Liberal Senator Bernie Boudreau will now be responsible for the Atlantic Canada Opportunities agency, which aims to promote business and the economy in the Maritimes and Newfoundland.
The Senator will have his work cut out for him after the release of the Auditor General's report on the controversial agency.
Report author Denis Desautels says taxpayers are paying a premium for rent in an office building in Sydney. In his report, Desautels says the rental rate is 20% to 30% higher than buildings of superior quality in downtown Sydney.
The building was supposed to be used to set up a Canada Business Service Centre, but the report says at most, only two federal employees ever worked in the building.
The report says Ottawa still paid for nearly $200,000 in renovations, a cost the Auditor General says was 3 to 5 times higher than other locations in Atlantic Canada.
The report also says ACOA signed a six-year deal to rent the building and continued to pay for portions of the building it couldn't rent. Since 1995, the agency has paid out $116, 903 in rent shortfalls.
"They are critical recommendations," said Boudreau. "We'll do whatever we can to implement any recommendations of the Auditor General."
ACOA will be out of the deal in September of next year.