News Release

FREDERICTON (GNB) – The provincial government released its 2014-15 audited financial statements today. The provincial deficit was recorded as $388.6 million, $2.5 million less than the budgeted deficit of $391.1 million.

“Our government’s priorities are creating jobs, making life more affordable for families and righting our fiscal situation,” said Finance Minister Roger Melanson. “It is important  to be transparent about New Brunswick’s fiscal situation so that the public can compare its performance in relation to the objectives.”

Revenues were up $304 million due to increased tax revenues mainly attributable to positive prior-year adjustments, one-time federal revenue and stronger than projected results for NB Power.

Expenses were $301.5 million higher than budgeted. Lower than budgeted expenses in areas such as health, central government and service of the public debt were offset by higher than budgeted expenses in education and training, transportation and infrastructure, protection services and economic development. That includes a one-time expense of $229.7 million associated with reforming the New Brunswick Teachers Pension Plan.

Net debt in 2014-15 grew by $610 million to $12.4 billion.

The Auditor General has provided a qualified opinion of the financial statements relating to the province’s pension expenses for shared-risk and targeted benefit pensions. The province’s pension expenses are now being recorded at an amount equal to the annual contributions set out by the pension trustees and funding documents.

“The shared-risk model is a relatively new development in the public sector accounting world and there are differences of opinion on how to account for it,” said Melanson.

Audited financial statements for 2014-15 are available online.