America’s Bottoms Up Democratic Business Model
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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 was to mask that waste. I learned that lesson over the last 30 years of my federal career, my 14 years of research as a federal retiree, along with the illegal and the unconstitutional lengths that 24 (95-119) Congresses and 8 Presidents (Reagan-Trump) would take to continue hiding how America’s politicians spend their citizen’s tax dollars, so far successfully over the last 236 years (1789-2025). Like all college accounting graduates, my education focused only on the private sector, and the required use of the AICPA’s (American Institute of Certified Public Accountants) algebraic accounting formulas, that were based upon generally accepted accounting principles (GAAP), to generate accurate private sector (single owner businesses, partnerships, and corporate) financial statements. While I was getting my college accounting degree at Michigan Technological University, I never questioned why there was no comparable GAAP-based/public sector accounting classes that also used a single AICPA/GAAP-based public sector algebraic formula to generate accurate federal budget totals because I trusted America’s politicians, but no more!

During the first 10 years of my federal accounting career, I filled various staff and management accounting positions within the Department of Defense and the Environmental Protection Agency’s (EPA) accounting offices where I questioned the endless adjustments that we made to both those department’s and agency’s accounting and budgeting totals to cover-up whatever illegalities those President’s non-accountant political appointees wanted to hide. The question that always plagued me was this. How was it possible for the President and Congress to create accurate federal budget totals when their source data was inaccurate? The answer to that question, as a no longer naive civil civil servant accountant, is that all 47 Presidents (Washington – Trump) and 119 Congresses had no intention (ever) to accurately account for how they spend (waste) the American people’s tax dollars! Based upon my 14 years of research, both parties created the AICPA in 1887 (solely as a political entity) and are still using their AICPA’s/non-GAAP based FASAB/GASB to hide how America’s politicians spend their citizen’s tax dollars, not just at the federal level but at the state, and local levels, as well. Bill Gates also questioned that undemocratic travesty in May 2011, at the state (and local) levels.

The last 30 years of my federal career include a few of my below personnel records, letters to President Barack Obama, Congress, Attorney Generals, OpEds, and more. My failure to heed the countless warnings that I received from my last 2 government service (GS-15) politically loyal non-accountant supervisors led to my downward career spiral from a (GS-14) Branch Chief, Accounting & System’s position, to staff accountant, to a (GS-4) data entry clerk position upon my retirement, but still at my $130,000 salary. Then, to add insult to injury, President Barack Obama (who got elected on his promise of creating an open, transparent, and accountable government) declared my freedom of information act (FOIA) request secret in September 2010 for a very good reason. That FOIA request exposed how 4 prior Presidents (Reagan – George W. Bush) had illegally and unconstitutionally prevented the money (audit) trails that allowed the 2008 economic crisis to occur, and that was covered-up by America’s 5th President (Barack Obama). That FOIA request has still never seen the light of day of a U.S. government that I no longer trust, fear, and vowed to change.

Below is that information and a few of those documents:

1980 – 1986
During this period, I was the Veterans Administration (VA) Accounting Section Chief whose staff prepared the VA’s budget totals where we were required to use the AICPA’s inane formulas that no one within the VA or the Central Agencies (Treasury, GAO. OMB) could explain. We were literally creating the VA’s budget totals by backing into (fudging) whatever totals we needed to comply with those formulas. This was a big deal because if the VA’s budget totals were inaccurate, so too were all the other department’s, bureau’s, and agency’s budget totals, and whose sum total of all those individual budgets would also result in the President’s and Congress’ inaccurate federal budget totals. In addition to this problem, there was no way to expose this problem, thanks to Congress’ 1978 CSRA’s growing levels of the President’s politically loyal (non-accountants) who could care less about inaccurate VA budget totals or federal budget totals. This same VA failure, created by the President’s non-accountant political appointees, was confirmed later by 2 DOD civil servant whistleblowers in 2002.

What I saw at the VA, I considered to be internal threats to the U.S. government’s financial and economic security, and why I decided (on my own time) to create a modified version of the AICPA’s private sector’ GAAP-based standard to accommodate the unique budgeting and accounting needs of America’s federal, state, local governments. This was possible because all 3 government’s shared the same political and banking processes. So, unlike the U.S. government’s politically driven processes, my single AICPA/GAAP-based public sector model was formula driven to ensure the accuracy of the U.S. government’s Budgetary Resource Reports (SF-133s), and the status of each department’s, bureau’s, and agency’s budgets (amount available, committed, obligated, expended, and more), and that when summarized would now also create accurate federal budget totals. My goal was to replicate these processes within the federal government, and then have those federal accountants (with their then legally required college accounting degrees) work with the state and local civil servant’s college accounting graduates to implement those same processes at the state and local levels, at no cost to America’s tax payers, still as that naive federal civil servant accountant.

During my 6 years at the VA, I used that above AICPA/GAAP-based public sector model as a basis for generating those accurate federal, state, and local budget totals (those now standard SF-133’s), that I also explained in a book that I had written, “Principles of Accounting, Budgeting & Cash Management For Government.” But, in October 1986, the inevitable happened. The VA overspent its budget, and I was told to make the adjustments to hide that deficiency. I refused, resigned in protest, and gave my required written reason for resigning as the “falsification of the VA’s budget totals,” then illegally changed by the VA’s 4 (maybe more) levels of the President’ loyal (non-accountant) political appointees to “disagreements over systems improvement ideas.” After my resignation, I took a 1 year unpaid sabbatical to lobby Congress and the Central Agencies’ (non-accountant) political appointees within Treasury, OMB, and GAO over the need to replace their AICPA’s political accounting standard with my single formula-driven AICPA/GAAP-based public sector accounting standard, still as that naive federal civil servant accountant.

