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Government Privatization

POGO Files 

Related Resources (government documents and letters)

POGO in the News


POGO Files

Bad Business: Billions of Taxpayer Dollars Wasted on Hiring Contractors
September 13, 2011

Service contract award dollars have dramatically increased in recent years based on the assumption that shifting work to the private sector saves taxpayer dollars. POGO’s report compares total annual compensation for federal and private sector employees with federal contractor billing rates in order to determine whether the current costs of federal service contracting serves the public interest. Previous analyses have only focused on employee salaries and compensation and not federal contractor billing rates. POGO’s study shows that the federal government approves service contract billing rates that, on average, pay contractors 1.83 times more than the government pays federal employees in total compensation, and more than 2 times the full compensation paid in the private sector for comparable services. Given that one-quarter of all discretionary spending now goes to service contractors, a reassessment of the total federal work force, with a focus on contractor billing rates, could save taxpayers billions of dollars annually.


Appendix A
September 13, 2011

Podcast: Private Security Contracting in Afghanistan
November 4, 2010

POGO staffers discuss a recent report issued by the State Department Office of the Inspector General, which evaluated the performance of the private security contractor responsible for guarding the U. S. Embassy in Kabul, Afghanistan. The report confirmed many of the findings of POGO's 2009 investigation into "Lord of the Flies" environment that had taken hold of the embassy's private security guard force.


POGO Supports Whistleblower Review
September 17, 2009

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Related Resources


Inquiry Into The Role And Oversight Of Private Security Contractors In Afghanistan
Committee On Armed Services, United States Senate
October 7, 2010 


Letter For the Soldiers, Sailors, Airmen, Marines and Civilians of NATO ISAF and US Forces-Afghanistan Regarding COMISAF's Counterinsurgency Culture
David H. Petraeus, General, United States Army Commander, International Security Assistance Force, United States Forces-Afghanistan
August 1, 2010 


Warlord, Inc.; Extortion and Corruption Along the U.S. Supply Chain in Afghanistan
Report of the Majority Staff, Representative John F. Tierney, Chair, Subcommittee on National Security and Foreign Affairs; Committee On Oversight and Government Reform; U.S. House of Representatives
June 1, 2010 


Transportation Technology Innovation and Demonstration Program (TTID)
Joseph W. Come, Assistant Inspector General for Surface and Maritime Program Audits, Federal Highway Administration, Report # MH-2010-030
December 8, 2009 


Senators McCaskill, Collins, and Bennett's letter to Department of State regarding the allegations of whistleblower retaliation
, Committee on Homeland Security and Governmental Affairs, Senator Claire McCaskill (D-MO), Senator Susan Collins, Senator Robert Bennett
September 16, 2009 


McCaskill Questions Chairman of the Joint Chiefs on Contracting in Afghanistan
, Press Office of Senator Claire McCaskill
September 15, 2009 


McCaskill Statement On Wartime Contracting Commission Hearing On Kabul Embassy Contract
, Press Office of Senator Claire McCaskill
September 14, 2009 


Testimony of Terry Pearson
, Commission on Wartime Contracting in Iraq and Afghanistan
September 14, 2009 


C-Span Video: Commission on Wartime Contracting Hearing on State Dept. Hiring Practices
, C-Span (follow the video links to watch the 3 sessions of witnesses)
September 14, 2009 


Wartime Contracting to probe State Department oversight and contractor-employee conduct
, Commission on Wartime Contracting in Iraq and Afghanistan
September 4, 2009 


U.S. Embassy Statement on Local Guard Force
, United States Embassy in Kabul, Afghanistan
September 4, 2009 


State Department Daily Press Briefing Transcript
, State Department Press Secretary Ian Kelly
September 2, 2009 


State Department Daily Press Briefing Video
, State Department Press Secretary Ian Kelly
September 2, 2009 


State Department Daily Press Briefing Video
, State Department with Ian Kelly, Department Spokesman
September 1, 2009 


State Department Daily Press Briefing Transcript
, State Department with Ian Kelly, Department Spokesman
September 1, 2009 


