KBR still owes at least $61M for improper billing

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Hand Shake improperly billed for security guards, senator says

Bloomberg News
Nov. 11, 2009, 2:54PM

KBR, the largest contractor in Iraq and Afghanistan, improperly billed the Pentagon and was paid about $103 million for armed security guard services, a U.S. senator says.

In a Nov. 6 letter to Defense Secretary Robert Gates, Sen. Claire McCaskill, D-Mo., who chairs a contracting oversight panel, wrote that the Pentagon has recovered $42 million of the payments.

McCaskill said she was concerned the Defense Department “is not moving quickly enough to recover the remaining $61 million” and asked Gates for a status report by Dec. 1.
KBR officials have not seen the McCaskill letter but “the assertion KBR has engaged in ‘improper’ billings is false,” said company spokeswoman Heather Browne in an e-mail. “KBR has previously addressed billing issues and worked with the government to answer questions raised,” she said.

The billings were part of the Houston-based company’s $34 billion contract to provide housing, food, laundry, mail delivery and fuel. The Defense Contract Audit Agency first identified the billings in August 2007. McCaskill said the failure to recover all the money by now “raises questions about the sufficiency” of Pentagon efforts “to recover disapproved costs on other contracts.”

The Pentagon audit agency believes the entire amount should be repaid, because the contract specifically prohibits contractors billing the Pentagon for armed security guards, said Navy Lt. Cmdr. Darryn James, a Defense Contract Audit Agency spokesman.

“KBR billed the costs as part of the payments to subcontractors,” James said in an e-mail.

Army Sustainment Command spokesman Linda Theis said the private security costs “were embedded in subcontract costs and were not evident in the normal review of interim vouchers,” and the Army is continuing its efforts to recover the remaining $61 million.

KBR’s Browne said the company is contesting the $42 million in court and will fight paying back any additional funds. (click HERE for original article)

I have to add something in response to this statement: Army Sustainment Command spokesman Linda Theis said the private security costs “were embedded in subcontract costs and were not evident in the normal review of interim vouchers,”

Does anyone else think that KBR MIGHT have been just a snidge bit deceitful?? Or is it just me being too hard on poor little ole KBR!!!

As for the Army Sustainment Command, it would appear managing  KBR’s LOGCAP contract might be a little more than you can handle at this time. Why not subcontract that out to someone who doesn’t have a vested interest?

Ms Sparky

Thank you on Veterans Day and EVERY day

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For EVERY Veteran who has served and EVERY soldier who is serving…. WE THANK YOU!

Have you done something thoughtful for a Veteran lately?

For history and facts and trivia click HERE

To do something thoughtful for a Veteran click HERE

Ms Sparky

Remember Veterans Day

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Frank Woodruff BucklesFrank Woodruff Buckles2

Frank Woodruff Buckles at age 16 and 107

Tomorrow, November 11, 2009 is Veterans Day. I am posting this today to give you ample time to plan. Go find your US Flag or go buy a new one if necessary. It does no good to have it stashed in some corner. HANG IT for all to see! Please don’t forget your flag etiquette.

What is ? For most people it’s a paid day off from work and the the kids stay home from school. There are sales at the mall, parades and other festivities. But do you know why?

Veterans Day is an annual American holiday honoring the 24.5 million military veterans in the United States, 1.7 million of whom are women and 9.5 million of whom are 65 and older. Our oldest living veteran is Frank Woodruff Buckles, WWI veteran, age 108.  

Veterans Day is both a federal and state holiday in all states and is usually observed on November 11. It is also celebrated as Armistice Day or Remembrance Day in other parts of the world. November 11 is the anniversary of the signing of the Armistice that ended World War I. Major hostilities of World War I were formally ended at the 11th hour of the 11th day of the 11th month of 1918 with the German signing of the Armistice.

Armistice Day was celebrated starting November 1919 until 1954 where is was official changed to Veterans Day and was to include all Veterans of all wars.

Be sure to thank a Veteran for fighting for and protecting your Constitutional Rights. Most important to me are our First and Second Amendment Rights:

  • Freedom of Speech
  • Freedom of Religion
  • Freedom of the Press
  • Freedom of Assembly
  • Right to Keep and Bear Arms

China doesn’t have that. Many many countries don’t have that. We have our issues, but I have traveled all over the and there is no better country in the world than the United States of America.

There are veteran and war memorials all over the US. Here are four National War Memorials from Washington DC.

World War I Memorial; Washington DC
4,734,991 US Troops deployed; 320,518 killed and wounded; 1917-1918

World War II Memorial; Washington DC
16,112,566 deployed worldwide; 1,077,245 killed and wounded; 1941-1945

Korean War Memorial; Washington DC
5,720,000 deployed worldwide; 157,530 killed and wounded; 1950-1953

Vietnam War Memorial; Washington DC
8,744,000 deployed worldwide; 243,512 killed and wounded; 1964-1975

There are many Iraq and Afghanistan Veteran and War Memorials being built in the US. There is a National Memorial in planning for Washington DC, but I think there are some design issues.