1987 – 1990
On October 13, 1987, Treasury created its Financial Management Services (FMS) Branch that included 9 civil servants, 8 civil servants with their college accounting degrees to critique my book and a single college degreed IT civil servant to test that GAAP-based/public sector accounting software. Now, there was no technical excuse for not creating those accurate department, bureau, agency budget, and federal budget totals because I was the lead Treasury systems accountant and worked with an OMB accountant (Ed Waddy) and a GAO accountant to oversee this GAAP-based process. This was a real opportunity to provide the American people with real time access to how each President spent their tax dollars, drastically cut the U.S. government’s costs, but with one hidden problem!

Treasury’s FMS Deputy Commissioner, Erv Faunce, who hired me, had already rigged the process to fail, as those other FMS accountants did not critique and address any errors that I may have made in creating my GAAP-based model. Instead, we tested 2 private sector non-GAAP-based software packages, from American Management Systems (AMS) & Computer Data Systems Inc. (CDSI), where I learned later that Erv Faunce had obtained a VP position with CDSI. This was also the real reason I was hired because I, and those other OMB/GAO accountants, were told to sign a written statement certifying that those 2 software packages had complied with the Central Agencies’ accounting and systems standard when they did not. I refused, quit my Treasury systems accountant liaison position, and despite my protests, those 2-deficient private sector (CDSI/AMS) software packages were placed on the General Services Administration’s schedule, and then made available to all unsuspecting departments, bureaus, and agencies, at a $10 billion annual rip-off to America’s tax payers. Long story short, the American people are still paying 4 fiscal sector contractors (FSCs), AICPA accounting, AICPA auditing, IT firms (like CDSI/AMS), and management firms to still hide how President Donald Trump wastes their tax dollars because (by design) there are still no money (audit) trails, and that still hides unknown levels of political and corporate waste within his $6.75 trillion federal budget!

Prior to that Erv Faunce FMS fiasco, I had learned of Congress’ Joe DioGuardi, a certified public accountant (CPA), and discussed my concerns with him regarding the need to get Congress, the President, and their AICPA cronies out of the business of forcing their deficient AICPA non-GAAP-based accounting standard on the executive branches’ federal accountants. Little did I know that he would be the later author of Congress’ 1990 Chief Financial Officers (CFO) Act that legally required (wink/nod) an accurate accounting of each federal budget, starting in 1997, again with another hidden problem! Rep. Joe DioGuardi’s 1990 CFO Act created an AICPA’s/non-GAAP based FASAB/GASB. Now, federal (state/local) civil servant accountants were “legally” required to implement the AICPA’s deficient accounting standard to hide how America’s Presidents, Governors, and Mayors spend their citizen’s tax dollars, and still under the richest 1%’s pretense of the 99%’s democracy.

What I did not find out until 3 years later (see below paragraph) is that while I was at the Treasury Department, under my false assumption that President Ronald Reagan’s political appointees and Congress were working together to create accurate federal budget totals, they were doing the exact opposite! They were using Congress’ 1978 CSRA’s lawless law (and its deregulation, privatizing, and outsourcing federal scam), to politicize and dumb down the fiscal sector (See Home page, those 4 executive branch offices: OPM, MSPB, OSC, FLRA) to permanently hide how both the Republican’s and the Democrat’s Presidents spend (waste) the American people’s tax dollars.

1990 – 2010
In March 1990, I tired of both parties’ ongoing lies and their fake efforts to create accurate federal budget totals, and obtained a government service (GS-14) EPA Accounting & Systems Branch Chief position in North Carolina where I was now about to learn just how nefarious and undemocratic Congress’ 1978 Civil Service Reform Act’s (CSRA) deregulation, privatizing, and outsourcing policies really were. For the first time during my 20-year federal accounting career, my new GS-15 supervisor (Dennis Schur) had no college accounting degree and acted as a thug. His message was 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 did not agree.

Below are a few of the documents that President Barack Obama declared secret, after he was elected on his failed promise of creating an “Open, Transparent, and Accountable Government, and no different than President Donald Trump’s broken promise of “Making America Great Again:”

  • 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 useless corporate goods and service, and 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.
    • 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, also with inaccurate totals. 
  • 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 the President’s 4 levels of “non-accountant” loyal political appointees were replacing its college accounting graduates with non-accountants.
  • 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 25, 2006 letter: 2 days later, I received a 4 day LWOP suspension notice involving bogus gun threats to another supervisor concocted by the GS-15 (non-accountant) Director, RTP Finance Center for failing to heed his “cease and desist” orders, per the above email.  
    • Thanks to Congress’ 1978 CSRA, the GS-15 supervisor who framed me was a former GS-7 accounting technician that I had hired (with no 4 year required college accounting degree) but was now political (see Home page/MSPB that Congress defunded), and whose only goal was to: (1) eliminate all levels of dissent (me and others), and (2) outsource all inherent fiscal sector duties.  See below July 7 item.
  • 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 documents the second cover-up by another KPMG auditor with copies to the EPA Administrator (Lisa Jackson), with no response from President Obama’s political appointee.
  • 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 records my eleven years of verbal warnings, now written to the EPA Director RTP/NC Finance Center 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, and more retaliation. ​
  • March 2021 GAO testimony to the President and Congress – GAO’s own 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, starting with Bill Clinton thru Joe Biden, and  Congress.
    • The only information missing from all 24 testimonies were the lawless acts that those Presidents (Clinton, George W. Bush, Obama, Trump, Biden), Congresses, and GAO played was in ignoring and covering-up the interal financial and economic threats they jointly created.