Auditor-General Declines Audit of Failed Digital Prescription Programme Amid Government Review

Marcus Wong, Economy & Markets Analyst (Toronto)
4 Min Read
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The Auditor-General of Canada has opted not to conduct an audit of the troubled digital prescription initiative, PrescribeIT, which has been heavily scrutinised following its failure and subsequent closure in most regions. This decision comes despite a parliamentary committee’s unanimous request for an investigation into the programme’s financial and operational shortcomings. The Auditor-General, Karen Hogan, cited an existing review by Health Canada into the programme’s managing body, Canada Health Infoway, as the reason for her stance.

Background on PrescribeIT

Launched in 2017, PrescribeIT was part of a broader initiative aimed at modernising healthcare delivery by replacing outdated fax systems with a digital platform for transmitting prescriptions between healthcare providers. The programme was initially backed by nearly $300 million in federal funding, yet it faltered dramatically, with less than 5 per cent of prescriptions being processed through the system before its closure in May this year. This startling statistic was revealed earlier in the year by The Globe and Mail, raising questions about the efficacy and management of the programme.

The initiative has faced intense scrutiny from the House of Commons health committee, particularly following a contentious appearance by Michael Green, the former CEO of Canada Health Infoway, who was subsequently dismissed by the board. The committee’s concerns prompted a bipartisan request for an audit, with members from the Liberal, Conservative, and Bloc Québécois parties all voting in favour of the review.

Government’s Response and Future Reviews

In response to the parliamentary request, Health Minister Marjorie Michel announced on June 18 that a multi-phase review of Canada Health Infoway would be undertaken. This process includes an initial third-party audit, followed by a comprehensive strategic examination of the organisation’s operations. However, details regarding the timeline and the appointed auditor have yet to be disclosed.

Auditor-General Hogan communicated her reasoning for declining the parliamentary committee’s request in a letter, stating that conducting a separate audit would likely overlap with the government’s initiatives and provide minimal additional insights for parliamentarians or the public. She assured that once Health Canada completes its review, her office would reassess the need for further audit work.

Concerns About Accountability

The decision has drawn criticism, particularly from Conservative MP Dan Mazier, who has been a vocal advocate for investigating the failures of Infoway. Mazier expressed disappointment in Hogan’s ruling, stressing that the Health Canada department, which has financially supported Infoway, is unlikely to conduct a thorough investigation into the failures of PrescribeIT. “That means Canadians may never know where $300 million went and who, if anyone, will be held accountable for this failure,” he remarked.

Concerns regarding Canada Health Infoway’s spending practices have also been raised, with reports highlighting the CEO’s substantial remuneration and the millions allocated to consultancy services. These issues have heightened calls for transparency and accountability within the organisation.

While PrescribeIT has ceased operations in most of Canada, a pilot project in Quebec’s Eastern Townships continues through the summer, providing a limited testing ground for the programme’s potential future adaptations.

Why it Matters

The decision of the Auditor-General not to pursue an independent audit raises significant concerns about accountability in the management of public funds. With nearly $300 million invested in PrescribeIT, the lack of scrutiny could leave Canadians in the dark regarding the effectiveness of such large-scale health initiatives. As Canada grapples with ongoing healthcare challenges, understanding the failures of digital transformation efforts like PrescribeIT becomes crucial for rebuilding trust and ensuring that future projects are better managed and assessed for their impact on the public.

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