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VA charges $2.6 Billion to credit cards: Government waste or media sensationalism?

By Richard Hartman Apr 06 2008, 11:09 PM

This weekend the Associated Press (AP) released a story that hit the Internet like wildfire implying federal workers at the Department of Veterans Affairs (VA) racked up over $2.6 billion in credit card charges at luxury hotels and high-end retailers.  In other words, over 3 percent of their $80 billion dollar budget was spent on frivolous items. At least that's what the headline stated.

According to the Freedom of Information Act request obtained by the AP, only a small fraction of the over 3.1 million purchases appear to be a result of abuse of the Government Purchase Card (GPC), to include 13 purchases totaling $8,471 at Sharper Image and 19 charges worth $1,999.56 at Franklin Covey for office supplies.  While these credit card charges may look inappropriate, they are hardly the $2.6 billion in frivolous spending inferred by the AP article's headline.

Hundreds of purchases on the GPC were from prosthetic, orthopedic, and other medical supply stores.  Even many of the charges that look questionable have valid explanations, according to VA spokesman Matt Smith.  Many of the purchases at Sharper Image, for example, were for clocks for low-vision veterans, air purifiers, and alarm devices.  Charges at Las Vegas casinos were for legitimate conferences in a location that is popular with many public and private groups, and where the VA is building a new medical center.

Digging deeper, OhMyGov! found that of the over 240,000 employees at VA, only approximately 14,000 have authority to use the GPC.  The Department's official policy states: "The Government Purchase Card can only be used for official government purchases. The Department of Veterans Affairs (VA) policy requires the use of the Government Purchase Card for all micro-purchases (those under $2,500 or under $2,000 for construction). Under no circumstances is the card to be used for personal benefit." 

The GPC plays an important role in the day-to-day management of VA facilities as it allows purchases to be made with expediency to best serve the well being of our veterans.  Of course, in any large organization there are always a few who choose not to comply with Departmental policy and we are outraged at any unchecked wasteful spending.  We encourage a thorough investigation and the adoption of policies to prevent future abuses.

However, we take issue with the way headlines like this weekend's disparage the majority of federal workers who follow policy and properly use the GPC and create anger and skepticism from both politicians and concerned citizens alike.  For example, first-term congressman, Rep. Harry Mitchell, House Committee on Veterans' Affairs, Subcommittee on Oversight and Investigations (Chairman) said he feared there may be "a growing culture of wasteful spending at the VA."  Additionally, Paul Sullivan, executive director of Veterans for Common Sense, reacted with the same eager vigor from a media sound bite, stating  "I'm very concerned about frivolous, wasteful spending at the VA," and added "With hundreds of thousands of veterans homeless, VA employees don't need to be staying at ritzy-glitzy, high-priced hotels, possibly gambling with taxpayers' money."

Such reactions are expected from congressional members and overanxious citizens informed only by overzealous press and salacious headlines.  But a more level-headed Sen. Daniel Akaka, Chairman, Senate Veterans' Affairs Committee, did not fall prey to the media trap. 

"While I am confident that the vast majority of these charges are appropriate and legal, I urge VA to aggressively investigate allegations of fraud," said Akaka.  OhMyGov! agrees.

Headlines like this weekend's create and encourage an undeserved distrust in government: a tasteless but successful attempt to tar the majority of employees with a brush that should be reserved for only a few.  We don't question that waste exists and must be eliminated.  Instead, we encourage a more deliberate investigative reporting process to help the public recognize the true source of the waste.  After all, it's important we recognize the success in government, not just the failures.  Headlines that infer a greater proportion of egregious behavior tarnish the image of the over 240,000 dedicated federal employees of the Veterans Health Administration who are responsible for running the nation's largest integrated care system for over 5 million veterans worldwide.  And that just isn't fair.

 

Read More: Veterans Affairs (VA), General Services Administration (GSA), U.S. Congress, Others

 
 
 
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» VA spends $2.6 Billion in credit charges: Government waste or media… Credit Card on Credit Speak: Find Info, News and More on Credit Card
April 7, 2008 8:15 AM

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» VA spends $2.6 Billion in credit charges: Government waste or media Credit Card on Credit Speak: Find Info, News and More on Credit Card
April 7, 2008 9:25 AM

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VA charges $2.6 Billion to credit cards: Government waste or media…
April 7, 2008 11:09 AM

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April 7, 2008 11:14 AM

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April 7, 2008 12:51 PM

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Bob
April 8, 2008 8:44 AM

To read the headline we should be outraged. However, praising government employees for doing a good job does not sell newspapers. I do not know what is worse the papers for dreaming up and writing about everything VA in a bad light, or the clueless politicians who follow along like lap dogs.

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