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28–248 PDF 2006

S. Hrg. 109–618

NOMINATION OF LURITA ALEXIS DOAN

HEARING

BEFORE THE

COMMITTEE ON 

HOMELAND SECURITY AND 

GOVERNMENTAL AFFAIRS 

UNITED STATES SENATE

ONE HUNDRED NINTH CONGRESS

SECOND SESSION

ON THE

NOMINATION OF LURITA ALEXIS DOAN, TO BE ADMINISTRATOR, 

GENERAL SERVICES ADMINISTRATION

MAY 22, 2006

Printed for the use of the 

Committee on Homeland Security and Governmental Affairs

(

(II)

COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS 

SUSAN M. COLLINS, Maine, Chairman 

TED STEVENS, Alaska 

GEORGE V. VOINOVICH, Ohio 

NORM COLEMAN, Minnesota 

TOM COBURN, Oklahoma 

LINCOLN D. CHAFEE, Rhode Island 

ROBERT F. BENNETT, Utah 

PETE V. DOMENICI, New Mexico 

JOHN W. WARNER, Virginia 

JOSEPH I. LIEBERMAN, Connecticut 

CARL LEVIN, Michigan 

DANIEL K. AKAKA, Hawaii 

THOMAS R. CARPER, Delaware 

MARK DAYTON, Minnesota 

FRANK LAUTENBERG, New Jersey 

MARK PRYOR, Arkansas

MICHAEL D. BOPP, Staff Director and Chief Counsel 

JENNIFER A. HEMINGWAY, Professional Staff Member 

MICHAEL L. ALEXANDER, Minority Staff Director 

ADAM R. SEDGEWICK, Minority Professional Staff Member 

TRINA DRIESSNACK TYRER, Chief Clerk 

(III)

C O N T E N T S 

Opening statements: Page 

Senator Collins ................................................................................................. 1

Senator Pryor .................................................................................................... 5

Senator Warner ................................................................................................ 17

Prepared statement: 

Senator Lieberman ........................................................................................... 25

WITNESSES 

MONDAY, MAY 22, 2006

Hon. Mary L. Landrieu, a U.S. Senator from the State of Louisiana ................. 3

Hon. George Allen, a U.S. Senator from the State of Virginia ............................ 4

Lurita Alexis Doan, to be Administrator, General Services Administration: 

Testimony .......................................................................................................... 7

Prepared statement .......................................................................................... 26

Biographical and professional information ..................................................... 29

Letter from U.S. Office of Government Ethics ............................................... 39

Responses to pre-hearing questions ................................................................ 40

Responses to post-hearing questions .............................................................. 66

(1)

NOMINATION OF LURITA ALEXIS DOAN, TO 

BE ADMINISTRATOR, GENERAL SERVICES 

ADMINISTRATION 

MONDAY, MAY 22, 2006

U.S. SENATE, 

COMMITTEE ON HOMELAND SECURITY

AND GOVERNMENTAL AFFAIRS, 

Washington, DC. 

The Committee met, pursuant to notice, at 2:02 p.m., in room 

SD–342, Dirksen Senate Office Building, Hon. Susan M. Collins, 

Chairman of the Committee, presiding. 

Present: Senators Collins, Warner, and Pryor. 

OPENING STATEMENT OF SENTOR COLLINS 

Chairman COLLINS. The Committee will come to order. 

Today the Committee will consider the nomination of Lurita 

Doan to be the Administrator of the General Services Administration (GSA). 

GSA is the Federal Government’s primary acquisition agency and 

its landlord. Its mission is to ‘‘help Federal agencies better serve 

the public by offering, at best value, superior workplaces, expert solutions, acquisition services, and management policies.’’

With some 12,000 employees, the GSA oversees spending of ap- proximately $60 billion. The Agency also manages more than 340 

million square feet of owned or leased space in more than 9,000 

government-owned or leased buildings, an interagency fleet of some 

200,000 vehicles, and technology programs and products ranging 

from laptop computers to systems that cost more than $100 million. 

To paraphrase the Senator for whom this building is named, 

when we talk about GSA, we are talking about real money. 

This Committee has taken a close look at GSA. From our investigations, hearings, and inquiries, we have found that the GSA 

needs to improve its performance to better serve the American public. I would like to briefly discuss some of our recent work. 

This Committee has held hearings on such troubling matters as 

the dilapidated condition of some Federal real property and the 

wasteful, sometimes fraudulent, use of purchase cards. Our investigation of the deterioration of the west campus of St. Elizabeths 

Hospital demonstrated a particularly tragic example of how the 

Federal Government’s mismanagement of its real property can result in the waste of taxpayer dollars. 

In addition, the Subcommittee on Federal Financial Management, under the leadership of Senators Coburn and Carper, has exVerDate 0ct 09 2002 14:35 Oct 17, 2006 Jkt 028248 PO 00000 Frm 00005 Fmt 6633 Sfmt 6633 C:\DOCS\28248.TXT SAFFAIRS PsN: PAT
2

amined on-going problems in real property management. For example, the Subcommittee has looked into why GSA chooses to lease 

space when many billions of dollars worth of Federal property sits 

vacant. It is no wonder that the GSA’s real property management 

remains on the Government Accountability Office’s list of high-risk 

projects. 

The Committee’s investigation into the use of purchase cards also 

revealed much evidence of waste, fraud, and abuse. The fraudulent 

transactions were alarming. We found purchases for all sorts of 

personal items rather than for official use. Equally alarming, however, was the far more widespread waste that resulted from Federal employees paying more than the discount prices that they 

were entitled to as a result of negotiations between the GSA and 

vendors. The growth in the use of purchase cards has not been sufficiently matched by increased oversight on the part of GSA. 

Following that hearing, along with my colleagues, I introduced 

the Purchase Card Waste Elimination Act of 2005, which was approved unanimously by this Committee. I hope that the full Senate 

will pass it soon. 

In addition, the Permanent Subcommittee on Investigations, 

which is led by Senators Coleman and Levin, has conducted three 

hearings on Federal contractors who cheat on their taxes yet continue to receive Federal contracts. Their most recent hearing focused on GSA contractors. More work needs to be done to remedy 

that problem, as well. 

There are also questions about the charges that GSA imposes for 

Federal office space. The Federal judiciary has requested a reduction in the rent it pays to the GSA, contending that its lease rates 

are far too high. Legislation that would prohibit GSA from establishing rent charges for space provided to the Judicial Branch from 

exceeding the actual costs of operating and maintaining such space 

recently was approved by the Judiciary Committee. At a time when 

all Federal agencies and branches of government are confronted by 

tight budgets, it is imperative that the GSA work more cooperatively with the Judicial Branch to address this long-standing concern. 

Fortunately, some positive steps have been taken. Two years ago 

the GSA launched its ‘‘Get It Right’’ program to improve acquisition programs and to ensure compliance with policy, regulations, 

and procedures. This Committee recently approved the GSA Modernization Act, which would merge the Federal Supply Service and 

the Federal Technology Service to create a streamlined Federal Acquisition Service. This should result in improved buying power for 

GSA with respect to its purchase of information technology solutions. To ensure the success of these undertakings, however, committed, determined leadership will be necessary. 

Our nominee today brings a solid background to the important 

position for which she has been nominated. Ms. Doan founded the 

New Technology Management Company in 1990 and grew it from 

a one-person firm to an impressive business with government contracts valued at more than $200 million annually before selling the 

company last summer. 

Ms. Doan would bring to this position more than 15 years experience working with GSA as a contractor. I think it is very helpful 

3

that we have an individual with private-sector experience who has 

actually done business with the Federal Government, knows the 

process, knows the obstacles, and I hope will help make government business more attractive to the private sector which serves us 

all well. 

She has worked with the Agency as a member of the GSA’s 

Small Business Advisory Council. She has received numerous 

awards for her work, including GSA’s Circle of Excellence Award, 

the Department of Commerce’s Award for Entrepreneurial Innovation, and the Small Business Administration’s Outstanding Woman 

Entrepreneur Award. 

Incidentally, and I see our colleague, Senator Landrieu, is here, 

Ms. Doan was born and raised in New Orleans and, in fact, comes 

from the 9th Ward. Members of this Committee have twice visited 

New Orleans and the 9th Ward, and we know that her neighbors, 

family, and friends are very proud to see her here today. 

