VA accused of improperly spending $6 billion annually. Given this and other recent stories, is the VA beyond reform?

2015-05-14T03:12:44-04:00

The Department of Veterans Affairs has been spending at least $6 billion a year in violation of federal contracting rules to pay for medical care and supplies, wasting taxpayer money and putting veterans at risk, according to an internal memo written by the agency’s senior official for procurement.

In a 35-page document addressed to VA Secretary Robert McDonald, the official accuses other agency leaders of “gross mismanagement” and making a “mockery” of federal acquisition laws that require competitive bidding and proper contracts.

Jan R. Frye, deputy assistant secretary for acquisition and logistics, describes a culture of “lawlessness and chaos” at the Veterans Health Administration, the massive health-care system for 8.7 million veterans.

“Doors are swung wide open for fraud, waste and abuse,” he writes in the March memo, which was obtained by The Washington Post. He adds, “I can state without reservation that VA has and continues to waste millions of dollars by paying excessive prices for goods and services due to breaches of Federal laws.”

Frye describes in detail a series of practices that he says run afoul of federal rules, including the widespread use of purchase cards, which are usually meant as a convenience for minor purchases of up to $3,000, to buy billions of dollars worth of medical supplies without contracts. In one example, he says that up to $1.2 billion in prosthetics were bought using purchase cards without contracts during an 18-month period that ended last year.

He also explains how VA has failed to engage in competitive bidding or sign contracts with outside hospital and health-care providers that offer medical care for veterans that the agency cannot provide, such as specialized tests and surgeries and other procedures. Frye says VA has paid at least $5 billion in such fees, in violation of federal rules that the agency’s own general counsel has said since 2009 must be followed.

Read the full story here: http://www.washingtonpost.com/politics/va-improperly-spent-6-billion-on-care-for-veterans-senior-agency-leader-says/2015/05/13/ab8f131c-f5be-11e4-b2f3-af5479e6bbdd_story.html?hpid=z7

Veterans Affairs improperly spent $6 billion annually, senior official says

An internal memo accuses agency leaders of leaving doors “wide open for fraud, waste and abuse.”

Response by PO1 John Miller made May 14 at 2015 4:15 AM

2015-05-14T04:15:06-04:00

So the VA is corrupt. Are we really surprised?

Response by SFC Private RallyPoint Member made May 14 at 2015 4:24 AM

2015-05-14T04:24:09-04:00

Is anyone surprised of more waste of money in the va?

Response by GySgt Wayne A. Ekblad made May 14 at 2015 4:26 AM

2015-05-14T04:26:37-04:00

Nine big takeaways from the memo ...

http://www.washingtonpost.com/blogs/federal-eye/wp/2015/05/14/9-big-takeaways-from-memo-accusing-va-of-making-a-mockery-of-spending-rules/?hpid=z7

9 big takeaways from memo accusing VA of making a ‘mockery’ of spending rules

Response by SFC Private RallyPoint Member made May 14 at 2015 7:10 AM

2015-05-14T07:10:11-04:00

The VA is a reflection the culture (how slow, corrupt, and inefficient) the government. I saw a video on FB once of a VA employee talking down to a Vietnam Vet about why he wasn't going to receive the meds that he needed. I was utterly appalled by this woman. Disrespect, and arrogant. The culture at the VA is what needs to be fixed, but we all know that will not happen, not even with the change in the highest levels of senior leadership. It's gotta take place within EACH VA hospital with each individual head (administration) and probably most importantly, start with Phoenix! Throwing more money at the problem doesn't solve the problem, it perpetuates it b/c administrators do not know how to budget effectively! But hey, what does the average Joe know, right?

Response by Capt Richard I P. made May 14 at 2015 8:45 AM

2015-05-14T08:45:00-04:00

Government Bureaucracies are not incentivized toward good performance. Systemically there is no reward for high achievement. In fact, agencies that do great and spend less money get less money next year. All salaries and jobs are protected. When this happens employees tend toward minimal effort, it's kind of natural. Minimal effort causes the system to slide into failure.

Competition in the private marketplace forces good performance and incentivizes achievement to varying degrees, the bigger the company the more bureaucratic it becomes.

The sole exception to this rule is combat. Combat keeps an organization honest with a lethal threat. The more exposed to combat the governmental organization the more efficient. Hence the efficiency and performance of the Corps, followed by the Navy, followed by the Army and the then Air Force, then the DOD etc...

Response by GySgt Wayne A. Ekblad made May 15 at 2015 5:39 AM

2015-05-15T05:39:30-04:00

An update to my original post.

Congress is "upset" about this. Does that mean that Congress will "do" something about it? Probably wouldn't hold my breath ...

http://www.washingtonpost.com/politics/angry-house-members-berate-va-over-6-billion-in-improper-spending/2015/05/14/b9553130-fa59-11e4-9030-b4732caefe81_story.html?hpid=z7

House members berate VA over billions in alleged improper spending

Democrats and Republicans demand to know why officials did little to stop the health system from violating rules.

