Archive for Dian Harrison

IRS investigates Planned Parenthood clinic stripped of national affiliation

Posted in Financial mismanagement, IRS, Medicaid Billing Practices, Planned Parenthood with tags , , , , , , , , , , on September 3, 2010 by saynsumthn

The New York Times is reporting: I.R.S. Looks at Finances of Planned Parenthood By KATHARINE MIESZKOWSKI 9/2/2010

The criminal division of the Internal Revenue Service is looking into the finances of Planned Parenthood Golden Gate, while the organization has brought in forensic accountants to evaluate its books.

The local nonprofit became Golden Gate Community Health on Friday, as the national Planned Parenthood organization stripped the Bay Area clinics of their affiliation, citing financial and administrative problems.

“It’s exactly the same entity with just a different name,” said Therese Wilson, interim chief executive of the new organization.

Agents for the criminal division of the I.R.S. interviewed a former employee of Planned Parenthood Golden Gate on Tuesday at the Oakland field office, in response to a complaint he had lodged.

That informant, who declined to be named for fear of how it might affect his future job prospects, said he raised concerns about the financial relationship between the organization and its political arm, as well as about accounting practices.

Jennifer Fong, a special agent for the I.R.S., declined to comment on whether an investigation was under way. “We don’t give specific details as to what we do to evaluate or investigate information we receive,” Ms. Fong said.

According to the Bay Citizen:

On October 21, 2008, 30 clinicians and doctors who work for PPGG sent a “letter of concern” to CEO Dian Harrison. The letter was also copied to Cecile Richards, the president of Planned Parenthood, and other executives at the national organization.

In the letter, the clinicians detail a myriad of problems in the organization, including their concerns about “the misappropriation and mismanagement of PPGG’s funds.” The letter accuses the executive staff of profligate spending during lean times:

Executive staff’s personal expenditures are excessive and are not aligned with the mandatory fiscal restrictions. Flagrant use of PPGG funds to pay for personal belongings, personal services and exorbitant technology products is seemingly unchallenged and not subject to the same financial scrutiny that clinic supplies and staff salaries are, for example.
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The IRS should consider the fact that news of Planned Parenthood Golden Gate’s pattern of fraud, misappropriation of funds, mismanagement may not be a one time occurrence. In fact, I believe that the IRS should investigate all the offices since they get millions of tax dollars per year from the government?

Here are my reasons:

In 2008, Planned Parenthood cut ties with several South Florida offices for accusations of “terrible mismanagement and possibly fraud,” alleged sexual harassment against a former CEO, and a rumor that its 2006 annual report was plagiarized:

The July 2, 2008 Miami Herald article entitled, Planned Parenthood cuts ties with 5 clinics
reported this:

One of the nation’s best-known groups of health centers has permanently shut down a cluster of clinics in Broward and Palm Beach counties.

Planned Parenthood officially severed its ties Monday with five local clinics — four in Broward and one in Boca Raton — whose top administrator has acknowledged a history of “terrible mismanagement and possibly fraud.”

The disaffiliation allowed the national organization to wash its hands of the local chapter once known as Planned Parenthood of South Palm Beach and Broward Counties.

The chapter is dealing with many problems, including harassment complaints and possible misuse of nearly $450,000 — slightly less than they received in public funding in 2005.

“All these issues are now issues that they will have to face without us,” said Karen Ruffato, vice president of operations for the Planned Parenthood Federation of America.

The attitude has angered Ruth Lynch, the former Broward chapter’s CEO, who said the national organization bailed out before the local chapter could resolve its problems.

Lynch, who replaced former CEO Mary Capobianco in March, said that within two weeks of her arrival she found she could not account for $440,000 of the chapter’s $3 million budget.

“We take responsibility that there was horrible management,” Lynch said. “But that was then. This is now. We have a new board.”

CHAPTER’S PLANS

Lynch said that the chapter’s board of trustees plans to eventually open and continue medical services at the five clinics — in Oakland Park, Fort Lauderdale, Pembroke Pines, Deerfield Beach and Boca Raton — but without the trusted name of Planned Parenthood, one of the nation’s most recognized clinics in the field of reproductive heathcare.

“We don’t feel this was simple disaffiliation, we feel this was a hostile takeover,” Lynch said.

