Cause of Action Requests Investigation and Audit of Affordable Care Act Navigator in Texas for Potential Misuse of Federal Funds

FOR IMMEDIATE RELEASE                                                                         CONTACT:      

September 30, 2014                                                Mary Beth Hutchins, 202-400-2721

Cause of Action Requests Investigation and Audit of Affordable Care Act Navigator in Texas for Potential Misuse of Federal Funds

Allegations against Southern United Neighborhoods and United Labor Unions Point to Misuse of Federal Funds by Failing to Comply with Navigator requirements

WASHINGTON – Cause of Action (CoA), a government oversight organization, requested today that the Inspector General of Health and Human Services investigate and audit Southern United Neighborhoods (SUN) for potential fraud in light of legal allegations that United Labor Unions Local 100 (ULU), a federal subgrantee of SUN, directed an Affordable Care Act (ACA) navigator, paid with federal grant funds, to recruit members for ULU in Texas.

In a letter to Inspector General Daniel Levinson, Cause of Action states:

“Under the Internal Revenue Code, SUN’s primary purpose cannot be to support a non-charitable purpose. Moreover, OMB Circular A-133 and appropriate HHS regulations require that federal grant money be used for an approved programmatic purpose, which is belied by ULU’s alleged direction of a federally-funded navigator to conduct recruiting activities for the benefit of the labor union.  Given the amount of federal dollars at issue – over $1.3 million — the Inspector General should investigate SUN and conduct an audit into the potential misuse of ACA navigator funds.”

You can read the full letter here.

About Cause of Action:

Cause of Action is a non-profit, nonpartisan government accountability organization that fights to protect economic opportunity when federal regulations, spending and cronyism threaten it. For more information, visit www.causeofaction.org.

To schedule an interview with Cause of Action’s Executive Director Dan Epstein, contact Mary Beth Hutchins, mary.beth.hutchins@causeofaction.org

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Cause of Action Defeats Treasury IG Tax Office in FOIA Lawsuit

FOR IMMEDIATE RELEASE                                                                           CONTACT:      

September 30, 2014                                                Mary Beth Hutchins, 202-400-2721

Cause of Action Defeats Treasury IG Tax Office in FOIA Lawsuit

Court Rules that TIGTA Must Process FOIA Request Regarding Investigations Into

Tax Records Improperly Shared with the President

WASHINGTON –The U.S. District Court for the District of Columbia ruled Monday that the Treasury Inspector General for Tax Administration (TIGTA) must process an October 9, 2012 Cause of Action Freedom of Information Act (FOIA) request seeking documents about investigations into unauthorized disclosures of taxpayer information to the Executive Office of the President.

Cause of Action’s Executive Director Dan Epstein said:

The court has ruled that the federal government cannot hide behind confidentiality laws to prevent Americans from knowing if our President has gained unauthorized access to their tax information. This is a decisive win for all Americans and for government transparency and accountability. The public already knows the President uses FOIA to shield his targeting of the press and this ruling prevents the President from using FOIA to shield his targeting of taxpayers.

Under section 6103 of the Internal Revenue Code, tax returns and taxpayer return information are to be kept confidential. An unauthorized disclosure under 6103, even if to the President, is not only a prosecutable offense, but warrants a prompt investigation by TIGTA. Cause of Action’s request sought information as to what confidential taxpayer information was being reviewed by the White House. In an unprecedented decision, the court determined that 6103 does not authorize the government to shield such information under an exemption to FOIA and that TIGTA’s investigations are not themselves confidential. This victory for transparency forces the agency to process documents in response to Cause of Action’s FOIA request that could show the White House accessed tax return information illegally.

Read the full decision from the court here.

About Cause of Action:

Cause of Action is a non-profit, nonpartisan government accountability organization that fights to protect economic opportunity when federal regulations, spending and cronyism threaten it. For more information, visit www.causeofaction.org.

