Alberta auditor general probing procurement and contracting processes within health authority
Alberta’s auditor general, Doug Wylie, has initiated an investigation into the procurement and contracting processes within the province’s health authority following concerns and allegations related to contracting and potential conflicts of interest. The probe, which is focused on the department of health and Alberta Health Services (AHS), was announced in a statement released on Thursday.
The investigation comes in the wake of reports by the Globe and Mail detailing allegations of impropriety in contracting and conflict of interest. The newspaper cited a letter from the lawyer of Athana Mentzelopoulos, the former CEO of AHS who was recently terminated. The letter reportedly made claims of political interference and suggested that Mentzelopoulos was dismissed just before a scheduled meeting with the auditor general to discuss her own investigation into procurement contracts for private surgical facilities.
While CBC has not been able to obtain a copy of the letter or reach Mentzelopoulos for comment, Wylie’s statement indicated that the investigation will focus on AHS but may extend to other organizations outside of the health ministry and Alberta Health Services. Specifically, the examination will look into chartered surgical facilities, medication procurement (including ibuprofen and acetaminophen), and the procurement of COVID-19 personal protection equipment.
The scrutiny of the Alberta government’s procurement practices has intensified due to the early purchases of personal protective equipment during the COVID-19 pandemic and a controversial $70-million deal to acquire children’s pain medication from Turkey amidst a shortage in North America. Wylie’s investigation will also assess the effectiveness of management and control processes, including governance and oversight, to ensure value for Albertans.
AHS spokesperson Holly Budd stated that the organization is conducting a review of its procurement procedures in response to the issues raised by the former CEO. The awarding of new contracts involving parties under review has been paused during this time. The Alberta government recently replaced the entire AHS board and appointed Deputy Minister of Health Andre Tremblay as the organization’s official administrator.
Health Minister Adriana LaGrange emphasized that the recent changes were part of a broader overhaul of the health-care system, which involves the creation of four new agencies. The minister welcomed the auditor general’s review into the procurement practices to ensure compliance.
The allegations reported in the Globe and Mail have prompted calls for an independent investigation by NDP Leader Naheed Nenshi and various health-care unions. United Nurses of Alberta president Heather Smith described the allegations as deeply serious and troubling, expressing concerns about potential privatization of public services. Nenshi called for key government officials to step aside during the investigation.
Mike Parker, president of the Health Sciences Association of Alberta, raised questions about the value of public money spent on private contracts in light of the allegations. He highlighted the importance of ensuring that health-care budgets are utilized efficiently to provide timely care to Albertans.
Overall, the investigation by the auditor general underscores the need for transparency and accountability in procurement and contracting processes within Alberta’s health authority. The outcome of the probe will be crucial in addressing any potential conflicts of interest and ensuring that public funds are utilized effectively to benefit the citizens of Alberta.
