August 21, 2009 10:05 AM

As Vets Suffer, VA Staff Get $24M Bonuses

By
CBSNews
(AP)  Outside the Veterans Affairs Department, severely wounded veterans have faced financial hardship waiting for their first disability payment. Inside, money has been flowing in the form of $24 million in bonuses.

In scathing reports this week, the VA's inspector general said thousands of technology office employees at the VA received the bonuses over a two-year period, some under questionable circumstances. It also detailed abuses ranging from nepotism to an inappropriate relationship between two VA employees.

The inspector general accused one recently retired VA official of acting "as if she was given a blank checkbook" as awards and bonuses were distributed to employees of the Office of Information and Technology in 2007 and 2008. In some cases the justification for the bonuses was inadequate or questionable, the IG said.

The official, Jennifer S. Duncan, also engaged in nepotism and got $60,000 in bonuses herself, the IG said. In addition, managers improperly authorized college tuition payments for VA employees, some of whom were Duncan's family members and friends. That cost taxpayers nearly $140,000.

Separately, a technology office employee became involved in an "inappropriate personal relationship" with a high-level VA official. The technology office employee flew 22 times from Florida to Washington, where the VA official lived. That travel cost $37,000.

The details on the alleged improprieties were in two IG reports issued this week. VA spokeswoman Katie Roberts said the agency was extremely concerned about the IG's findings and would pursue a thorough review.

"VA does not condone misconduct by its employees and will take the appropriate correction action for those who violate VA policy," Roberts said in an e-mail to The Associated Press.

The number of claims the VA needs to process has escalated, and the Information and Technology Office has a critical role in improving the technological infrastructure to handle the increase. President Barack Obama has said creating a seamless transition for records between the Pentagon and the VA could help eliminate a backlog that has left some veterans waiting months for a disability check.

Much of the IG's focus was on Duncan, the former executive assistant to the ex-assistant secretary for information and technology, Robert Howard.

In one situation, a part-time intern with connections to Duncan was allowed to convert to a full-time paid position even though the individual was working a part-time schedule 500 miles away at college, the IG said.

"We have never known of any other new VA employee provided such favorable treatment," the IG said.

The individual's name and relationship to Duncan was blacked out, as were many other names in the reports.

Investigators recommended that the employees who received the college money pay it back. The largest amount awarded was $33,000.

In addition to Duncan, three other high-level employees received $73,000, $58,000 and $59,000 in bonuses in 2007 and 2008, the IG said. In 2007 alone, 4,700 employees were awarded bonuses, on average $2,500 each.

Some employees were given cash awards for services that were supposedly provided before the employees started working at VA, the IG said.

A man who answered the phone at Duncan's residence in Rehoboth Beach, Del., said she was not available, and he said not to call back.

The IG also found that Katherine Adair Martinez, deputy assistant secretary for information protection and risk management in the Office of Information and Technology, misused her position, abused her authority and engaged in prohibited personnel practices when she influenced a VA contractor and later VA subordinates to employ a friend.

The IG also said Martinez "took advantage of an inappropriate personal relationship" with Howard to transfer her job to Florida. In the nine months after she moved, the IG said Martinez traveled to Washington 22 times "to accomplish tasks that she could easily do from Florida."

The relationship between Martinez and Howard started in April 2007 and continued several months after Howard left the VA in January of this year, the IG said.

Roberts' e-mail did not address a request from the AP to speak with Martinez. Howard could not be immediately located for comment.

Indiana Rep. Steve Buyer, top Republican on the House Veterans' Affairs Committee, urged quick action to fix the problems. "VA must appoint honorable individuals to these critical positions," he said.

The VA has faced criticism before in its awarding of bonuses. In 2007, the AP reported that the then-VA secretary had approved a generous package of more than $3.8 million in bonus payments in 2006, citing a need to retain longtime VA executives.