To schedule an interview with Cause of Action’s Executive Director Dan Epstein, contact Mary Beth Hutchins, mary.beth.hutchins@causeofaction.org

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Coalition of Open Government Groups Confront President Obama On Policy that Frustrates Transparency

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September 29, 2014                                            Mary Beth Hutchins, 202-400-2721

Coalition of Open Government Groups Confront President Obama

On Policy that Frustrates Transparency

25 Groups Ask President to Withdraw or Clarify Memorandum Instructing Agencies to Consult with White House on Document Releases

WASHINGTON – A coalition of 25 transparency groups and open government advocates sent a letter to President Obama today urging him to either “withdraw” or “provide guidance to agencies” on a 2009 White House Counsel memorandum that instructs all federal agencies to consult with White House attorneys on documents of interest to the Administration before releasing them.

Sent by then-White House Counsel Gregory Craig, the memorandum requires federal agencies to consult with the White House Counsel’s Office on any document request that may involve records implicating “White House equities.” An undefined term that allows the White House to affect agency decision-making over the release of documents, “White House equities” appears to refer to any interest the administration might have in agency records. “White House equities” consultation already delayed the release, and allowed for improper Executive branch review, of documents to numerous requesters, including members of the media, Congress, and the public.

Executive Director Dan Epstein of Cause of Action, a government oversight organization, which recently sued a dozen cabinet agencies for documents regarding “White House equities,” said:

Public promises of transparency are no excuse for secret memos that prevent it. Americans deserve a government that is fair and open and delaying the release of documents prevents the ability of a free press to educate the public. Our hope is that President Obama honors the laws in place designed to provide transparency, such as the Freedom of Information Act, and withdraws this 2009 memo.

Executive Director of OpenTheGovernment.org Dr. Patrice McDermott said:

To put it simply, ‘White House equities’ is not a well-defined term. Not surprisingly, a policy based around protecting an ill-defined term can sow confusion among agency officials and the public, and make it very hard to know exactly the effect of the policy. In the interest of the unprecedented levels of openness in government committed to by the President, the White House needs to review this policy, and send agencies any additional guidance if needed.

The full list of signatories:

American Library Association

Brechner Center for Freedom of Information

Cause of Action

Center for Effective Government

Defending Dissent Foundation

Electronic Privacy Information Center – EPIC

Essential Information

Government Accountability Project – GAP

James Madison Project

MuckRock

National Security Archive

National Security Counselors

Northern California Association of Law Libraries

National Freedom of Information Center

OpenTheGovernment.org

PEN American Center

Project On Government Oversight – POGO

Public Employees for Environmental Responsibility – PEER

Society of Professional Journalists

Special Libraries Association

The Sunlight Foundation

Transactional Records Access Clearinghouse – TRAC

Tully Center for Free Speech at Syracuse University

Washington Coalition for Open Government

Individual signatories (additional information for identification purposes only):

Mark Tapscott, Executive Editor, Washington Examiner

The letter can be found here.

About Cause of Action:

Cause of Action is a non-profit, nonpartisan government accountability organization that fights to protect economic opportunity when federal regulations, spending and cronyism threaten it. For more information, visit www.causeofaction.org.

About OpenTheGovernment.org:

OpenTheGovernment.org is a coalition of good- and limited- government groups, environmentalists, journalists, library and consumer groups, labor, and others united to make the federal government a more open place in order to ensure integrity and accountability in the operation of our governing institutions, foster confidence in representative government, and support our democratic principles. Our coalition transcends partisan lines and includes progressives, libertarians, and conservatives.

To schedule an interview with Cause of Action’s Executive Director Dan Epstein, contact Mary Beth Hutchins, mary.beth.hutchins@causeofaction.org

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Cause of Action Supports Congressional Efforts for an Inspector General over the Affordable Care Act

FOR IMMEDIATE RELEASE                                                                            CONTACT:      

September 17, 2014                                               Mary Beth Hutchins, 202-400-2721

Cause of Action Supports Congressional Efforts for an Inspector General over the Affordable Care Act

CoA Sends Letter of Support for Special Inspector General for Monitoring the Affordable Care Act of 2014, H.R. 4158

WASHINGTON – Cause of Action (CoA), a government oversight group, sent a letter today supporting legislation establishing an Inspector General who will monitor the implementation and administration of the Affordable Care Act. SIGMA, the Special Inspector General for Monitoring the Affordable Care Act of 2014, is sponsored by Rep. Peter Roskam and has been referred to the House Education and the Workforce’s Subcommittee on Health, Employment, Labor, and Pensions.

