imc indymedia

Los Angeles Indymedia : Activist News

white themeblack themered themetheme help
About Us Contact Us Calendar Publish RSS
Features
latest news
best of news
syndication
commentary


KILLRADIO

VozMob

ABCF LA

A-Infos Radio

Indymedia On Air

Dope-X-Resistance-LA List

LAAMN List




IMC Network:

Original Cities

www.indymedia.org africa: ambazonia canarias estrecho / madiaq kenya nigeria south africa canada: hamilton london, ontario maritimes montreal ontario ottawa quebec thunder bay vancouver victoria windsor winnipeg east asia: burma jakarta japan korea manila qc europe: abruzzo alacant andorra antwerpen armenia athens austria barcelona belarus belgium belgrade bristol brussels bulgaria calabria croatia cyprus emilia-romagna estrecho / madiaq euskal herria galiza germany grenoble hungary ireland istanbul italy la plana liege liguria lille linksunten lombardia london madrid malta marseille nantes napoli netherlands nice northern england norway oost-vlaanderen paris/Île-de-france patras piemonte poland portugal roma romania russia saint-petersburg scotland sverige switzerland thessaloniki torun toscana toulouse ukraine united kingdom valencia latin america: argentina bolivia chiapas chile chile sur cmi brasil colombia ecuador mexico peru puerto rico qollasuyu rosario santiago tijuana uruguay valparaiso venezuela venezuela oceania: adelaide aotearoa brisbane burma darwin jakarta manila melbourne perth qc sydney south asia: india mumbai united states: arizona arkansas asheville atlanta austin baltimore big muddy binghamton boston buffalo charlottesville chicago cleveland colorado columbus dc hawaii houston hudson mohawk kansas city la madison maine miami michigan milwaukee minneapolis/st. paul new hampshire new jersey new mexico new orleans north carolina north texas nyc oklahoma philadelphia pittsburgh portland richmond rochester rogue valley saint louis san diego san francisco san francisco bay area santa barbara santa cruz, ca sarasota seattle tampa bay tennessee urbana-champaign vermont western mass worcester west asia: armenia beirut israel palestine process: fbi/legal updates mailing lists process & imc docs tech volunteer projects: print radio satellite tv video regions: oceania united states topics: biotech

Surviving Cities

www.indymedia.org africa: canada: quebec east asia: japan europe: athens barcelona belgium bristol brussels cyprus germany grenoble ireland istanbul lille linksunten nantes netherlands norway portugal united kingdom latin america: argentina cmi brasil rosario oceania: aotearoa united states: austin big muddy binghamton boston chicago columbus la michigan nyc portland rochester saint louis san diego san francisco bay area santa cruz, ca tennessee urbana-champaign worcester west asia: palestine process: fbi/legal updates process & imc docs projects: radio satellite tv
printable version - js reader version - view hidden posts - tags and related articles

Outsourcing Walter Reed

by brian Sunday, Mar. 11, 2007 at 4:14 AM

The evils of privatisation lie at the root of the problems at Walter Reed

Outsourcing Walter Reed

Philip Mattera

March 06, 2007



Philip Mattera heads the Corporate Research Project, an affiliate of Good Jobs First.

Reports of substandard conditions at the Walter Reed Army Medical Center have outraged the country. But that anger should not be directed only at the callous Army officials running the facility.

The full story behind the scandal involves a misguided program to “reinvent government” through outsourcing, a company that botched the delivery of ice to victims of Hurricane Katrina and a giant hedge fund led by a former member of President Bush’s cabinet. The private sector has indirectly had a hand in converting the once legendary Walter Reed into a symbol of the shameful treatment of people who have been maimed in the service of their country.

The dismal state of some facilities at Walter Reed cannot be directly attributed to poor performance by a contractor. After all, it has been only a few months since a politically connected firm called IAP Worldwide Services started taking over many of the management functions at the medical center.