Desert Shield/Desert Storm Memorial; Evansville, IN
694,550 Deployed to the Gulf; 849 killed and wounded; 1990-1991

Operation Enduring Freedom Afghanistan 2001-Present
XXX Deployed, 1514 killed, 4434Wounded

Operation Iraq Freedom 2003-Present
XXX Deployed, 4362 Deaths, 31,557 Wounded

Note: I could not find a current “Total Number Deployed” If you have a link to that info please send.

AMERICAS WARS-FACTS/STATISTICS

Icasualties -Fatalities and wounded stats

Please…do something special for a Veteran.

Ms Sparky

Arrogance instead of answers for the Hermanson family

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Adam Hermanson 2aAdam V. Hermanson, 25, died needlessly on September 1, 2009 when he was electrocuted in his shower at Camp Olympia in the International (Green) Zone in Baghdad, Iraq while working for security contractor . It has been 2 1/2 months since Adam died and his family is no closer to finding who’s responsible for his death than they were on September 1st.

“I’m tired of people not talking to me. I have every right to know what happened to my husband.” demands Janine Hermanson, Adam Hermanson’s widow.

Right after Adam’s death there was a huge amount of confusion over whether he was working on a DoD or DoS contract and who was responsible for Camp Olympia.  Both the DoD and DoS said “Not us!” It would have appeared at the time that Adams death was going to be labeled a “tragic accident” and was not going to be investigated. Being electrocuted in a shower is not an accident. It is the result of negligence and total disregard for the safety of the occupants of the building.

On September 17, 2009 House Representatives Carol Shea-Porter (D-NH) and Jan Schakowsky (D-IL) sent a letter to Secretary Gates requesting he: (Read the rest of the story here…)

Senate DPC Hearing held on Burn Pits Nov 6 (Video link)

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Senate DPC

Today, Senator Dorgan (D-ND) chaired the Senate Democratic Policy Committee’s 21st  hearing into contractor fraud, waste and abuse  entitled:

Are Burn Pits in Iraq and Afghanistan Making Our Soldiers Sick?

Committee Members

Senator Byron L. Dorgan (D-ND), Chairman

Senator Blanche Lincoln (D-AR)

Senator Jon Tester (D-MT)

Senator Tom Udall (D-NM)

Witnesses

Lt. Col. Darrin Curtis
Former Bioenvironmental Engineer, U.S. Air Force

Rick Lamberth
Former Employee

L. Russell Keith
Former KBR Medic

Anthony Szema, M.D
Chief of the Allergy Section, Veterans Affairs Medical Center, Northport, New York

Click HERE to watch entire unedited video, read witness testimony and Senator Dorgan’s opening statements

I just love the way Senator Dorgan and the Senate Democratic Policy Committee does not back down and keeps nipping at the heels of fraud, waste and abuse that is Defense Department contracting!

Ms Sparky

Bodie’s “Man-trum” – DCAA you’re not the boss of me!

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disputes agency’s claims

The Nov. 4 editorial “Iraq contractor boosts staff as troops withdraw” is inaccurate and KBR would like to set the record straight.

First, it is incorrect to say that KBR will face penalties of nearly $200 million if the company does not trim its workforce. The LOGCAP III contract does not contain a provision for assessing any such fines and no such statement has been made to KBR by DCAA or any other regulatory agency. Instead, the recent audit on which the Associated Press article is written, states that should KBR reduce its workforce by 2,857 people by Jan. 1, cost-savings would be approximately $193 million. This is simply an estimate computed by DCAA.

DCAA states KBR has no plan for withdrawal from Iraq. To the contrary, KBR has explained its plan to auditors, which includes a process to close camps as military personnel are withdrawn and to identify appropriate reductions to the contract price. While the military has closed over 185 camps this year, only seven of those camps had a permanent KBR presence under the LOGCAP contract. Further, to date, KBR has reduced its workforce by 2,622 workers, a 14% reduction. KBR continues to actively pursue opportunities to effectively reduce costs associated with supporting the military.

The broader issue, however, is the illogical theory that a contractor supporting the military should have a concrete plan about how to withdraw its troops prior to the military formalizing its plan. KBR works to support the U.S. military and that work will continue relative to planning for a troop drawdown. Further, it is not appropriate for KBR to make decisions on troop withdrawal planning that could cause serious, negative results in a war zone.

