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osoab
20th September 2011, 07:18 PM
A $16 muffin? Justice Dept. audit finds ‘wasteful’ and extravagant spending (http://www.washingtonpost.com/politics/a-16-muffin-justice-dept-audit-finds-wasteful-and-extravagant-spending/2011/09/20/gIQAXKyhiK_story.html?hpid=z3)



Where does a muffin cost $16?

At a government conference, it turns out.

They may run for just over $2 at your average coffee shop, but the Justice Department paid seven to eight times as much at a gathering it hosted at the Capital Hilton in Washington. And on Tuesday, the muffins seemed well on their way to joining the Pentagon’s $600 toilet seat as symbols of wasteful spending.
Justice Department auditors also criticized a $76-per-person lunch at a conference at San Francisco’s Hilton, featuring slow-cooked Berkshire pork carnitas, hearts of romaine salad — and coffee at $8.24 a cup.

A report (http://www.justice.gov/oig/reports/plus/a1143.pdf) released Tuesday by the department’s acting inspector general, Cynthia A. Schnedar (http://www.justice.gov/oig/meet-ig.htm), is full of what she called “wasteful or extravagant spending” at 10 law enforcement conferences spanning the Bush and Obama administrations. Descriptions of cookies and brownies costing the government nearly $10 each and beef Wellington hors d’oeuvres at $7.32 per serving struck a nerve in Washington, where austerity and belt-tightening are the watchwords at a time of economic hardship.

The reaction was blistering — and bipartisan.

“Sixteen-dollar muffins and $600,000 for event planning services are what make Americans cynical about government and why they are demanding change,’’ said Sen. Charles E. Grassley (http://www.whorunsgov.com/Profiles/Charles_E._Grassley) (Iowa), the ranking Republican on the Senate Judiciary Committee. “The Justice Department appears to be blind to the economic realities our country is facing. People are outraged, and rightly so.’’

His Democratic counterpart, Judiciary Committee Chairman Patrick J. Leahy (http://www.whorunsgov.com/Profiles/Patrick_J._Leahy) (Vt.) , added that ’’wasteful spending is never justified” and that “like all agencies, the Justice Department will be asked to trim its spending.’’

Even the auditor’s report noted the irony that Justice was failing to “minimize” costs as required by guidelines put in place after an earlier audit (http://www.washingtonpost.com/wp-dyn/content/article/2007/09/15/AR2007091500588.html) in 2007, when the department had drawn criticism for serving platters of Swedish meatballs at $4 per meatball.

Justice officials did not dispute most of the findings. The department did not offer an official to speak by name, but a spokeswoman who was not authorized to comment publicly said the agency “agrees that excessive spending of the types identified in the report should not occur” and has taken steps to prevent it. She said conference costs have been cut this year as part of an effort to curtail nonessential spending, though she could not specify an amount.

Justice Department officials gave auditors a variety of explanations for the expenses, saying consultants they hired to help plan events had valuable knowledge and that the department had done its best to control costs. Officials from one Justice office said they thought they were saving money by serving muffins and other snacks instead of full meals.

Overall, in 2008 and 2009, the Justice Department hosted or participated in 1,832 conferences at a cost of $121 million, the report said.The conferences examined by auditors, on topics from drug enforcement to violence against women, were held at elite hotels — including the Omni Shoreham and the J.W. Marriott in Washington and the Grand Hyatt in Denver — that added 20 percent service fees to the food costs.

Most of the conferences studied were held or planned during the George W. Bush administration, and the report included a May 2009 memo from then-Deputy Attorney General David W. Ogden vowing that the Obama administration would crack down on conferences and other “extravagant spending, especially during these challenging financial times.’’

The event that raised the most eyebrows — the 2009 legal training conference in Washington sponsored by Justice’s Executive Office for Immigration Review — was held three months after the Ogden memo. It featured 250 assorted muffins for $4,200, or $16 apiece, and $2,880 for 300 cookies and brownies, along with various pastries and snacks.

That prompted Rep. Frank R. Wolf (http://www.washingtonpost.com/politics/a-16-muffin-justice-dept-audit-finds-wasteful-and-extravagant-spending/2011/09/20/gIQAXKyhiK_story.html?hpid=z3) (R-Va.) to write a letter to Attorney General Eric H. Holder Jr. on Monday pointing out that the muffins were served “during your tenure as Attorney General.’’

“It is clear that while American taxpayers were tightening their belts and making difficult financial decisions, the department was splurging on wasteful snacks,’’ the letter said.

Sen. Jeff Sessions (http://www.whorunsgov.com/Profiles/Jeff_Sessions) (R-Ala.), a former federal prosecutor, called the expenditures revealed in the report “outrageous” and said Justice officials “spend too much time attending conferences.’’

The report criticized the Justice Department for spending about $600,000 in grant funds for “event planning services” by outside firms at five of the conferences. Schnedar also found that the department spent nearly $3,500 in “unallowable and unnecessary” costs to fly a consultant three times between Alaska and California to help plan a 2008 conference on reducing violence on Indian lands
Justice officials defended that expenditure. “The consultant was the only event planner who had the expertise and knowledge” in areas such as “substantive knowledge of Native American traditions and cultures,’’ Laurie O. Robinson, assistant attorney general for the Office of Justice Programs, wrote in response to the report.

madfranks
20th September 2011, 07:32 PM
What does it matter? They operate outside of the profit/loss system, so they have no notion of economic calculation. We all know a cup of coffee shouldn't cost that much, but they don't. Have you ever wondered what the true market price for an F-16 fighter jet was? Well in the same way that they pay 15x more than they should for coffee and muffins, they pay 15x more than they should for everything else too. This equals hundreds of billions of dollars of waste.

