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Katrina audit shows fraud, abuse (more than 100 laptops, a dozen boats missing, for starters)
AP on Yahoo ^ | 7/18/06 | Lara Jakes Jordan - ap

Posted on 07/18/2006 9:16:02 PM PDT by NormsRevenge

WASHINGTON - The Homeland Security Department wasted hundreds of thousands of dollars last year on iPods, dog booties, beer-making equipment and designer jackets, congressional investigators have concluded.

More than 100 laptop computers and a dozen boats also bought by Homeland Security employees are missing, the investigators found.

Poor training, lax oversight and rampant confusion over what employees are allowed to buy with government-issued purchase cards left Homeland Security "vulnerable to fraud, waste and abuse," according to a draft report by the Government Accountability Office, Congress' investigative and auditing arm.

The report was to be released Wednesday by a Senate panel that oversees the department.

Senators said more than 10,000 Homeland Security employees carry purchase cards for business-related expenses — with a spending limit that was raised to $250,000 for emergencies after Hurricane Katrina hit last Aug. 29. Aides said the audit covered expenses for a five-month period both before and after Katrina.

But investigators found that employees received scant training on how to use the cards, were given little or lax supervision and were told to follow spending guidelines that differed among the 22 agencies that make up the department.

The department spent $435 million with the purchase cards in the 2005 budget year, compared to $296 million in 2004, Homeland Security spokesman Russ Knocke said Tuesday evening. But he said only a fraction of the expenses were improper, noting that the department has disciplined about 70 employees amid 1.1 million purchases.

"Comparatively, we're talking about a small number of bad apples," Knocke said.

Among the expenses that investigators described as abusive or otherwise questionable:

_More than 2,000 sets of dog booties, costing $68,442, that have sat unused in storage since emergency responders decided they were not suited for canines assisting in Gulf Coast recovery efforts.

_Three portable shower units for $71,170 from a contractor who investigators said overcharged the government. Customs and Border Protection agents could have gotten similar showers for nearly a third of the price — and faster.

_12 Apple iPod Nanos and 42 iPod Shuffles, worth $7,000, for Secret Service "training and data storage." Because the Shuffles cost less than $300, the Secret Service said they were not required to track them to ensure they were used properly.

_37 black Helly Hansen designer rain jackets, costing nearly $2,500, for use in a firing range that the Customs and Border Protection purchaser later acknowledged shuts down when it's raining.

_Conference and hotel rooms at a golf and tennis resort at St. Simons Island in Georgia, worth $2,395, for training 32 newly hired attorneys when they could have used a nearby federal law enforcement training center.

_A beer brewing kit and ingredients for more than $1,000 for a Coast Guard official to brew alcohol while on duty as a social organizer for the U.S. Coast Guard Academy. "The estimated price for a six-pack of USCG beer was $12," the investigators noted, adding: "Given that the six-pack cost of most beers is far less than $12, it is difficult to demonstrate that the Academy is achieving cost savings by brewing its own beer."

Investigators also noted that Customs and Border Protection wasted up to $464,586 by buying meals-ready-to-eat over the Internet instead of contracting through the Pentagon, as is standard procedure. And they found that the Federal Emergency Management Agency cannot locate 107 laptops, 22 printers and two GPS units worth $170,000. FEMA also cannot find 12 of 20 boats the agency bought for $208,000.

Knocke, the Homeland Security spokesman, said the department will begin enforcing new spending guidelines in the next several weeks that should eliminate much of the confusion and make sure buys are strictly supervised. Violators could have their cards taken away, be forced to repay expenses and face disciplinary action, he said. "We take very seriously our responsibility to be good stewards of taxpayer dollars," Knocke said.

The senators who ordered the investigation — Sens. Susan Collins, R-Maine, and Joe Lieberman, D-Conn. — described Homeland Security as negligent in preventing the shopaholics among its ranks. The two lead the Senate's Homeland Security and Governmental Affairs Committee.

Homeland Security "left the door wide open for these abuses," Collins said.

Added Lieberman: "That is hard to believe."

___

On the Net:

Government Accountability Office: http://www.gao.gov/index.html

Homeland Security Department: http://www.dhs.gov/dhspublic/

Senate Homeland Security and Governmental Affairs Committee: http://hsgac.senate.gov/


TOPICS: Crime/Corruption; Government; News/Current Events; US: Louisiana
KEYWORDS: abuse; audit; fraud; katrina; katrinafraud; shows

1 posted on 07/18/2006 9:16:03 PM PDT by NormsRevenge
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To: NormsRevenge

A beer brewing kit and ingredients for more than $1,000 for a Coast Guard official to brew alcohol while on duty as a social organizer for the U.S. Coast Guard Academy. "The estimated price for a six-pack of USCG beer was $12," the investigators noted, adding: "Given that the six-pack cost of most beers is far less than $12, it is difficult to demonstrate that the Academy is achieving cost savings by brewing its own beer."