I welcome Ms. Doan to the Committee, and I am very pleased to 

see that we have two of our colleagues who are here today to introduce her. I am trying to recall whether Senator Landrieu outranks, 

by seniority, Senator Allen. 

Senator ALLEN. I will be happy, Madam Chairman, for you not 

to have to make a decision. I will defer to Senator Landrieu. 

Chairman COLLINS. Thank you. Senator Landrieu, we are 

pleased to have you here. 

TESTIMONY OF HON. MARY L. LANDRIEU, A U.S. SENATOR 

FROM THE STATE OF LOUISIANA 

Senator LANDRIEU. I thank you, Madam Chairman, and I thank 

you for your interest and terrific work, as I have said many times 

privately to you and I want to say publicly today, and your focused 

effort for the recovery of Louisiana and the Gulf Coast effort and 

all the work that you have done through this Committee and others. 

It is a real joy for me, Madam Chairman, to be here with my 

friend and a distinct pleasure, as well, to introduce you to a friend 

and an outstanding young woman who I have had the pleasure to 

know now for many years. We actually were graduates of the same 

high school and have known each other since we were teenagers. 

She was outstanding then and has just continued an extraordinary 

career to be outstanding in her field. 

As you know, because you might have even visited or know of 

Ursuline Academy in New Orleans, which is one of the oldest girl’s 

schools in America, is where the two of us graduated from. Lurita 

was, as you noted, from originally the 9th Ward. I am from uptown. But this was a school that girls from many parts of the city 

came to, and it was a great leadership opportunity that we are 

both very grateful for. 

In school, as when she got out of school, Lurita did not stand on 

the sidelines. She was in the vanguard of African-Americans that 

integrated the Catholic school system in New Orleans, and she 

used her considerable skills not only to drive a path for herself but 

for many young women who have followed after her. 

She started this tremendous company with her own creative spirit and energy, New Technology Management. It is one of the few 

4

multimillion-dollar female minority-owned businesses, or earliest in 

the country. She has been awarded so many awards, but just to 

name a few she was in the class of 50 Women Who Mean Business 

by the Washington Business Journal. She was the 2004 recipient 

of the National Women’s Business Council Award for Entrepreneurship. She was the 2003 recipient of the National Director’s 

Award for Entrepreneurial Innovation and the organization that 

she has been nominated by the President to head, she has also received an award from them, in their 2004 Circle of Excellence. 

But besides all of these outstanding honors for creating this company and leading it to complete success, she has also been very active, Madam Chairman, in the community. She has played a leading role in the American Red Cross. She has helped with the D.C. 

Rape Crisis Center, Muscular Dystrophy Association, Cystic Fibrosis Foundation, only to name a few. 

This is not any surprise to those of us who have known Lurita. 

From her early days, she has been busy at work serving her community for as long as we can remember. And I think the President 

and our country will be well served in Congress by having someone 

of this distinction heading up an organization that can do so much 

good as it tries to operate efficiently, effectively, and respectfully in 

the communities in which our buildings and properties sit throughout the Nation. 

So it is with a great deal of pleasure that I am with Lurita today 

and highly recommend her for this position. 

Chairman COLLINS. Senator Landrieu, thank you very much for 

that strong endorsement. Your words carry great weight with this 

Committee, and we appreciate your taking the time to be here. 

Senator Allen, welcome. It is great to have you here, as well. 

TESTIMONY OF HON. GEORGE ALLEN, A U.S. SENATOR FROM 

THE STATE OF VIRGINIA 

Senator ALLEN. Thank you, Madam Chairman. I am also glad to 

see one of my colleagues, Senator Pryor, here. 

It is my pleasure to introduce to the Committee the President’s 

nominee for Administrator of GSA, Lurita Doan, who is now a resident of Great Falls, Virginia. She came up a little further than 

Louisiana. 

At any rate, listening to your comments and Senator Landrieu’s 

comments, I have just been crossing out paragraphs of accolades 

here. 

What I thought was great, Madam Chairman, is that while Senator Landrieu was talking about Lurita Doan, I looked back and 

saw Natalia and Alexandra, her two daughters here, looking at 

their mother with great pride. They are both here with us, as well 

as her wonderful husband, Doug. It is an important day for her 

family, but also an important day for, I think, this country that 

someone with the background of Lurita Doan has been nominated. 

She has a proven record of performance. I am here to offer my 

very strongest support for Ms. Doan’s nomination. 

The job, and you were going through it, Madam Chairman, of the 

GSA. I applaud you for your efforts to knock out waste, fraud, and 

abuse. This is a position that has a great deal of importance to the 

5

taxpayers of this country. It is important for the services that our 

government, the owners, who are the taxpayers, for those services. 

And it is also a very important agency for the taxpayers, in that 

you want more competition. Particularly for small business owners. 

Small business owners who may be men or women, but making 

sure that they have the opportunity to compete for those contracts 

to provide those services to the American people. And Lurita Doan, 

obviously with all of the awards that she has been given, understands from an entrepreneur or from a small business person’s 

point of view how daunting that task can be. To get the performance bonds and making sure the contracts are disaggregated in 

such a way that small businesses can have that opportunity to 

compete. 

Of course, everyone is talking about all of these awards. I will 

not repeat the awards that you and Senator Landrieu mentioned. 

It should be mentioned that in 1990 she started off this small business by going to Kinko’s with $25 to create her stationery and business cards. That is the entrepreneurial spirit, that Horatio Algertype story that we love to see can still be achieved here in this 

country. 

So I will not repeat all of the comments and awards, but I know 

Lurita Doan and have known her for several years. She is smart. 

She is vivacious. And she is going to bring energetic leadership to 

GSA, which will benefit the taxpayers. It will also be a position in 

which, with her leadership and understanding of how these contracts work, we will get more competition, which means more bang 

for the buck for the taxpayers. 

I appreciate her creativity and her willingness to serve our country and also the wisdom of President Bush and his Administration 

to seek out a person of such outstanding credentials and character. 

I hope that this Committee will move as quickly as is practicable, 

as well as on the Senate floor, so that Ms. Doan can get on the job 

for America. 

I thank you, Madam Chairman, for having this hearing. 

Chairman COLLINS. Thank you very much for your eloquent 

words. Your endorsement also means a great deal to this Committee. 

I want to thank both you and Senator Landrieu for taking the 

time to be here today. I know you both have busy schedules so I 

am going to excuse the two Senators at this point before turning 

to my colleague, Senator Pryor, for his opening remarks. 

Senator ALLEN. I would only add one thing, Madam Chairman. 

Since I see Senator Warner’s staff here, Conrad, my endorsement 

is also echoed by Senator John Warner as well, for the record. 

Chairman COLLINS. Thank you. 

Senator Pryor, it is great to have you here today and acting as 

the ranking Democrat for the Committee. 

OPENING STATEMENT OF SENATOR PRYOR 

Senator PRYOR. Thank you, Madam Chairman. 

I do have a statement I would like to submit for the record if 

that would be agreeable. 

Basically we know that GSA is a very important agency. We are 

certainly excited to look at your nomination and look at your creVerDate 0ct 09 2002 14:35 Oct 17, 2006 Jkt 028248 PO 00000 Frm 00009 Fmt 6633 Sfmt 6633 C:\DOCS\28248.TXT SAFFAIRS PsN: PAT
6

dentials and we will have some questions. But I am going to leave 

plenty of time for Ms. Doan to do questions and answers, and I 

would like to hear from her. Thank you. 

[The prepared statement of Senator Pryor follows:]

PREPARED STATEMENT OF SENATOR PRYOR 

Madam Chairman Collins, I thank you for holding this important hearing today. 

The GSA Administrator is one of the most important jobs in the Federal Government. The position can best be characterized as being the Federal Government’s 

landlord, with oversight for leasing thousands of government facilities in addition 

to serving as the government’s purchasing agent responsible for procuring hundreds 

of thousands of goods and services through its GSA supply schedule. 

GSA is also supposed to ensure that it provides economic efficiency to all of its 

customers. This requires detailed administrative management, to develop the necessary performance measures and coordinating mechanisms to ensure that GSA provides the fastest, lowest cost and most efficient means of procurement to its Federal 

customers. 