“And it was more about the Planned Parenthood trademark than it was about helping the community.”

At least 16,000 people used the five clinics for services such as breast exams, testing for HIV and abortions. In 2005, it received $500,000 in taxpayer funding.

HARSH REVIEW

The disbanding of the relationship ended a months-long back and forth between the Broward chapter and the national organization, which temporarily shut down the clinics in March after delivering a harsh review about the chapter’s administration.

Popular employees were fired. An employee alleged sexual harassment against a former CEO, Capobianco. The local board was investigating a rumor that its 2006 annual report was plagiarized.

SHUT DOWN

Ruffato said Planned Parenthood wanted to disaffiliate from the Broward chapter as soon as possible.

By March, the clinics were temporarily shut down.

They began the process in April to permanently strip the five clinics of the Planned Parenthood name.

Instead, Ruffato said they entrusted the more-reputable Planned Parenthood of Greater Miami, Palm Beach and the Treasure Coast to open one clinic in Broward and one in Boca Raton.

Ruffato said the Greater Miami chapter is one of the country’s best.

‘UNFORTUNATE’

“This is a very rare situation and a very unfortunate situation,” Ruffato said. “And as sad and as hard as moving through a disaffiliation is, I believe our ultimate responsibility is to the mission. And ultimately we need to make sure that your community clinic has the best healthcare and meets our high standards.”

For now, Planned Parenthood is concentrating on replacing the five clinics with at least two, said Judith Selzer, spokeswoman for the Greater Miami chapter. Officers plan to select one site by next month.

Selzer said they will add clinics “as quickly and swiftly as the community needs.”

The chapter plans to include Broward residents on the staff and board of trustees.

Said Selzer: “We’re poised and we’re ready to do this.”

A 2007 Planned Parenthood of South Palm Beach and Broward Counties’ annual report showed that the CEO CEO Mary Capobianco , made $108,978.00
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In 2009

An Audit Shows Planned Parenthood Owes Thousands, sources say debt stands at $1 million

According to this story by KFOX: Planned Parenthood Owes $154K To UMC from November 13, 2009

EL PASO, Texas — KFOX has confirmed Friday that Planned Parenthood Center of El Paso owes more than $150,000 to the county’s University Medical Center.

Through an open records request, KFOX has learned that PPCEP owes UMC $154,814. Sources close to PPCEP claim their total debt stands at more than $1 million.

University Medical Center declined any comment on PPCEP’s current balance. They did not disclose what type of contract was established.

As KFOX reported, a state audit found that PPCEP violated its state contracts after it requested reimbursement for bills that were never paid.

State representatives have told KFOX that it is unclear if the money will ever be collected, and PPCEP is currently under bankruptcy protection.

KFOX has not been able to confirm PPCEP’s bankruptcy status

View Story Here:

Inspector General Report Here

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In 2010


Planned Parenthood Golden Gate’s former employees blame the organization’s longstanding pattern of financial mismanagement, former PPGG CEO, Dian Harrison. Because of this, the national Planned Parenthood organization has announced it will divorce itself from the networks of clinics that serve patients in five Bay Area counties, citing fiscal and administrative problems with the local organization. Effective Sept. 3, 2010, Planned Parenthood Golden Gate must operate under another name, a representative of the national organization said that Planned Parenthood Golden Gate had failed to uphold the “standards and guidelines” by which each separately incorporated affiliate must abide, but that the details of the situation were confidential.

“They were not meeting our standards for administrative and fiscal management,” said Karen Ruffato, vice president of affiliate services for the national organization.

A report in the Bay Citizen:

The most recent tax documents filed with the I.R.S. suggest that PPGG has not only been losing money in recent years, but is in financial disarray. For the tax year ending June 30, 2009, it showed a loss of $2.8 million.

Yet, from financial information for the previous year, it’s unclear just how much money the organization lost because it filed three separate sets of numbers with the I.R.S. In the filings, losses ranged between nearly $1.9 and $2.8 million. Two different accounting firms signed off on the various filings.

Tax documents also show that the organization’s financial problems did not start with the catastrophic recession and California’s fiscal crisis, which has delayed MediCal reimbursements from the state. Tax documents for the year ending June 30, 2007 show that the organization lost $181,000 that year.

