Fort McMurray councillor at centre of conflict-of-interest investigation

Fort McMurray Coun. Krista Balsom vows to defend herself against allegations that she voted on budget items in which she had a financial interest.

CBChas learned Balsomis being investigated forconflict of interest.

Sources in the Regional Municipality of Wood Buffalo confirmed toCBCthis weekthat a third-partyinvestigation is underway.

In astatement Balsomsaid she welcomes the scrutiny and looks forward toclearing her name at the right time.

"I support the right of every citizen no matter who, to question the government," Balsom said. "And I also support the right to due process and fairness."

BalsomownsBalsomCommunications, a marketing company in Fort McMurrayhired on occasion to work for themunicipality and organizations funded by themunicipality.

During 2018 budget deliberations in February,Balsom withdrew from voting on a funding allocation to the municipality's communications and stakeholder-relations department.

At the time, Balsomsaid in a Facebook postthatshe had recused herself as her company hada contract with the department and,after consulting themunicipal legal team, it was determined she stood to gain financially.

However, Balsomlater participated in votes approving annual grants to community organizations, some of whichhave advertisements in her company's publication, Your McMurray Magazine.

It's not clear whether voting on funding allocations for these groups is part ofthe investigation.

In her Wednesday statement to CBC,Balsom said she does not know the full extent of the allegations.

"I will be making a (further) statement in response to the people who have alleged that I did not sufficientlyrecuse myself from all requisite budget votes in the 2018budget process when I learn of the full details and retain legal council," Balsom said.

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Regional Municipality of Wood Buffalo communications and stakeholder relations department declined to answer specific questions fromCBC.

But spokesperson Adam HardimanreferredCBCto its whistle-blowerpolicy and said the Calgary-basedaccounting firm, MNP,investigates suchallegations.

Balsomwaselected to her first termin 2017.

Connect with David Thurton, CBC'sFort McMurraycorrespondent, onFacebook,Twitter,LinkedInor email him atdavid.thurton@cbc.ca