Vancouver Sun

Don Cayo: In my opinion

Mostly yes: But we don’t get consistent bang for our bucks, as government auditors’ reports have revealed

- Don Cayo dcayo@vancouvers­un.com

Do we get what we pay for when it comes to taxes? Or, conversely, do we pay for what we get?

NPart one of two columns

o more taxes; we’re taxed to death; we pay enough already. Variations of this refrain — all rooted in the belief that government­s collect enough money to do what needs doing, if only they would spend wisely — reverberat­e whenever taxes are discussed.

Is it true? Do we get what we pay for when it comes to taxes? Or conversely, do we pay for what we get?

It sounds contradict­ory, but my short answer to both questions is no, we don’t — at least not all the time. This column elaborates on the first answer, and Saturday’s will expand on the second.

To be fair, we citizens do get considerab­le value for our tax dollars. As Canadians, British Columbians and Metro Vancouveri­tes, we enjoy a quality of life that is rarely surpassed anywhere in the world. Our infrastruc­ture, our social services, our security all are — despite flaws — generally excellent compared with everywhere else.

Yet we clearly don’t get consistent value from every tax dollar.

Not that it’s easy to put a precise figure on government waste. Auditors try — or at least the federal and provincial ones do, although it is not apparent B.C.’s short-lived, first municipal auditor general made much effort despite the $5.2 million her fledgling office spent. But the annual assessment­s published by even the best auditors general over the years add up to mere spot checks in a relative handful of specific areas.

So let me cherry-pick a few examples from recent headlines:

• The sizable pay and benefit differenti­als between city hall employees and their private- sector peers (not to mention the allegation­s of a sweetheart arrangemen­t between Vision Vancouver politician­s and their civic union).

• The far-behind-schedule TransLink fare gates that may become this decade’s version of the NDP’s $450-million fast ferry fiasco in the 1990s, or the Liberals’ $400-million cost overruns for the Vancouver Convention Centre in the mid-2000s.

• The bizarre story unfolding in court of how it took 240 Mounties, some working for months, to pull off a sting that may or may not land a couple of drug-addled terrorist wannabes in jail for trying, with coaching and logistical help from the cops, to blow up the legislatur­e.

• The Duffy trial, which is — although it has barely begun and it may or may not lead to a conviction — already reinforcin­g reasons for citizens to distrust politician­s.

The list could go on and on. Vote-buying. Incompeten­ce and inertia. Corruption and cronyism. Skewed, sometimes screwy, priorities. Yet, some criticisms are unfair.

Jock Finlayson, executive vicepresid­ent of the Business Council of B.C., notes that, when it comes to judging a government’s priorities, the difficulty is often that citizens disagree. Some think government­s should build stadiums or bike lanes, or subsidize businesses or the arts. Some beg to differ, often strongly.

Finlayson also notes that when any organizati­on is big — and government­s are very big — mistakes are bound to occur.

SFU public policy professor Rhys Kesselman concurs. He also notes the problem of unwieldy size is magnified by monopolies. And government­s have a monopoly on most of what they do — except when they overlap, which can create a host of new inefficien­cies.

But competitio­n doesn’t eliminate snafus, Kesselman added, and sometimes those who compare government­s unfavourab­ly to companies are glossing over a lot of warts.

“The business pages of your newspaper, over the course of a year, are filled with examples of businesses not being smart,” Kesselman said. “We find endless examples — especially when we have the benefit of looking at it in the rear-view mirror — of stupidity in the private sector.”

Of course, businesses that screw up badly go bankrupt. Government­s don’t — and the citizens who elected them are left with the mess.

As well, except for those with a vested interest, people tend to quickly forget what dragged a company under. With government­s, says Seth Klein, B.C. director of the Canadian Centre for Policy Alternativ­es, we tend not only to remember, but also to exaggerate their failings.

Klein recalled that in 2012, around the time former Internatio­nal Cooperatio­n Minister Bev Oda was being pilloried for high spending, his think-tank was working intensivel­y with focus groups.

One odd thing they found was that, as time went on, the cost of the minister’s infamous orange juice — the focus of outrage for many voters — kept escalating in people’s minds.

“It cost $16,” he said. “That’s a lot. But it isn’t the hundreds of dollars some thought they remembered.” Saturday: Do we pay for what we get from our government­s?

Businesses that screw up badly go bankrupt. Government­s don’t—and the citizens who elected them are left with the mess.

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