Yet, the organization’s fiscal problems date farther back. Documents associated with a 2004 accreditation review of Planned Parenthood Golden Gate show that the local affiliate did not meet the national federation’s financial standards for its affiliates. Of nine indicators of financial health, Planned Parenthood Golden Gate was given a “not met” rating for five of them. For instance, the affiliate had only 11.4 days of cash on hand, as opposed to the required 60 days.

Planned Parenthood Federation of America executives refused to comment on the accreditation documents on the grounds that they’re internal and confidential.
On Wednesday, the charitable trusts division of the state’s attorney general’s office sent a warning letter to the Planned Parenthood Golden Gate Action Fund, the political advocacy and public policy arm of the affiliate, because the organization has failed to file copies of its tax documents with that that office for at least 10 years.
“We do not have any reports on file for them,” Rebecca MacLaren from the attorney general’s press office wrote in an e-mail.

The warning cautioned that if the organization fails to file those forms within 30 days, its registration would be suspended and officers would be personally liable for late fees.

In the letter, the clinicians detail a myriad of problems in the organization, including their concerns about “the misappropriation and mismanagement of PPGG’s funds.” The letter accuses the executive staff of profligate spending during lean times:

It is apparent that while Medical Services has been mandated and has complied with financial reform and cost savings, the Executive Administrative members have failed to adhere to their own mandate for financial restrictions. Executive staff’s personal expenditures are excessive and are not aligned with the mandatory fiscal restrictions. Flagrant use of PPGG funds to pay for personal belongings, personal services and exorbitant technology products is seemingly unchallenged and not subject to the same financial scrutiny that clinic supplies and staff salaries are, for example.

When Harrison replied to their concerns in a letter dated November 14, 2008, she assured the clinicians and doctors that administration was feeling the fiscal pain, too: “Administration has temporarily or permanently frozen a number of positions, budgets were cut, expenses were halted for a period of time and office supplies were not purchased,” she wrote.

And from the San Francisco Bay Guardian:

Former employees saw problems coming at Planned Parenthood Golden Gate
By Rebecca / San Francisco Bay Guardian
Created 08/11/2010 – 4:08pm

This week’s announcement that Planned Parenthood Federation of America (PPFA) was severing ties with Planned Parenthood Golden Gate (PPGG) came as no surprise to some former employees, who have for months been trying to sound the alarm that the chapter was being mismanaged, had major financial problems, and was in a steep decline that could threaten important reproductive care services that low-income women rely on.

A former PPGG employee with knowledge of the organization’s internal affairs described a longstanding pattern of financial mismanagement when former president and CEO Dian Harrison was at the helm. There was widespread concern about spending on expensive marketing campaigns and lavish functions, the person said, and a high level of employee turnover and discontent.

Warning signs of financial difficulties surfaced at least a year ago. Dan Cohen, a spokesperson of the Packard Foundation — a major donor to PPGG — told the Guardian that Packard awarded PPGG a 12-month, $30,000 “organizational effectiveness” grant, which will expire in September. The grant “allows an organization to select a talented, external provider to help them think through some of these challenges,” Cohen explained. The Packard Foundation also awarded a 3-year grant for general operating support for $800,000, which will also expire next month.

Another former employee told the Guardian that she would love to discuss internal problems, but was made to sign a confidentiality agreement upon leaving the organization.

Therese Wilson, executive vice president of Planned Parenthood Golden Gate — who took over PPGG when Harrison left last year on medical leave — did not return repeated calls seeking comment.

An internal PPGG document provided to the Guardian displays the agency’s on-hand cash reserves as compared with other affiliates, suggesting that the reserve ratios were at or below the minimum required by the national Planned Parenthood federation for all but one year from 1998 to 2007 — and well below that of other affiliates of similar size. That is a key requirement for meeting accreditation standards.

When we asked Elizabeth Toledo, a PPFA representative, about this apparent pattern she said she could not comment because she had not seen the documents. She also said the accreditation reviews were confidential. “Understanding the true financial picture for health care providers takes a very in-depth evaluation,” Toledo said. “PPFA and PPGG were working together over the last few years to resolve fiscal challenges.”

Despite delays at the state level in awarding nonprofit funding and the loss of support from the national organization, Toledo and a union representative for PPGG employees both said they believe the clinics will continue serving patients under a different name.

