JOINT ROUNDTABLE
ON
THE TRANSFER OF CAPITAL FUNDS OF THE DC DEPARTMENT OF PARKS AND RECREATION THROUGH MEMORANDA OF UNDERSTANDING THROUGH VARIOUS INTRA-GOVERNMENTAL AGENCIES
BEFORE THE
COMMITTEES ON LIBRARIES, PARKS AND RECREATION; GOVERNMENT OPERATIONS AND THE ENVIRONMENT; ECONOMIC DEVELOPMENT; AND HOUSING AND WORKFORCE DEVELOPMENT
KWAME R. BROWN, CHAIR, ECONOMIC DEVELOPMENT
MARY M. CHEH, CHAIR, GOVERNMENT OPERATIONS AND THE ENVIRONMEMT
HARRY THOMAS, CHAIR, LIBRARIES, PARKS AND RECREATION
MARION BARRY, CHAIR, HOUSING AND WORKFORCE DEVELOPMENT
COUNCIL OF THE DISTRICT OF COLUMBIA
TESTIMONY
OF
DAVID P. GRAGAN, CPPO
CHIEF PROCUREMENT OFFICER
OFFICE OF CONTRACTING AND PROCUREMENT
JOHN A. WILSON BUILDING
ROOM 120
1350 PENNSYLVANIA AVENUE, NW
WASHINGTON, DC 20004
NOVEMBER 5, 2009
10:00 am
Introduction
Good morning Chairpersons Cheh, Brown, Barry and Thomas. I am David P. Gragan, Chief Procurement Officer for the District of Columbia, and Director of the Office of Contracting and Procurement (OCP). I am here today to testify on the transfer of capital funds of the DC Department of Parks and Recreation through memoranda of understanding through various intra-governmental entities. As always, I will post my written testimony on my agency Web site by the end of today.
Memoranda of Understanding
D.C. Official Code 1-301.01(k) authorizes District departments, offices and agencies to enter into memoranda of understanding (MOUs) with the prior approval of the Office of Contracting and Procurement. An MOU, which can be for materials, supplies, equipment, work or services of any kind, has to be signed by the directors of the affected departments, agencies or offices then forwarded to me for signature. Since becoming the CPO in June 2007, I have signed more than 400 intra-District MOUs. It was in this capacity that I signed four MOUs between the Department of Parks and Recreation and the Office of the Deputy Mayor for Planning and Economic Development (ODMPED) authorizing the transfer of funds for the recreation facility construction, repair or modernization that were ultimately used for the contracts in question.
As you are aware, I believe my signature on MOUs was an extra step in the process that added to the timeline but provided little if any real value. I firmly believe that if two agency directors reach a mutually beneficial agreement to either provide services or receive the services and provide remuneration, there is no need to also include a procurement authorization. For that reason, I recently proposed, and the Council approved, changes to this law in Bill 18-004. That law became effective after Congressional approval on October 22nd this year.
Procurement Process
Because the DC Housing Authority is an independent agency, I am not familiar enough with the details of the procurements conducted by that agency on behalf of the Deputy Mayor’s office. In fact, I only became aware of these procurements through a recent Council email inquiry to the Office of the Chief Financial Officer, which was then forwarded to me.
Just as you are, I am committed to open, transparent and proper governmental contracting. I know that the Mayor brought me here to help fix problems with our procurement process and I feel empowered to do so. When irregularities are found, I feel strongly that we should work together to put in place the proper controls moving forward. And to that end, I appreciate the opportunity to appear here before you today.
I will be glad to answer any questions you may have.