The Vancouver Olympic Organizing Committee (VANOC) released their financial statements for 2006. Once again, taxpayers are being told that everything is going smoothly, on time and on budget. Nothing to see here folks.

Ding-ding-ding! Sound the alarm bells. There remains countless risks to VANOC's budget and yet there is no mention of a plan to address those risks. Failure to acknowledge the variables and risks to the financial plan will almost certainly lead to disaster-and guess who pays for that dear taxpayer!

If VANOC falls down on its job of minding costs it will be provincial taxpayers on the hook. But by then, the Games will be over and undoubtedly John Furlong (CEO of VANOC) will be long gone. The financial hangover for taxpayers, however, will just be starting. Which is why due diligence, transparency and a full accounting of risks and variables now, is all the more important.

Highlights of VANOC's financial statements include:

• Revenue deficit for 2005 and 2006 tallied $33.5 million;
  
• staffing costs more than doubled in one year (from $10.6 million in 2005 to $23.6 million in 2006);
  
• administrative costs have ballooned from $4.3 million in 2005 to $12.8 million in 2006;
  
• 35 per cent of all marketing revenues goes to the International Olympic Committee (IOC) and the Canadian Olympic Committee (COC);
  
• Operating revenues are uncertain;
  
• $1.2 million in 2006 for office rent; and
  
• No updated business plan.

The federal government, by all accounts the junior funding partner for the Games, conducted a due diligence report before agreeing to hand over an additional $55 million for venue construction overruns. However, the provincial government, who touts itself as the most open government in Canada asked no questions when VANOC came begging for money. Yet-it is provincial taxpayers who are underwriting the Games.

Furthermore, the federal government is again stepping up its commitment to taxpayers by hiring an external auditor to review all the federal tax dollars that have gone to VANOC since 2003. Where is the provincial government Why aren't they asking tougher questions

The Canadian Taxpayers Federation (CTF) has urged the province to step up to the bar set by the federal government and conduct a joint audit of all tax dollars that have gone to VANOC since 2003. It is their obligation to ensure tax dollars are not being squandered. Further, the provincial auditor general should review VANOC's financial statements for accuracy and completeness and identify risks to the VANOC financial plan.

The Olympics are coming and everyone is excited to showcase British Columbia to the world. But, it is up to the provincial government to demonstrate its respect and obligation to taxpayers.