In this era of terrorism and catastrophic disasters, GSA plays a critical role as 

a partner with Federal, State, and local agencies to provide disaster assistance. I 

understand that GSA has an Office of Emergency Preparedness which will coordinate this important role. I encourage you, as you begin your role as GSA administrator, to ensure that GSA has a strategic plan that provides the necessary help to 

protect Federal properties and employees in the case of a disaster. 

Ms. Doan has many years of experience in the business community. As a former 

GEO, she understands the role that innovation and competition play in the marketplace. And I believe that her experience, skills and knowledge of best business practices will enable her to tackle tough issues in a bipartisan manner. Lurita Doan 

founded her small IT company by walking into a Kinko’s store with $25 to print 

business cards and stationery. That was 13 years ago. In 2004, Lurita’s company, 

New Technology Management, Inc. (NTM), performed on government contracts valued at $214 million. In 2005, her company provided turnkey solutions including design, installation and maintenance of all secure surveillance technology currently 

being deployed at over 85 percent of all the Land Border Ports of Entry on the U.S.-

Canadian and U.S.-Mexican borders. 

I hope that she will use her experience to address a number of challenging issues 

confronting GSA today, among them the DOD challenge to procurement procedures 

and the Federal judiciary’s request for rent reduction. 

I look forward to hearing Ms. Doan testify today and hope that as the GSA administrator, she is instrumental in bringing about a culture of change to an agency 

that plays an important role in the Federal community. In light of the need for effective managers, especially in the area of procurement, it is extremely important 

to be well versed in government operations. Ms. Doan has been well recognized for 

her work with the Federal Government and has received a number of awards for 

her work, including the General Services Administration’s Circle of Excellence 

Award, as well as the Award for Entrepreneurial Innovation from the Department 

of Commerce. 

Ms. Doan, I look forward to working with you.

Chairman COLLINS. Thank you. 

Lurita Doan has filed responses to a biographical and financial 

questionnaire. She has answered pre-hearing questions submitted 

by the Committee and had her financial statements reviewed by 

the Office of Government Ethics. 

Without objection, this information will be made part of the hearing record, with the exception of the financial data which are on 

file and available for public inspection at the Committee offices. 

Our Committee rules require that all witnesses at nomination 

hearings be sworn in and give their testimony under oath. So Ms. 

Doan, if you would please stand so I can administer the oath. 

Do you swear that the testimony you are about to give will be 

the truth, the whole truth, and nothing but the truth, so help you 

God? 

Ms. DOAN. Yes. 

7

1The prepared statement of Ms. Doan appears in the Appendix on page 26. 

Chairman COLLINS. Thank you. Please be seated. 

Ms. Doan, I know that Senator Allen referred to family members 

that you have with you, but I want to give you the opportunity to 

present them formally to the Committee, as well as to introduce 

any other people who you wish us to be aware of. 

Ms. DOAN. Thanks, I appreciate that. First, my husband, Doug 

Doan. 

Chairman COLLINS. Welcome. 

Ms. DOAN. My daughter, Alexandra. She is a seventh grader at 

Cooper Middle School. She is a little shy. And this is my daughter 

Natalia. She is a senior at Madeira and will graduate on Saturday. 

Chairman COLLINS. We are very happy to have you here today. 

Does this mean that you are both skipping school to be here? 

Ms. DOAN. Well she is out because they finished exams. But yes, 

actually Alexandra is skipping school but they thought it was an 

excellent reason. 

Chairman COLLINS. I think this qualifies as an excused absence 

and an opportunity not only to be here to support your mother, but 

to see democracy and the U.S. Senate at work. So we welcome both 

of you, as well as your husband, today. 

Ms. DOAN. If I could just say three more names. My very good 

old friend from Committee of 200, Edie Fraser. And my first mentor ever, Carleton Jones. And then my good friend, Bob Guerra. 

I do not know who everybody else is. 

Chairman COLLINS. Well, I can tell you that looking out to the 

audience, I can see that you have a lot of strong support there because I see a lot of smiles. We are very pleased to have those who 

are so close to you present today. 

I would ask that you proceed with your statement. 

TESTIMONY OF LURITA ALEXIS DOAN,1 TO BE 

ADMINISTRATOR, GENERAL SERVICES ADMINISTRATION 

Ms. DOAN. Thank you. Chairman Collins, Members of the Committee, good afternoon. 

I am honored to come before you today as President Bush’s nominee to lead the General Services Administration and as the first 

woman to be nominated to hold this position. The Administrator of 

the GSA is an important position of trust, and I value the President’s confidence in me. 

I would like to thank Senator Allen for his generous introduction 

and friendship and for his years of work as my former governor 

and as the senator from Virginia. I would also like to thank Senator Landrieu, one of the graduates of Ursuline Academy. From 

one graduate to another, her gracious introduction was way beyond 

what I had expected. And her commitment to revitalization in the 

Gulf Coast is really commendable. 

I just want to say to Mary and our beloved New Orleans that Ursuline rules. 

On a more formal note, thank you, Chairman Collins and Members of the Committee. I would also like to thank the Committee 

staff for the time, the consideration, and the open exchange of 

ideas shared during this nomination period. 

8

I am new to the Senate confirmation process and I was really 

heartened by the warmth, concern, and enthusiasm shown by every 

single person I met with on this Committee. If confirmed, I look 

forward to working closely with all of you regarding matters with 

the General Services Administration. 

And to the former Administrator of GSA, Steve Perry, I would 

like to extend warm thanks and commend him for his 41⁄2 years of 

service to GSA and our country. 

But none of my efforts or successes would have meant so much 

without my two girls, Natalia and Alexandra, who provide my inspiration daily and make me want to be a better role model. And 

I would like to thank my husband, Doug, for two decades of encouragement and support. I have to let everybody know that we celebrated our 20th anniversary last week. 

Madam Chairman and Members of the Committee, I have spent 

the last 15 years leading both for-profit and not-for-profit organizations. I remain an unabashed entrepreneur and believe strongly 

that an organization either succeeds or fails based on its ability to 

inspire personal initiative and get people to work together toward 

common goals. 

If confirmed, I will work diligently to create a culture of excellence at GSA that approaches its Federal and private-sector customers as an entrepreneur would, with energy, a willingness to innovate and change while delivering superior service. 

GSA and its employees have a very proud history, and I believe 

it can forge an important future as the premier government contracting agency for property management and procurement. 

I have worked with GSA for over 10 years, and I have had the 

opportunity to understand this organization the way a customer 

views it. I know many of GSA’s challenges and know many of the 

people working to overcome these challenges. 

More importantly, I am ready to lead this Agency forward. If I 

am confirmed, I would set the following goals: Return to President 

Truman’s original vision for GSA as a clean, responsive purchasing 

agency utilizing best practices in government contracting, serving 

as an example and a resource to other agencies. Establish quantitative performance metrics to show how GSA services stack up. 

Sell GSA services. I believe that GSA can work to provide services 

quantifiably better, faster, and save taxpayer dollars. GSA must do 

a better job of proving this to its customers and thus enabling government agencies to refocus scarce management and contracting 

resources on core issues. 

Make GSA one of the best places to work in government. I will 

welcome and encourage new ideas and aggressively recruit gifted, 

talented people into government service. 

I have seen firsthand that GSA often spends less time directly 

with its government customers, and it is no secret that GSA has 

some fence-mending to do with some of its biggest clients. If confirmed, I intend to make this a priority and will emphasize the 

service in the General Services Administration. 

But Federal agencies are not GSA’s only customer. Businesses, 

both large and small, often bring government customers to GSA 

and rely upon GSA’s assistance in finding the correct contracting 

vehicle. 

9

I am also eager to improve GSA’s response in emergencies. I am 

from New Orleans and the 9th Ward, as you heard, and my childhood home was completely destroyed, as was every other home in 

a two-mile radius. I know that Hurricane Katrina created challenges for every government agency, including GSA. And if I am 

confirmed, I will be focused on improving GSA’s ability to respond 

quickly when the next emergency arises. 

GSA’s ability to leverage the power of the private sector and 

quickly contract for goods and services can make an enormous difference for people in distress during times of national emergency. 

