Audit of VA Hospital Solar Panel Project Finds $1.5 Million in Extra Costs

Audit of VA Hospital Solar Panel Project Finds $1.5 Million in Extra Costs

LITTLE ROCK, Ark. - An audit of a solar panel system installation at the John L. McClellan Memorial Veterans Hospital in Little Rock found $1.5 million in extra costs, officials say.

The Department of Veterans Affairs, Office of Inspector General said it reviewed the work-in-progress solar panel system, which was projected to cost $8 million and produce 1.8 million megawatts of energy, at the request of Sen. John Boozman, R-Arkansas, and Rep. French Hill, R-Arkansas.

OIG found the Little Rock project went over budget and was also delayed by four years. According to the OIG report, the Little Rock VA failed to appropriately plan for and execute the project.

The OIG said the project experienced "significant delays" and additional contract costs due to the disassembly of previously installed solar panel carport structures to accommodate a parking garage. This resulted in the delay and extra costs, officials said.

As of now, the solar panel project is expected to be complete in January 2017.

Hill released the following statement upon reading the audit:

“The OIG report does little to instill confidence in VA’s ability to effectively manage construction projects. Whether it is a project as complex as hospital construction or one as simple as the proper installation of solar panels, VA continues to waste large amounts of taxpayer funds as a result of its own ineptitude."

According to Hill, he and Senator Boozman asked OIG to investigate both the panels in Little Rock and similar projects in order to determine the efficacy of the solar projects nationwide.

"Now we know that it isn’t solely a Little Rock VA problem – that cost taxpayers an additional $1.5 million – but one that has a much larger geographic and fiscal scope than originally believed. We need to increase oversight into all VA construction activities to ensure these types of avoidable failures do not happen in the future.”

Boozman's statement can be seen below:

“I commend the diligent work that the VAOIG’s office put into this report. The clear takeaway is that there is a lack of accountability and oversight at VA when it comes to the Green Management Program. This must change."

Boozman's statement continued, "VA’s refusal to accept the OIG’s recommendation that it conduct the proper assessments necessary to prevent future failures of this magnitude is unacceptable. Steps must be taken to ensure that resources meant to help our veterans are not squandered on wasteful projects."

He added, "Congressman Hill and I are committed to ensuring that the poor management practices of the VA’s Solar Panel Projects are addressed.”

Keep In Touch

Please sign up below to receive my weekly newsletter and get the latest news and updates directly to your inbox.