KBR remains disappointed in the DCAA’s heavy-handed intrusion in the logistics process. The continued unfounded and punitive assertions regarding KBR’s work by DCAA and other agencies is a great disservice to our men and women in Iraq. KBR remains committed to engaging in a transparent, fact-based dialogue and in turn, we expect and deserve the same commitment from those in the media. (Link to original article)

William C. Bodie

KBR North American Government & Defense

Houston, Texas

————————————————————————————-

Please note the new Category for ALL Bill Bodie’s “editorials” and “guest columns” called

Bodie Babble

Troubling portrait emerges of Fort Hood suspect

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By BRETT J. BLACKLEDGE, Associated Press Writer

WASHINGTON – His name appears on radical Internet postings. A fellow officer says he fought his deployment to Iraq and argued with soldiers who supported U.S. wars. He required counseling as a medical student because of problems with patients.

There are many unknowns about , the man authorities say is responsible for the worst mass killing on a U.S. military base. Most of all, his motive.

For six years before reporting for duty at , Texas, in July, the 39-year-old Army major worked at the Walter Reed Army Medical Center pursuing his career in psychiatry, as an intern, a resident and, last year, a fellow in disaster and preventive psychiatry. He received his medical degree from the military’s Uniformed Services University of the Health Sciences in Bethesda, Md., in 2001.

While an intern at Walter Reed, Hasan had some “difficulties” that required counseling and extra supervision, said Dr. Thomas Grieger, who was the training director at the time.

Grieger said privacy laws prevented him from going into details but noted that the problems had to do with Hasan’s interactions with patients. He recalled Hasan as a “mostly very quiet” person who never spoke ill of the military or his country.

“He swore an oath of loyalty to the military,” Grieger said. “I didn’t hear anything contrary to those oaths.”

But, more recently, federal agents grew suspicious.

At least six months ago, Hasan came to the attention of law enforcement officials because of Internet postings about suicide bombings and other threats, including posts that equated suicide bombers to soldiers who throw themselves on a grenade to save the lives of their comrades.

They had not determined for certain whether Hasan is the author of the posting, and a formal investigation had not been opened before the shooting, said law enforcement officials who spoke on condition of anonymity because they are not authorized to discuss the case.

In an interview with The Washington Post, Hasan’s aunt, Noel Hasan of Falls Church, Va., said he had been harassed about being a Muslim in the years after the Sept. 11, 2001, terror attacks and he wanted out of the Army.

“Some people can take it and some people cannot,” she said. “He had listened to all of that and he wanted out of the military.”

She said he had sought a discharge from the military for several years, and even offered to repay the cost of his medical training.

A military official told The Associated Press that Hasan was in the preparation stage of deployment, which can take months. The official said Hasan had indicated he didn’t want to go to Iraq but was willing to serve in Afghanistan. The official did not have authorization to discuss the matter publicly and spoke on condition of anonymity.

A second military official said Hasan’s family has Palestinian roots. There have been reports that he was harassed for his Muslim religion, but the official says there is no indication Hasan filed a complaint within the military about that.

Terrorism task force agents plan to interview several of Hasan’s relatives Friday, according to a law enforcement official who spoke on condition of anonymity because the person was not authorized to discuss the case.

Noel Hasan said her nephew “did not make many friends” and would say “they military was his life.”

A cousin, Nader Hasan, told The New York Times that after counseling soldiers returning from Iraq and Afghanistan with post-traumatic stress disorder, Hasan knew war firsthand.

“He was mortified by the idea of having to deploy,” Nader Hasan said. “He had people telling him on a daily basis the horrors they saw over there.”

Federal law-enforcement agents ordered an evacuation of the apartment complex where Hasan lived in Killeen, Texas, Thursday night and conducted a search of his home, said Hilary Shine, director of public information for the city. She didn’t say what was found during the search.

Officials said earlier that federal search warrants were being drawn up to authorize the seizure of his computer.

Retired Army Col. Terry Lee, who said he worked with Hasan, told Fox News that Hasan had hoped President Barack Obama would pull troops out of Afghanistan and Iraq. Lee said Hasan got into frequent arguments with others in the military who supported the wars, and had tried hard to prevent his pending deployment.

Hasan attended prayers regularly when he lived outside Washington, often in his Army uniform, said Faizul Khan, a former imam at a mosque Hasan attended in Silver Spring, Md. He said Hasan was a lifelong Muslim.

“I got the impression that he was a committed soldier,” Khan said. He spoke often with Hasan about Hasan’s desire for a wife.

On a form filled out by those seeking spouses through a program at the mosque, Hasan listed his birthplace as Arlington, Va., but his nationality as Palestinian, Khan said.

“I don’t know why he listed Palestinian,” Khan said, “He was not born in Palestine.”

Nothing stood out about Hasan as radical or extremist, Khan said.

“We hardly ever got to discussing politics,” Khan said. “Mostly we were discussing religious matters, nothing too controversial, nothing like an extremist.”

Hasan earned his rank of major in April 2008, according to a July 2008 Army Times article.

He served eight years as an enlisted soldier. He also served in the ROTC as an undergraduate at Virginia Tech in Blacksburg. He received a bachelor’s degree in biochemistry there in 1997.