VA: Oversight agency to review controversial management bonuses

Above: Jim Nicholson surrounded by veterans and flags at a public relations event. Secretary of Veterans Affairs since January 26, 2005, Nicholson is an attorney, real estate developer, former Ambassador to the Vatican, and a former Republican Party chairman. He testified last week in Congress, saying that millions of dollars in bonuses for top VA officials were justified because they could get higher salaries in the private sector.

The Veterans Affairs Department said Wednesday it has asked an oversight agency to review the way the VA handed out $3.8 million in bonuses to senior officials last year.

Michael Kussman, the acting undersecretary for health, said VA Secretary Jim Nicholson made the request to the U.S. Office of Personnel Management after government watchdogs questioned the propriety of the awards, some of which went to senior officials involved in crafting a budget that came up $1.3 billion short and jeopardized veterans' health care...

"The secretary has asked OPM to come and look at the process," Kussman said at a Senate hearing. He would not say whether the VA should put outsiders on the boards to ensure impartiality and boost public confidence in the system.

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