Waxman, Feinstein, Boxer Urge VA to Address Widespread Mismanagement at West Los Angeles VA

GAO report details millions of dollars not spent on veterans’ health care

Sep 17, 2014

Rep. Henry A. Waxman and Sens. Dianne Feinstein and Barbara Boxer today urged Secretary of Veterans Affairs Robert McDonald to quickly respond to a General Accountability Office (GAO) report detailing widespread mismanagement of land-use agreements at the West Los Angeles Veterans Affairs Medical Center (VAMC).

The GAO report details millions of dollars that were legally required to be allocated for veterans’ health care were either not collected or inappropriately allocated.

"It is clear to us that the West Los Angeles VAMC violated federal law and shortchanged veterans in Southern California,” the lawmakers wrote. “We are deeply disturbed by the GAO’s findings and are thoroughly disappointed that the West Los Angeles VAMC has not lived up to its sacred obligation to our veterans. We urge you to take swift action to do the following: Bring all land-use agreements into compliance with all applicable federal laws and policies as expeditiously as possible. Recover all of the revenue the West Los Angeles VAMC did not collect or misused and return these funds to the correct medical care appropriation account. Ensure all funds generated by existing land-use agreements are used to provide medical care to veterans in Southern California. Hold the current management at the West Los Angeles VAMC accountable.”

Rep. Waxman and Sens. Feinstein and Boxer will meet soon with Secretary McDonald to discuss a number of issues including the GAO’s report and funding additional housing for homeless veterans on the West LA VA campus.

The full text of the letter is available below and online here.

September 17, 2014

The Honorable Robert A. McDonald
Secretary of Veterans Affairs
U.S. Department of Veterans Affairs
810 Vermont Avenue, N.W.
Washington, D.C. 20420

Dear Secretary McDonald:

We write to express our profound frustration that mismanagement at the West Los Angeles Veterans Affairs Medical Center (VAMC) failed to ensure our veterans received the service they have earned and deserve. Today, the Government Accountability Office (GAO) released a scathing report, which found that the West Los Angeles VAMC mismanaged land-use agreements, violated Departmental policy, and failed to collect revenue in several land-use agreements. Furthermore, the revenue the Department did collect was not used to pay for veterans' health care, as required by law. The Office of the Inspector General is also conducting an investigation into possible criminal violations involving at least one land-use agreement at the West Los Angeles VAMC.

According to the GAO, the Department's mismanagement makes it difficult to estimate how much revenue the West Los Angeles VAMC did not collect or used improperly. However, it is likely millions of dollars that could have been used for veterans' health care were either not collected or were misused. It is clear to us that the West Los Angeles VAMC violated federal law and shortchanged veterans in Southern California. We have attached a detailed list of specific instances where the West Los Angeles VAMC mismanaged these agreements, as identified by the GAO.

We are deeply disturbed by the GAO's findings and are thoroughly disappointed that the West Los Angeles VAMC has not lived up to its sacred obligation to our veterans. We urge you to take swift action to do the following:

• Bring all land-use agreements into compliance with all applicable federal laws and policies as expeditiously as possible.

• Recover all of the revenue the West Los Angeles VAMC did not collect or misused and return these funds to the correct medical care appropriation account.

• Ensure all funds generated by existing land-use agreements are used to provide medical care to veterans in Southern California.

• Hold the current management at the West Los Angeles VAMC accountable.

We also ask that you provide us a detailed corrective action plan within 30 days to address the mismanagement of land-use agreements at the West Los Angeles VAMC.

We are grateful for your strong leadership in working to address the systemic problems within the Department of Veterans Affairs and we look forward to working with you closely to improve the stewardship of the West Los Angeles VAMC's campus.

Sincerely,

Dianne Feinstein
United States Senator

Barbara Boxer
United States Senator

Henry A. Waxman
United States Representative