GSA Las Vegas Conference Sparks Outrage, Apologies At Congressional Hearing

WASHINGTON -- Tempers flared and apologies were issued Monday during a congressional hearing investigating a lavish conference and what officials called a culture of wasteful spending at the General Services Administration.

Rep. Darrell Issa (R-Calif.), chairman of the House Oversight and Government Reform Committee, and Rep. Elijah Cummings (D-Md.), the committee's ranking member, led the panel in grilling current and former GSA officials. Congress members questioned GSA's $823,000 conference held in Las Vegas in 2010, the lengthy investigation that followed, as well as the pay raise awarded Jeffrey Neely, a GSA executive now on leave for his key role in planning the conference.

As expected, Neely invoked his right to remain silent and refused to answer questions that included whether he was still employed by the GSA and whether he would answer anything.

Rep. Mike Turner (R-Ohio) held up souvenirs from the conference, including customized blackjack dealers' vests, books on the history of Las Vegas, commemorative coins and a directory assigning attendees to play roles such as Cher, Sammy Davis Jr., Elvis and Celine Dion.

"How is it that this type of money could be laying around so that it could be used in this slush-fund manner?" Turner asked.

"Mr. Congressman, I'm just as appalled as you are by those examples of expenditures," said Martha Johnson, who had been GSA administrator since 2010 until her resignation this month over the scandal. She testified that she directed a deputy administrator to begin investigating the conference.

Johnson, who also worked at GSA during the Clinton administration, said she would "mourn for the rest of my life the loss of my appointment." But she said that the culture of the agency had recently changed for the worse. The GSA is the landlord and procurement agent for the federal government.

"When I returned to GSA in 2010, the agency was not quite the same," Johnson said, calling the conference "a raucous, extravagant, arrogant, self-congratulatory event that ultimately belittled federal workers."

GSA Inspector General Brian Miller said the Las Vegas conference was not an anomaly. GSA's Western region held similar conferences in New Orleans, Oklahoma, and at Lake Tahoe. Miller said other regions did not regularly hold conferences.

Miller also spoke of an institutional culture in which employees feared retaliation for speaking up. Miller said it was a significant factor in misconduct going unpunished.

"They apparently had a very hostile environment when someone spoke up," Miller said. "When someone spoke up, they were, according to a witness, quote, squashed like a bug, unquote."

Issa praised Miller for his report, but asked him to explain why it took so long. Some Republicans have alleged the administration deliberately delayed the report.

"We wanted to nail down all the facts, every which way, before we put the report to print," Miller said. "I'm receiving your message that we should come to you sooner."

Issa said the committee intends to investigate conferences and "team building" activities at other agencies as well.

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Comments

[shart10125]

06:28 PM on 04/21/2012

I think it is a question of integrity. Not whether you waste the taxpayers money. It is more fundamental than that. Work in the private sector and make a contribution to society, or work for the government and sponge off of the working people. When I seperated from the military I promised myself I would try like hell to never take another check from the taxpayers.

In the 1990's which Bill had the biggest impact on the day to day life of the average American? Gates or Clinton. If the Clintons are so bright and intelligent why don't they get into the private sector and make a contribution. I'm not just picking on the Clinton's, this is but one example.

[cashey]

08:06 PM on 04/18/2012

straight to jail for Neely and his money scamming spouse. More GSA employees to follow.

[IMeMine]

05:45 PM on 04/18/2012

Let's get this guy to court fast so he can begin the LAST journey of his life -- behind bars with a fat, smelly guy named Bubba...

[Bronxdude]

03:19 PM on 04/18/2012

An objective analysis of the Bush-Cheney era of deregulation, no-regulation, malfeasance, and corruption dramatically underscores how Rushlicans ushered in an insidious and pervasive period of government rot—a rot so prevalent, the Constitution was abandoned and vital governmental functions usurped or suspended with deadly results. Starting with Bush ignoring while on an unprecedented six week vacation (no President—past or present—has ever “vacationed” more than Bush) the now infamous Rice intelligence memo entitled “Bin Laden Determined to Strike in U.S.,” examples of criminal negligence and misconduct abound: (1) outing CIA field agent who refused to corroborate White House lie linking Saddam to WMDs and 9/11 al-Qaida terrorists, (2) gutting clean water regulations via Energy Policy Act of 2005 authored by oil and mining executives secretly selected by Cheney for White House policy setting energy committee, (3) BP oil disaster made possible by corrupt and inept Cheney appointees placed in regulatory positions at the Minerals Management Service and then tasked with eviscerating various safety procedures in favor of profit, (4) Bush appointees illegally misuse funds at Walter Reed intended for wounded soldiers, (5) White House sanctioned illegal wiretaps and torture of detainees at Abu Ghraib, (6) billions illegally awarded in secret, no-bid buddy contracts to Halliburton in exchange for shoddy construction that electrocuted soldiers, (7) insider Wall Street stock buying and dumping deals, (8) North Korea acquires nuclear weapons during Bush 43 administration, and (9) Koch Brothers oil speculation drives up gas prices, yet Boehner directs Darrell Issa, Chairman, Oversight and Government Reform Committee, to use his subpoena authority to go after Wiener’s tweets and ACORN (really?), while ignoring documented high crimes directly attributable to the Bush-Cheney Cabal.

[l78lancer]

02:02 PM on 04/18/2012

Issa is a fake. If he's so big on oversight, why is it JUST now coming to light?

[l78lancer]

02:01 PM on 04/18/2012

These bureacrats have been in place for years doing many of the same things. It's almost humorous to now see and hear both parties - but specifically people like Issa - running around with their hair on fire like this is new.

