{"database": "press", "table": "releases", "rows": [["https://web.archive.org/web/20141010025110/http://coffman.house.gov/media-center/in-the-news/va-s-loyalty-to-reverse-auction-firm-fedbid-raises-red-flags", "VAs loyalty to reverse auction firm FedBid raises red flags", "2014-10-09", "2014", "2014-10", "Republican", "House", "CO", "Mike Coffman", "C001077", "web.archive.org", null, null, "legacy", "As far back as 2012, a Department of Veterans Affairs advisory board was warning about excessive sway that reverse auction firm FedBid, a well-connected contractor employing former top White House officials, had on VA contracting officers.\nOne internal VA email obtained by The Washington Times shows that the VA advisory group warned in 2012 that contracting officers inside the Veterans Health Administration had been told that \u201cthe use of FedBid is mandatory, and that they can take no other path.\u201d\nInvestigators found that a top VHA contracting official, Susan Taylor, along with FedBid officials, plotted to discredit another VA official who questioned whether the company\u2019s reverse auction business saved the government as much money as the contractor claimed.\nMs. Taylor, who has since been removed from her job, leaked nonpublic information, gave false statements and strong-armed staff into using FedBid, according to the report, which also revealed the company\u2019s aggressive behind-the-scenes lobbying.\n\u201cNeed to assassinate his character and discredit him,\u201d former FedBid President Glenn Richardson wrote in an email to colleagues, referring to the VA procurement official, Jan Frye.\nMr. Frye angered FedBid by enacting a moratorium in 2012 on the use of reverse auctions amid complaints from suppliers about costs.\nIn the wake of the report, Rep. Mike Coffman, Colorado Republican and chairman of the House Veterans\u2019 Affairs investigative subcommittee, questioned whether FedBid should be allowed to continue doing business with the VA.\nFedBid \u201cwas actively conspiring to defame an honorable public servant in an attempt to protect a friendly, corrupt bureaucrat and continue pushing a system of contracts that undercut fair competition,\u201d the congressman said in a letter last week to new VA Secretary Robert McDonald.\nIn 2012, VA suppliers were growing increasingly concerned about FedBid, which handled VHA\u2019s reverse auctions \u2014 a form of contracting in which sellers, not buyers, bid against one another. FedBid handles most of the government\u2019s reverse auctions.\nFormer VA Chief of Staff Harold Gracey, a retired career federal executive, worked with a contractor who put together a group of VA contractors and suppliers to advise the agency on how to improve its procurement process.\nIn an interview, Mr. Gracey said the industry advisory group was concerned about FedBid and how VA was acquiring some medical supplies through reverse auctions.\n\u201cThere were concerns they were paying more than they would have had to pay if they\u2019d gone through the federal supply schedule,\u201d Mr. Gracey said.\nMr. Gracey helped the advisory group put its concerns in writing. In an email to Mr. Frye in 2012, Mr. Gracey told the senior procurement official of concerns among VHA contract officers who were told they had to use FedBid for reverse auctions.\nHe also passed along a spreadsheet with a list of seemingly \u201cinappropriate\u201d reverse auction procurements, according to the email.\nMr. Gracey said the industry advisory group also gave a formal presentation to top VA acquisition officials, including Ms. Taylor.\n\u201cSusan was vehement in saying they were wrong on almost every point, that specifications were terrific, contracting officers were doing their jobs and VA was in fact not paying any fee to FedBid,\u201d Mr. Gracey told The Times.\nHe said she became so adamant that the meeting took a nasty turn.\n\u201cI kind of interrupted and said, \u2018Let\u2019s all agree that it works for some things and not for others and not just argue,\u201d Mr. Gracey said.\nIn response to questions Wednesday, a FedBid spokesman provided a statement by email saying the company cooperated with the inspector general\u2019s investigation and believes it took \u201cappropriate actions\u201d to protect its business.\n\u201cOur company has always been transparent about its fee structure and the savings the FedBid marketplace can facilitate when buying commodity goods and simple services. It is important to point out, as our data demonstrates, that this report does not dispute that the FedBid marketplace stimulated competition that resulted in lower prices for VHA.\u201d\nThe VA inspector general\u2019s report also revealed undue pressure on contracting decisions. A similar case surfaced last year when the General Services Administration inspector general released an audit detailing how top managers were overruling contracting officers on behalf of influential contractors.\nBrian Miller, a former GSA inspector general, said Wednesday that although the VA report raised troubling and serious questions, the news wasn\u2019t all bad.\n\u201cThe good news coming out of the IG report is that at least one person stood up and did the right thing. A courageous senior procurement executive did the right thing and suffered for it,\u201d Mr. Miller said.\n\u201cContracting officers at times need supervision, but when a supervisor is shilling for a particular contractor, it undermines the integrity of the whole process and sends the message to the public and the entire contracting community that influence can buy government contracts,\u201d Mr. Miller said.\nFedBid\u2019s advisers, employees and directors include Joe Jordan and Steve Kelman, both formerly in charge of the White House\u2019s office of federal procurement policy.\nThe company also relied on former Rep. Chet Edwards and retired Gen. George W. Casey Jr. to help lobby VA officials to overturn Mr. Frye\u2019s reverse auction moratorium.\nMr. Jordan was not named in the inspector general\u2019s report. He left the White House in December while Congress and the Government Accountability Office were scrutinizing reverse auctions.\nMr. Jordan oversaw federal procurement policy across the federal government. The Washington Times filed a Freedom of Information Act request with the Office of Management and Budget seeking information on post-employment ethics rulings related to Mr. Jordan\u2019s move, but the White House has yet to respond.", 1, "2026-03-30T12:14:52Z", "2026-03-30T12:14:52Z"]], "columns": ["url", "title", "date", "year", "month", "party", "chamber", "state", "member_name", "bioguide_id", "domain", "scraper", "source", "date_source", "text", "has_text", "collected_at", "updated_at"], "primary_keys": ["url"], "primary_key_values": ["https://web.archive.org/web/20141010025110/http://coffman.house.gov/media-center/in-the-news/va-s-loyalty-to-reverse-auction-firm-fedbid-raises-red-flags"], "units": {}, "query_ms": 1.106026116758585, "source": "dwillis/congress-press", "source_url": "https://github.com/dwillis/congress-press", "license": "MIT", "license_url": "https://github.com/dwillis/congress-press/blob/main/LICENSE"}