The Public Cost of Private Security in Afghanistan (Briefing Paper)
Jake Sherman and Victoria DiDomenico, Center On International Cooperation, New York University
September 1, 2009 


Audit of USAID/Iraq's Community Stabilization Program
Office of the Inspector General, Audit Report #E-267-08-001-P, United States Agency International Development
March 18, 2008 


Contracting: Additional Personal Conflict of Interest Safeguards Needed for Certain DoD Contractor Employees
, Government Accountability Office (GAO) Report # GAO-08-169
March 1, 2008 


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POGO in the News


Deepwater acquisition sinks, but not without lessons, Alice LipowiczFederal Computer Week, January 15, 2012 


Siemens Pivots To Thrive In US After Bribery Settlement, Samuel RubenfeldThe Wall Street Journal, December 15, 2011 


Pentagon moves against conversion of in-house work to contractors, Charles S. ClarkGovernment Executive (govexec.com), December 7, 2011 


Obama Fights Senate Attempt to Limit Contractors Doing Government Work, Noel BrinkerhoffAllGov.com, November 29, 2011 


A Hidden Toll as States Shift to Contract Workers, By Motoko RichThe New York Times , November 7, 2011 


House committee approves bill to cut 10% of workforce by 2015, Stephen LoseyFederal Times, November 3, 2011 


Five places where the rich got richer, Daniel Denvir and John Paul DeWittSalon, October 27, 2011 


Letter to the Editor: Cost comparisons, Paul Chassy, Investigator, Project On Government OversightFederal Times, October 17, 2011 


One nation, underemployed, Sally KohnReuters, October 7, 2011 


NASA Leverages In-House IT Talent, Brittany BallenstedtNext Gov, September 21, 2011 


Defining intelligence contractors’ jobs, and pay, is a fuzzy job, Joe DavidsonThe Washington Post; The Federal Diary, September 20, 2011 


Contract labor: Pay, benefits often double that of feds, Sarah ChackoFederal Times, September 19, 2011 


Study: Privatizing government doesn’t actually save money, Brad PlumerThe Washington Post; Ezra Klein's Wonkblog, September 15, 2011 


Government Pays More in Contracts, Study Finds, Ron NixonThe New York Times, September 12, 2011 


OMB announces final guidance on inherently governmental functions, Charles S. ClarkGovernment Executive, September 9, 2011 


Efforts to bring jobs in-house may be losing momentum, Charles S. ClarkGovernment Executive, May 31, 2011 


The Pentagon retreats on insourcing as spending slows, By Marjorie CenserThe Washington Post, April 3, 2011 


Vodka Butt-Shot Contractor STILL Guarding the Kabul Embassy, By Daniel SchulmanMother Jones, February 17, 2011 


Oversight woes hound private job agencies, By Jason ClayworthDes Moines Register, October 30, 2010 


At Least They're Not Doing Vodka Butt Shots Anymore, David IsenbergThe Huffington Post, October 29, 2010 


More Contracts Flood KBR (KBR) with Cash Despite a Questionable Reputation, By Leo SunInvestorguide.com, September 23, 2010 


Treasury declines to allow law firm to testify before oversight panel, By Ryan HoleywellBailoutSleuth.com, September 22, 2010 


Inherent or Non-Inherent: That is the Question, By David IsenbergThe Huffington Post, July 6, 2010 


Defining 'inherently governmental' and role of contractors in U.S. war fight, By Joe DavidsonThe Washington Post, June 22, 2010 


Guard work defies easy labels, By Robert BrodskyGovernment Executive, June 18, 2010 


More jobs shift to feds under proposed guidance, By Gregg CarlstromFederal Times, April 4, 2010 


Administration puts its stamp on 'inherently governmental', By Robert BrodskyGovernment Executive, March 31, 2010 


Surprise! Another War-Zone Embassy Poorly Guarded by Contractors, By Spencer AckermanThe Washington Independent, March 26, 2010 


Federal Diary: Federalizing security contractors might make our country safer, By Joe DavidsonWashington Post, January 29, 2010 


