The City of Winnipeg's auditor says a report his department authored regarding special taxes for new homeowners was misinterpreted.

Brian Whiteside said the report on local improvements was meant to identify a potential risk, but not to directly imply that some homeowners may have been double-charged by property developers.

"There was language in the audit report used to identify a potential risk in existing city processes," he said in a statement on behalf of the audit department.

"However, that wording appears to have been interpreted in a way not consistent with its intended meaning. We did not mean to imply that we had investigated and concluded whether developers had in fact double-charged property owners for land drainage in these cases," Whiteside said.

The auditor's report stated concern that Winnipeggers who bought new homes may have been charged twice for basic services: once when they bought their lot and again when they were charged a special tax on their tax bills.

Documentation from a development company and property owners, however, proved otherwise.

The report drew criticism from Mayor Sam Katz who called Whiteside's findings "inaccurate" and also from B.C.-based North Grassie Properties which owns a chunk of Winnipeg land.

In a separate statement Thursday, Whiteside said the city has chosen to act on the report's findings.

"City council has accepted the audit report and the Winnipeg Public Service has agreed to implement all nine recommendations contained in the Local Improvements Audit so I am confident that the audit will achieve the results expected," Whiteside said.