America’s Bottoms Up Democratic Business Model
budbmweb.com

As the accountant whistleblower who created this website, I began my 40-year (1970 – 2010) federal accounting career, like all naive civil servants, on the false assumption that Congress’ laws prevent waste when their sole intent is to mask that waste. In 2002, 2 DOD whistleblowers shared that same view and our mutual concerns over Congress’ 1978 Civil Service Reform Act (CSRA) that placed each President’s 4 levels of non-accountant political appointees over the executive branches’ civil servants with their 4 year college accounting degrees, and a very real internal threat to the government’s financial and economic security. In September 2010, my freedom of information act (FOIA) request exposed that internal threat, but then President Barack Obama’s political appointees declared my accountant FOIA request secret/confidential business information for a very good reason. It recorded how 4 prior Presidents (Reagan – George W. Bush) had prevented the money (audit) trails to hide their roles in the 2008 economic crisis, a 2008/$10 trillion debt total that President Barack Obama inherited, and also covered-up. Then, President’s Obama, Trump, Biden, and a reelected Trump added another $27+ trillion to the debt, still no end in sight, and still with no money (audit) trails. This undemocratic travesty also occurred with the full support of 24 Congresses (95-119), a now also corrupt U.S. Supreme Court, and still under the richest 1%’s polticians and their corporate cronies’ myth about our 99%’s democracy!

GAO’s 2024 testimony to President Joe Biden and Congress records the government’s inability to accurately account for how the 46th President spent that 2024 federal budget, aka the U.S. government’s consolidated financial statements (CFSs). America’s 47th President (Donald Trump) solved that political problem by eliminating GAO’s 2025 testimony, thereby covering-up a 236 year (1789 – 2025) unconstitutional fiduciary failure that allowed Congress to force the AICPA’s deficient accounting standard on the executive branches’ federal accountants to prevent accurate federal budget totals as far back as the AICPA’s 1887 inception. For 6 years (1980 – 1986), as the Veteran Administration’s (VA) Accounting Section Chief, I questioned my staffs required use of that deficient AICPA accounting standard that defied the most basic accounting logic. I also warned the Office of Management and Budget that the VA budget totals that we provided to them were inaccurate. And, if those VA (department, bureau, agency) budget totals were inaccurate, so were the government’s federal budget totals (CFSs). Those 4 levels of non-accountant political appointees also ignored my warnings that the VA’s budget totals were inaccurate. In October 1986, the VA overspent its budget by $40 million and I was told to make the adjustments to hide that deficiency. I refused and resigned in protest. Then, my personnel records were falsified to state that I had resigned over systems problems.  

During those 6 years, on my own time and money, I completed a government accounting book and an accounting model that did generate accurate VA (department, bureau, agency) budget and federal budget totals (CFSs). After my October 1986 resignation, I took a 1 year unpaid sabbatical and gave presentations and copies of my book to both Congress and the Central Agencies (Treasury, OMB, GAO) political appointees regarding the need to replace their deficient AICPA accounting standard with my formula driven process. On October 13, 1987, Treasury created its Financial Management Service (FMS) Branch that included 8 civil servants with their college accounting degrees and made me the Treasury’s systems accountant who worked in liaison with an OMB accountant (Ed Waddy) and a GAO accountant to create those accurate federal budget totals (CFSs), and thru March 1990. Prior to leaving Treasury’s FMS Branch, I and those 2 OMB & GAO accountants were told to sign a document stating that the 2 American Managment Systems and Computer Data Systems Inc. software packages that we tested had generated accurate federal budget totals (CFSs) when they did not. I refused and quit that liaison position.

Also, unbeknownst to me at the time (October 1987 – March 1990), President’s Ronald Reagan’s and George H.W. Bush’s political appointees used Congress’ 1978 CSRA’s Office of Personnel Management (OPM) to begin replacing the fiscal sector’s legally required apolitical technically qualified civil servants, as legally required by Congress’ 1883 Pendleton Civil Service Reform Act, with unqualified civil servants. They did this by secretly deleting the college degree requirements from OPM’s accountant, auditor, and information technology (IT) civil servant positions. 38 years (1987 – 2025) later, those weakened federal fiscal sector infrastructures have created: (1) inaccurate federal budget totals, now covered-up by Trump by doing away with his 2025 GAO testimony, and (2) a still hidden 2025 corporate credibility financial crisis, by eliminating the SEC’s accounting-fraud task force, now also covered-up by President Donald Trump with his no longer required quarterly corporate reports. Both parties’ sheer hypocrisy cannot be overstated because while Congress’ 2002 Sarbanes Oxley Act publicly assured the American people that their corporate financial statements were accurate those former SEC duties had already been outsourced to non-accountant firms to report whatever corporate financial statement totals those corporate executives wanted.