I am a strong believer that government should do a better job of 

tapping the energy and creativity of America’s small businesses. 

Many of the products and innovative and transformational solutions that the government seeks are found in the small business 

community, and the GSA schedule is often the first government 

contract for these businesses. 

If confirmed, I will work to expedite the time required to award 

a GSA schedule. 

I welcome the opportunity, if confirmed, to oversee the reorganization of FAS, the Federal Acquisition Service. Regardless of size, 

reorganizations are not easy, for they strike at the core of what 

constitutes the mission, the position, and the stability of each employee. The reorganization though, properly executed, can result in 

a stronger GSA, able to offer faster contracting services at a lower 

cost and yet fully compliant with existing procurement regulations. 

And while it is true that Rome was not built in a day, every action 

does begin with but a single step. There are 24 hours in a day, 25 

if you skip lunch, but I intend to make every moment count. 

Success in business and government is often a function of the 

quality of the people and the level of effort expended. I have always 

respected GSA employees’ commitment to work, their ethic, and 

their willingness to serve. If confirmed, I look forward to working 

again with many of these fine people and the rest of GSA’s dedicated personnel while having the opportunity to lead by example, 

providing transparency and clear guidance to GSA’s employees. 

By making me the first female nominee to this important position, the President has shown great confidence in my liabilities. I 

am humbled and honored by his confidence. 

If confirmed, I give you my commitment for clear and frequent 

communications, my strong resolve to make GSA, now and for the 

future, the premier source of cost-effective, timely, and compliant 

government management and government procurement. 

Thank you, Madam Chairman. Thank you, Members of the Committee. I am ready to answer any questions you may have. 

Chairman COLLINS. Thank you for your statement. 

We will begin the questioning this afternoon with standard questions that we ask of all nominees, and there are three of these. 

First, is there anything you are aware of in your background 

which might present a conflict of interest with the duties of the office to which you have been nominated? 

Ms. DOAN. No, Senator. 

Chairman COLLINS. Second, do you know of anything personal or 

otherwise that would in any way prevent you from fully and honorably discharging the responsibilities of this office? 

10

Ms. DOAN. No. 

Chairman COLLINS. And third, do you agree without reservation 

to respond to any reasonable summons to appear and testify before 

any duly constituted Committee of Congress if you are confirmed? 

Ms. DOAN. Yes. 

Chairman COLLINS. You got those right. Now we can proceed to 

the more substantive questions. 

On a recent scorecard that is associated with the President’s 

Management Agenda, the GSA received an unsatisfactory, or ‘‘red’’ 

rating, in the category of financial performance. This is particularly 

troubling because GSA should be setting the standard for many 

other agencies. 

Similarly, both the GAO and the GSA’s Inspector General have 

identified long-standing management problems that hamper GSA’s 

ability to accomplish its mission. In a recent report to Congress, 

the IG identified more than $682 million in financial recommendations on how GSA’s funds could be put to better use. 

So, on the one hand, you have OMB giving a ‘‘F’’ essentially to 

GSA for financial performance. On the other, you have the IG identifying almost $700 million worth of recommendations on funding 

that could be put to better use. 

These are troubling indicators as far as the efficiency with which 

the GSA operates. What would you do to try to improve financial 

management at the Agency? 

Ms. DOAN. I agree with you, Senator Collins, these are troubling 

matters, indeed. As you know, I am an entrepreneur. And as a 

business owner, having clean financials is absolutely essential to 

knowing and having control over the future of your business. And 

GSA is no different. If I am confirmed, I am absolutely committed 

to getting a clean audit for GSA. 

In business, but at GSA it is the same, transparency and accountability are absolutely essential. They form the twin pillars 

that are required for any high-performance organization. This is 

my goal for GSA, if I am confirmed, to have transparency in its financial management processes, to exercise internal controls that 

are visible to all and understandable, and to provide clear guidance 

so that this will not happen again. 

As far as on a step-by-step basis, this is an area where I was 

very happy actually to hear that the IG found that there was almost $700 million of improvements and economies of scale that 

could be implemented because I think that is one of the first ways 

to make sure that GSA runs in the black in the future. 

Chairman COLLINS. Thank you. 

The GSA also plays a central role in government procurement. 

It has the expertise to manage large-scale government contracts 

that apply to all agencies, telecommunications for example. And 

other agencies look to GSA, as well as to the office of Federal Procurement Policy, for leadership on procurement issues. 

The GSA also is responsible for helping to ensure the integrity 

of the government procurement system. It maintains the list of government contractors who have been either suspended or debarred 

from doing business with the Federal Government due to convictions, for example, or other serious problems. 

11

Yet our Committee has found over the years that the GSA has 

not been as aggressive in taking action against contractors that 

lack integrity in order to protect the taxpayer. 

For example, we found that it was only after the Office of Management and Budget referred the matter to GSA that GSA acted 

to prevent Andersen Accounting, the old Arthur Andersen, and 

Enron from receiving government contracts. What will you do to 

ensure that GSA aggressively protects the integrity of the procurement system by taking action against dishonest contractors? 

Ms. DOAN. It is actually quite simple. The FAR already has it 

written in there what GSA has to do. It simply says that you are 

not allowed to award contracts to contractors who have not performed well or corresponded to all of the rules and requirements 

of any kind of procurement. 

So if you look at that, it is a very simple thing. If it is the law, 

and it is, that you pay your taxes, if it is the law that if you are 

suspended or debarred you are not allowed to be awarded another 

contract, then that is exactly, if I am confirmed, what GSA will do. 

We will enforce that law. I think it is important that GSA lead by 

example. I think, as the premier government agency in procurement, I think we have an important responsibility to take on that 

leadership position. 

And I actually think it is a very simple database exercise to link 

the two sets of information. 

Chairman COLLINS. Thank you. Senator Pryor. 

Senator PRYOR. Thank you, Madam Chairman. 

I would like to ask how you perceive the working relationship to 

be between GSA and Federal agencies? 

Ms. DOAN. That is a big question. 

Of course, when I am speaking, initially I am speaking as a 

former customer of GSA, having worked with them for 10 years. 

Senator PRYOR. You come in with a good perspective on that. 

That is one reason I ask. 

Ms. DOAN. Thank you. And at the same time I have had the opportunity in the last month or two to meet with various senior 

management at GSA and try to understand things from their perspective. I think it is an interesting and hopeful picture. 

On the one hand, GSA provides a valuable service currently to 

many government agencies. It is that extended arm of their contracting shop that allows them to have cost savings and to focus 

on that particular agency’s core competencies. It is also an incredible tool near the end of the fiscal year for managing dollars and 

ensuring that procurements for valued and important goods and 

services occur at that time. 

At the same time—that is on the good side. On the bad side, 

GSA, as I said before, has some fence-mending to do. Several of 

GSA’s largest customers are, to use a Southern word, they are 

vexed with GSA. They are not happy with the procurement practices. They are not happy perhaps with the timeliness and the delivery of service. 

What I believe is that GSA, in the role of fence-mending, must 

go forward. If I am confirmed this is what I would do—I would go 

to these customers. Service is the premier element of any superior 

success story within business, and it is no different with GSA. It 

12

is important for us to return that service to the customer service 

and to General Services Administration. 

So I would like, if I am confirmed, to go to these important Federal customers who are concerned with GSA’s performance, understand from them what their concerns are and what GSA needs to 

do to improve. 

At the same time, back at GSA, I think it is important to put 

in place quantitative metrics that measure performance, that say 

is GSA faster in delivering, and quantifiably faster. Not just some 

subjective thing but objectively is GSA faster in delivering its contracts? Are these contracts cheaper when we deliver them? And I 

do not mean just front-end costs. I am talking about a TQM approach where you look at the total life cycle cost of making that 

particular award. 

And third, what is the level of customer satisfaction? Did GSA 

and its vendors deliver what was required in a timely manner for 

the cost that was agreed upon? 

And if GSA can make the case that it is doing it better quantifiably, faster quantifiably, and cheaper than the other government 

agency then I would assume that in an effort to save taxpayer dollars we will have a rapprochement between these Federal agencies 

and GSA. We will gain their confidence and trust, and we will continue to work hard to ensure that we continue to have their business. 

