Cloudy With a Chance of Fraud: Federal Weatherization’s Back

Cloudy With a Chance of Fraud: Federal Weatherization’s Back
The U.S. Department of Energy building is seen in Washington, D.C., on July 22, 2019. Alastair Pike/AFP via Getty Images)
Eric Felten
RealClearInvestigations
Updated:
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Alarm bells are sounding at the Department of Energy as the Biden administration has moved to triple the budget for the Weatherization Assistance Program, which provides low-income applicants with free home and apartment renovations, such as insulation, duct-sealing, new heating systems, and kitchen appliances. The last time the program was lavished with such a surge in funds, through President Obama’s 2009 stimulus bill, audits and investigations uncovered a pattern of fraud, embezzlement, shoddy work, inflated expenses for parts and materials, sketchy billing, kickbacks, and gimcrack construction.

In a private meeting in February, the department’s inspector general, Teri L. Donaldson, warned Secretary of Energy Jennifer Granholm that the enormous new budget for the program—slated to grow to $1 billion a year from $315 million—threatens to overwhelm the department’s ability to protect taxpayers’ money. In April, the inspector general made that warning public with a memo to Secretary Granholm cataloging the risks to the money being entrusted to the Department of Energy. Donaldson identified a history of problems with the program, noting that “few administrative remedies such as suspensions and debarments were made for the multitude of problems that occurred and were identified.”

Eric Felten is an investigative correspondent for RealClearInvestigations, reporting on government corruption. He is a former columnist for the Wall Street Journal and previously a Kennedy Fellow at Harvard University. Felten has been published in Washingtonian, People, National Geographic Traveler, The Weekly Standard, Daily Beast, National Review, Spectator USA, and Reader’s Digest.
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