Response by PO1 Glenn Boucher made May 21 at 2015 11:52 AM

2015-05-21T11:52:02-04:00

I think anyone or anything can be reformed, but only if they are willing to take the necessary actions towards reform.
That being said I feel that the VA can't see the forest because of all the trees.
It's past time that the VA wake up and realize that they are not fulfilling their duties of taking care of us Veterans.
If they are serious about changing how they are perceived then it's time to step up to the plate.

Response by CSM David Heidke made May 21 at 2015 11:58 AM

2015-05-21T11:58:26-04:00

Government has become too big to be accountable. It's sad.

Response by SPC Kenneth Maxon made May 21 at 2015 12:30 PM

2015-05-21T12:30:42-04:00

I'm sure there are problems still within the system, but as a patient using VA medical care, I can honestly say it's the best care I have ever received. I'm not a believer in the overuse of drugs and they at least listen to me and find alternate forms of treatment that don't involve addictive medications that I can't take.

Response by MAJ Ken Landgren made May 21 at 2015 12:56 PM

2015-05-21T12:56:04-04:00

My answer has been and will be, the VA does not like to follow laws, regulations, and rules.

Response by LCpl Jeffery Dozier made May 21 at 2015 1:41 PM

2015-05-21T13:41:55-04:00

Is this why the VA has decided to deny and not treat gulf war vets so they can make up money.Now if you appeal a claim the board goes through your files and cuts your benefits in half.

Response by LTC Mike Prevou made May 21 at 2015 3:28 PM

2015-05-21T15:28:52-04:00

What would it cost to put vets on Tricare or some other form of medical insurance and get rid of the VA health system all together?

Response by MCPO Tom Miller made May 21 at 2015 5:36 PM

2015-05-21T17:36:02-04:00

The VA is a complete mess. Service Connected Veterans are subject to long waits for appointments and are not given any preference over non service connected veterans. Many just use other ways to recieve competent treatment. Some have Medicare with Tricare and rely upon those benefits and recieve care from private practice. After the spread of the death cases in Phoenix VA Hospitial, congress provided money for 6,000 more employees and a promise of a massive clean up of ineffective and poor employees and even authorized a law that enabled supervisors to get rid of dead beat employees from union protevtion. Today, only 1 ploys has been fired. He was fired during the probation period. Now we have not seen any improvement for services and have 6000 more featherbedders. We need to move VA care to private contractors who can be held to a higher standard under renewable contracts. Like everything else in our federal government it's filled with PC self serving no standards supervisors and employees.

Response by COL Ted Mc made May 22 at 2015 3:08 AM

2015-05-22T03:08:38-04:00

The government tends to do a pretty crappy job at anything other than collecting money and that it does really well.

A "government provided service" tends to be inefficient.

A "government monopoly provided service" tends to be REALLY inefficient.

I have absolutely no doubt that private enterprise could provide 100% of the services that the VA provides for substantially less than the VA costs AND that private enterprise could still make a tidy profit out of providing those services.

However the political fallout from "getting rid of the VA" would mean almost certain electoral defeat - so you aren't going to see it happen.

Response by 1SG Kenneth Talkington Sr made May 22 at 2015 2:18 PM

2015-05-22T14:18:04-04:00

It is my belief that the problem lies within the entrenched bureaucracy that permeates our every department of our government. The VA can be saved but only if a complete house cleaning of these of ineffective personnel can be made. This cleaning need to be conducted by an outside source. If it is done as it usually is the problem and the culpable people will just have their wrests slapped and the back to business as usual.

Response by LCpl Josh McNeill made May 22 at 2015 2:29 PM

2015-05-22T14:29:44-04:00

It is sad to see the people that gave so much. Get screwed over in the end by politics and corruption. They deserve the best care possible for the sacrifices they made for our beautiful nation.

Response by SN Gs Crable Sr. made May 22 at 2015 5:15 PM

2015-05-22T17:15:32-04:00

If the VA is beyond reform, (What a dramatic expression) then so is everything else in government. As other posters mentioned, inefficiency goes hand in hand with bureaucracy; always has, and always will. I choose to not ignore the issues, but rather, to focus on the good.

* I don't want to play devil's advocate here, but my view is rather biased somewhat by my sense of gratitude for services received. Many low-income vets across the U.S. don't have other options. That said, without the VA, even as it is, literally hundreds of thousands of dollars in medical costs for surgeries, medications, follow-up care and treatment, and more, would have been personally billed to me, who can barely afford any out-o-pocket expenses. Over the years, physical therapy sessions, multiple eye surgeries, (including 20/20 restored vision in r eye) and even specialty care at OHSU, Casey Eye Clinic has been provided to me, who sometimes don't even feel worthy of all that, though I served honorably and willingly. The VA aint perfect, but what is? It's the only, (and the best) care some of us without other insurance will ever get in this lifetime. They bring in some of the finest doctors in the world too, at least that's been my experience in Southern CA, and the Pacific NW. "The only constant in life is change." Change is coming, whether we accept it or not... we just don't know if it's for the better: or worse! LOL!