Waste of the Day: Throwback Thursday – VA’s Costly Conferences

Topline: The Department of Veterans Affairs (VA) faced one of its biggest controversies after spending over $6.2 million on in-person conferences in 2011 that allegedly included limousines and spa days. The money would have been enough to pay the annual disability compensation of 168 disabled veterans, and today would be worth $8.9 million.

The VA and its lavish conference budget

A January 2011 conference in Scottsdale, Ariz. cost $221,000 and was highlighted in the “Wastebook” reporting published by the late U.S. Senator Dr. Tom Coburn. But it was two conferences held in Orlando in July and August for over $6 million that led to a Congressional hearing and the resignation of Assistant Secretary for Human Resources and Administration John Sepulveda.

Coburn, the legendary U.S. Senator from Oklahoma, earned the nickname “Dr. No” by stopping thousands of pork-barrel projects using the Senate rules. Projects that he couldn’t stop, Coburn included in his oversight reports.   

Coburn’s Wastebook 2011 included 100 examples of outrageous spending worth nearly $7 billion, including the VA’s Arizona conference.

Key facts: The Scottsdale event was to “discuss revisions in how disability ratings are assigned for veterans seeking compensation and health care” and was run by a contractor for $97,000. Other costs included $90,540 for travel and $30,000 for hotels.

Investigations into the two human resources conferences in Orlando began in August 2012, after an inspector general report alleged that attendees received  “improper gratuities, including alcohol, gift baskets, concert tickets, embroidered pillow cases, stretch limousines, helicopter rides, and spa treatments.” The agency also spent $52,000 on a bizarre video in which an actor portraying World War II General George S. Patton interviewed current VA employees.

Sepulveda resigned on Sept. 30 after allegedly lying under oath during the inspector general investigation.

Under the advice of counsel…

The House Veterans Affairs Committee held hearings in October and November 2012, but Sepulveda pleaded the fifth and refused to answer any questions. House members said they had sent 66 requests for information to the VA that went unanswered, including the total amount spent on conferences since 2005 and a list of everyone who attended the two conferences in 2011.

It remains unclear just how much the VA spent on conferences. One official testified in February 2011 that $20 million had been budgeted for in-person conferences from 2009 to 2012, but later testimony suggested the number was actually closer to $100 million, according to NBC News. When the House committee sent a letter asking how much had been spent, VA Secretary Eric Shinseki said an “accurate, reliable figure on the number of conferences is not available.”

During the investigation, President Barack Obama signed a law requiring the VA to report all conferences costing more than $20,000 to Congress.

Search all federal, state and local salaries and vendor spending with the world’s largest government spending database at OpenTheBooks.com. 

Summary: There is rarely, if ever, a reason for the government to spend money on limousines and spas, but it’s particularly egregious when the money is meant for wounded veterans.

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This article was originally published by RealClearInvestigations and made available via RealClearWire.