AP
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by tep569 August 23, 2009 8:43 AM EDT
My son an Operation Iraqi Freedom veteran died due to V.A. negligence 3 August, 2009. After being told to remain at his home for an immediate return call from a nurse he waited too long and died from a pulmonary embolus. Through my own efforts I have proven that the V.A. immediately started covering up their mistakes.911 was called and the police arrived and seeing an obviously strong young man dead became suspicious. When told the story of him waiting for a call back from the V.A. the Chief of Police called the V.A. and informed them of the death and asked if he had called them. The person answering the phone answered No he has not called today. The police then placed two young people at the house in custody and took them in for questioning. After informing the "suspects" that the V.A. denied his calling in ,a cellphone was produced that he had used showing numerous calls to the V.A. Clinic. When confronted with proof of his calling them the V.A. admitted he had called. Before leaving that afternoon the nurse returned his call playing as if she did not know of his death. Lie # 2.
I could go on and on about the lies and cover ups that have taken place since that day. Through my own efforts I have forced the V.A. to open a Board of Inquiry, I went before this Board last week and they admitted wrong doing and that the "Nurse" and or clerical person had violated written Policies and Procedures and my son would more than likely be alive today if they had followed the written policies.

I have contacted all the mouth pieces from Glenn Beck on up/down and have had no response. I have contacted several politicians and only had one response. His Veterans Affairs person told me to retain an attorney and sue because the only thing that they will notice is money. I have followed his advice and I am filing a suit against the V.A. Hospitals. It is nice to know that it took several years to notice this fraudulent activity. That means they will not miss the millions that they have hinted that they will be willing to throw at my family so I will disappear. Sorry I am not going to disappear until I receive satisfactory answers and the person(s) responsible are unemployed and have lost their license to work in the medical field.
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by tep569 August 22, 2009 9:41 PM EDT
The V.A. receives bonuses, should have known. On Monday 3 august my son an Iragi Freedom Vet called the V.A. Clinic in Ft. Smith AR. He told the clinic he was coughing blood and was told to stay where he was and a nurse would call him back immediately. After waiting hours for a call back that never came he had given up and was going to a private clinic. He died from a pulmonary embolus on the way out of the house. The police had questions thinking possible foul play. Upon learning he was waiting for a call back from the V. A. the police called the V.A. and told them of the death and asked if he had called. The answer was a No he had not called. The people w/my son were taken in for questioning. He had used a cell phone and the calls were stored and one of the people in custody showed the police. When shown proof the V.A. admitted he had called, immediately after being caught in the initial cover up the nurse called back to talk to my son planning to C H A=s. A board of inquiry has been convened and the V.A. has admitted that everything that happened that morning went against written Policies and Procedures and more than likely my son would be alive today if the Policies had been followed. There is much more to this story A patriotic young man was ignored by a seemingly typical lazy gov't employee. Then in order to cover the mistakes lies were told to the Police and could have easily caused two other young people to be jailed until the autopsy was completed. I have contacted several news agencies and several politicians offices. I was answered by one Congressman out of many and advised to talk to an Att'y before going before the Board of Inquiry. The news services do not care about the soldiers except when they need them. Politicians give lip service. I will not rest until I receive satisfaction from the V.A.for what I and the police believe is negligent homicide. Our veterans deserve the best treatment available not neglect.

