Rules not followed in London eHealth contract

There are renewed calls for the resignation of Ontario Health Minister David Caplan after another serious allegation involving the province's eHealth project.

London's St. Joseph's Health Care and the London Health Sciences Centre are alleged to have awarded millions of dollars in contracts to one consultant without going through the required tendering process.

Cliff Nordal, president and CEO of St. Joseph's Health Care, admits a key administrator did not follow proper procedures when picking a consultant to create an electronic health database.

There was no competitive bidding process and Nordal says his signature should have been on the $3-million contract, but it wasn't.

In May, documents obtained by CBC News showed the health agency doled out millions of dollars in contracts within the first four months of its creation in September 2008 without any apparent attempt to open the deals to outside bidders.

Scott Anderson, who has long been a critic of hospital spending and patient care in the London area, said "all contracts should have a dual signature on it and if they don't, they should become null and void and the person who put the signature on that contract should be terminated immediately."

The hospital administrator who awarded the contract has not been fired, but the contract will be cancelled, according to the hospital.

The provincial government wants to move to an electronic database in health care, saying it will save money, shorten wait times and streamline the system.

'He should go'

But Christine Elliott, the health critic for the Ontario Progressive Conservative Party, says because of the latest allegations coupled with the eHealth spending scandal earlier this year, Caplan should resign.

"He's showing a lack accountability at the top. I don't think he has control of his ministry. And, if he's not able to demonstrate that, then yes, he should go."

Elliott says she'll demand a provincewide investigation when the legislature resumes sitting on Wednesday. She's convinced there are other inappropriate contracts.

"It starts at the top with the arrogance of the premier and the minister of health in leading the way with $16 million in untendered contracts to eHealth. It sort of shows people that it doesn't really matter, that proper rules don't need to be followed, and it encourages similar sorts of practices," Elliott said.

Norm Gamble, whochairs the committee that oversees health spending in southwestern Ontario, says he has no evidence of a systemic problem with eHealth and the government has tightened the rules around hiring consultants.

"What is changing is those involved at the provincial level and at the local level are realizing how important competitive bidding is, how important protocols are, so it's an awareness, it's a wake-up call to everybody," said Gamble.

The Ministry of Health calls the London situation regrettable, but says it won't derail the province's commitment to eHealth.