[Senate Prints 114-25] [From the U.S. Government Publishing Office] 114th Congress } { S. Prt. COMMITTEE PRINT 2nd Session } { 114-25 _______________________________________________________________________ ALLEGATIONS OF IMPROPER HIRING PRACTICES AND WHISTLEBLOWER REPRISAL AT THE U.S. MARSHALS SERVICE ---------- MAJORITY STAFF REPORT PREPARED FOR THE USE OF THE COMMITTEE ON THE JUDICIARY UNITED STATES SENATE ONE HUNDRED FOURTEENTH CONGRESS SECOND SESSION [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] NOVEMBER 2016 Printed for the use of the Committee on the Judiciary 114th Congress } { S. Prt. COMMITTEE PRINT 2nd Session } { 114-25 _______________________________________________________________________ ALLEGATIONS OF IMPROPER HIRING PRACTICES AND WHISTLEBLOWER REPRISAL AT THE U. S. MARSHALS SERVICE __________ MAJORITY STAFF REPORT PREPARED FOR THE USE OF THE COMMITTEE ON THE JUDICIARY UNITED STATES SENATE ONE HUNDRED FOURTEENTH CONGRESS SECOND SESSION [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] NOVEMBER 2016 Printed for the use of the Committee on the Judiciary ______ U.S. GOVERNMENT PUBLISHING OFFICE 22-413 PDF WASHINGTON : 2016 ----------------------------------------------------------------------- For sale by the Superintendent of Documents, U.S. Government Publishing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; DC area (202) 512-1800 Fax: (202) 512-2104 Mail: Stop IDCC, Washington, DC 20402-0001 COMMITTEE ON THE JUDICIARY CHUCK GRASSLEY, Iowa, Chairman ORRIN G. HATCH, Utah PATRICK J. LEAHY, Vermont, Ranking JEFF SESSIONS, Alabama Member LINDSEY GRAHAM, South Carolina DIANNE FEINSTEIN, California JOHN CORNYN, Texas CHUCK SCHUMER, New York MICHAEL S. LEE, Utah DICK DURBIN, Illinois TED CRUZ, Texas SHELDON WHITEHOUSE, Rhode Island JEFF FLAKE, Arizona AMY KLOBUCHAR, Minnesota DAVID VITTER, Louisiana AL FRANKEN, Minnesota DAVID PERDUE, Georgia CHRISTOPHER A. COONS, Delaware THOM TILLIS, North Carolina RICHARD BLUMENTHAL, Connecticut Kolan Davis, Chief Counsel and Staff Director Kristine Lucius, Democratic Chief Counsel and Staff Director C O N T E N T S ---------- Page Executive Summary................................................ 1 Glossary of Terms................................................ 3 Introduction..................................................... 4 Background....................................................... 4 Findings......................................................... 7 I. Lenzie Hiring.....................................................7 a. The Senior Forfeiture Financial Specialist (Senior FFS) Recruitment.......................................................7 b. Director Hylton Recommended Donald Lenzie for a Contractor Position.........................................................10 c. Beal's Involvement in Lenzie's Hiring Was Unusually Significant, and an Unplanned and Unnecessary Position Was Created Specifically for Him..........................................................11 d. Director Hylton's Recommendation Violated the Ethics Standards17 e. Beal's Promotion Created the Perception that the Agency Granted Her Favored Treatment and Beal Likely Violated the Ethics Rules in Having Subordinates Prepare Her Application......................18 f. The USMS Failed To Respond Promptly to Misconduct Allegations.22 II. Additional Hiring and Promotion Allegations......................24 a. Noelle Douglas................................................24 b. William and Mitzi Snelson and David and Rynda Sligh...........25 III.The Department of Justice Internal Review of USMS Hiring and Promotion Practices Found Multiple Deficiencies..................26 IV. The Department's Failure To Conduct a Comprehensive Review of the Allegations Resulted in an Initial Inaccurate Response to the Committee........................................................27 Remaining Concerns and Recommendations........................... 29 I. The Department Should Improve Oversight of USMS Hiring Policies and Practices, and the USMS Should Work To Promote a Stronger Merit- Based Culture....................................................29 II. The USMS Must Improve Protections for Whistleblowers.............30 Conclusion....................................................... 32 Appendix......................................................... 35 Executive Summary Since February 2015, the Chairman's office has received protected disclosures alleging various forms of waste, fraud, and abuse within the U.S. Marshals Service (USMS) from more than 85 whistleblowers, primarily current and former USMS employees. The disclosures involve alleged inappropriate and wasteful spending of the Assets Forfeiture Fund, inappropriate hiring and promotion practices, conflicts of interest, and reprisal against whistleblower employees and those who participate in protected activity. This report summarizes the facts and draws conclusions regarding certain allegations of improper hiring and promotion practices and conflicts of interest. First, this report addresses an allegation of a quid pro quo between the former Director of the USMS and the former Assistant Director of the USMS Asset Forfeiture Division. Specifically, it was alleged that the Director recommended a friend from college to the Assistant Director for a contractor position and that the Assistant Director, in order to gain a promotion, violated contracting guidelines to ensure he was hired despite his lack of qualifications. While we found no direct evidence of an explicit quid pro quo agreement, the circumstances do create the appearance that an exchange of favors occurred. However, the allegation that the college friend was hired for the advertised position for which he was unqualified was not substantiated. Nevertheless, the former Director did recommend him and the former Assistant Director (1) was unusually and significantly involved in the contractor's hiring and (2) created a second, unadvertised position specifically for him that was neither planned nor necessary after it was determined he was not qualified for the original position. Additionally, there is some evidence that the Assistant Director's prolonged access to the role in an acting capacity, with limited competition and through the course of two misconduct investigations, created the impression for employees that the agency manipulated the promotion process for her benefit. Second, the report addresses allegations of improper hiring and promotion practices and conflicts of interest previously raised in the Chairman's letters involving the former Assistant Director of the Judicial Security Division as well as the Associate Director of Operations, the current Acting Marshal for the Western District of Texas, and their spouses. Third, the report examines how and why the Department's initial response to the quid pro quo allegation involving the Director and the Assistant Director of the Asset Forfeiture Division contained inaccurate information. That initial response stated that the Director did not recommend the contractor, although additional evidence later discovered contradicted that claim. The report attributes the error to a failure to conduct sufficient due diligence prior to submitting a response. Finally, the report analyzes recent and developing reforms within the USMS related to its hiring and promotion practices and compliance with the whistleblower protection laws. The report recommends additional and continued oversight of these reforms, as well as the development of manager-focused education and training regarding appropriate responses to employee protected activity. Glossary of Terms ------ AD Assistant Director AFD U.S. Marshals Service Asset Forfeiture Division AFF Assets Forfeiture Fund AFFI Asset Forfeiture Financial Investigator AFP Asset Forfeiture Program AFU U.S. Attorney's Office Asset Forfeiture Unit DOJ Department of Justice FFS Forfeiture Financial Specialist FSA Forfeiture Support Associates IOD U.S. Marshals Service Investigative Operations Division JSD U.S. Marshals Service Judicial Security Division OIG Office of Inspector General OSC Office of Special Counsel TDY Temporary Duty TOD U.S. Marshals Service Tactical Operations Division USAO U.S. Attorney's Office USMS U.S. Marshals Service WPEA Whistleblower Protection Enhancement Act [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] [all]