The Department of Veterans Affairs has said it substantiated allegations of wasteful spending on two conferences in Orlando, Fla., in July and August 2011, estimating the training events cost $6.1 million.
The investigation, which has reportedly prompted the resignation of assistant secretary for HR and administration, John Sepulveda, concluded that while the department held the conferences to fulfill valid training needs that VA’s processes and the oversight were too weak, ineffective, and in some instances, nonexistent.
The IG concluded that it could not gain reasonable assurance that the costs represent even a complete accounting. For instance it said many costs were not sufficiently documented and it flagged about $762,000 as unauthorized, unnecessary, and/or wasteful expenses.
The IG also found that eleven VA employees, tasked with conference management responsibilities, improperly accepted gifts from contractors seeking to do business or already doing business with VA.
The VA secretary has agreed to take action on the findings so there could be another shake down reminiscent of the one that took place at GSA following revelations of wasteful spending on one of its Western Regions conferences, among other events. The IG said it would monitor the department’s progress on implementing corrective actions.
