The PrescribeIT program has been the subject of hearings at the House of Commons health committee in recent months.Sean Kilpatrick/The Canadian Press
The Liberal government is launching an audit and strategic review of the federally funded non-profit Canada Health Infoway after the failure of its $300-million PrescribeIT program.
However, the Conservatives say the organization should be defunded and any necessary responsibilities should be transferred to Health Canada.
Canada Health Infoway launched PrescribeIT in 2017 as part of “axe the fax” initiatives to replace fax machines with digital alternatives.
But the program was shut down in most of the country last month because fewer than 5 per cent of prescriptions flowed through it, as The Globe and Mail revealed earlier this year.
Ottawa’s PrescribeIT program failed after nearly $300-million spent. What happened?
The program has been the subject of hearings at the House of Commons health committee in recent months.
On Thursday, the office of Health Minister Marjorie Michel said it was immediately launching a multiphase review of Canada Health Infoway, which has received more than $2-billion in federal funds since it was founded in 2001.
“The review will include an independent, third-party audit, complemented by a comprehensive strategic review of the organization’s governance structures and operations,” her spokesperson Alexandre Bergeron said in an e-mail.
The first phase will assess Canada Health Infoway’s compliance with the terms and conditions of its contribution agreement, he said. Then a wider strategic review over the coming months will look at areas such as program delivery, effectiveness and compensation practices.
Health Minister Marjorie Michel during Question Period on Parliament Hill on Wednesday.Adrian Wyld/The Canadian Press
Mr. Bergeron said the government will publish key findings and next steps when the review is complete.
Canada Health Infoway has led federal digital projects in the sector over the years and was expected to lead implementation of a new law to make health records more accessible once Bill S-5 passes the House of Commons.
Ms. Michel said last week she had withheld $50-million, the entirety of Canada Health Infoway’s funding for this fiscal year, until the organization completed a mandate review.
Mr. Bergeron said the government will begin to thaw those frozen funds once the review is officially under way. He said the funds would be provided on a reimbursement basis and tied to performance milestones.
The minister’s office said more details about the timeline of the review and who would conduct it would be released in the future.
The review was prompted by concerns about governance and spending at the organization. Canada Health Infoway’s long-time chief executive officer, Michael Green, was making nearly $900,000 a year until he was dismissed in April after a disastrous appearance at the House of Commons health committee.
Board chair Peter Vaughan acknowledged at another hearing that Canada Health Infoway’s chief financial officer, David Fast, was a former colleague of Mr. Green’s and got the job through a non-competitive process.
Ottawa puts Canada Health Infoway funding on hold after PrescribeIT failure
Canada Health Infoway has disclosed it had five other senior executives last year who were making salaries between $270,000 and $342,000, with bonuses between $60,750 and $76,950 and taxable benefits between $28,573 and $34,305.
It also had 24 vice-presidents and senior managers who earned between $207,284 and $340,762 in total compensation. Total remuneration in the 2024-25 fiscal year for 175 employees was nearly $29-million.
Canada Health Infoway interim CEO Abhi Kalra said the organization is committed to working constructively with the government with seriousness and transparency.
Conservative MP Dan Mazier, his party’s health critic, said the organization had little to show for all the taxpayer money it received over the years.
“The money wasted on Canada Health Infoway would be far better spent on the doctors and nurses who actually take care of Canadians,” he said at a news conference on Parliament Hill on Thursday, joined by MPs Helena Konanz and Matt Strauss.
The Conservatives said any useful work being done by Canada Health Infoway should be moved into Health Canada because the government department can more easily be held accountable for its spending and is subject to laws such as access to information.
“Infoway enjoys all the funding of a government entity, and none of the scrutiny,” Mr. Mazier said.
The government is wasting more money by hiring third parties to conduct the review when and there is sufficient evidence to show the organization should be defunded, he said.
Editor’s note: A previous version of this article incorrectly stated that Canada Health Infoway was founded in 2021. It was founded in 2001.