In a news release, the office says that just before midnight on June 21, the officer observed a vehicle proceed through a stop sign and followed.
It says that after the brief pursuit, which was terminated, the female driver lost control, slid sideways into a dump truck and died.
The IIO's chief civilian director, Richard Rosenthal, reviewed the file and forwarded a report to the Crown because he considered the officer may have committed an offence.
The office does not make any recommendations on what charges, if any, should be considered.
In approving charges, the Criminal Justice Branch must be satisfied that an offence was committed and that there is a substantial likelihood of conviction.