Sun Country Health Region, which was rocked by a minor scandal earlier this year when questions began to arise about management team member Hal Schmidt and his work background, has been specifically named in the annual Saskatchewan Provincial Auditor's 2010 report.
Within the pages of volume two, chapter 11B - Regional Health Authorities, a heading titled 'Improving hiring practices' spoke directly to Sun Country, as well as those of Regina Qu'Appelle HR and Prairie North HR.
The findings of the auditor reads, "All three RHAs had adequate hiring policies and procedures. . . Regina Qu'Appelle and Prairie North followed their established policies. Sun Country, however, did not always comply with its established policies."
The report details several shortfalls in the hiring processes, including a lack of documentation into criminal record checks. Further, the reasons hiring individuals who otherwise did not meet qualification demands set forth for the position in question were also not documented.
The audit report on hiring ends with the suggestion, ". . . Sun Country Health Authority follow its policies and procedures when hiring management personnel."
In the following titled heading, 'Relocation incentive policies,' Sun Country is again spoken to directly by the auditor.
The section, which begins with the statement, "Sun Country RHA needs to establish a relocation policy to help control expenses relating to hiring new employees," goes on to document one case in particular.
"In 2008, Sun Country agreed to pay a newly hired senior employee a relocation allowance of $15,000 upon the production of original receipts to support the expenses." The report states, "The employee used a Sun Country purchase card to pay for relocations expenses and continued to do so for nearly two years after commencing employment.""The employee did not submit support for the majority of the 2009-10 purchase card expenses until March 2010." The report continues, "By March 31, 2010, the employee had charged about $25,000 on the purchase card for his relocation expense."
While the report does go on to state that the employee in question did return $10,000 before they left Sun Country's employ, the final recommendation from the audit was, ". . . that Sun Country Regional Health Authority establish policies and procedures for relocation incentives for new hires."
The period of employment listed above matches that of former vice-president of finance and corporate services Hal Schmidt, who had resigned amid allegations of misrepresentation of credentials, as well as suggestions of financial impropriety at two of his former work-places.
In another section titled, 'Other matters - Loss of public money,' the auditor's report details more specifically the questionable use of the purchase card.
"During the year, an employee at Sun Country misused a purchase card." The report states, "The employee used the purchase card for personal travel and expenses totalling $6,080."
"When Sun Country became aware of the misuse, it cancelled the card." The report continues, "Sun Country was setting up a repayment plan when the employee resigned, moved to another province, and claimed bankruptcy."
"The employee owes Sun Country this money, as well as relocation expenses of $7,442 and other benefits of $2,066, for a total of $15,588 plus interest."
The employee spoken of in this section seems to be distinct from the employee mentioned in the previous section, as the period of employment for the above-stated employee began in May of 2009.