Senator PRYOR. Let me ask about the fence-mending. It sounds 

like I know the answer to this question, but I just want to make 

sure. You talked about fence-mending with your customers. Do you 

see that as mostly a public relations issue, where you just need to 

have better communication with them? Or as more of a substantive 

challenge? 

Ms. DOAN. Well first I have to tell you, I did not mention in by 

earlier talk, but I am sure a good deal of groveling will be involved. 

And I am prepared to do that. 

I do not hold with a lot of whitewashing and PR stuff. That never 

works. I am more of a substantive person. I think it is a lot easier 

if you just have people tell you what exactly is the problem and 

then you go about fixing it. 

But more importantly for long-term success in an organization 

you cannot just spend all your time putting out fires and fixing 

problems. You have to actually prevent it from happening in the 

first place. And that is what you get from knowing your customer. 

It is absolutely critical that you have face time with your customer, 

that you spend time with them understanding what their mission 

is that they are trying to accomplish and how GSA can assist them 

in meeting that goal. 

Senator PRYOR. So in other words, when your customers tell you 

that GSA is too slow and too expensive and it is just not performing well, you will take that to heart and you will try to implement policies and new approaches to try to solve all those things? 

Ms. DOAN. No, sir. What I will do is say slower is not sufficient. 

How many days did it take to make that procurement? If it took 

30 days to make it, then we will start working step-by-step to make 

it faster. Our first goal would be to make it 28 days and then 26 

days and then get it within a time frame that would work. 

13

If the cost is something—if there is a number that they are trying to hit, then what we are going to do is shop around and try 

to find a cost that can meet what they have. 

If it is something where there is enhanced services built into 

that, then GSA has an important role that it would play in negotiating between the vendor providing the service and the customer, 

the end customer there. 

But I believe in actually quantifying it rather than just saying 

better, faster, cheaper. 

Senator PRYOR. OK, that is fair enough. 

You also mentioned that GSA performs an adjunct purpose as 

compared to Federal agencies. You help them with procurement. 

Does GSA have an annual process in which they demonstrate 

how much GSA has saved the taxpayer over time? In other words, 

by contacting through GSA you actually save the taxpayer money? 

Rather than having the Federal agencies do it all independently? 

Ms. DOAN. I have seen some data on that, Senator. And truthfully it is really fluffy. That is not how I would like to do business 

if I am confirmed at GSA. What I would like to do is be able to 

take the total volume of business that GSA does and actually be 

able to show the physical dollars saved and show that amount as 

a percentage of the total revenue that GSA incurred and pass that 

information onto the customer. Because that is part of these quantitative metrics that I mentioned. And that is the way that you 

gain your customer’s confidence and their assurance that GSA is 

being a fair and honest broker of their taxpayer dollars. 

Senator PRYOR. Thank you, Madam Chairman. 

Chairman COLLINS. Thank you. 

Senator Pryor brings up a really important point about the relationship between GSA and its clients in the Federal Government. 

I am going to now give you an example of a very contentious relationship, and that is between the GSA and the judiciary. 

It is my understanding that the GSA plans to renegotiate leases 

on behalf of the judiciary in an attempt to respond to the complaints about high rental costs. The Federal judiciary recently completed a preliminary review of GSA’s appraisals for 16 court-occupied buildings. The court’s review indicates that for half of these 

buildings GSA’s employees, acting in their reviewer/appraiser capacity, materially altered the value determinations reached by the 

independent third-party appraisers. 

According to the Federal judiciary, in all eight cases the GSA increased the rental values for an annual rental impact for the courts 

of $22.5 million. 

Well, you can understand why this did not go over well. The judiciary believes that it is not being well served by the GSA and is 

already paying an inflated fee. So as part of the negotiation process, there was an attempt to get independent appraisals on eight 

of these buildings. GSA took a look at them and upped the appraisal. 

I do not expect you to comment on that specific case, since obviously you are not aware of it. But I do want to ask you what actions you would take specifically to evaluate the ongoing concerns 

expressed by the Judicial Branch about the cost of space that they 

get through GSA. 

14

Ms. DOAN. I honor the judiciary and the work that they do. It 

is very important and it is work that I want them to focus on, rather than spending their time arguing about leases, worrying about 

increases in rent, and squabbling with GSA. This is not how we 

want our judiciary to spend their time. 

So it is important to me that if I am confirmed I get to the bottom of this issue. I think GSA has a fine commissioner, a new 

Commissioner at PBS in David Winstead. I would sit down with 

David and work very carefully to review the charges, review GSA’s 

side of it to try to understand how this misrepresentation could 

have possibly come to happen, develop a strategic plan to ensure, 

of course, that it never would happen again. 

And then I believe that it would be my responsibility to go to the 

judiciary and meet face-to-face with them and sit down and work 

out both an explanation so that they—I do not want them to feel 

that in any way GSA has abused their trust. But if so, to try to 

regain that trust and then to work with them toward a happy resolution of this very puzzling and distressing problem. 

Chairman COLLINS. Thank you. 

I am going to ask that you report back to the Committee on this 

issue, assuming, as I believe I can, your confirmation, after a period of time because this is troubling to me and it is something that 

I hear about directly from judges, including the chief judge in 

Maine, all of the time. So I will ask that you report back to us on 

that. 

Ms. DOAN. I would like to do that. In fact, I look forward to the 

opportunity to work very closely with you and the staff of the Committee on all of the different issues, but particularly this one. 

Chairman COLLINS. Let me switch to a different issue. There are 

many small businesses that would like to do business with the Federal Government who have valuable products and services to offer, 

but they just find it to be an impenetrable process, that it is just 

too daunting to even get your foot in the door. The result of that 

is that government loses out on high quality, perhaps lower cost 

products and services. 

Do you have any specific ideas for how we can make the Federal 

procurement process at GSA less opaque and more welcoming to 

smaller companies? 

Ms. DOAN. Yes, I do. Actually, I was one of those small businesses 15 years ago who had enormous difficulty getting a GSA 

schedule. And that, along with many of the companies I have 

mentored over the years who had challenges is one of the reasons 

why this job is such a dream opportunity for me. It is a chance to 

really make a difference. 

I think the first thing that has to happen before you can educate, 

before you can assist the small business community, is GSA must 

understand what are the bottlenecks to awarding the GSA schedule? 

In other words, an application for a GSA schedule comes in with 

supplies or services and a cost and letters of supply from vendors. 

This is a very simple process. From day one when it comes in, clock 

the time that it takes to the award, establish what that average 

time frame is, and then try to understand where is the bottleneck 

along the way and why is it taking so long? Because as we all 

15

know, occasionally you hear the horror stories that it has taken 9 

months to a year to get a schedule. 

At that point, work within GSA to ensure that it has both that 

transparency and a strategic plan moving forward to be able to cut 

back on the amount of time to award the schedule. 

On the other hand, GSA has a responsibility to educate and to 

work with that small business community. And I look forward to 

taking a leadership position on that and communicating clearly and 

transparently GSA’s goals and requirements. 

Chairman COLLINS. Thank you. Senator Pryor. 

Senator PRYOR. Thank you, Madam Chairman. 

I would like to visit just momentarily about the Federal judiciary 

situation. I have heard those complaints, as well. 

The first question I have is, is it GSA’s practice to adjust the rent 

and actually increase rent in these Federal courthouses? 

I guess the reason I am asking that is because I do not know 

why the rent would ever go up in a Federal courthouse? 

Ms. DOAN. I actually do not know the answer to that question 

either. But this is an important situation and it is one where I 

would like, if I am confirmed, to have the opportunity to investigate it fully and then report back to you in a very timely manner. 

Senator PRYOR. That would be great. Do you understand my 

question? 

Ms. DOAN. Yes, I absolutely understand your concern, Senator. 

Senator PRYOR. For example, we built this building 20 years ago, 

40 years ago, whatever it is. I know there is maintenance costs, 

certainly. We understand that. But if their rent is going up, that 

seems unusual. 

And the other question I have, that you may or may not know, 

is what does your Agency, what does GSA do with the rent money? 

Do they turn all of it over to the Federal Treasury? Do they keep 

a portion for maintenance? Do you know the answer to that? 

