Alberta Health Services (AHS) finds itself embroiled in controversy as allegations surface regarding government interference in its procurement process. Athana Mentzelopoulos, the former CEO of AHS, has accused government officials of meddling on behalf of private companies. In a letter, she alleges that Premier Danielle Smith's then-chief of staff, Marshall Smith, informed her that Jitendra Prasad was positioned in Alberta Health to oversee contracting, particularly concerning the Contracted Surgical Facilities (CSF) process. These allegations have sparked significant attention and concern within the province's healthcare system.
The situation reached a boiling point when Mentzelopoulos's four-year contract was abruptly terminated on January 8, just two days before she was scheduled to meet with the province's Auditor-General. Her meeting was intended to address an internal investigation into AHS's procurement practices. Mentzelopoulos claims she faced pressure from government officials to extend a contract for Alberta Surgical Group Ltd., a CSF firm in Edmonton. In October, Health Minister Adriana LaGrange issued a directive to AHS, instructing the agency to take "immediate steps" to extend this contract.
Mentzelopoulos's letter outlines a series of directives and communications from government officials that suggest a shift in the management of CSF contracts. A directive dated October 18 declared CSFs a "critical component" of Alberta's healthcare system. Amidst this backdrop, Chris Nickerson, Alberta Health's assistant deputy minister overseeing acute care, sent Mentzelopoulos a letter on December 23, asserting the Department's power to lead negotiations related to CSFs.
"This letter is to advise that the Department will be assuming responsibility for conducting due diligence for the CSF Procurements including due diligence with respect to any selected proponents," – Chris Nickerson, Alberta Health’s assistant deputy minister overseeing acute care
"AHS shall cease any due diligence underway with respect to the CSF Procurements or any selected proponent unless and until further notified." – Chris Nickerson, Alberta Health’s assistant deputy minister overseeing acute care
The directive emphasized that Alberta Health would assume responsibility for conducting due diligence on CSF procurements and any selected proponents. This move effectively sidelined AHS from its traditional role in overseeing these processes.
The allegations have prompted AHS to initiate a review, while the Auditor-General has confirmed an investigation into the contracts managed by AHS. Additionally, the Royal Canadian Mounted Police (RCMP) has received complaints related to these allegations, further intensifying the scrutiny surrounding the matter.
Alberta Surgical Group Ltd. (ASG), the private company at the center of these allegations, expressed shock and dismay at the claims. The company firmly denied the accusations and asserted their commitment to delivering exemplary surgical services.
"false and do not reflect our values, our mission, or the dedication of our team to providing exemplary surgical services efficiently and cost effectively." – ASG
Amidst these developments, Jessi Rampton, spokesperson for Health Minister Adriana LaGrange, defended the government's actions. She cited concerns over the lack of substantive information provided by AHS despite repeated requests over several months. Rampton indicated that LaGrange issued a directive in December to compel AHS to share all relevant details related to CSF contracts with Alberta Health.
"It was extremely concerning that no substantive information and documentation had been provided to the government after nearly eight months of requesting it," – Jessi Rampton, Ms. LaGrange’s spokeswoman
"And that is why Minister Adriana LaGrange issued a directive in December to compel AHS to share all details related to CSF contracts and contracting with Alberta Health." – Jessi Rampton, Ms. LaGrange’s spokeswoman
Rampton also sought to clarify the government's intentions, suggesting that the directive was aimed at verifying whether there was any actual evidence supporting Mentzelopoulos's claims or if AHS management was attempting to obstruct the growth of CSFs within the healthcare system.
"To the contrary, it was about understanding whether there was actual evidence of the problems raised by the former CEO of AHS, or whether AHS management was simply attempting to disrupt the growth of CSFs in the health system." – Jessi Rampton, Ms. LaGrange’s spokeswoman
The five-page directive further outlined plans for Alberta Health to take an enhanced role with respect to CSFs, reinforcing their importance as a critical component of the province's healthcare system.
