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Today, the House Committee on Veterans’ Affairs held a hearing to discuss the new version of a program launched last year by the VA which was intended to streamline the way the VA’s medical centers buy supplies for treating veterans. A study released Monday by the Government Accountability Office (GAO) states that “as with any organizational transformation, the program's success depended on having a strong strategic plan, stable leadership, good communication, and stakeholder buy-in.” However, the GAO found the VA was “missing these elements when it launched the program; and as a result, the program has yet to achieve key cost savings and efficiency goals.”

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During the hearing titled “New Names, Same Problems: The VA Medical Surgical Prime Vendor Program,” a witness from the Government Accountability Office (GAO) said that the program had a good model, but the problem was with its execution. Congressman Jodey Arrington (TX-19), a member of the Veterans’ Affairs Committee, asked the witness, “Is that because there’s not enough staff? There’s not the right staff? There’s not continuity in staff? Is it leadership? Is it poor planning? Break that down for me, if you would.” The GAO witness, Ms. Shelby Oakley, responded, “The short answer is, it’s all of the above.” Asked to rank in order the top two or three reasons, Ms. Oakley replied, “If you look at organizational, transformation leading practices, the bottom line is, it all starts with solid leadership and tone from the top.” Arrington then replied, “Can I stop you just right there? It’s my understanding we invited some of the medical leadership from the VHA to come and testify today. Are you aware of that?” Ms. Oakley responded that she was not aware, but a witness from the Department of Veterans Affairs said he had heard that earlier today. Arrington responded, “We asked your bosses to come and they decided to send you all. It tells me that there is a leadership problem. They ought to be here. I can’t think of anything more important to veteran patient care than what you’re doing, and they refused to come.” When Arrington asked about the chain of command, Ms. Oakley responded that, “It’s actually complicated within VA right now.” “Well, there’s problem number one,” said Arrington. “Yes, which we’ve reported on before within the organization,” replied Oakley. “The Chief Acquisitions Officer is a key role in all of this - it’s the person that’s advising the Secretary of VA on how to accomplish the VA’s mission through its acquisition management function - and it has been somebody in an acting position, and has turned over multiple times since at least 2009.” Arrington went on to ask if the VA had vacancy problems before the hiring freeze and Ms. Oakley replied that they absolutely did. “By the way, I am for hiring freezes – I’m for cutting this government. I think you could cut a third of it, and we could continue to provide. It’s about cutting the right parts of it, and being smart and strategic about it,” said Arrington. “I’m willing to work with the Ranking Member, and anyone else, to send a letter to the leadership, whether it’s the Secretary, or if it’s Ms. Clancy, or Ms. Czarnecki, and express our serious concern that they aren’t here at this hearing to explain why this program isn’t working for our veterans, and to tell them that they need to get in gear in hiring people and getting their operation fully functioning.”

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