Ms. DOAN. It is a little bit of both. Some goes into the building 

fund for maintenance on the building. Some of it is used in daily 

operations and maintenance of the building. So it is going, I think, 

to three different pots. 

But do not quote me on that, simply because I am not on the job 

yet. Although I was encouraged by the fact that you said you are 

GSA, so I thought that was a good sign. Thank you. 

But I will look into that, also. 

In fact, if I could just take one step out, Senator, what I think 

would be very helpful is to have once again transparency onto this 

issue. I would like to think that it would be helpful to the Committee Members, as well as to their staff, to understand this whole 

relationship between GSA, PBS, and the rent for the judiciary so 

that you would understand what the case is that GSA will make 

when it goes in front of the judiciary to discuss this. We will work 

with you, if I am confirmed that is, we will work with you on that. 

Senator PRYOR. Thank you. 

Senator Collins, a few moments ago, asked about the so-called 

red rating and the financial performance of the Agency. 

You talked about different ways that you were going to try to get 

a clean audit. You talked about transparency, you talked about inVerDate 0ct 09 2002 14:35 Oct 17, 2006 Jkt 028248 PO 00000 Frm 00019 Fmt 6633 Sfmt 6601 C:\DOCS\28248.TXT SAFFAIRS PsN: PAT
16

ternal controls, you talked about you giving clear guidance to the 

Agency and vision to the Agency. 

If it is warranted, will you consider doing a restructuring or a 

reorganization of the Agency? 

Ms. DOAN. I think that is absolutely in the works already. I 

think when you are looking at a situation that seems to be facing 

GSA right now, you cannot just focus on any one single action. 

There is going to have to be several different actions occurring simultaneously to both get the clean audit and put GSA back in the 

black. 

So, for example, when you look at your financials, it is not just 

enough to say what can we do to cut costs. You also have to look 

at what can we do to increase top line growth. Because if GSA can 

regain customers’ trust and increase its revenue and at the same 

time manage its expenses, it is going to operate better in the black, 

hopefully have more internal controls and get a clean audit. 

At the same time, it does seem to me that GSA is in the middle 

of probably the largest reorganization in its history because the 

House and the Senate approved the reorganization of the Federal 

Acquisition Service. That, in and of itself, is a challenge. It is a 

challenge that I am looking forward to because GSA has an opportunity, once again, to lead by example. 

Reorganizations are very gnarly things. There has been a lot of 

opportunity to see how they are done poorly. I would like to see 

GSA have a strategic plan that is put in place to implement it in 

a very streamlined and efficient way that also has accountability 

both in its financial practices as well as in its personnel management. 

Senator PRYOR. Let me ask, if I may, your perception. Again, you 

have been on the outside looking in. You now are looking at taking 

over this Agency. Is the GSA appropriately using its purchasing 

power as the Federal Government? In other words, are you negotiating discounts for buying bulk, etc.? 

Ms. DOAN. From what I can see GSA is doing, I would say, a 

good job. I do not want to say great because I do not have any clarity or visibility into the total inner workings. 

On the other hand, what I know from business is there is no single business process that cannot be improved. And so I believe it 

is something that requires continuous review and analysis of where 

GSA is at. 

I also believe that there are many economies of scale. I know recently the PBS service, the Public Building Service, has done a 

very good job of bundling the buying power of GSA together to aggregate the costs for energy and has actually been able to show 

about a 10 percent savings in the cost of energy that it then needs 

to pass on to its Federal customers. 

I think this kind of proactive and aggressive negotiating is going 

to be very important for GSA to be a success in the future. 

Senator PRYOR. I do, too. I think that is great, and I am glad to 

hear that. 

One of the things that I have heard and you alluded to in one 

of your answers a few moment ago is that your customers feel like 

sometimes they are not getting the best price they could possibly 

get through GSA. I am curious about your view of that, whether 

17

that is true? Or do you think that GSA is negotiating the best price 

for its customers? Or do you think that the private sector can beat 

some of the prices that you offer? 

Ms. DOAN. I think that is a loaded question, Senator. 

Senator PRYOR. Why is that? 

Ms. DOAN. Because it has so many different aspects to it. I think 

when you look at a procurement, you would have to almost pick up 

the procurement and say is this particular printer the best price? 

Or is this particular software development the best price? So I 

would not want to roll them all in a whole and say that everything 

worked as best value or not. 

What I can say is that I think GSA has an important role that 

it plays in delivering commodities to the Federal Government, to 

its other government agencies. This is an area where GSA, in the 

schedules, has shown an enormous amount of success. 

I think GSA also has some very complex IT procurements, for example, that it works on. And these are ones where what constitutes 

best value is a very multifaceted thing. I am not trying to avoid 

your question, but I would have to look at the procurement and say 

whether I felt this was one that provided best value. 

On the other hand, I think if, on a daily basis, you looked at how 

many contracts GSA awards, you will find that there is no other 

government agency in the United States that delivers as many contract awards on a daily, weekly, monthly basis as GSA. It truly is 

the premier contracting agency for the government, by sheer volume. 

Now the actual dollars might not be as much, given what DHS 

does and DOD does. But if you looked at the actual number of contracts awarded to small, minority, and large businesses, GSA outstrips every other government agency. 

Because of that, when you start looking at the quality of the procurement, you have to take into account the sheer volume that they 

also handle. 

Senator PRYOR. Thank you, Madam Chairman. 

Chairman COLLINS. Thank you. Senator Warner, we are pleased 

to have you join us. 

OPENING STATEMENT OF SENATOR WARNER 

Senator WARNER. Thank you, Madam Chairman. 

I would like to pick up on that last comment. Do you realize you 

will be managing the largest real estate empire in the whole world? 

Not just the United States. 

Ms. DOAN. I know. 

Senator WARNER. And you approach it with great enthusiasm. 

Those of us who have been here for some time, we meet lots of 

wonderful people appointed by various presidents. But you will always remain, in my mind, unique for the incredible enthusiasm 

you have about leaping into this whole thing. And I think it is important that your family is here to be witness to this hearing. 

More years ago than you have been on planet Earth, I was in a 

chair getting confirmed by the Senate. And my children, their legs 

could not reach the floor. Well maybe one and not the other. But 

now they are in their 40s, and they still remember the day they 

came to a room in this building. But so much for that. 

18

And also, I am most intrigued with the Chairman’s comment 

about the chief judge calling. I have one Federal District Court 

that, for the last 10 years, we have been trying to figure out how 

to remodel the courthouse because indeed the courthouse was put 

up, I think, in the 1920s. And it was magnificent. Old rooms, and 

the judges do not want to give them up. And we have to build the 

annex over here, condemn property to get the annex. And then 

they decided the security in the old building was not up to the 

standards which are required today in this very troubled world we 

are in. So it is going on year after year after year. 

In the meantime, justice is being meted out in this same small 

courthouse as there is an explosion of litigation in the community. 

So you are going to have a lot of experiences with chief judges, 

and they are unique. They are the third branch of government, you 

know, and we are a Nation proud of our republic, three coequal 

branches. You are going to have some interesting experiences. 

I guess my one and only question is in connection with your contracting and leasing, we find at the Pentagon, which is where the 

Chairman and I labor a good deal of the time, you have to get some 

competition into this thing when you go out and do what you can 

to get it. Because it is the competition, in my judgment, which provides for the taxpayer the best insurance of getting the proper expenditure of the taxpayer’s valuable dollar. 

So I just came to look you in the face and say thank you to your 

family. Tell your mother if she gets home after 8 o’clock it is wrong 

because any decision made in the government after 8 o’clock is usually changed the next morning. Get her home. 

Enjoy it. You are going to, I think, thrive and enjoy it. 

Ms. DOAN. Thank you. 

Senator WARNER. You will come back, I guess about a year 

hence, in terms of our oversight on some problem or another. 

So I thank you and your family, and I thank the distinguished 

Chairman. 

Ms. DOAN. Thank you, Senator. 

Chairman COLLINS. Thank you, Senator Warner. 

Senator Warner has correctly reminded us all about the enormous real estate portfolio that you will be responsible for. But you 

are also responsible for an enormous fleet of vehicles, some 200,000 

vehicles. I think there is a real opportunity here for the Federal 

Government to lead the way in purchasing hybrid vehicles and 

other cars and trucks, SUVs, that will have better mileage, which 

will save money for the taxpayers and reduce greenhouse emissions. 