--

Looter Guy can beat that $12 price , no problem.


2 posted on 07/18/2006 9:19:45 PM PDT by NormsRevenge (Semper Fi --- Help the "Pendleton 8' and families -- http://www.freerepublic.com/~normsrevenge/)
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To: NormsRevenge
"vulnerable to fraud, waste and abuse,"

Wow, who could have imagined?

3 posted on 07/18/2006 9:20:09 PM PDT by onef
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To: NormsRevenge
Knocke, the Homeland Security spokesman, said the department will begin enforcing new spending guidelines in the next several weeks that should eliminate much of the confusion and make sure buys are strictly supervised. Violators could have their cards taken away, be forced to repay expenses and face disciplinary action, he said. "We take very seriously our responsibility to be good stewards of taxpayer dollars," Knocke said.

I'd fire this bastard first.

4 posted on 07/18/2006 9:21:06 PM PDT by Cobra64 (All we get are lame ideas from Republicans and lame criticism from dems about those lame ideas.)
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To: NormsRevenge
How come they never knock on my door when they're handing this stuff out, but the IRS and DOR know exactly where to find me?
5 posted on 07/18/2006 9:24:01 PM PDT by benjaminjjones (yeah, what he said)
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To: Cobra64
Russ Knocke, formerly the director of public affairs at Immigration headquarters in Washington, DC
6 posted on 07/18/2006 9:32:45 PM PDT by kcvl
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To: NormsRevenge

But Norm, all the SCHOOL BUSES are accounted for...
That's gotta count for SOMETHING.


/s


7 posted on 07/18/2006 9:41:07 PM PDT by The Spirit Of Allegiance (Public Employees: Honor Your Oaths! Defend the Constitution from Enemies--Foreign and Domestic!)
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To: NormsRevenge
That Looter Guy is the hardest working guy in the South.

I see him for all my Heineken needs.

8 posted on 07/18/2006 11:31:30 PM PDT by battlegearboat
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To: NormsRevenge
But investigators found that employees received scant training on how to use the cards

Homeland Security employees have to be trained not to steal?
.
9 posted on 07/19/2006 12:35:23 AM PDT by mugs99 (Don't take life too seriously, you won't get out alive.)
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To: NormsRevenge

ping


10 posted on 07/19/2006 1:11:54 AM PDT by SR 50 (Larry)
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To: NormsRevenge

In the last few days Fema proclaimed that the next time they will streamline the process of getting help to people. Waste and fraud will be able to begin immediately.


11 posted on 07/19/2006 2:17:07 AM PDT by thegreatbeast
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To: NormsRevenge
Katrina audit shows fraud, abuse (more than 100 laptops, a dozen boats missing, for starters)

(in a monotone voice) Oh my, I am so shocked.
12 posted on 07/19/2006 5:12:33 AM PDT by DustyMoment (FloriDUH - proud inventors of pregnant/hanging chads and judicide!!)
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To: The Spirit Of Allegiance
But Norm, all the SCHOOL BUSES are accounted for...
That's gotta count for SOMETHING.


ROFL!!!!!!
13 posted on 07/19/2006 5:14:08 AM PDT by DustyMoment (FloriDUH - proud inventors of pregnant/hanging chads and judicide!!)
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To: NormsRevenge
More than 100 laptop computers and a dozen boats also bought by Homeland Security employees are missing, the investigators found.

Putting aside all of the really whacky stuff that they are wasting taxpayer money on, I have two questions/comments:

1)They can't find 100 laptop computers, but pretend to be experts on security.

2)How the hell do you lose a dozen boats?

Amusing how these are the same people that run www.ready.gov/
14 posted on 07/19/2006 11:04:53 AM PDT by af_vet_rr
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To: Cobra64
I'd fire this bastard first.

That's not how it works - you see it's the fault of the process and the lack of guideliness. To fire somebody would be saying that somebody was responsible, when we all know that it was really the process and lack of guidelines that are at fault.

Was that too sarcastic?

If this were under Clinton, Republicans would be looking for heads to roll, but as it's not, it's doubtful more than one or two scapegoats will be found/used.
15 posted on 07/19/2006 11:08:17 AM PDT by af_vet_rr
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