One such arrangement was a sole-source management agreement between the MEOI Science and Technology Division and the Innovation Institute of Ontario (IIO).
The IIO is essentially a private corporation that was contracted to administer the $1.25 billion Ontario Research and Development Challenge Fund.
The Provincial Auditor was particularly critical and in the report said: "A major concern was that the Ministry had committed to spending $4.3 billion without an overall strategic plan to set parameters and consistent policies for existing programs or to guide the development of new programs to meet the objectives of promoting innovation, economic growth, and job creation."
Funding for research and innovation is also provided by the Canadian Government, and administered through Industry Canada.
The Provincial-Federal relationship will be key to the success of the new Ontario Ministry of Research and Innovation, and may present an opportunity for Premier McGuinty to further the "Strong Ontario" agenda which is attempting to close the $23 billion gap between the tax dollars collected in Ontario by the Federal Government, and the amount the Federal Government returned to the province through federal programs.