So, during that 3 year period (1987 – 1990) both Congress and those 2 Presidents had already begun replacing the executive branches’ civil servants with their college accounting degrees with non-accountants to begin the richest 1%’s politicians and corporations takeover of the the federal fiscal sector’s operation. Then, Congress passed its 1990 Chief Financial Officer (CFO) Act that legally required (wink/nod) 2 legal results: (1) the President’s executive branch to generate accurate federal budget totals (CFSs), starting in 1997, and (2) GAO to audit the accuracy of those CFSs on an annual basis. 27 years later, (1997 – 2024), GAO still could not certify the accuracy of the President’s 27th federal budget totals (CFSs), and as legally required by GAO’s 2024 testimony! The only information missing from GAO’s written testimony were the roles that GAO, 23 Congresses (95-118), and those 5 Presidents (Clinton, George W. Bush, Obama, Trump, and Biden) had unconstitutionally played in preventing those accurate federal budget totals (CFSs). America’s reelected President Donald Trump solved that political problem by doing away with GAO’s 2025 testimony, and with no questions asked by the 119th Congress.

My sole purpose for creating this website’s Financial & Economic Collapse page is to record how both parties used Congress’ 1978 Civil Service Reform Act to unconstitutionally place the government’s financial and economic security in peril. Understand how this fiduciary failure occurred and the American people will understand how these same federal-wide weakened executive branch infrastructures are now adversely affecting every facet of our lives, and that more than supports the American people’s demands for Congress’ required 3rd civil service reform. As in the case of all whistleblowers, this is not about the whistleblower who created this website but in recording the lawless acts of 24 Congresses (95-119) and 8 Presidents (Reagan – Trump) who did illegally and unconstitutionally prevent those money (audit) trails. Below is a summary of that information followed by his more detailed letters, internal emails, etc.

1990 -2025
In March 1990, I tired of both parties’ ongoing lies and their fake efforts to create accurate federal budget totals (CFSs), and obtained a government service (GS-14) EPA Accounting & Systems Branch Chief position in North Carolina where I was now about to learn firsthand just how nefarious and undemocratic Congress’ 1978 Civil Service Reform Act’s (CSRA) deregulation, privatizing, and outsourcing policies really were. During the first 20 years (1970 – 1990) of my federal accounting career: (1) all federal accountants (managers and staff) were legally required to have their 4 year college accounting degrees, per Congress’ 1883 Pendleton Civil Service Reform Act, and (2) there was no retaliation for questioning the government’s deficient accounting processes that both parties had created with their politically controlled AICPA in 1887.

During the last 20 years (1990 -2010) of my federal accounting career (thanks to Congress’ 1978 CSRA’s lawless law) my new GS-15 accountant supervisor (Dennis Schur) and a later GS-15 accountant supervisor (Doug Barrett) had no 4 year college accounting degrees and their messages were clear. Outsource EPA’s inherent accountant, auditor, IT, and management duties to 4 Fiscal Sector Contractor (FSC) types [AICPA accounting, AICPA auditing, IT, and management firms], or you will be replaced with someone who will. I refused. At this time, they also began replacing the executive branches’ technically qualified fiscal sector civil servants (accountants, auditors, and information technology civil servants) with unqualified civil servants and those 4 FSC-types. 35 years (1990 – 2025) later, the American people have paid those 4 FSC-types 10 billion annually to still hide how President Donald Trump spends his $7 trillion federal budget, still conveniently with no money (audit) trails, also illegaly and unconstitutionally. That’s $350 billion in tax payer waste (so far), and an automatic $10 billion annually in waste that will continue (without Congress’ 3rd civil service reform) because the executive branches fiscal sector has already been unconstitutionally changed:

  • from apolitical, technically qualified, no Financial Sector Contractors, and unbeholden to any President to unqualified accountant, auditor, and information technology civil servants, 4-types of Fiscal Sector Contractors, and that were secretly beholden to 5 Presidents (Reagan, George H.W. Bush, Clinton, George W. Bush, Obama (as of 2010 when I retired), and
    • then loyal to President’s Trump, Biden, and Trump, and still no money (audit) trails.