“They plan to stay open, and employees are planning to stay,” said SEIU Local 1021 representative Sarah Sherpun-Zimmer, who has been a union rep for PPGG employees for the last two years. “Folks are really happy working there and they feel like it’s going in a good direction.”

PPGG operated eight clinics, which will lose their Planned Parenthood accreditation Sept. 3, effectively severing their ties to a trusted entity that thousands of low-income women rely upon for birth control, abortion procedures, and other forms of reproductive health care. PPGG operates clinics in San Francisco, Alameda, San Mateo, Sonoma, Marin, and Mendocino counties, serving about 55,000 women per year.

Roughly 92 percent of the clients they serve live at or below the federal poverty line, according to PPGG’s 2008 annual report.

Planned Parenthood affiliates Mar Monte and Shasta Diablo are in the process of hatching plans for taking over some of the eight affected clinics or otherwise growing their own operations to cover any gaps in service area, according to Toledo. She said neighboring affiliates are in a position financially to be able to cover a wider territory and added that they have been in “expansion mode,” adding new clinics over the past couple years.

“It’s unusual to have a disaffiliation,” she said. “But it’s not unusual for national committees to have a reallocation of service area. That part is well-practiced.” Toledo added that “Every effort possible will be made” to ensure continuity of care.

In a report of the top paid Planned Parenthood employees for 2008, Harrison made the list when the California Catholic Daily reported this

Dian Harrison, President and Chief Executive Officer
Salary: $274,438
Benefits: $18,976
Expense Account: $11,340
Total Compensation: $304,754

Here Harrison brags about her rich and lavish new design for the abortion clinic she managed !

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Planned Parenthood’s missing millions, New GAO report reveals disturbing financial discrepancies

According to Rita Dillar , a new report from the U.S. Government Accountability Office (GAO) on federal tax money funneled into Planned Parenthood and similar organizations raises more questions than it answers about the nation’s largest abortion chain.

Planned Parenthood Federation of America’s (PPFA) audits show the organization spent just $657.1 million between 2002 and 2008 from federal government grants and programs, but the abortion behemoth’s own annual reports show that it took in $2.3 billion from government grants and programs during the same time period.

That’s not pocket change. Why the discrepancy?

The report (the first of its kind since 2002) was released in response to a request from 31 U.S. senators and representatives and in an atmosphere increasingly hostile to abortion. Not surprisingly. then, its findings are fueling an escalating outcry to defund Planned Parenthood.

Since 2009, at least five nationwide polls have confirmed that a majority of Americans consider themselves pro-life.

Someone, then, needs to explain to all those people why $2.3 billion in tax dollars have been doled out to an organization that admits to systematically having killed more than 1.8 million pre-born babies between 2002 and 2008 and then reports it only spent $657.1 million in federal dollars.

Has Planned Parenthood managed to tuck away megamillions of our tax dollars, seemingly unnoticed? Or is that much of its government funding coming from sources other than the federal government? Or is there a problem with the way Planned Parenthood is reporting its expenditure of our federal monies?

In just two weeks, Planned Parenthood will complete its 2009-10 fiscal year. Yet it still has not released its annual report for its 2008-09 fiscal year. In light of the discrepancy revealed in this GAO report, we must ask: What is Planned Parenthood trying to keep secret?

It’s time for Planned Parenthood to come clean – if such a thing is possible.

Yes, Planned Parenthood has other sources of government funding – state and local – but historical data indicate it is simply not believable that such a large amount of its funding is from local and state sources.

GAO reports for prior years show that from 1997 through 2001, PPFA expenditures of federal money accounted for an average of 72 percent of its government income.

Yet this new report shows PPFA expenditures of federal money making up an average of just 32 percent of its government income from 2002 through 2008.

Planned Parenthood’s abortion business has increased year after year in lock step with its increasing government funding, as evidenced by the included chart.

Obviously, every penny Planned Parenthood receives feeds its abortion business in one way or another.

For instance, Title X money is not to be used for abortions. However, according to Abby Johnson, former director of Planned Parenthood’s abortion center in Bryan/College Station, Texas, it is used to gain the trust of women in minority neighborhoods in order to bring them into Planned Parenthood facilities, supposedly for health care, and then persuade them to become Planned Parenthood birth-control clients. Then, when the birth control fails, the organization has a built-in minority clientele for abortion, which Ms. Johnson says is Planned Parenthood’s big cash cow.

