GSA chief resigns following excessive spending claims
Monday - 4/2/2012, 6:45pm ET
[MarthaJohnson.jpg]
<http://www.wtop.com/emedia/wtop/24/2417/241729.jpg>
Johnson, second from left, looks on as President Obama signs the
Telework Enhancement Act of 2010 into law in the Oval Office. (Photo
courtesy of DOL.gov)
WASHINGTON - The head of the General Services Administration resigned
from her post Monday, and two other officials were fired amid an
investigation into excessive spending at a 2010 training conference
that featured a clown, a comedian and mindreader, Federal News Radio
<http://www.federalnewsradio.com/445/2812012/GSA-head-Johnson-resigns-tw\
o-others-fired> reports.
Martha Johnson, the GSA administrator, submitted her resignation on
Monday, citing a "significant mis-step" at the agency to the tune of
more than $800,000. Robert Peck, the commissioner of the Public
Buildings Service, and Stephen Leeds, Johnson's senior counselor, also
resigned.
This story was first reported by The Washington Post
<http://www.washingtonpost.com/politics/gsa-chief-resigns-amid-reports-o\
f-excessive-spending/2012/04/02/gIQABLNNrS_story.html?tid=sm_twitter_was\
hingtonpost> .
Four other GSA employees who helped plan the conference are on
administrative leave.
In her resignation letter to GSA obtained by Federal News Radio, Johnson
says the agency has "made a significant mis-step."
"Reports of an internal conference in which taxpayer dollars were
squandered led me to launch internal reviews, take disciplinary
personnel action, and institute tough new controls to ensure this
incident is not repeated," she writes.
Johnson adds that she must step aside so "the Agency can move forward at
this time with a fresh leadership team."
The full text of her letter is available below.
The resignations were announced the same day the agency's Office of the
Inspector General released an extended study of the October 2011
conference
<http://www.federalnewsradio.com/pdfs/040212_gsa_spending_IGreport.pdf>
at a luxury hotel near Las Vegas, which cost $835,000. Roughly 300
employees attended.
Expenses included $147,000 in airfare and lodging for six planning trips
for the organizers.
"The OIG found that many of the expenditures on this conferences were
excessive and wasteful," the report states. "In many instances GSA
followed neither federal procurement laws nor its own policy on
conference spending."
OIG recommends holding "senior GSA officials responsible" for the
excessive spending, revamping accounting procedures and trying to
recover the expenditures.
The report includes a memo from Johnson, outlining her response to OIG's
claims.
Jack Lew, the White House chief of staff and former director of the
Office of Management and Budget, said President Barack Obama was
"outraged" by the reported spending, according to Federal News Radio.
"When the White House was informed of the inspector general's findings,
we acted quickly to determine who was responsible for such a gross
misuse of taxpayer dollars," Lew says in a statement. "The President was
informed before his trip to South Korea, and he was outraged by the
excessive spending, questionable dealings with contractors and disregard
for taxpayer dollars."
"He called for all those responsible to be held fully accountable given
that these actions were irresponsible and entirely inconsistent with the
expectations that he has set as President," says Lew.
Rep. Elijah Cummings, D-Md., the ranking member of the House Committee
on Oversight and Government Reform, describes GSA's reported
expenditures as "a gross abuse of taxpayer dollars and a breach of
public trust."
"Although I am encouraged that swift action was taken to hold officials
accountable, I have also requested an immediate briefing from GSA's
Inspector General on the report," he says in a statement.
GSA is responsible for overseeing office space and supplies,
transportation and management tasks.
This story will update. Stay with WTOP for more.
WTOP's Paul D. Shinkman contributed to this report. Follow WTOP
<http://www.wtop.com/?sid=&nid=710> on Twitter.
Martha Johnson Resignation Letter
<http://www.scribd.com/doc/87705935/Martha-Johnson-Resignation-Letter>