CoA’s letter states in part:

The Affordable Care Act (“ACA” or “Obamacare”) is a deceptively complex and non-transparent law that has created one of the largest government bureaucracies in decades.  The American public already has seen countless problems with the implementation of various aspects of this law, and little has been done to address the risks of waste, fraud and abuse of the hundreds of millions of taxpayer dollars that states are receiving to run their exchanges or marketplaces.  By authorizing a Special Inspector General to focus on monitoring ACA, the SIGMA Act of 2014 has the potential to curb waste, fraud, and abuse. If done properly – by utilizing a robust inspector general who acts independently from HHS and the officials in charge of implementing the ACA – this approach should, in turn, lower health care costs for taxpayers.

You can read the full letter here.

About Cause of Action:

Cause of Action is a non-profit, nonpartisan government accountability organization that fights to protect economic opportunity when federal regulations, spending and cronyism threaten it. For more information, visit www.causeofaction.org.

To schedule an interview with Cause of Action’s Executive Director Dan Epstein, contact Mary Beth Hutchins, mary.beth.hutchins@causeofaction.org

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Cause of Action Launches Online Resource: ExecutiveBranchEarmarks.com

FOR IMMEDIATE RELEASE                                                      CONTACT:      

September 8, 2014                                             Mary Beth Hutchins, 202-400-2721

Cause of Action Launches Online Resource: ExecutiveBranchEarmarks.com

WASHINGTON – Cause of Action (CoA), a government accountability organization, launched a new online resource today for those concerned about political influence on discretionary spending: ExecutiveBranchEarmarks.com.

While Congressional earmarks were banned in 2010 and 2011, Executive Branch Earmarks took their place.  Political priorities, insider access to the President, and vote buying are some ways that the President and his political allies benefit from Executive Branch, or agency level, earmarks.

Cause of Action’s three-year-long investigation has revealed the lack of transparency in the way executive branch earmarking occurs.  While congressional earmarks were listed in a publicly available database, Executive Branch Earmarks happen in secret.

Cause of Action’s Executive Director Dan Epstein said:

“Earmarks are not dead, they have just changed form. The danger of Executive Branch Earmarks is that the White House, not the taxpayers, can pick who receives our tax dollars.  Worse, unlike congressional earmarks, there is no transparency with Executive Branch Earmarks.  ExecutiveBranchEarmarks.com is a resource for learning how federal spending is being politicized.”

Visit the new ExecutiveBranchEarmarks.com.

About Cause of Action:

Cause of Action is a non-profit, nonpartisan government accountability organization that fights to protect economic opportunity when federal regulations, spending and cronyism threaten it. For more information, visit www.causeofaction.org.

To schedule an interview with Cause of Action’s Executive Director Dan Epstein, contact Mary Beth Hutchins, mary.beth.hutchins@causeofaction.org.

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Cause of Action Sues A Dozen Federal Agencies for Allowing the White House to Obstruct Transparency

FOR IMMEDIATE RELEASE                                                                                                 

August 18, 2014

Cause of Action Sues A Dozen Federal Agencies for Allowing the White House to Obstruct Transparency

WASHINGTON – Cause of Action (CoA), a government accountability organization, sued 10 cabinet agencies, the Office of Management and Budget, and the Internal Revenue Service today for refusing to disclose communications concerning documents the agencies shared with the White House. The records would reveal whether and how the White House politicizes records requests sent to federal agencies.