Heimdhal
20th September 2011, 07:34 PM
Yeah, that money didnt go to a baker, thats for sure. Whats the best way to pay people off and make it look legit? Infalte the bill. This is a very common thing in the construction industry (I guess in the business world in general).

You wonder where they get the "clean" money to start groups like Al CIA-da and Libyan rebel groups....this is how.

mightymanx
20th September 2011, 07:41 PM
As the phrase goes:

"Let them eat cake!"

Now.... if only we can get the same outcome.

Neuro
21st September 2011, 01:53 AM
The war on terra has costed around $8 trillion? That would equal 500 Billion muffins at $16 each. That is alot of muffins! And the world would have been a better place too, not to mention the Muffin industry...

gunDriller
21st September 2011, 05:48 AM
what was the caterer thinking ?

"32x face ... half dollar for every muffin - that'll be $16 in funny money !"

Awoke
21st September 2011, 10:37 AM
Inside job man. That caterer is in the know, and laughing all the way to the bank, which is owned by his fellow Freemasonic Cultist.

Libertytree
21st September 2011, 11:12 AM
Toilet seats...$600
Coffee.....$8.24
Cookies/brownies.....$10.00 each
Beef Wellington appetizers....$7.32

Honesty in government.....$00000.1

Real honesty and integrity......priceless.

osoab
29th October 2011, 05:31 PM
Oops? Still a rip off @ 16.80 a plate.

That muffin didn't cost taxpayers $16 after all (http://www.pjstar.com/free/x671077458/That-muffin-didnt-cost-taxpayers-16-after-all)


WASHINGTON —

Remember the $16 muffin, a sign of government spending out of control? It turns out that all the criticism was half-baked.

The Justice Department's Office of the Inspector General is apologizing for erroneously concluding that a hotel charged the government $16 apiece for breakfast muffins.

The IG's assertion last month prompted widespread criticism of government spending. A swift rebuttal came from Hilton Worldwide, which manages and franchises hotels including the Capital Hilton, the location for a Justice Department conference that served the muffins.

At the time, the IG said it stood by its report that the muffins were indeed that pricey.

On Friday, the IG's office reversed itself, saying that it had received additional information concerning food and beverage costs and that the department did not pay $16 per muffin at the conference by the Executive Office for Immigration Review.

The additional information showed that the muffins were actually part of a modified continental breakfast priced at $16.80 and consisting of items such as pastries, fruit, coffee, tea and juice.

"We regret the error in our original report," the IG said in a preface to its revisions. "After discussions with the Capital Hilton" and the Justice Department, "we determined that our initial conclusions concerning the itemized costs of refreshments at the EOIR conference were incorrect."

Neuro
30th October 2011, 02:27 AM
Mathemathics is a difficult subject for government accountants, that is why they are payed so well!

gunDriller
30th October 2011, 07:41 AM
What does it matter? They operate outside of the profit/loss system, so they have no notion of economic calculation. We all know a cup of coffee shouldn't cost that much, but they don't. Have you ever wondered what the true market price for an F-16 fighter jet was? Well in the same way that they pay 15x more than they should for coffee and muffins, they pay 15x more than they should for everything else too. This equals hundreds of billions of dollars of waste.

i have been in exactly that situation.

i found a $7 solution for something that was critical to fix.

management wanted a $5 million solution - a design program to keep 10 engineers busy for 2 years. 20 man-years @ $250K per year, 2/3 of which would be gross profit.

then i emailed top management thoroughly, to let them know that i had a proven solution (with 30 years of usage history in another industry). that pissed them off even more.


i would like to write about that more openly. to do that i need to show the writing to my insurance company, because i will probably be sued.


at another company i worked at - Litton Electron Devices, a company i actually admired because they were vertically integrated - there was a huge amount of pressure to delegate work, even if it took longer to do it that way. i had worked in commercial microwave, where i met one of the best hands-on engineers i ever met. his 'secret' was to do everything himself, sometimes - if he didn't like a schedule estimate, he would just embarass an entire department by doing it (drafting, machining, prototype circuit fab) himself. his name was Bill.

when i got to Litton, i followed the same methodology, not as proficiently as Bill though. although they wanted me to 'delegate' (increasing billable hours by a factor of 2 or 3), i admired them because they had cool technologies (mainly, metallizing ceramics & making their own supermagnets).

the main thing that American military contractors sell is their time. the more time they sell, the more money they make. an engineer who gets things done faster or takes shortcuts is not so welcome in that environment, even if that's exactly what you would do in a commercial work environment.

Neuro
30th October 2011, 08:04 AM
gunDriller, never underestimate the culture of stupidity in a corporate environment... Your $7 solution, would have been very expensive to management, they would have looked very stupid, because they are, better to supress your idea and you! Managing a $5 million project makes them feel important...