GSA to freeze hiring, most executive bonuses after spending scandal

Published July 18, 2012

| FoxNews.com

The scandal-plagued General Services Administration is freezing hiring and most bonuses as part of the federal agency's response to criticism about lavish spending on Las Vegas-area conferences.

"We are committed to doubling down on our core mission of promoting efficiency, driving steeper bargains, delivering better value, and creating greater opportunities for government-wide savings," Dan Tangherlini, the GSA's acting chief, said in a post on the GSA Blog.

After a three-month review of agency operations, Tangherlini said the GSA would cut senior executive performance awards by 85 percent this year and institute a temporary hiring freeze across the agency.

The changes were welcomed by lawmakers on Capitol Hill.

"It’s about time this agency is taking responsibility for its outrageous spending habits, and I applaud Acting Administrator Tangherlini for his leadership in working to correct the way GSA does business," Rep. Jeff Denham, R-Calif., said.

But Rep. Darrell Issa, R-Calif., said more needs to be done.

"While this is a sorely needed step in the right direction in the wake of the GSA spending scandal, the administration needs to address waste of taxpayers’ money across the government – not simply with one agency," Issa said.

Several top officials at the GSA were fired or forced to resign earlier this year amid revelations about a lavish 2010 conference that cost taxpayers more than $800,000.

Fox News' Chad Pergram contributed to this report.

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