Senators Demand Return of $10.8 Million in ‘Unjustified’ Bonuses Handed to VA Senior Executives

U.S. Department of Veteran Affairs building in Washington, on July 6, 2023. Madalina Vasiliu/The Epoch Times

A group of Republican senators is calling for nearly $11 million in “unjustified” bonuses paid to senior executives within the Department of Veterans Affairs (VA) to be recouped and for those responsible for distributing them to be fired.

The group, led by Sens. Tommy Tuberville (R-Ala.) and Marsha Blackburn (R-Tenn.), sent a letter to Secretary of Veterans Affairs Denis McDonough on May 22, saying they were “deeply concerned about mismanagement and accountability failures” within the department.

In their letter, the lawmakers pointed to a recent report by the department’s Office of Inspector General (OIG), which found that the department erroneously awarded millions of dollars in critical skill incentive (CSI) payments to senior executives at its central office. The money was meant to be spent on retaining much-needed skilled workers.

That report, published on May 9, has brought to light the “improper allocation of CSIs to senior executives within the VA” and “revealed a consistent disregard for statutory requirements and VA policies, resulting in the unjustified distribution of bonuses to executives,” the lawmakers wrote in their letter.

“This blatant misuse of taxpayer funds is not just a breach of public trust but also a disservice to the courageous men and women who have selflessly served our nation,” they wrote.

According to the report by the OIG, between August 2023 and early September 2023, CSI payments totaling about $10.8 million were handed out to 182 senior executives at the Veterans Affairs Central Office (VACO).

The payments ranged from nearly $39,000 to more than $100,000 each, the report found.

The bonuses were part of the $117 million Critical Skill Incentive Payments program authorized by Congress two years ago and were meant to help with retaining employees who possessed skills in high demand or short supply.

Mr. McDonough rescinded the payments in September 2023 after learning of the mistakes and notified Congress before requesting that the OIG review the matter.

The department also began efforts to recoup the payments made to the executives.

However, the lawmakers in their letter to Mr. McDonough called on the department to immediately recoup the bonuses and dismiss Undersecretary for Health Dr. Shereef Elnahal, Undersecretary for Benefits Joshua Jacobs, and Deputy Secretary Tanya Bradsher, along with “any other executives implicated in the mismanagement of CSIs.”

“Failure to take decisive action in response to these revelations will undermine public confidence in the VA and the trust of those who have sacrificed so much for our country,” they wrote. “Congress passed the PACT Act to expand access to VA health care and benefits for millions of veterans exposed to toxic substances, not pad the pockets of career bureaucrats, particularly during a time when a majority of them were working remotely.

“The brazen entitlement by senior executives appointed by this Administration shows a clear lack of judgment and selfishness and these individuals must be held accountable.”

Mr. Tuberville and Ms. Blackburn were joined by Sens. Bill Cassidy (R-La.), Ted Cruz (R-Texas), Steve Daines (R-Mont.), Joni Ernst (R-Iowa), Bill Hagerty (R-Tenn.), Cynthia Lummis (R-Wyo.), Pete Ricketts (R-Neb.), Marco Rubio (R-Fla.), Rick Scott (R-Fla.), and Dan Sullivan (R-Alaska) in signing the letter.

VA Press Secretary Terrence Hayes told The Epoch Times in an emailed statement: “Secretary McDonough has made clear from the beginning that he takes responsibility for this issue and has confidence in his leadership team.”

“As soon as VA identified this error, we immediately took steps to address it—and we reported the matter to the Inspector General for review,” the statement continued. “We commit to Veterans that we will learn from this error and fix it, as we have already begun to do.”