Congressman Tom Davis
Letters to Mayor Anthony Williams and Chief Financial Officer Natwar Gandhi on
Procurement laws and contracting
December 2, 2005

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December 2, 2005

The Honorable Anthony Williams
Mayor
District of Columbia
John A. Wilson Building
1350 Pennsylvania Avenue, NW
Washington, DC 20004

Dear Mayor Williams:

Over the past decade, the District of Columbia has embarked on an impressive road to financial recovery. With the help of the federal government, the District, according to the most recent Comprehensive Annual Financial Report, has balanced its budget for eight consecutive years, and it has a cash reserve that is the envy of almost every municipality in the Nation.

Recent reports in the Washington Post have raised questions about possible violations of the City’s procurement laws and procedures, and unauthorized payments to vendors. If true, these incidents threaten to undermine the remarkable progress that the District has made in recent years.

In light of these press allegations, it is essential that the Committee conduct an assessment of the District’s procurement system and the possible shortcomings of the laws, policies, enforcement and practices. As such, please provide the following information to the Committee by December 16, 2005:

Provide a copy of all procurement policies and procedures applicable to District of Columbia agencies and departments. Explain how these policies and procedures are enforced.

Provide a list of all contracts awarded on a sole-source or limited competitive basis by all District departments and agencies from 2000 to the present. The list should include the name of the contractor, the contract identification number, the subject matter, the contract value, and the award date.

Provide copies of reports submitted to the Council from 2000 to the present, as required under DC Code sec. 2-301.05(d)(3), that represent the number of persons disciplined for entering into oral agreements in contradiction to the mandate requiring valid written contracts.

Provide all documents relating to the solicitation, selection, and administration of contracts, including: (1) documents relating to approvals of the award or proposed award, (2) payments requested and made under, or related to, the contracts, and (3) any modifications or extensions to the contracts relating to the following entities that were cited in the November 27, 2005 Washington Post article, entitled "District Dodges Spending Laws:" Professional Products Inc.; Deloitte & Touche; Thomas F. Cosgrove III; GTech Corp.; Delivering Business and Technology Solutions Incorporated (DBTS Inc.); and The Ad Agency.

Thank you for your assistance with this inquiry. If you have any questions, please contact Jennifer Safavian, Chief Counsel for Oversight and Investigations, or John Hunter, Counsel, at (202) 225-5074.

Sincerely,

Tom Davis
Chairman

cc: The Honorable Henry A. Waxman
Ranking Minority Member

The Honorable Eleanor Holmes Norton

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December 2, 2005

Mr. Natwar M. Gandhi
Chief Financial Officer
District of Columbia Government
810 First Street, NE
Suite 200
Washington, D.C. 20002

Dear Mr. Gandhi:

Over the past decade, the District of Columbia has embarked on an impressive road to financial recovery. With the help of the federal government, the District, according to the most recent Comprehensive Annual Financial Report, has balanced its budget for eight consecutive years, and it has a cash reserve that is the envy of almost every municipality in the Nation.

Recent reports in the Washington Post have raised questions about possible violations of the City’s procurement laws and procedures, and unauthorized payments to vendors. If true, these incidents threaten to undermine the remarkable progress that the District has made in recent years.

In light of these press allegations, it is essential that the Committee conduct an assessment of the District’s procurement system and the possible shortcomings of the laws, policies, enforcement and practices. As such, please provide the following information to the Committee by December 16, 2005:

All documents relating to policies and procedures that the Office of the Chief Financial Officer employs when approving payments for District of Columbia agencies and departments for goods or services.

All information contained in the database referred to in the November 27, 2005 Washington Post article, entitled "District Dodges Spending Laws," which we understand contains information about all expenditures made by the District of Columbia over the last five years.

Thank you for your assistance with this inquiry. If you have any questions, please contact Jennifer Safavian, Chief Counsel for Oversight and Investigations, or John Hunter, Counsel, at (202) 225-5074.

Sincerely,

Tom Davis
Chairman

cc: The Honorable Henry A. Waxman
Ranking Minority Member

The Honorable Eleanor Holmes Norton