accountability for how public funds are spent and how government finances are reported. I am pleased that the committee is holding this hearing to examine the government’s financial results soon after the Yukon Public Accounts were tabled.

The government carries out its accounting and financial reporting responsibilities through its Office of the Comptroller in the Department of Finance. The Deputy Minister of Finance and the Comptroller will answer questions about the preparation of the financial statements. We will focus on our audit.

Our independent auditor’s report is in Part 2 of the Yukon Public Accounts, pages 31 to 34. We have issued an unmodified audit opinion on the consolidated financial statements. They conform in all material respects with the Canadian public sector accounting standards, which means that the information in the statements is reliable.

The consolidated financial statements, which include the accounts of the government and its controlled entities, show that the government had net financial assets of $163 million as at 31 March 2022. In other words, its financial assets are enough to cover its liabilities with $163 million left over. This is a key financial indicator.

The government makes estimates and assumptions that affect the amounts reported in the financial statements. The government’s significant areas of measurement uncertainty are disclosed in the notes to the financial statements. These areas are inherently imprecise. As a result, it is possible that in the future, an amount appearing in these financial statements could significantly change.

As a result of the ongoing COVID‑19 pandemic, our auditors conducted this audit entirely remotely. We maintained good communication with the government departments and territorial corporations. We look forward to returning to Whitehorse next year to resume our audit work in person.

I would like to thank the Deputy Minister of Finance, the Comptroller, their staff, and the staff of the departments and territorial corporations who were involved in preparing the government’s financial statements. We appreciate the effort, cooperation, and help of all involved, especially given the pressures created by the pandemic.

Mr. Chair, this concludes my opening remarks. We would be pleased to answer the committee’s questions. Thank you.