GAO's Former Top Lawyer Grabs the Ax as Contract Chief, By Jenna GreeneThe National Law Journal; Law.com, January 5, 2010 


U.S. System for Tracking Traffic Flow Is Faulted, By Eric LiptonThe New York Times, December 13, 2009 


Going Naked in Kabul, By Gail Collins, Opinion PieceNew York Times, December 11, 2009 


Contractors Watching Contractors, By Jeremy ScahillThe Nation, December 10, 2009 


Lawmakers slam office overseeing Afghan rebuilding, By Richard LardnerAssociated Press; GovExec.com, December 9, 2009 


Race to the Bottom , By Robert BrodskyGovernment Executive Magazine, December 9, 2009 


State Department drops contractor involved in Embassy Kabul scandal, By Josh RoginForeign Policy: The Cable, December 8, 2009 


U.S. Seeks New Guards in Kabul, By August ColeWall Street Journal On-line, December 8, 2009 


Controversial security firm loses Kabul contract, By Ed O’KeefeThe Washington Post; Federal Eye, December 8, 2009 


State fires embattled security contractor, By Elise CastelliFederal Times, December 8, 2009 


ArmorGroup Loses Kabul Embassy Contract, By Daniel SchulmanMother Jones, December 8, 2009 


Company losing security contract for Kabul embassy, By Richard LardnerAssociated Press; ABC News, December 8, 2009 


POGO: ArmorGroup loses Kabul embassy contract, By Laura RozenPolitico, December 8, 2009 


Podcast: POGO's Danielle Brian, Private Military Herald podcast; PMH Radio, September 20, 2009 


The business of war and profit: Aren’t we proud?, By Kelley VlahosThe American Conservative Magazine, September 17, 2009 


Official Says Contractor in Kabul May Be Ousted, By Ginger ThompsonThe New York Times, September 14, 2009 


Not Just Whistling Dixie with Guest Terry Pearson, former U.S. contractor, With Rachel MaddowThe Rachel Maddow Show on MSNBC, September 14, 2009 


Official: Kabul Embassy Hazing Covered Up, By Sharyl AttkissonCBS News Online, September 14, 2009 


POGO Blasts State Department Over ArmorGroup Oversight Before Wartime Contracting Commission, By Spencer AckermanWashington Independent, September 14, 2009 


State Department contracting scandal: Kennedy on the hotseat, By Josh RoginForeign Policy, September 14, 2009 


State urged to cancel Kabul embassy security contract, By Elizabeth NewellGovernment Executive Magazine, September 14, 2009 


Embassy Scandal: A New Abu Ghraib?, By Dan SchulmanMother Jones, September 14, 2009 


State Department's Oversight of Security Contractors Is Scrutinized, By Mary Beth SheridanThe Washington Post, September 13, 2009 


Company Kept Kabul Security Contract Despite Record, By Ginger Thompson and Mark LandlerThe New York Times, September 12, 2009 


Afghan Embassy Scandal's Link to Cost-Cutting Security, By Ken StierTIME Magazine, September 11, 2009 


Whistleblower sues Afghanistan security contractor, By Charley KeyesCNN, September 11, 2009 


Ex-Manager: More Excesses By U.S. Embassy Guards, By Michele KelemanNational Public Radio, September 11, 2009 


2 Say They Reported Abuses at Embassy , By Ginger Thompson with Mark LandlerThe New York Times, September 10, 2009 


Embassy contractor faces new charges, By Jen DiMascioPolitico, September 10, 2009 


POGO Reacts to ArmorGroup Whistleblower Lawsuit, By Spencer AckermanThe Washington Independent Online, September 10, 2009 


Ex-managers: security firm cut corners at embassy, By RIichard LardnerThe Examiner; Associated Press, September 10, 2009 


Naked Pool Parties, Alleged Sex Acts at Kabul U.S. Embassy Force Out 10 Guards, By Megan Chuchmach and Nick SchifrinABC News The Blotter With Brian Ross, September 4, 2009 


Systemic Problems Found With State Department Contract With Kabul Embassy Security, By Spencer AckermanWashington Independent Online, September 4, 2009 


