New 'public disclosure statements' for P.E.I. councils might not actually be public

"Would you know if any city councillors are also landlords or Airbnb listers?"

That was the question sent in to CBC News by a city resident concerned with Charlottetown council's seeming reluctance to impose regulations on short-term rentals within the city.

Obtaining the answer, however, was anything but straightforward — largely because municipal councillors on P.E.I. have never been required to file financial disclosures divulging sources of income or other potential conflicts of interest.

That's about to change, and yet members of the public could still find it difficult — perhaps in some cases impossible — to obtain that information, even after disclosures have been filed. 

New 'public disclosures' not necessarily public

Under new requirements contained in the province's Municipal Government Act, incoming council members will have 30 days from being elected on Nov. 5 to file "public disclosure statements."

Similar to conflict of interest declarations for provincial MLAs, the financial statements will list assets and sources of income for municipal politicians (without including specifics such as salary or income levels).

However, while provincial government documents refer to the declarations as "public disclosure statements," the provincial government is not requiring that municipalities actually make the documents accessible to the public.

One document the province provided to municipalities to help them prepare for the new disclosures included this suggestion: "Although not a requirement under the act, council may choose to make disclosure statements accessible to the public as a best practice."

What constitutes a conflict

Those financial disclosures — if they were made public — would make it possible for municipal residents to see for themselves whether members of their local council owned things like rental property.

Given the current absence of municipal financial disclosure forms, the CBC emailed 34 councillors and mayors — from Charlottetown, Summerside, Stratford and Cornwall — to try to answer that particular question.

We obtained responses from 28 mayors and councillors. No one said they had received any income from short-term rentals. Five councillors said they owned rental property. 

Municipalities, if they wish, can make them public.- P.E.I. Department of Communities, Land and Environment

Even if a councillor made money through a property rental, that would not put them in a conflict of interest unless or until the matter came before council.

Under the Municipal Government Act, such a councillor would have to declare an interest and remove themselves from debate if the topic came up.

"They cannot be involved in or influence the decision-making process," explained John Dewey, executive director of the Federation of P.E.I. Municipalities.

'Second class citizens'

Holland College journalism instructor Rick MacLean said the public has a right to know about any factors, including sources of personal income, which could influence elected representatives on matters of public importance.

He gave the province credit for introducing the financial declaration forms, but said he's "speechless in trying to figure out exactly why the province would on one hand would do something so right, and then turn around and do something so wrong as saying whether or not these public disclosures are actually public will be left up to each of these councils."

MacLean said some community residents will end up treated like "second-class citizens" if their council doesn't provide the information, while other councils do. 

"Whoever thought that that was possibly a good idea?"

Disclosures meant for CAOs

A spokesperson for the P.E.I. department of communities, land and environment said the new public disclosures aren't being introduced in order to let the public learn about financial holdings and potential conflicts of interest for councillors.

"The primary reason for the disclosure statements is to provide information to the chief administrative officer about potential conflicts of interest," the spokesperson said. "Municipalities, if they wish, can make them public (but with due regard for the disclosure of personal information.)"

CBC contacted the five people running to be mayor of Charlottetown. All five expressed support for these disclosures being public documents.

In Summerside, Nancy Beth Guptill said they should be public. Brent Gallant said he'd have to think about it and collect more information. Basil Stewart said if elected he will be, "checking the city present policy to determine as to whether it should be more transparent." 

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