At other times, Verma’s carefully selected contractors, including his former communications specialist, Marcus Barlow, who had served as a spokesperson on behalf of Verma’s consulting firm, but had been blocked from taking a job at CMS, personally directed federal staff and policies in a way that seemed to ignore hiring rules, according to the inspector general.
In one case, the inspector general’s report relates, two senior CMS officials questioned the legality of the deal after Barlow instructed agency staff that he needed to be among the officials deleting the tweets before they were published.
“I am trying to find out if it is legal for a contractor to direct federal staff,” a senior communications official wrote in August 2017 to a team member, who replied, “I’ve been wondering the same thing.”
The communications official then downplayed the email to the inspector general, telling auditors that he had had an “emotional reaction” and did not believe the contractor was directing it.
Still, the episode fit a Verma pattern accusing contractors of leading tasks ranging from the most important to the mundane, from writing important speeches and organizing events to managing media requests and approving tweets.
For example, Verma recommended that contractors hire Pam Stevens, a well-known communications expert from Washington, to help her establish her media appearances, according to the inspector general’s report. Stevens devised an advertising plan for Verma that proposed profiles in magazines like Glamor, invitations to prestigious events like Kennedy Center Honors and recognition on the “Power Women” charts. CMS has downplayed the plan and said many of Stevens’ proposals were not implemented.
In the process, CMS paid those contractors at rates far higher than those of senior government officials to perform tasks that the inspector general said should have been handled by the agency’s more than 200 internal communications officials.
“Inadequate administration and management of contracts can put the government at greater risk of waste and abuse,” said Tesia Williams, a spokesman for the inspector general.
In a letter signed by Assistant Secretary Eric Hargan, HHS agreed to the inspector general’s recommendations and promised to evaluate their contracts.
But Verma disputed the findings in a lengthy response to the inspector general who accompanied the report, calling them “false” and arguing that the auditors chose their findings.
“Drawing these conclusions is only possible using an incomplete record of evidence and a misunderstanding of federal hiring requirements,” Verma wrote. “I totally disagree that the management and execution of the contracts has raised serious concerns.”
Verma also chided the inspector general for the time of his report.
“The CMS must focus solely on responding to an unprecedented global pandemic, but must spend precious time responding to the many mischaracterizations and technical inaccuracies” in the report, Verma wrote.
