A controversial $2.5-million in payments to education unions to offset their costs for negotiating contracts has not yet been made, says Premier Kathleen Wynne.

Wynne stunned the legislature Wednesday when she admitted “this money has not flowed” and once it does the teachers’ federation will be required to account for how it is spent.

“The teachers’ unions will be required to provide an accounting before the money flows so it will be clear exactly how the costs were incurred,” the premier said under questioning from the Progressive Conservatives.

“But the fact is it’s been a successful process. It was a transitional process because it was new, and the money has not flowed. There will be an accounting from the unions about how the costs were incurred,” she said.

The funds, which are part of the government’s new centralized bargaining system, “didn’t come from the classroom … (and) didn’t come from programs for students,” stressed Wynne.

“That money came out of the overall compensation package, those are the kinds of examples because sick leave, retirement gratuities — that’s all part of the compensation packages of teachers.”

The Ontario government has promised $1 million each to the Ontario Secondary School Teachers’ Federation (OSSTF) and the Ontario English Catholic Teachers’ Association (OECTA), as well as $500,000 to the much smaller union, AEFO, representing the province’s French-board teachers.

More funds are expected to be doled out when a deal is reached with support staff, who are members of the Canadian Union of Public Employees. CUPE accepted similar payments in negotiations in 2008 and 2012 — $461,000 in total.

The union representing elementary teachers says it will not accept such a payout, and according to records provided by the Ministry of Education, also did not in contract talks in 2008 and 2012.

Education Minister Liz Sandals had previously said no receipts were required, and that the money was used to pay hotel and food bills — including pizza — during this protracted round of negotiations under the province’s new bargaining legislation.

Her comments prompted Progressive Conservative Leader Patrick Brown to quip that the “pepperoni must be gold-plated.”

The province has also provided $4.6 million to Ontario school boards to hire bargaining staff and cover their expenses.

Sandals insisted her story has not changed.

“We never said that the cheques had been issued. Whenever we have agreements with third parties, there’s always a process where there’s accountability and verification for how the money is being spent,” the education minister said.

While the $2.5 million can be used for hotels, meeting rooms, and meals, it cannot be used for booze, she added.

“Absolutely not.”

On Tuesday, the Conservatives asked the auditor general to probe the payout to the unions.

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Ann Hawkins, who heads the 50,000-member Catholic teachers’ union, said suggestions OECTA is “a partisan contributor to the Liberal party” and that its 2014 advertising campaign were “attack ads are wrong.”

The union has donated to the Liberals, NDP and Conservatives, she said in a written statement issued Wednesday morning.

“To suggest that we align ourselves with any single political party is untrue and, in fact, a disservice to our membership.”

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