Internal memos indicate that major problems have surfaced in the ongoing implementation of a controversial new inventory control and logistics contract at Veterans Administration sites in Western Pennsylvania.
The concerns expressed in a series of emails were raised over a multimillion dollar contract with Shipcom Wireless, a Texas-based firm that hired former VA regional director Michael E. Moreland. Though Moreland was ordered off work on the VA contract after his hiring became public, implementation of the contract has continued.
In a May 7 email to VA managers, the Chief Logistics Officer at VA Butler Healthcare provided a six page detailed listing of problems encountered in the ongoing implementation.
One memo even warns that patient care could ultimately be put at risk due to the contract.
"The failing system needs to stop before jobs and lives are lost," one memo states.
In a May 22 email to VA managers, union leaders warned that "the inability to provide necessary supplies could result in serious patient safety issues. "
In response a VA spokesman issued a statement denying that patient care could be in jeopardy and defending the contract with a potential $275 million price tag. The pact with four annual renewal options is also being implemented at several other VA sites.
"Patient care has not been adversely affected by the implementation of the Point Of Use Inventory System," the VA spokesman wrote in response to questions.
He added that VA logistics staff "continues to stock consumable medical supplies in the point of use locations as required."
The spokesman did however, acknowledged that "challenges have been encountered" including the validity of some data and gaining union approval.
He said the new systems has been successfully implemented at 12 other VA locations.
The emails obtained by the Tribune Review list wide ranging problems including lack of timely training, vastly increased workloads, inconsistent and inaccurate inventory reports.
"The going live process and the weeks that followed after going live were chaotic, very stressful and not well organized," the six page list of problems states.
Also cited were incomplete filling of orders requiring multiple return trips to complete and rapid and constant turnover of contractor staff.
As the VA spokesman acknowledged the Ship.com contract has sparked controversy with local union officials
The local unit of the American Federation of Government Employees filed a formal information request on May 14 seeking a copy of the Ship.com contract and other details on its award and implementation.
In a letter of the same date, Local 2028 leaders, President Kathy Dahl and Executive Vice President Colleen Evans cited 13 specific changes in working conditions resulting from the contract including patient safety concerns.
The letter included a formal demand to bargain over those changes.
Evans said she believes the Shipcom conract is the first step in an effort to outsource more jobs currently held by VA employees.
Moreland, who resigned amidst controversy over the death of VA patients in a legionella outbreak, suddenly surfaced as a consultant to Shipcom in a May 1 visit to the Pittsburgh VA. Subsequently VA officials said he could not serve in that role because of federal conflict of interest rules and statutes limiting the employment roles of former top officials.
