Parties and trips to the hotel, regular purchases of alcohol and the adoption of two cats for pet therapy purposes: the general management of a small town in Montérégie spent thousands of dollars on the card of credit of the municipality to nourish the social life of its employees.
Our Investigation Office obtained through access to information the statements for the last two years of the credit card used by the general management of the City of Beauharnois. Here is what we discovered in the finances of this locality located about forty kilometers from Montreal:
- Alcohol purchases are made on a regular basis on the credit card, both for dinners or dinners and for employee activities, such as a golf tournament. Wine and beer were also purchased at the convenience store to comfort employees after an information session described as “heated” with citizens.
- Beauharnois spent nearly $6,000 to invite elected officials to spend the night in a charming hotel, just to discuss the budget.
- Some restaurant expenses are expensive. Last summer, while in Quebec for a conference, two executives spent nearly $400 for two dinners at a restaurant, including lobster, extra burrata, a $50 bottle of wine and four aperitifs.
- Several pieces of furniture were ordered online to furnish the town hall, some luxurious like a “real leather” sectional sofa costing nearly $3,000.
- Beauharnois spends hundreds of dollars a year on litter, food, a water fountain and collars for two adopted cats who live in the town hall for “pet therapy” purposes for its employees.
$60,000 party
The City’s credit card statements also show numerous socializing activities for the hundred or so employees of Beauharnois, a small town of less than 14,000 inhabitants.
5 to 7 “recognition” parties with small bites, sugar shack, lake-à-l’shoulder at the hotel, outings to a “burger bar”, golf tournament and Christmas party: Beauharnois spent nearly 60 000$ in various celebrations for its employees over the last two years.
For the 2023 Christmas party, beer mugs bearing the Beauharnois logo were even ordered for employees, in addition to a DJ, a photobootha buffet and $5,000 in alcohol.
Some cities, such as Montreal, prohibit their managers from using public funds to purchase alcohol for activities with their employees, such as Christmas parties.
Beauharnois does not even have a policy regarding alcohol consumption, nor to regulate the expenses of its employees. She even recommends making all expenses directly on a credit card, instead of filling out expense accounts, as is generally the case in municipalities.
This is because Beauharnois considers the processing of expense allowances to be a “tedious” exercise, its spokesperson, Stéphanie Gosselin, confirmed to us.
The City of Beauharnois has made several online purchases in recent years to furnish the town hall’s kitchen and break room, including televisions and this real leather sectional sofa for nearly $3,000.
Image taken from the Meubles RD website
Discuss budget at the hostel
Beauharnois is, however, a city with more debt than the average, recognizes its mayor, Alain Dubuc (see other text below). In 2019, it was even on the brink of financial collapse with a multi-million dollar hole in its budget. Today, even though its finances are in better shape, Beauharnois still carries a debt of $54M.
However, in November 2023, the administration did not hesitate to spend nearly $6,000 to invite elected officials and civil servants to spend the night at the Auberge Handfield, a charming hotel an hour’s drive from Beauharnois, to discuss the budget.
Auberge Handfield, with a view of the Richelieu River, in Saint-Marc-sur-Richelieu.
Image taken from the Auberge Handfield website
This escapade did not go unnoticed. In December 2023, in an extraordinary session, a citizen questioned Mayor Alain Dubuc on this subject. “Can you explain to me what Auberge Handfield has brought you more (than the rooms available in Beauharnois)? To go and spend our money?” he asked.
On this subject, spokesperson Stéphanie Gosselin told us that this working meeting took place in an inn in order to “foster constructive exchanges in a less formal setting, away from any distractions from everyday life.”
Not for personal use
Our Bureau of Investigation spoke to the mayor and the general director of Beauharnois who both told us they found it essential to invest public money in the social life of municipal employees (see other text).
“Under no circumstances does general management use the credit card for personal purposes,” also assured M.me Gosselin, when we asked her about certain unusual expenses, such as shopping at the convenience store, taking the example of purchasing a carton of chocolate milk.
“The chocolate milk was to put in the cafes that morning, to give a different taste and funky following discussions between colleagues. Special day instead of using cream!”, she explained.
$40,000 per party year
Despite recent tax increases and the City’s growing debt, both the mayor and the general manager of Beauharnois do not intend to put the brakes on socialization expenses, even if they cost $40,000 per year for residents. taxpayers.
Mayor Dubuc confirmed to us that the total amount spent on these activities was higher than what we found in the credit card statements.
Alain Dubuc, mayor of Beauharnois
Image taken from the Facebook page of Alain Dubuc, mayor of Beauharnois
“We spend around $40,000 per year on social activities. For me, it’s an investment. We would give 1% more salary to everyone, it would cost $160,000 and there is nothing that would show,” said the mayor of Beauharnois.
The latter came to the defense of the expenses made on the credit card of its general director, Katherine-Erika Vincent.
“I was the one who hired her. The main reason for his mandate was to improve human resources management and teamwork. […] I see the participation in the Christmas party, I see that people are standing together, and for me, it’s mission accomplished,” says Alain Dubuc.
Mme Vincent, for his part, argues that these expenses are used in particular to “support” the young managers of his organization.
Katherine-Erika Vincent, general director of Beauharnois
Image taken from Katherine-Erika Vincent’s LinkedIn page
“Perhaps people may find that there is a lot of activity, but I believe that it creates an essential synergy within the City,” she said.
A “total success”
According to Mayor Dubuc, these socialization activities are a “total success”. He also says he agrees with spending on alcohol. “As long as there is no abuse, personally, it doesn’t bother me.”
So there is no question of cutting back on parties, even if Alain Dubuc admits that his city is not rolling in gold. “It remains a city that is still quite indebted compared to the average.”
Of “bad management”
Beauharnois is poorly managed in several respects and it spends more on socialization activities than even a private company would, believes professor at the University of Quebec in Montreal and specialist in municipal management, Danielle Pilette.
“If we want to give more to employees, let us do it transparently by changing their remuneration and their working conditions […] I am convinced that there are many citizens who would need the City to help them more than to take care of municipal employees who are already well paid,” says the latter.
Danielle Pilette, professor at UQAM specializing in municipal management
Photo taken from the UQAM website.
According to Mme Pilette, spending so much on the social activities of municipal employees from public funds is not an “adequate practice”.
“This is not even consistent with what is done in the private sector where we try, for example, to have sponsors for social events. And again, they are more modest than before, particularly in terms of alcohol consumption.
Restore order
The municipal management expert also says she is very surprised to see that many City purchases go through the general director’s credit card rather than through the procurement department.
“Credit card use must be rare and not systematic. We wonder what the point of executives in this city is if human resources do not manage social activities and the supply department does not take care of purchases,” she quips.
Same observation regarding the absence of expense allocations or clear policy on expenses permitted for Beauharnois employees and executives.
“It’s downright bad management. […] Such a policy is absolutely required. Even in the smallest towns, there is a policy with capped amounts which indicate, for example, what you can spend in restaurants,” says M.me Drains.