“Accountable and transparent government does not involve instructing agencies to send politically sensitive records to the White House for review. The bureaucracy has violated the law by stonewalling the public’s access to documents for political reasons. Cause of Action’s own investigation reveals that the White House is actually demanding access from agencies to Freedom of Information Act (FOIA) requests and Congressional document requests, as well as the documents subject to those requests, in a manner that may obstruct congressional oversight and violate the spirit of FOIA,” stated Dan Epstein, Cause of Action’s executive director.

After sending 22 FOIA requests between 2013 and 2014 to various agencies regarding the review of agency records by the Office of White House Counsel and releasing a report in April of this year about “White House equities,” a broad term the White House uses to review and advise agencies on what should or shouldn’t be released to FOIA requesters and Congress, 10 of the agencies have responded to Cause of Action.

Cause of Action’s White House equities investigation previously uncovered internal emails from the Environmental Protection Agency showing that the White House improperly withheld documents related to a request from Congress, leading to a subpoena from the House Oversight Committee. Cause of Action also obtained documents revealing that a public records appeal filed by Americans for Limited Government with the Department of Labor (DOL) concerning former Secretary Hilda Solis’ calendars was held up for years before DOL released the information, showing that agencies are hiding responsive documents, or delaying the production of responsive documents, because of what they are sharing with the White House.

In addition to the Internal Revenue Service and Office of Management and Budget, the remaining cabinet level agencies that have gone an average of eight months without producing documents are:

  • Department of Homeland Security
  • Department of Justice
  • Department of Transportation
  • Department of Housing and Urban Development
  • Department of State
  • Department of Veterans Affairs
  • Department of Defense
  • Department of Health and Human Services
  • Department of Energy
  • Department of the Treasury.

The lawsuit, along with our exhibits, can be found here and here.

You can find more information on White House equities here.

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Cause of Action Submits Statement to House Oversight Committee Demonstrating IRS’s Improper Use of Tax Code to Block Transparency

FOR IMMEDIATE RELEASE                                                     CONTACT:

August 7, 2014                                 Mary Beth Hutchins, (202) 400-4232

Cause of Action Submits Statement to House Oversight Committee
Demonstrating IRS’s Improper Use of Tax Code to Block Transparency

Washington, DC – Cause of Action (CoA), a government accountability organization, submitted a Statement for the record today to the U.S. House Committee on Oversight and Government Reform (OGR) highlighting the Federal Government’s inconsistent and overbroad application of taxpayer confidentiality laws, therefore blocking transparency.  The Statement accompanies an OGR hearing on the Internal Revenue Service’s (IRS) abuses and targeting of conservative and libertarian groups.

“It’s alarmingly clear that the IRS improperly interpreted the tax code in order to hamper government transparency,” said Cause of Action’s Executive Director Dan Epstein.  “The IRS is picking and choosing when and how the law is convenient for its purposes, which is just wrong. Its actions are frustrating public access to records that may demonstrate wrongdoing by Federal officials. Therefore, Congress needs to start us down the path of meaningful reform by preventing agencies from continuing to use laws intended to protect taxpayers as a sword against political enemies and shield for political allies.”

Cause of Action’s Statement for the Record addresses a number of key issues:

  • The IRS chooses when and how to release records based on the agency’s level of interest in keeping the subject matter hidden from scrutiny.
  • The IRS at times misuses law that was intended to protect confidential taxpayer information as a shield to prevent access to records that could show wrongdoing by Federal officials.
  • The IRS, when confronted with its inconsistent use of the law, shockingly stated that the agency is not bound by the actions of its managers.
  • The IRS and the Treasury Inspector General for Tax Administration denied access to records about the unauthorized disclosure of taxpayer information to the White House, relying upon an overbroad interpretation of the law.

Read the Statement for the Record here.

About Cause of Action:

Cause of Action is a non-profit, nonpartisan government accountability organization that fights to protect economic opportunity when federal regulations, spending, and cronyism threaten it.  For more information, visit www.causeofaction.org.

To schedule an interview with Cause of Action’s Executive Director Dan Epstein, contact Mary Beth Hutchins, mary.beth.hutchins@causeofaction.org