Planned Parenthood affiliates continue to build huge abortion megacenters in minority neighborhoods in an attempt to polish its image and gear up for the veritable tsunami of clients that will be headed its way under President Obama’s health care plan, which earmarks $11 billion for community health centers.

Is there no end to the amount of our hard-earned tax dollars that will be poured down the bottomless pit known as Planned Parenthood to quench this social-engineering agency’s thirst for sexualizing our children, stealing their souls and dumping the mutilated bodies of our children’s children into our nation’s waste bins?

On May 14, Gallup produced its third consecutive poll showing that most Americans identify themselves as pro-life. It is unthinkable that American citizens continue to be forced to fund, by the sweat of their brows, the organization that commits one-third of our nation’s abortions.

American Life League stands with pro-life legislators and hundreds of thousands of grass-roots organizations and activists in calling for accountability for the money Planned Parenthood has received from the federal government and in demanding the immediate defunding of Planned Parenthood.

Rita Diller is the national director of Stop Planned Parenthood (Stopp), a project of American Life League.

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A 2010 article in the Philadelphia Bulletin headlined: Federal Funds Misappropriated By New Jersey Family Planning, Planned Parenthood By KATHLEEN GILBERT on August 24, 2010 reads:

TRENTON, N.J. – Audits by the United States Inspector General (IG) have uncovered that family planning clinics, including Planned Parenthood, have improperly taken Medicaid reimbursement for family planning services.

The audits were released by New Jersey Right to Life (NJ RTL) as pro-abortion state lawmakers lobby not only to restore $7.5 million in state family planning funds, but to acquire a federal waiver that would permanently secure the 90 percent Medicaid reimbursement rate for family planning clinics. Pro-life Governor Chris Christie has withdrawn a waiver application and, last month, vetoed an attempt to restore the state funding, a move lawmakers are angling to override.

While the state of New Jersey has taken responsibility for the incorrect recording of services, the audits leave open the question of how far the clinics themselves were complicit in the misappropriation of funds. The reports show that a total of almost $3 million was misappropriated over the course of 2001-2005.

One report, issued in 2008, singled out Planned Parenthood providers as guilty of billing all claims to Medicaid as “family planning,” including services that did not meet federal criteria for the 90 percent reimbursement rate. The normal Medicaid reimbursement rate is about 50 percent. In that report, the state was urged to reimburse almost $600,000 in Medicaid funds, and to amend their billing processes.

Instead of services that “prevent or delay pregnancy,” which are eligible for the waiver, the report found that services such as treatment for swollen ankles and a rash were listed as “family planning,” as well as other services administered to patients well beyond childbearing age. Others simply lacked documentation.

Another 2008 report found New Jersey to have improperly received reimbursement for 111 of 161 examined claims, requesting over $160,000 to be returned. A 2007 report requested the return of over $2.2 million thanks to the state of New Jersey incorrectly designating 227 National Drug Codes as related to family planning.

“The facts cannot be denied,” said New Jersey Right to Life in a press release. “Planned Parenthood’s supporters not only want to use $7.5M in taxpayer dollars to fund these family planning clinics, they also want the state of New Jersey to permanently apply for a federal waiver to reimburse family planning clinics 90 percent for every Medicaid service they provide despite the clinics’ history of improperly billing Medicaid and contributing to the nearly $3M in fees calculated by the Federal Government to be refunded to them.”

“Taxpayers should be outraged”

NJ RTL Executive Director Marie Tasy expressed disappointment that the IG audits went unnoticed as Planned Parenthood gained favor with the media during its fight for more taxpayer funds. “It’s sinful that the press did not do their homework when this issue was being used in the news,” Ms. Tasy told LifeSiteNews.com, adding that the arrogance behind the misappropriation “is astounding.”

Whether it’s Planned Parenthood or the state’s fault, she said, the audits reveal a “systematic abuse” that funnels taxpayer cash towards family planning.

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Also in 2010 , the United States Court of Appeals for the Ninth Circuit has ruled in favor of the American Center for Law and Justice’s (ACLJ) client in a multi-million dollar fraud case against Planned Parenthood (PP) affiliates in California. ACLJ attorneys are representing a former employee of the PP affiliate in Los Angeles, who is now a federal whistleblower. A federal district court in California had dismissed the case, but the Ninth Circuit’s ruling, dated yesterday, reinstates the lawsuit.