As far as the worm that mentioned the all volunteer army maybe the next time this country is attacked he will be in the right location!
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by lastact August 21, 2009 10:10 PM EDT
At the end of today this will be old news and on to the president's vacation.
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by j_d_green August 21, 2009 4:56 PM EDT
Why is the US Government spending tax dollars on bonuses to begin with? Federal employees already receive better medical coverage and pension plans than the 'average joe'. The company I work for stopped paying bonuses to the average worker 10 years ago. But, upper management and executives continue to receive bonuses. In 2008 the amount of money set aside there was just shy of $100M for bonuses and recognition time. Two years ago our medical plan started to require deductibles before the insurance even kicked in (for me I need to spend $1000 first). This year they decided to forgo raises and stopped the company match on the 401K's. Our government is spending borrowed money. If these federal employees feel that they need to have the bonuses in order to survive, let them go to the private sector give it a go. I say that the government has no right to give out bonuses using the taxpayer dollar. I say dump the lot of them. There are 5 million people looking for work. I;m sure we could find some capable individuals willing to work for just a standard weekly paycheck. All of this while Walter Reed was a mess, veterans receiving tests with un-sterile equipment (Colonoscopies if I remember correctly) and veterans made to wait (if not denied) disability checks.
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by espiros August 21, 2009 4:47 PM EDT
OK, you want government managed healthcare - this is what you get - they will bonus the managers of same, but the patients will go w/o care and the doctors w/o pay - Yes they are really good at managing the VA, SS administration and they have really handled the clunker deal in magnificant fashion. Soon our newly graduating medical doctors will be leaving US to open clinics in other countries - YEA let's put the government in charge of another program.
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by credibility2 August 21, 2009 4:16 PM EDT
How ironic and hypocritical! The Obama lovers, including the media and smarmy politicians and other government types were decrying the huge bonuses paid to Wall St. types and condemning any who received one, but somehow when it comes to a government agency like the VA, I guess it's perfectly acceptable. All these frauds, deceivers and liars should be burned at the stake.
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by chaseangus August 21, 2009 3:30 PM EDT
Personally, I think whoever approved these bonuses should be brought up for treason. To do that to vets is about as low as you can go without being a mass killer. Everyone who took one of these bonuses should have their pictures plastered on the internet as well so we can see who these fine Americans are. If their bosses were so low-life they would give out the bonuses, at least those who got the bonuses could have shown some American spirit and donated the bonuses to a vet group. BUT everyday I'm stunned at the un-American attitude of most Americans in virtually every area of American life.
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by sunrogue August 21, 2009 3:28 PM EDT
This is so typical of our poor excuse for a government. The right hand doesn't know what the left hand is doing?.giving out bonuses to VA medical administrators when so many of the facilities themselves are falling apart. I have had personal experience with the VA Health Care system. From my heart, you do NOT want American Health Care to be managed in this way. It?s not the doctors or the nurses?they are terrific. It?s the many levels of government bureaucracy, wastefulness, red tape, downtrodden facilities and medical equipment that are the biggest problems. The worst part of all, I believe, is the unspoken, yet pervasive attitude that regardless of how mediocre (or outright bad) the VA Health System is, the veteran should feel very lucky to have this service available. You see, it?s hard to complain or improve something once it's perceived as ?free.?
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by lastact August 21, 2009 3:14 PM EDT
I should of added to my posting that I refuse to be a victim.

My approach to any challenge, specifically after my injuries, was to seek a solution or in this example a position at the source of my need, the VA. I wanted to learn/understand the system and somewhat self-serving improve my chances of receiving treatment for my injuries.

What I learned:

My undergraduate Business degree and Master degree in HR management, and after 25 years+ of progressive positions in non-profit, for-profit and academic medical management and 19 years of military medical support services (E6 to O3) - does not qualify me or make me "the best qualified" to work for the VA. They have create very effectively a culture and specialized knowledge barriers to ensure they can (if they wish) exclude any non-VA applicant they desire.

Disclaimer:

Do I need to state the obvious - I do not have any friends in the VA or I would have a position there
I am result driven or outcome driven for you MBA types
I firmly believe in service
I do not practice situation ethics
I do not double talk and deflect
I do not take credit for other people's work
I know the difference between being a manager and being a leader.
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by quickly101 August 21, 2009 3:06 PM EDT
This is why the American people are opposed to the public option part of health care reform. The government is corrupt, inefficient, and downright stupid. Government employees do not deserve a bonus for doing their job, they are paid a rather generous salary. This sickens my stomach.
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