A Department of Energy manager pressured employees to make illegal changes to official appraisals, according to a government watchdog.
The Bonneville Power Administration’s Real Property Services, which purchases property and issues appraisals, had a difficult work environment thanks to a manager who forced employees to make illegal changes to official documents, according to an Energy Department inspector general report made public Wednesday.
The BPA is a federal non-profit that markets electrical power generated by 31 hydro-electric dams and one nuclear power facility to millions of residents in the Northwest U.S.
“Bonneville’s Real Property Services was not always managed efficiently and effectively,” the report said. “Specifically, we received consistent testimonial evidence that supported the allegations regarding management pressure and a difficult work environment.”
“Real Property Services appraisal staff told us that a former manager had exerted pressure on them to circumvent professional appraisal standards,” the report continued. “For example, some staff indicated that they were pressured to make unsupported changes to appraisal values.”
“Current management officials told us, however, that no one would be pressured to compromise their integrity,” the report said.
But the IG couldn’t determine if that pressure actually caused appraisal changes because the watchdog only received final rather than draft documents.
In fact, reviews of appraisals were occasionally conducted orally “at the direction of management without formally documenting the review and approval,” the report said. “The lack of formally documented reviews could raise questions regarding appraiser conclusions and ultimately affect the amount paid by Bonneville to acquire property rights.”
The IG also reported other problems with Bonneville’s Real Property Services, including overpayments, inaccurate data and officials signing documents without the necessary authority.
“Until Real Property Services addresses the issues we identified, Bonneville is at increased risk of not meeting its commitments to carefully manage costs and to use sound business principles,” the report said.
The IG did not immediately return a request asking whether the former manager was fired or if documents were withheld from the watchdog.
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