EVERYONE in congress completely ignored Obama's statement during his first year in office when he said that he would go after the waste and abuse, consolidate or eliminate redundant processes, eliminate things that don't work, and turned loose the departments' IGs. Because the repuiblicans were only focused on cutting departments and slashing budgets, they pooh-poohed it stating that he would never generate any significant savings that way. Well apparently there are more reasons for doing it other than just budget cutting. So why is anyone acting surprised by seeing the waste that EVERYONE knew was there?

[Farzan]

08:54 AM on 04/18/2012

It is funny every time I hear Issa sounding so sacrosanct. Google this guy's background. He is an amazingly qualified conservative Republican.

[Michael McBroom]

05:45 AM on 04/18/2012

Yet another example of the Obama administration's disregard for spending other peoples money! Yet, he wants to raise taxes to give them more money to blow on who knows what. He thinks nothing of having two separate planes taking him and his family on their lavish vacations. Cost the tax payers millions of dollars each trip. The scandal is top down and guess who sits at the top?

[Farzan]

08:52 AM on 04/18/2012

Dude, you were just loving it when W took all those AF1 trips but you HATE to see Obama do the same. Endure it for another 4 years.

[Salty too]

01:20 PM on 04/18/2012

f & f

[pslcitizen]

04:48 AM on 04/18/2012

GSA: Getting Screwed Again!

[pslcitizen]

04:42 AM on 04/18/2012

I DON'T accept your feeble apology. Let them pick up trash on the side of the road after they ALL lose their jobs.

[alagk]

02:32 AM on 04/18/2012

You can assure yourself that the GSA ins't the only department with such offenses. If the Government was run as a private business is run, for profit (with the profit going back to the taxpayers) then our deficit would go away a lot faster. Just to think though these, or people just like these, are the very ones that this Administration and Democratic Congress is wanting to put in control of your and my healthcare.

[Brian Gilmer]

03:40 PM on 04/18/2012

If the government were run as a for profit business there would be a lot of millionaire and billionaire directors and department heads. Corporations operate for the enrichment of the executive class not for the share holders. Look at the compensation of the CEO of Exxon-Mobile which is quite profitable and calculate how much of the company you would have to own be be simillarly compensated. The result would be in the hundreds of million of $ worth stock to recive the same benefit as the CEO. Government would be exactly the same.

[jel3800]

05:05 PM on 04/18/2012

government is the same - no elected official (nor many appointees) leave office without a huge bankroll....and it is no different regardless of party in power

[Mack753951]

01:17 AM on 04/18/2012

Taxes should not be raised on anyone until we fully audit this Government. Remember too that we are borrowing money from China and other countries to pay for this crap. I simply don't see how the US can survive the way this Government wastes our hard earned money. From funding the repair of Mosques around the world, to Million dollar neon Museum, 150k critter crossing, and of course this shamful Vegas Party. Ya just can't make this stuff up, but we are doomed if we can't get it under control.

[Huffedit]

01:34 AM on 04/18/2012

**Obama took office in the middle of, by far, the biggest-deficit year in history, dealing with two wars and the most severe recession since the 1930's; it would have been remarkable if the deficit hadn't decreased during his term. What is surprising in Obama's case is that the decrease in deficits has continued, and even accelerated, rather than being a one-year "blip" due to repayment of bailout loans and the like. The deficit decrease of 2011 may be due in part to the debt-ceiling standoff in April and May and the short-term measures taken at that time to avoid default; we'll see whether it continues in 2012. **

http://home.adelphi.edu/sbloch/deficits.html

You do realize government spending is down right.

[highlandheart44]

02:18 AM on 04/18/2012

Do you mean increase? Because when he took office it was at 10.7 trillion, and now its at 16 trillion. And we didn't have a recession in the 1930's, it was a worldwide Depression. The most severe recession would have been under Jimmy Carter, by far the worst President of the 20th century. Wimp.

[waterhound2]

01:00 AM on 04/18/2012

Got to love how they invoke the 5th with Obama's transparency promise !! LOL

[Huffedit]

01:05 AM on 04/18/2012

So if Obama passed a law taking away the 5th, that would be ok with you? Just wondering.

[waterhound2]

01:25 AM on 04/18/2012

Not at all....but see if you can follow me............. HE ran on the platform of HIS administration being transparent........ soooooooo, be that. Oh thats right...just another promise that was meaningless.

[orbillano]

12:46 AM on 04/18/2012

One can only imagine what would happen if President Obama succeeds in fundamentally changing America to a government like the Marxist and communists of old Europe. Money goes to the government and out of the private sector. Who enjoys all that money, only the government agencies like GSA. Does anyone think it will go to the poor, no! Power corrupts and a good example is Neely and his people.

[Huffedit]

12:59 AM on 04/18/2012

LOL, stop with the same old propaganda lies. The government is smaller under Obama, the only other recent president that shed government jobs was Reagan.

[Chrna]

05:01 AM on 04/18/2012

Do you really believe that...the goverment has increased

[jdogmyers4]

06:00 AM on 04/18/2012

You've been drinking that lib punch again haven't you?

[Americaone]

12:25 AM on 04/18/2012

Didn't Barack Obama Rip the private sector for sending their people to vegas for conferences?

[pslcitizen]

04:44 AM on 04/18/2012

The art of distracting & demonizing. It's not me, it's you..lol.

[Americaone]

11:18 AM on 04/18/2012

pslcitizen.......That was an honest question, sorry you didn't like the answer....