The remainder of this Financial & Economics Collapse page explain why the American people cannot afford to demand anything less than Congress’ 3rd civil service reform to: (1) eliminate all smoke and mirrors that 47 Presidents (Washington – Trump) and 119 Congresses have hidden in their 2 lucrative civil service reforms (1883 Pendleton Civil Service Reform Act and 1978 Civil Service Reform Act), and (2) create the money (audit) trails that the American people need to provide an accurate accounting of their tax dollars and that easily hides 50% and more in waste (corruption) within today’s $7 trillion annual federal budget totals. That information is divided into the following 3 sections to confirm the accuracy of this statement:

  • (1) How America’s Politicians Have Hidden How They Spend Their Citizen’s Tax Dollars for 236 Years
  • (2) How Congress’ 1978 CSRA Placed the Government’s Financial & Economic Security in Peril
  • (3) How a GAAP-Based/Public Sector Accounting Standard Can Cut 50% in Waste From Each Federal Budget

(1) How America’s Politicians Have Hidden How They Spend Their Citizen’s Tax Dollars for 236 Years
Prior to Congress’ passage of its 1978 Civil Service Reform Act, both parties’ still prevented an accurate accounting of each federal budget, and through another 236 year myth about 3 not-so-independent branches of the federal government. As noted above, Congress has been forcing its deficient (political) AICPA accounting standards on the executive branches federal accountants to prevent those money (audit) trails as far back as the creation of their politically-controlled AICPA in 1887. Congress prevented those money (audit) trails again with its Budget and Accounting Procedures Act of 1950 and Congression Budget Act of 1974.

(2) How Congress’ 1978 CSRA Placed the Government’s Financial & Economic Security in Peril
Then, thanks to Congress’ 1978 Civil Service Reform Act, that gave all 8 President’s access to 4 levels of non-accountant political appointees, they could not only ignore the warnings of all apolitical, technically qualiried DOD auditors and accountants but then systematically eliminate them and replace them with non-accountants and more contractors. Below are a few of the reasons why President Barack Obama declared my accountant FOIA request secret/confidential business information because it records how both legislative and executive branches work as one to still hide how America’s politicians spend their ciizens’ tax dollars, still under their pretense of our 99%’s democracy:

  • 1998 – Letter to Senator Fred Thompson, then Chairman of the Government Affairs Committee where I questioned: (1) the accuracy of an article that he had written, and (2) the hidden roadblocks that Congress’ budgeting policies created by eliminating the accounting data needed to generate accurate federal budget totals (CFSs).
  • 2005 – internal email to Booz Allen Hamilton (BAH) and EPA’s Director RTP Finance Center (Doug Barrett) that records how EPA’s non-accountant managers were retaliating against its college accountant civil servants for exposing both EPA’s and BAH’s cover-ups and corruption.
    • Congress’ 1863 False Claims Act has been watered down so badly that honest politicians, like President Abraham Lincoln, prosecuted crooked contractors for selling valueless and harmful corporate goods and services, but no more because crooked politicians, crooked civil servants, and crooked contractors are now in bed with each other to hide all levels of their joint corruption.
  • April 2006 – Office of the Chief Financial Officer (OCFO) Survey: I sent this email to EPA’s Office of the Chief Financial Officer (OCFO), a non-accountant political appointee, and my GS-15 also non-accounant supervisor to expose the lawless acts of 2 legislative and executive branches’ politicians.
  • October 23, 2006 email – I sent this internal email to the Comptroller General David Walker, EPA’s non-accountant Chief Financial Officer, my GS-15 non-accountant (Doug Barrett) supervisor to record their roles in destroying EPA’s fiscal sector infrastructures.
    • Shortly after, I received a visit from Doug Barrett (my non-accountant supervisor) stating that if I did not cease these emails that he would fire me. I refused.
  • 2008 – certified letter to the current/former Comptroller Generals of the U.S. (Dodaro/ Walker) questioning the accuracy of their written testimony and bogus claims of significant progress in federal financial management when the U.S. government’s federal budget totals were political and inaccurate.