This is an opportunity for the Federal Government to lead by example. Do you know if GSA has a program to encourage an evaluation of mileage standards, for example, in purchasing new vehicles? 

Ms. DOAN. Yes. In fact, I asked about this because my daughter, 

Natalia, is very concerned about hybrid cars and wants everybody 

to buy one. So I asked at GSA what they were doing, and I was 

told three things. First, that GSA has worked very actively in its 

fuel pool to try to encourage ethanol use and all of the different 

creative ways of conserving fuel consumption. 

And then I was also told that GSA does indeed have some hybrid 

cars in its fleet and that while it is not a total commitment to it, 

19

apparently it is an ongoing relationship with purchasing and negotiating car purchase. Because as vehicles move out of the fleet and 

out of service, these are then replaced with more fuel-efficient vehicles. 

And so this is an area, I agree with you, where GSA can lead 

by example. If I am confirmed, I look forward to working with you 

and the Committee on making that a reality. 

Chairman COLLINS. I also want to alert you that this Committee 

has done a previous investigation of the management of the fleet, 

in cooperation with the GAO, and found a lot of problems in that 

area as well. So I think you are going to have your hands full. 

I want to switch to a couple of other issues in my final questions. 

One has to do with the security of Federal buildings. Following the 

bombing of the Alfred P. Murrah Federal Building in Oklahoma 

City in 1995, as well as the attacks on our country on September 

11, the Federal Government is appropriately beefing up security at 

Federal buildings. 

Often times this initially has meant putting in place temporary 

measures, such as those ugly concrete barriers known as Jersey 

barriers. And what many of us thought would be temporary too 

often has proven to be a permanent means and an ugly means of 

securing a Federal building. 

I have two concerns about this. One is that when you put a lot 

of Jersey barriers in front of a building, you are taking away from 

the sense of openness and accessibility that a Federal building 

should have toward its citizens. 

Second is the appearance. I recently met with some landscape architects who showed me various ways that buildings could be made 

secure but in a more pleasing manner and in a manner that does 

not send a citizens-need-not-come-in message. 

This is an issue that I would encourage you to look at and to 

work with organizations such as the landscape architects organization to see if there is a better way to ensure good security without 

putting up barriers that send the wrong message as far as people 

wanting to do business with the Federal Government. 

Would you agree to take a look at that issue? 

Ms. DOAN. I would agree to take a look at it and I would be delighted to because there are so many new innovations that have 

come out to make attractive barriers that can actually be part of 

the architectural visage in front of a building and that will actually 

create a welcoming space. Because this is America and we do welcome with open arms. And I think that should be translated into 

all of our Federal buildings. 

So I will be happy to work on this if I am confirmed and report 

back to the Committee with various findings. 

Chairman COLLINS. That would be very helpful. 

Finally, I want to mention legislation that I introduced with all 

of the women senators that would direct the GSA to enter into an 

agreement to make the Pavilion Annex in Washington, DC, available for the establishment of a National Women’s History Museum. 

I want to make clear that we are not seeking Federal funds for this 

museum. The museum would be privately financed. 

The legislation passed the Senate by unanimous consent last November. It is now pending in the House. The legislation would 

20

allow for the long overdue development of part of the Old Post Office Building on Pennsylvania Avenue that the organization that is 

advocating for the National Women’s History Museum has long 

been pushing. 

The pace of redevelopment of the Old Post Office Annex has been 

glacial. Actually, it is slower than glacial because glaciers do move 

and GSA, when it comes to this museum, does not. 

There is an existence of a willing tenant that is prepared to enter 

into a lease agreement. That tenant is the National Women’s History Museum organization. I want to encourage you to take a look 

at this issue. It has been pending for years. Meanwhile, the Annex 

continues to be vacant. I really think there is a good solution here 

and it is one that the full Senate has endorsed. 

Will you take a look at finding out why this bottleneck exists and 

what can be done to encourage the GSA to begin receiving revenue 

from a portion of this unused space? This is typical of a problem 

that we mentioned earlier, with the lack of management or mismanagement of the real property that GSA owns or oversees. I do 

hope you will take a close look at this issue. 

Ms. DOAN. I would be happy to do it. It would be a great privilege. And as you could probably tell from my bio, I have spent a 

lifetime in my professional career advocating on behalf of women 

because of the incredible role that women have played in the past 

in our country and the things that they have done to make it possible for someone like me to even be sitting here today as the nominee. And I really honor that commitment and that dedication that 

the women who have come before us have done. 

So it would be my greatest privilege to work with you on this 

matter. 

Chairman COLLINS. Thank you. And if you can clear up this obstacle, I have a feeling that there will be a picture of you in this 

museum. So there is extra incentive. 

Ms. DOAN. If nothing else, I would love to have my girls come 

to the opening of the museum when it happens. 

Chairman COLLINS. That would be exciting. Thank you. Senator 

Pryor. 

Senator PRYOR. Thank you, Madam Chairman. 

I noticed in The Washington Post, I guess it was this morning, 

‘‘Falling Revenue Prompts GSA to Offer Buyouts.’’ Did you see that 

story? 

Ms. DOAN. Yes. 

Senator PRYOR. Is there anything, in your understanding of the 

situation, is there anything that is inaccurate in the story? Any 

facts they got wrong? 

Ms. DOAN. I do not think there is anything truly inaccurate, but 

it was a little bit skewed because it painted an incredibly dismal 

picture for the future of GSA. And I do not believe that is the impression that the American people should have been left with, that 

this is an Agency in total disarray. 

This is an agency that has its challenges. I am an entrepreneur. 

And when I look at it I say this is a turnaround. It has a good 

product. It has a good service. It has an important role that it plays 

for the American people and government. And it has great employees who are committed to the mission. 

21

But it does have its financial challenges. But it is nothing that 

cannot be fixed. That is what was lost in that article. 

Senator PRYOR. Let me ask this on that same vein of thought 

then. I know that GSA is losing some of its most experienced contractors or contracting officers to retirement, right? Losing a number to retirement. 

First, I would like to ask you is that a bad thing? 

And second, I would like to ask what are your plans on trying 

to keep the best and the brightest there at GSA? 

Ms. DOAN. I think this is a really important issue because retaining qualified and skilled personnel is a challenge in any endeavor, 

but especially in GSA. 

I think what I have learned in business, and I have told people 

a million times, is every employee wants to be on a winning team. 

They want to know that the work that they do, that the time that 

they spend at work, that it is time well spent and that it has meaning. 

And so the very first thing is to ensure that employees understand the important role they play in saving taxpayer dollars and 

in procurements in the Federal Government. 

At the same time, there are actually incredible tools that have 

been given to GSA to actually resolve this very problem that you 

mentioned about the contracting officers. The first of them is the 

ability to provide them with incentivized or retention bonuses because remember, GSA is a self-funding agency and it can live and 

die by its revenue. Which is one of the reasons why I am determined to make sure it gets in the black so that we have that ability 

to reward those qualified people. 

At the same time, the law was passed where we are allowed to 

attract back retired personnel and offer them incentives to come 

back out of retirement to provide that value-needed service. 

But the very last thing I think we have—if I am confirmed and 

everything, what is really important is GSA has got to lead by example, by serving a role in calling young people to public service. 

This is an important and valuable thing that they can do, and 

it is that way that we can ensure that we have that next generation of contracting officers so that some future nominee does not 

have to sit here and worry about where that contracting staff is 

coming from. 

And I think the way that we can do that is by offering them 

these incentives, but also another tool that is in the GSA toolkit 

was mentioned to me by Senator Akaka during our courtesy meeting. He was talking to me about the importance of the student loan 

repayment program. 

I immediately was excited and ran back to GSA and asked them, 

‘‘Does GSA have this? Are they using it?’’ And they assured me 

that they had started the loan repayment program, that they had 

actually put the vehicle in place to make it happen. 

I do not know how familiar, Senator, you are with it. But it is 

$10,000 a year, up to $60,000, that can be paid back to repay student loans, not to exceed $60,000 over their lifetime service with 

the government. 

