USPS Report ‘Woefully Inadequate’ Herald Asks Again for Tour de France Financials
10/17/2002 by LEONARD SAFFIR - Staff Writer
The Lake Worth Herald Press, Inc.

When it comes to "cooking the books,” the U. S. Postal Service appears as bad as the Enrons and WorldComs, according to the editor of The Lake Worth Herald and Observer newspapers.

Editor Patrick Parrish reacted sternly after receiving a response to the newspapers’ Freedom of Information request for USPS expenses related to its sponsorship of the Lance Armstrong team at the Tour de France bicycle races in Paris.

On August 9, and Sept. 6, Parrish filed a "Media Expedited Request" with the USPS Freedom of Information office for all pertinent materials relating to the travel, lodging, meals, entertainment expenses of USPS employees, their spouses and any consultants, agencies or operatives of the service in relation to its sponsorship of the Armstrong team 1997-2002.

Robert Faruq, Sr., manager, records office, Washington, D.C., responded with a report dated Oct. 4 and received by the newspapers Oct. 9 by regular mail.

"Woefully inadequate," Parrish said in a letter to Faruq, Oct. 14.

Unfathomable
"I must note that not even a forensic accountant could correlate the materials you sent to actual expenses of the USPS's support at the Tour de France," Parrish wrote. "I am sure you will agree the public has a right to know."

Faruq said materials "that could directly identify postal employees and customers have been deleted."

Parrish repeated his request for the USPS to forward the exact expense reports issued by all of the personnel, agents, consultants and officials of the U. S. Postal Service who attended the Tour de France, 1997-2002.

Parrish said he reserved the right to appeal to the general counsel of the USPS or file a law suit if the requested information was not forthcoming.

In his current request, Parrish referred to the incomplete, inadequate or missing USPS submissions.

"It is unfathomable that the U. S. Postal Service would allow expense reports to be filed as casually as those you have submitted to us under our Freedom of Information request," Parrish said.

"Common sense dictates that an agency of the Federal Government would be more judicious with its funds, since the USPS is forever requesting millions of dollar just to stay in business," Parrish said.

U.S. Senators, House Members
Parrish forwarded copies of his Freedom of Information request and the USPS response to Florida's two United States Senators Bob Graham and Bill Nelson and Congressmen Clay Shaw and Mark Foley, members of the House of Representatives from the newspapers' circulation area.

Parrish asked the four federal legislators for their help in getting the newspapers' request honored.

The USPS failed to send expense reports of some four dozen people, including 10 spouses, attending the Paris race for the past six years.

"You have sent no receipts for food or lodging relative to the protracted stays in France of postal service employees, agents or consultants and spouses," Parrish wrote. "Why not? Surely representatives of the U. S. Postal Service required both."

One billing report of $55,625 "for postal managers attending the year 2000 Tour de France”, apparently paid, carried no explanation and no support to determine how the money was used.

"Why not? To whom was this money dispersed and in what amounts?" Parrish asked the USPS.

Missing Information
Group statements from Tailwind Sports, Lance Armstrong's sports marketing company, for $24,055 and $15,869 in years 2001 and 2002 respectively, have no breakdown of the total expenses in the invoices.

Montgomery Sports, Inc., another marketing firm, is mentioned and included in some billing.

"Why is there no official invoice or letterhead for these two agencies?" Parrish asked.

One accounts payable page had 18 of 19 entries blacked out. The single remaining entry was for $31,421 to Disson Furst and Partners. No explanation was included.

Every year since 1997 a number of spouses attended the race.

Parrish asked, "Were spouses' expenses paid by the postal service?"

"If so, did you provide (recipients) with a 1099 (tax form) since those expenses are clearly ordinary income?"

The USPS said the individuals who attended the Tour de France, "interfaced with reporters and with team and co-sponsor managers.”

“The purpose was to generate positive public relations coverage for the USPS and its team," the USPS said.

2002 Attendees
The post office listed eight attendees at this year's race.

They included, Anita Bizzotto, chief marketing officer; Michael Jordan, acting vice president, sales, and his wife; Alixe Johnson, sales; Joyce Carrier and Greg Allen, public affairs; David Fineman, board of governors; and Jim Palmer of Campbell-Ewald Advertising agency.

It does not list customers, friends or public relations agency personnel, and additional advetising agency personnel who may have attended the race.

"I find it difficult to believe that public servants will not make public information such as expense accounts available to the public," Parrish said.

"One of the main purposes of our Freedom of Information request was to determine how much the USPS spent in Paris this year and in previous years," Parrish said this week.

"It is impossible to answer that question based on the materials sent to us," he said.

"Either the post office is hiding the information or it should fire its accountants.

"We have heard a lot this year about cooking the books by companies like Enron and WorldCom. Could an agency of the Federal Government be just as bad... or worse?" Parrish wondered.

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