“The question on appeal was whether the former PP employee is a proper whistleblower under the False Claims Act”

“This is a tremendous victory,” said Jay Sekulow, Chief Counsel of the ACLJ. “While this case is by no means over, winning this appeal means we have gotten the federal claim over the threshold hurdles and can now get down to the heart of this case: the alleged fraud.”

The federal False Claims Act (FCA) forbids government contractors from submitting “false or fraudulent” claims for payment. The FCA also authorizes private individuals to bring suit against the offenders to recover the fraudulently obtained funds.

The allegation in this case is that PP affiliates in California illegally marked up the supposed cost of various birth control drugs when seeking government reimbursement, resulting in tens of millions of dollars of overbilling – at taxpayer expense. State audits in both California and Washington State have found PP affiliates guilty of overbilling.

When a former PP staffer sued the PP affiliates in federal court, charging the defendants with having fraudulently overbilled the state and federal governments in the amount of tens of millions of dollars, a prominent law firm began representing the PP defendants in the case at no cost to the defendants. The PP attorneys asked the federal district court to dismiss the case on technical jurisdictional grounds.

The federal district court accepted their arguments in part, and dismissed the case. ACLJ attorneys then entered the case to handle the appeal.
“The question on appeal was whether the former PP employee is a proper whistleblower under the False Claims Act,” said Sekulow. “We contended that the answer is ‘Yes,’ and now a three-judge panel of the Ninth Circuit has unanimously agreed with us.”

The ACLJ’s opening brief had dissected and refuted the arguments of PP’s attorneys point by point, explaining why the court of appeals should reverse the lower court’s judgment and reinstate the lawsuit. You can read the ACLJ opening brief here:

ACLJ attorneys subsequently filed a reply brief and two supplemental briefs addressing intervening developments in the law.
Led by Chief Counsel Jay Sekulow, the American Center for Law and Justice focuses on constitutional law and is based in Washington, D.C. The ACLJ is online at http://www.aclj.org.

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This report by Texas Watchdog from August 26,2010 shows a campaign manager for Planned Parenthood in Texas was fined. Planned Parenthood of North Texas PAC fined $3,000 for campaign finance violations

The Texas Ethics Commission has fined Cary Jennings, the campaign treasurer for Planned Parenthood of North Texas‘ political action committee, $3,000 for failing to disclose spending $26,695 to support four political candidates in the November, 2008 state elections.

The Ethics Commission also found Planned Parenthood of North Texas Action Fund Political Committee had either failed to report or made mistakes with political contribution and expenditure totals on more than 17 monthly reports required by state law.

The political action committee in a November 2008 report said it spent $26,695 for mass mailings the previous month. However, the report failed to say the mailings were made in support of Wendy Davis, who was running for state Senate and Dan Barrett, Carol Kent and Chris Turner, who were running for state House seats, according to the Ethics Commission findings.

The following month, the political action committee reported spending $15,410 in one day to the same company for a blitz of campaign telephone calls on behalf of Davis, Kent, Turner and Robert Miklos, who was running for the House. The Commission took note that this disclosure of candidate support was not reflected on the report’s cover page.

The committee filed 17 corrected campaign finance reports on Sept. 14, 2009. Texas Watchdog has a call in to Planned Parenthood, and will update the blog if we hear back from the group here .
Davis, Kent, Turner and Miklos won their legislative races, while Barrett lost to Republican physician Mark Shelton.
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Spokane’s Planned Parenthood fined by state

10/29/2010 / The Spokesman-Review
Planned Parenthood of the Inland Northwest will pay the state $345,000 after settling a 2009 audit that uncovered the clinic used incorrect codes and provided insufficient documentation for some claims billed to Medicaid.

The original audit finding estimated the Spokane family-planning organization improperly billed Medicaid more than $629,000 for 333 patient procedures from March 2004 through February 2007.

During that time, the clinic collected about $7.6 million from Medicaid.

Planned Parenthood appealed and a compromise was reached with the state “without any admission of incorrect billing, documentation of payment,” according the Department of Social and Health Services.