Below are 3 examples of the retaliation that I received from those 2 GS-15 non-accountant supervisors because I refused to end my public attempts to expose their lawless acts, and my downward career spiral from GS-14 Branch Chief, to staff accountant, a GS-4 data entry clerk position upon my December 2010 retirement, but still at my $130,000 salary:

  • March 22, 1993: My letter to the Office of Special Counsel requesting assistance after being transferred from my upstairs office to a basement office, complete with the building’s gray electrical panels, a recycled broken desk and chair, all because I rightfully questioned Dennis Schur’s gross incompetence, his dictatorial management sytle, and his gross waste fraud, and abuse of the American people’s tax dollars.
    • What occurred secretly under all 7 President’s (Reagan – Biden) and their closet dictatorships is now occurring openly under America’s 8th President (Donald Trump), a now open dictator, still under their pretense of our 99%’s democracy.
  • October 25, 2006 letter (2 days after the above October 23 email): I was called into my GS-14 non-accountant manager’s office, with her high school G.E.D. (thanks to Congress’ 1978 CSRA’s Office of Personnel Management) and told that I was charged with (bogus) gun threats to a different (non-accountant) supervisor, and a 4 day LWOP suspension.
    • I now faced the possibility of being fired by 3 non-accountant supervisors in EPA’s Office of the Chief Financial Officer (an accounting office). These same dictatorial practices were carried out secretly by 7 prior Presidents (Reagan – Biden), and now openly by America’s 8th corrupt President (Donald Trump), and open dictator.
  • July 2007: Forced to defend myself or be fired, I filed my case with a rigged Merit Systems Protection Board (See Home page, Section II) where I lost that 4 day leave without pay suspension case because the people above me were now politically loyal (non accountant) civil servant managers, and that still pose a threat to our financial and economic security.

That’s the bad news! The good news is that there is a clear path forward to responsibly cutting both parties’ self-inflicted $37+ trillion debt problem because there is no way of knowing just how much waste (corruption) is hidden in President Donald Trump’s current $7 trillion federal budget.

(3) How a GAAP-Based/Public Sector Accounting Standard Can Cut 50% in Waste From Each Federal Budget
Long story short, there was, and still is, no credible excuse for not creating these money (audit) trails, and that should have been completed within 3 years of Treasury’s creation of it Financial Management Service (FMS) Branch, and by 1990. Those money (audit) trails do not exist solely for all of the above noted political reasons.

This is why I created a modified version of the AICPA’s private sector’s accounting model in the 1980’s that was based upon generally accepted accounting principles (GAAP) to accommodate the unique budgeting and accounting needs of America’s federal, state, and local governments. This AICPA/GAAP-based public sector accounting model was possible because all 3 governments shared the same political and banking processes. So, unlike the government’s AICPA politically driven process, my single AICPA/GAAP-based public sector accounting model was formula driven to ensure the accuracy of the federal government’s Budgetary Resource Reports (SF-133s), and an accurate accounting of each department’s, bureau’s, and agency’s budgets (amount available, committed, obligated, expended, and more). Then, these accurate federal department, bureau, and agency budget totals could be summarized to create accurate federal budget totals (CFSs).

What could be better, a single GAAP-based/public sector algebraic accounting formula that worked for federal, state, and local governments? Now, America’s Presidents, Governors, and Mayors could accurately account for how they spend their citizen’s tax dollars, in a real American democracy, and still as that naive federal accountant whistleblower. My goal was to replicate these same processes, during the period October 1987 – March 1990, within the federal government (at a time when those minimal college accounting degree requirements were still required), and then share those GAAP-based processes with state and local civil servant’s college accounting graduates.

Below are 20 years of that naive accountant whistleblower’s documents against the government and that include internal records, emails, OpEd article, letters to President Obama, Congress, a court case, and much more, of a government that he no longer trusts, fears and is still trying to change. These documents are sequentially dated and may contain some of the above documents:

  • March 22, 1993 letter – to the Office of Special Counsel requesting assistance after being removed from my upstairs office and EPA Systems & Accounting Branch Chief position and transferred to a vacated basement mail room, complete with the building’s gray electrical panels, recycled/broken desk and chair because I questioned my non-accountant GS-15 supervisor’s procurement of valueless accounting & systems corporate goods & services.
  • December 10, 1997 – I requested an independent EPA source to provide me with any information she had concerning the use of high level crooked (often unqualified) civil servant managers who used their management positions to procure both harmful and useless corporate goods and service, to then be hired by those same corporations in top management positions, aka revolving door bureaucrats (RDBs).
  • July 20, 1998 letter – to the late Senator Fred Thompson, then Chairman of the Government Affairs Committee, recording how Congress’ 200+ year old budgeting practices require all accounting data to vanish to question the value of even having accounting or systems offices because the entire fiscal sector process is corrupt, top to bottom.
  • ​June 1, 1999 – Washington Times OpEd, “At EPA Waste, Fraud, and Abuse,” details how our politician’s Central Agencies’ (Treasury, OMB, GAO) AICPA control over FASAB was preventing an accurate accounting of each federal budget, with no response from any politicians, but from the following 3 people:
    • a 2 sentence email from Rosa Parks ([email protected]) offering words of encouragement, several phone calls from/to Ernie Fitzgerald, via his secretary (bette.dudka @pentagon.af.mil), and 2 phone calls from/to an EPA Superfund whistleblower asking my advice on how not to get fired. I had none.
  • November 29, 2005 email – email to Booz Allen Hamilton (BAH) and EPA’s Director RTP Finance Center recording how EPA’s non-accountant managers were retaliating against its accountants for exposing how they and Booz Allen Hamilton (BAH) were covering-up their inability to certify the accuracy of EPA’s OMB reports. 
  • April 7, 2006 email Office of the Chief Financial Officer (OCFO) Survey – I sent this internal email to record my anger and disgust over how non-accountant political appointees were replacing its college accounting graduates with more and more non-accountants to cover-up the gross waste, fraud, and abuse of the American people’s tax dollars.
  • April 25, 2006 email – EPA’s future financial software.  This email characterized both EPA’s 1989 procurement of American Management Systems (AMS) software and future $84 million procurement of Canada’s CGI Federal software as more government waste.
  • October 23, 2006 email – I sent this email to Comptroller General David Walker, EPA’s CFO, and a CFO manager to record the roles they each played in destroying EPA’s and all federal fiscal sector infrastructures. Shortly after, I received a visit from Doug Barrett, a GS-7 accounting technician that I had hired, now my GS-15 “accounting” supervisor, to end these emails or he would fire me. I refused.
  • October 25, 2006 letter: 2 days later, I was called into my GS-14 “accountant” supervisor’s office, a former GS-4 accounting technician with her high school G.E.D. (thanks to Congress’ 1978 CSRA’s Office of Personnel Management that had now dumbed down the federal government).
  • July 2007: Forced to defend myself or be fired, I filed my case with a rigged Merit Systems Protection Board (MSPB) where I lost that 4 day leave without pay suspension case because the people above me were now politically loyal (mostly non accountant) civil servants in the  EPA’s Office of the Chief Financial Officer, and a federal accounting office.
  • March 9, 2009 –  Speaker Nancy Pelosi / Senator Harry Reid letter that was titled “Contractor fraud at GAO, OMB, Treasury, and GSA” with copies to Senators Richard Burr, Charles Grassley, Representatives David Price, Henry Waxman, and other high level officials, with no response from anyone.
  • April 3, 2009 – This internal email to EPA’s management (including Doug Barrett) records the second cover-up by another KPMG auditor with copies to the EPA Administrator (Lisa Jackson), with no response from President Obama’s political appointees, only more threats to end these emails. I refused.
  • May 7, 2009 – President Barack Obama letter – describing the dysfunctional federal bureaucracy that he inherited, and that he ignored, and covered-up while continuing the ongoing retaliation that whistleblowers had experienced as far back as President Ronald Reagan.
  • October 5, 2009 – This internal email was written to Doug Barrett that he certifies the accuracy of EPA’s property reconciliation processes against my strong objections, with copies to the EPA’s Administrator and my (non-accountant) supervisors, no response from anyone, other than more threats. ​
  • GAO’s 2021 testimony to President Joe Biden and Congress – GAO’s 2021 testimony confirms that GAO could not certify the accuracy of the last 24 (1997 – 2021) federal budget totals, as legally required by Congress’ 1990 CFO Act.
  • GAO’s 2024 testimony to President Joe Biden and Congress – GAO’s 2024 testimony confirms that GAO could not certify the accuracy of the last 27 (1997 – 2024) federal budget totals.
    • The only information missing from all 27 testimonies were the lawless acts that those Presidents (Clinton, George W. Bush, Obama, Trump, Biden), those Congresses, and GAO played in ignoring and covering-up the financial and economic threats they created.
  • GAO’s 2025 testimony – President Donald Trump, the now open dictator, did away with that report for political reasons, aka blatant corruption.