Concerned Foreign Service Officers: Photos Are An 'Ugly Manifestation' of State Department Contractor Culture, By Spencer AckermanThe Washington Independent, September 3, 2009 


First Person: 'Lewd Behavior' At U.S. Embassy, Associated Press via YouTube, September 2, 2009 


Contractors Outnumber U.S. Troops In Afghanistan, by Kevin WhitelawNPR - National Public Radio, September 2, 2009 


Contractors in Kabul accused of 'lewd and deviant behavior', By Gordon Lubold Christian Science Monitor, September 2, 2009 


Contractor to Continue Work in Iraq Temporarily, By Mark LandlerNew York Times, September 2, 2009 


'Deviant hazing' alleged at U.S. Embassy in Kabul, CNN.com/Asia, September 2, 2009 


Life During Wartime: U.S. Embassy contractors gone wild?, The Rachel Maddow Show, MSNBC, September 2, 2009 


Afghan U.S. Embassy patrol in 'deviant' parties with booze, hookers - report, By Richard Sisk New York Daily News, September 2, 2009 


Clinton told of security failings in Afghanistan, By Richard LardnerAssociated Press; Houston Chronicle, September 1, 2009 


Allegations of misconduct by the private security company guarding the U.S. Embassy compound in Kabul, With Margaret WarnerThe News Hour with Jim Lehrer (audio) Video is available here http://video.pbs.org/video/1236177496 (scroll until there's 27:57 left) , September 1, 2009 


Animal House in Afghanistan, By Daniel SchulmanMother Jones, September 1, 2009 


U.S. Embassy Guards Accused of Misconduct in Afghanistan, By Ann Scott TysonThe Washington Post, September 1, 2009 


'Lord of the Flies' in Kabul, By Jen DimascioPolitico, September 1, 2009 


Kabul Embassy Report, With Jill DoughertyCNN, September 1, 2009 


Watchdog questions security at U.S. Embassy in Kabul, By David AlexanderReuters, September 1, 2009 


POGO investigates abuses at U.S. Embassy in Kabul, By Frank MungerKnoxnews.com, September 1, 2009 


Group: US Embassy Guards in Kabul Are Mistreated , Associated Press; The New York Times, September 1, 2009 


Guards Gone Wild in Kabul, With Sharyl AttkissonCBS News, September 1, 2009 


Watchdog group alleges misbehavior by State Dept. security contractors, By Elise CastelliFederal Times, September 1, 2009 


Blackwater tapped foreigners on secret CIA program, By Adam Goldman and Pamela HessAssociated Press; ABC News, August 31, 2009 


U.S. Still Using Security Firm It Broke With, By Mark Landler and Mark MazzettiNew York Times, August 21, 2009 


Napolitano must define inherently government work, find people to do it, By Alice LipowiczFederal Computer Week, July 2, 2009 


DHS scrutiny of services contracts draws flak, By Alice LipowiczWashington Technology, June 10, 2009 


DHS review of service contract draws fire, By Alice LipowiczFederal Computer Week, June 5, 2009 


Government by Contractor Is a Disgrace, By Thomas FrankWall Street Journal, November 26, 2008 


Obama To Tackle Explosion In Federal Contracts, By Daniel ZwerdlingNational Public Radio, November 24, 2008 


Dogs of War: Who watches the watchers?, By David IsenbergUnited Press International, October 17, 2008 


Critics allege State broke acquisition rules in Baghdad contract, By Robert BrodskyGovernment Executive, October 14, 2008 


Outsourcing The Fight, By P.W. SingerForbes.com, June 6, 2008 


Increasing reliance on private contractors in Iraq raises questions, By Lauren GregoryChattanooga Times Free Press, May 2, 2008 


Security Progress in Baghdad Draws Entrepreneurs, NPR: Morning Edition, May 1, 2008 


Investigators: Millions in Iraq contracts never finished, Trend News Agency (Azerbaijan), April 28, 2008 


In Washington, Contractors Take On Biggest Role Ever, by Scott Shane and Ron NixonNew York Times, February 4, 2007 


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