Learn more about Planned Parenthood’s activities by clicking my home page

Planned Parenthood: Disaffiliation or DAMAGE CONTROL is the tax payer being played as a fool?

Posted in Abortion, Eugenics, Financial mismanagement, fraud, Medicaid Billing Practices, Planned Parenthood with tags , , , , , , , , , , , , , , , , , , , , , , on August 25, 2010 by saynsumthn

Is the recent news of the Planned Parenthood’s national office’s decision to disaffiliate with Planned Parenthood Golden Gate a one time “rare occurrence” or is there a pattern of fraud, misappropriation of funds, mismanagement going on in an organization which gets millions of tax dollars per year from the government?

In 2008, Planned Parenthood cut ties with several South Florida offices for accusations of “terrible mismanagement and possibly fraud,” alleged sexual harassment against a former CEO, and a rumor that its 2006 annual report was plagiarized:

The July 2, 2008 Miami Herald article entitled, Planned Parenthood cuts ties with 5 clinics
reported this:

One of the nation’s best-known groups of health centers has permanently shut down a cluster of clinics in Broward and Palm Beach counties.

Planned Parenthood officially severed its ties Monday with five local clinics — four in Broward and one in Boca Raton — whose top administrator has acknowledged a history of “terrible mismanagement and possibly fraud.”

The disaffiliation allowed the national organization to wash its hands of the local chapter once known as Planned Parenthood of South Palm Beach and Broward Counties.

The chapter is dealing with many problems, including harassment complaints and possible misuse of nearly $450,000 — slightly less than they received in public funding in 2005.

“All these issues are now issues that they will have to face without us,” said Karen Ruffato, vice president of operations for the Planned Parenthood Federation of America.

The attitude has angered Ruth Lynch, the former Broward chapter’s CEO, who said the national organization bailed out before the local chapter could resolve its problems.

Lynch, who replaced former CEO Mary Capobianco in March, said that within two weeks of her arrival she found she could not account for $440,000 of the chapter’s $3 million budget.

“We take responsibility that there was horrible management,” Lynch said. “But that was then. This is now. We have a new board.”

CHAPTER’S PLANS

Lynch said that the chapter’s board of trustees plans to eventually open and continue medical services at the five clinics — in Oakland Park, Fort Lauderdale, Pembroke Pines, Deerfield Beach and Boca Raton — but without the trusted name of Planned Parenthood, one of the nation’s most recognized clinics in the field of reproductive heathcare.

“We don’t feel this was simple disaffiliation, we feel this was a hostile takeover,” Lynch said.

“And it was more about the Planned Parenthood trademark than it was about helping the community.”

At least 16,000 people used the five clinics for services such as breast exams, testing for HIV and abortions. In 2005, it received $500,000 in taxpayer funding.

HARSH REVIEW

The disbanding of the relationship ended a months-long back and forth between the Broward chapter and the national organization, which temporarily shut down the clinics in March after delivering a harsh review about the chapter’s administration.

Popular employees were fired. An employee alleged sexual harassment against a former CEO, Capobianco. The local board was investigating a rumor that its 2006 annual report was plagiarized.

SHUT DOWN

Ruffato said Planned Parenthood wanted to disaffiliate from the Broward chapter as soon as possible.

By March, the clinics were temporarily shut down.

They began the process in April to permanently strip the five clinics of the Planned Parenthood name.

Instead, Ruffato said they entrusted the more-reputable Planned Parenthood of Greater Miami, Palm Beach and the Treasure Coast to open one clinic in Broward and one in Boca Raton.

Ruffato said the Greater Miami chapter is one of the country’s best.

‘UNFORTUNATE’

“This is a very rare situation and a very unfortunate situation,” Ruffato said. “And as sad and as hard as moving through a disaffiliation is, I believe our ultimate responsibility is to the mission. And ultimately we need to make sure that your community clinic has the best healthcare and meets our high standards.”

For now, Planned Parenthood is concentrating on replacing the five clinics with at least two, said Judith Selzer, spokeswoman for the Greater Miami chapter. Officers plan to select one site by next month.

Selzer said they will add clinics “as quickly and swiftly as the community needs.”

The chapter plans to include Broward residents on the staff and board of trustees.

Said Selzer: “We’re poised and we’re ready to do this.”

