P.E.I. government issues tender to create new 'internal watchdog' office

The Prince Edward Island government put out a request for proposals Monday for a consultant to help design an internal audit office.

P.E.I. is the only province without that kind of auditor. The Green Party tabled a motion in the legislature in the spring to create one, and provincial Auditor General Darren Noonan has called for one in his last two reports.

"It serves like an internal watchdog, just to make sure that departments are following government policies," Noonan said Tuesday. "As government continues to get bigger, in terms of the number of staff within government [and] the spend within government, the more watchdogs that we can have in place, I think it's better."

The provincial government has grown much larger in recent years. P.E.I.'s spring budget in 2018 called for about $2 billion in spending. Six years later, last spring's budget outlined plans to spend $3.2 billion.

The Green Party's motion in the spring noted that an internal auditor could help avoid conflicts of interest in government spending, among other problems.

In his 2024 report, Noonan said an internal auditor would improve the reliability of information produced by the province and reduce its exposure to fraud.

The request for proposals issued Monday said the internal auditor would "help detect and prevent financial irregularities, improve compliance with regulations" and "be vital in maintaining public trust."

The consultant winning the job would create a report outlining a size and budget for the office, and define its function and scope. Much of this would be based on a review of how internal auditors work in other provinces.

After delivering this report, the bid winner would provide consulting services for one to two years.

Noonan said another watchdog could help improve the work done by his department.

"Our office is only so big," he said, adding that an internal auditor could "help identify some areas of risk that maybe we weren't even considering."

CBC News requested an interview with Finance Minister Jill Burridge about the request for proposal, but she was not available.