Yet a battle over whether to outsource those functions has been going on since early 2000, when the Army commenced a cost-comparison study of support services at the medical center. Such studies—which were being promoted by the Clinton administration’s “reinventing government” initiative led by Vice President Al Gore—forced groups of federal workers to compete with potential contractors to figure out which could perform a given function more efficiently.

The process dragged on for several years, and finally it was determined that the bid by federal civilian employees at Walter Reed was the better one. However, that decision was overturned by the Army Audit Agency, which was upheld by the GAO on a technicality. This allowed IAP to get a five-year, 0 million contract.

Rep. Henry Waxman, chairman of the House Committee on Oversight and Government Reform, has been gathering evidence that the prospect of outsourcing (and likely job cuts) had a detrimental effect on morale and efficiency at Walter Reed. That idea is not just theory. Last September, Walter Reed Garrison Commander Peter Garibaldi sent an internal memorandum to his superiors warning that substantial numbers of skilled workers were leaving because of the impending takeover by IAP.

It is also possible that managers at Walter Reed were letting things slide, knowing that any problems would soon be dumped in the lap of a contractor. While it may not be possible to quantify, there is every reason to believe that the drawn-out outsourcing process and the controversial reversal of the initial finding in favor of the federal workforce contributed to the deterioration of physical conditions at the medical center.

And all this was to create a new revenue opportunity for IAP. The company is an odd choice to help manage one of the nation’s premier military medical facilities. It was founded in 1989 by a South Carolina entrepreneur who enlisted the help of a logistics expert who had recently left the Army. They rode the rising wave of military outsourcing in the 1990s, specializing in supplying electric generators, while also getting federal civilian contracts for prosaic functions such as providing ice in natural disasters (a responsibility it later botched during Hurricane Katrina). Last year IAP got a 3 million contract to handle file management at the IRS but was unable to get up and running by the specified start date.



Management of the company is now in the hands of Al Neffgen and David Swindle, two former executives with Halliburton subsidiary Kellogg, Brown & Root—one of the giants of military outsourcing and the subject of numerous allegations about overcharging the federal government. Today, IAP’s board of directors includes former Vice President Dan Quayle, a former commandant of the Marines and a former vice chief of staff of the Air Force. Such connections have undoubtedly helped the company rise up the ranks of federal contractors. Its volume of business with Uncle Sam has grown from about 2 million in 2000 to some .2 billion in 2005.

IAP’s growth has also been aided by the fact that it is controlled by the giant hedge fund Cerberus Capital Management, which has taken over dozens of companies and is now more of a conglomerate than an investment fund. Cerberus, like IAP, is no stranger to the revolving door. It is surely no coincidence that the hedge fund chose former Bush Treasury Secretary John Snow as its chairman a few months ago while IAP was intensifying its effort to take over a multi-billion-dollar military logistics contract now held by Halliburton.

The entire situation is a remarkable illustration of how the federal government has become a vehicle for the promotion of private interests. The zeal with which large contracts are awarded to a small universe of companies, with little attention paid to performance, suggests that outsourcing is less an effort to improve efficiency and more a matter of enriching those with the right connections.

But this time the privatization game may have backfired in the face of the Bush administration and its friends in the corporate world. It is one thing to screw workers—unfortunately, that’s now considered business as usual—but in the case of Walter Reed the ultimate victims are a much more revered group. The stark evidence that the Bush Administration, for all its rhetoric about supporting the troops, is much more interested in supporting the contractors, could be leading to a political earthquake.



http://www.tompaine.com/articles/2007/03/06/outsourcing_walter_reed.php

Report this post as:

Local News

Change Links September 2018 posted S02 10:22PM

More Scandals Rock Southern California Nuke Plant San Onofre A30 11:09PM

Site Outage Friday A30 3:49PM

Change Links August 2018 A14 1:56AM

Setback for Developer of SC Farm Land A12 11:09PM

More problems at Shutdown San Onofre Nuke J29 10:40PM

Change Links 2018 July posted J09 8:27PM

More Pix: "Families Belong Together," Pasadena J02 7:16PM

"Families Belong Together" March, Pasadena J02 7:08PM

Short Report on the Families Belong Together Protest in Los Angeles J30 11:26PM

Summer 2018 National Immigrant Solidarity Network News Alert! J11 6:58AM

Watch the Debate: Excluded Candidates for Governor of California M31 5:20AM

Change Links June 2018 posted M28 7:41AM

The Montrose Peace Vigil at 12 Years M22 8:01PM

Unity Archive Project M21 9:42AM

Dianne Feinstein's Promotion of War, Secret Animal Abuse, Military Profiteering, Censorshi M17 10:22PM

CA Senate Bill 1303 would require an independent coroner rather than being part of police M10 9:08PM

Three years after OC snitch scandal, no charges filed against sheriffs deputies M10 8:57PM

California police agencies violate Brown Act (open meetings) M02 8:31PM

Insane Company Wants To Send Nuke Plant Waste To New Mexico A29 11:47PM

Change Links May 2018 A27 8:40AM

Worker-Owned Car Wash on Vermont Closed A27 5:37AM

GUIDE TO REBEL CITY LOS ANGELES AVAILABLE A13 12:39AM

lausd whistle blower A11 6:58AM

Website Upgrade A10 10:02AM

Help KCET and UCLA identify 60s-70s Chicano images A04 8:02PM

UCLA Luskin: Casting Youth Justice in a Different Light A02 6:58PM

Change Links April 2018 A01 6:27PM

More Local News...

Other/Breaking News

Addendum: Benjamin Tucker American Mutualist: Tucker Did Not Advocate Voting in Businesses S25 11:45PM

OUR HOUSE Grief Support Center Celebrates 25 Years with the House of Hope Gala S24 7:10PM

Against the Rent Madness and For a Nonprofit Orientation! S24 11:56AM

Cybermonde, cyberguerre, cyberespace, cyberterrorisme S24 6:35AM

Paraphysique de psychosomatique S22 6:58AM

Chuck Grassley: Women Abusing, Animal Murdering, Illegal War Supporting Criminal S22 2:58AM

Finance Capitalism and the Digital Economy S21 4:45PM

Muselières syndicales, muselières patronales S21 7:19AM

Jeff Bezos, Amazon, The Washington Post, Whole Foods, Etc S21 2:50AM

Why Choose Nut Milk Over Cows' Milk S21 1:01AM

Antrhopocène, le grand effondrement S19 9:53AM

Abolir l'économie S18 11:18AM

The Dictatorship of Corporations S17 5:26PM

18 Lethal Consequences Of Hunting S17 3:13PM

Paraphysique de l'outplacement déontologue S15 6:51AM

Shopping du bashing S14 8:42AM

After Lehman Brothers, Experts Say Global Financial Crisis Can Happen Again S13 8:28PM

“Animaniacs in Concert!” Starring Voice Legend Rob Paulsen S12 9:30PM

Probabilités de fin d'humanité S12 6:49AM

Florida Area of Migrant Farmworkers Denied Right to Construct Health Clinic near NaplesCIW S11 2:57AM

Steer clear of work morality! S09 12:10PM

The Shortwave Report 09/07/18 Listen Globally! S06 11:23PM

August 2018 Honduras Coup update S06 12:28PM

Brett Kavanaugh Filled The 5th Circuit With Execution Judges S06 6:14AM

Augusta Georgia Woman Gets 5 Year Prison Sentence for Writing About Russians Crime Acts S05 8:29AM

Paraphysique de contextualité S05 8:29AM

Crisis Regulation in Global Capitalism S03 3:39PM

Ex-voto de réification S03 10:24AM

More Breaking News...
© 2000-2018 Los Angeles Independent Media Center. Unless otherwise stated by the author, all content is free for non-commercial reuse, reprint, and rebroadcast, on the net and elsewhere. Opinions are those of the contributors and are not necessarily endorsed by the Los Angeles Independent Media Center. Running sf-active v0.9.4 Disclaimer | Privacy