VICTORIA: The BC division of the Canadian Taxpayers Federation (CTF) today released an analysis of the Appeals System at the Ministry of Human Resources (formerly the Ministry of Economic Development and Economic Security), which deals with taxpayer payments for items such as welfare benefits. The analysis reveals that an unusually high number of decisions by frontline staff are being overturned at the tribunal level, and that special interest groups may in some cases, have "hijacked" the appeals process, which may have led to biased decisions.

"Since 1996, the number of appeals decided in favour of clients has jumped substantially, from 26 percent in 1996 to as high as 59 percent in 1998 and 58% in 2000," said CTF-BC director Mark Milke. "Given that frontline workers decide cases one way, whereas the tribunals decide another, with the Appeal Board then endorsing the majority of the tribunal decisions, there appears to be a serious disconnect between the frontline workers and the appeals level."

Appeal board decisions in favour of client:

1996: 25%
1997: 54%
1998: 59%
1999: 55%
2000: 58%

"As a result of the disparity between frontline decisions and appeal-level decisions, tax dollars may be incorrectly awarded to some who may not in fact be eligible under existing legislation. It is also possible that the structure of the appeal process has allowed some advocacy groups to 'hijack' the appeals system by choosing sympathetic chairpersons and nominees," noted Milke.

"Our review recommends that the structure of the appeal review process be changed to prevent one group or groups from exerting undue influence over the appeal system," said Milke. "The CTF has today forwarded its analysis to the government and urges it to look into the matter as part of their program and service review."