But I think this can also be an incredible incentive if it is encouraged and if education occurs of the student population out there to 

22

get young people to come to service. So it is bringing in new people, 

making sure they’re mentored and trained and, at the same time, 

retaining and incentivizing and rewarding that existing qualified 

contracting personnel workforce. 

Senator PRYOR. Great. Let me ask this question, and please understand the spirit with which I ask this. I am not saying you have 

done anything wrong at all, but I do want to bring it up. 

That is, you own stock in some companies that do have a significant number of government contracts. As I understand it, you have 

said that you will recuse yourself from decisions that may impact 

on those companies. 

Again, I am not saying you have done anything wrong. But have 

you considered just selling that stock and structuring your investments another way so that you do not have that potential—I am 

not saying you do—but a potential conflict or at least a potential 

perception of a conflict? 

Ms. DOAN. I appreciate your concern, and I understand the spirit 

in which that question was asked. 

I would like to tell you that perhaps in the government, you are 

really familiar and used to the process. But for a guy out on the 

street, the first time being a nominee, the Senate confirmation 

process is an incredibly long and demanding process. 

I am happy to say that I worked with the Office of Ethics, with 

the Office of General Counsel, and also with the GSA Office of Ethics on this. They looked at that portfolio. And they decided that 

there was nothing in their structure that constituted even a potential conflict because these are all—they are stocks in general mutual funds that you have no direct control over. So there is no way 

that I can directly or even indirectly influence. 

But because I wanted to make sure that there was not any kind 

of a perception of a conflict, what I did was, I signed a letter that 

said I am out of it. I will not take part in any decisionmaking that 

occurs with any of those particular stocks. 

But in answer to your last question, which is did I have any decision or opinion about whether I should remove them from my portfolio, I had actually offered that up right off the bat. I said you 

know what, I am not wedded to any of these, it is macht nichts to 

me. If you think we should exchange them for something else, I am 

happy to do so. And that offer still remains on the table. 

Senator PRYOR. Thank you. 

I do have just one more observation, Madam Chairman. That is 

that, given some of the things we have talked about today, some 

of the challenges that GSA has had with the Federal judiciary, 

with small businesses and their inability to kind of break 

through—in fact, one thing we did not talk about is my experience 

with GSA because we have moved out of the Federal building in 

Little Rock because the rent was too high. Not all Federal offices 

can do that, but we could. And we negotiated what we feel like is 

a much better, higher quality, better location in terms of space and 

all of that. And for quite a bit cheaper at the end of the day for 

the taxpayer. 

But given that, I think that there is a perception that is probably 

growing that GSA is one of these nameless, faceless Federal bureaucracies that really does not have its act together. 

23

I am encouraged with your answers today. I think that you understand that. You have been on the outside looking in. You have 

seen the Agency, and you know what it is all about. I am encouraged that you are going to do your best to move the Agency in the 

right direction. 

So I am glad you are the nominee, and I look forward to working 

with the Chairman on this. 

Ms. DOAN. I appreciate that, but could I ask a question? How 

long was that lease you just negotiated? 

Senator PRYOR. I do not know. I will have to look. I think it was 

for the remainder of my term. 

Ms. DOAN. Hopefully, we will be able to win that business back. 

Chairman COLLINS. And many subsequent ones. 

Ms. Doan, I thank you for appearing today. 

I want to just echo the last comment that Senator Pryor made 

because the Second District Congressman in Maine also moved out 

of the Federal building in Bangor because he found bigger space at 

a better price. Now I know a lot of our space is allocated according 

to square footage rather than the price per square foot. But it was 

the same experience. 

I personally have chosen to stay in the Federal building because——

Ms. DOAN. Thank you. 

Chairman COLLINS [continuing]. It puts us where the other agencies are and there are certain advantages to that. But I think there 

is a real cautionary tale for GSA if Members of Congress and the 

judiciary, as we have already discussed, are finding that GSA is 

not giving them a good enough value. 

I think you do have your work cut out for you. 

I have a few more questions, but I am going to submit them for 

the record. One involves an issue that the City of Bangor, Maine 

has asked that I bring to your attention, and we will submit that 

for the record. 

Without objection, the record will be kept open until 5 p.m. tomorrow for the submission of any additional questions or statements for the record. The more quickly you can respond to those 

questions, the sooner we will be able to act on your nomination. 

I do want to echo the comments of my colleagues today about 

your experience and your enthusiasm. I think you bring exactly the 

skills and the determination that GSA needs, and I think that we 

are lucky you have agreed to serve. I am optimistic that you will 

be confirmed promptly, and I look forward to working with Senator 

Pryor and the rest of my colleagues toward that goal. 

Ms. DOAN. Thank you so much. And thank you, Members of the 

Committee. And thank you, Committee staff. I really appreciate all 

of their encouragement and support, even with this long question 

and answer period. 

Chairman COLLINS. Thank you. 

This hearing is now adjourned. 

[Whereupon, at 3:17 p.m., the Subcommittee was adjourned.] 

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A P P E N D I X

PREPARED STATEMENT OF SENATOR LIEBERMAN 

Thank you, Madam Chairman and welcome Ms. Doan. Ms. Doan has been nominated to serve as Administrator of the General Services Administration (GSA) at a 

critical time for the agency. The procurement services GSA provides are central to 

the day-to-day operations of many government departments and its management of 

Federal property can substantially impact savings for taxpayers. But GSA is grappling with a range of challenges, not the least of which is a major consolidation of 

operations. This is a trying time for the agency, and the new Administrator must 

have solid managerial experience and the ability to think creatively for the future. 

As it struggles to emerge from difficulties with contract management and lack of 

project oversight, GSA must also deal with declining revenues, poor morale, the 

need for better financial controls, and low customer confidence. There is very little 

room for error for the new Administrator. 

The merger of the Federal Supply Service (FSS) and the Federal Technology Service (FTS) into the Federal Acquisition Service (FAS) is designed to strengthen GSA’s 

ability to provide efficient acquisition services. In the short term, though, the reorganization, coupled with recent declines in GSA’s information technology business, 

has necessitated a downsizing of personnel, which the agency fortunately will be 

able to accomplish through voluntary buy-outs and early outs. I appreciate that the 

Federal employee unions representing GSA workers have worked with the agency 

to help bring greater efficiencies to the workplace while respecting the rights of employees. 

The Administrator will need to oversee what will surely be a difficult transition 

for GSA employees and at the same time ensure that financial and management 

controls for the new service are up and running properly. The ongoing reorganization of GSA’s regional offices raises similar management challenges. 

Recent turnover in GSA’s leadership and among the ranks make these operational 

changes that much more difficult. Former Administrator Stephen Perry resigned 

last year and many mid-level managers have left, as well. This exodus has added 

to the delays and confusion surrounding the agency’s ongoing reorganization and 

other efforts to improve services. The new Administrator will have to attract new 

talent for the challenges ahead while at the same time work to boost the morale 

of loyal rank and file employees whose work lives will be disrupted by the coming 

changes. 

GSA has been updating its inventory of property to ensure it knows what it has 

and to rid itself of property with little or no use. For a number of years, the Government Accountability Office has ranked GSA’s real property management on its biannual high-risk list. Although the agency is making strides, the new Administrator 

must continue to ensure that the agency’s property inventory is up to date and in 

full use. GSA is also responsible for complying with laws such as Title V of the 

McKinney-Vento Homeless Assistance Act, which directs Federal agencies to make 

surplus property available at no cost to nonprofit organizations or government agencies that intend to serve the homeless. In recent years, critics have called into question the agency’s commitment to and compliance with this law because of alleged 

non responsiveness and poor cooperation with prospective owners. The GSA Administrator must address this issue, too, and ensure that GSA operates in good faith, 

particularly with respect to its responsibilities toward society’s disenfranchised. 

I am impressed by Ms. Doan’s credentials as a business entrepreneur and she has 

had a successful working relationship, on the contracting end, with GSA, all of 

which should serve her well. I appreciate her statement in her written responses 

to the Committee’s pre-hearing questions that if confirmed she will perform her duties with innovation, energy, and integrity. Indeed, if confirmed, she will face monumental challenges that will require every ounce of innovation and energy she has. 

I look forward to hearing her views on how she will address the many challenges 

GSA faces ahead. Thank you.

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