A 2007 Planned Parenthood of South Palm Beach and Broward Counties’ annual report showed that the CEO CEO Mary Capobianco , made $108,978.00
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December of 2010

Vodpod videos no longer available.

PP, posted with vodpod

Newschannel 3 obtained a management letter presented to the board of directors at Planned Parenthood of Southwest Michigan after an audit by Flegal and Tibbitts CPAs in May of 2010. The letter outlined several key problems.

“Bank statements in some instances were accumulated (by the director of finance Rene Davis) for (up to six months) before they were reconciled.”

CPAs that Newschannel 3 has contacted say not reconciling accounts monthly means errors or any misuse of funds is difficult to spot. The letter also says;

“Several transactions indicated the expenses were employee’s personal expenses that were not charged to the employee.”

Some personal expenses, such as household bills were mis-coded by Davis and paid as company expenses. Finally the management letter says;

“We found were changes in withholding for the Director of Finance had been made with no approval (by the CEO as required).”

In all, sources tell us that Davis took around $5,000. Planned Parenthood admits that Davis took money for inappropriate uses, but disputes the amount.

Planned Parenthood CEO Rev. Mark Pawlowski gave us a statement, saying;

“It came to our attention and we were duly diligent in investigating it. The employee faced disciplinary action and is no longer responsible for any financial duties within the organization.”

But Davis was not fired, instead she was appointed as Chief Operating Officer, this at a time when many other Planned Parenthood employees lost their jobs as a result of cutbacks.

Planned Parenthood says Davis paid back all the money and no charges have been filed against her. Planned Parenthood CEO Rev. Mark Pawlowski is in charge of hiring and firing, and has been for fourteen years.

Now, the board of directors is searching for a new CEO. Some board members have told Newschannel 3 the search for a replacement was prompted by the handling of Davis’ situation. Pawlowski says that’s not true.

Newschannel 3 has requested public documents from Planned Parenthood to learn more about how much money was taken.

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H/T Texas Watchdog

Planned Parenthood of North Texas PAC fined $3,000 for campaign finance violations

Aug 26, 2010 By Mark Lisheron

The Texas Ethics Commission has fined Cary Jennings, the campaign treasurer for Planned Parenthood of North Texas‘ political action committee, $3,000 for failing to disclose spending $26,695 to support four political candidates in the November, 2008 state elections.

The Ethics Commission also found Planned Parenthood of North Texas Action Fund Political Committee had either failed to report or made mistakes with political contribution and expenditure totals on more than 17 monthly reports required by state law.

The political action committee in a November 2008 report said it spent $26,695 for mass mailings the previous month. However, the report failed to say the mailings were made in support of Wendy Davis, who was running for state Senate and Dan Barrett, Carol Kent and Chris Turner, who were running for state House seats, according to the Ethics Commission findings.

The following month, the political action committee reported spending $15,410 in one day to the same company for a blitz of campaign telephone calls on behalf of Davis, Kent, Turner and Robert Miklos, who was running for the House. The Commission took note that this disclosure of candidate support was not reflected on the report’s cover page.

The committee filed 17 corrected campaign finance reports on Sept. 14, 2009. Texas Watchdog has a call in to Planned Parenthood, and will update the blog if we hear back from the group here .
Davis, Kent, Turner and Miklos won their legislative races, while Barrett lost to Republican physician Mark Shelton.

The Ft. Worth Telegraph reported it this way: Planned Parenthood PAC failed to disclose campaign support
Posted Thursday, Aug. 26, 2010

The Planned Parenthood of North Texas Action Fund PAC fouled up 17 monthly campaign expense reports and omitted an expenditure of about $27,000 that supported four local candidates for the Legislature.

The Texas Ethics Commission posted a report this week that said the political action committee failed to identify the candidates and improperly disclosed expenditures on their behalf.

An amended finance report filed by the PAC shows that the candidates supported by the mailings were Sen. Wendy Davis, D-Fort Worth, and House candidates Chris Turner, Dan Barrett and Carol Kent, all Democrats.

The committee’s treasurer, Cary Jennings, declined to comment. He was fined $3,000, according to a commission order.

The PAC has made internal changes, Director Kathryn Allen said.

“We feel we have fixed the problem and will not make this mistake going forward,” she said. “We weren’t trying to conceal our support for those candidates.”

At question was $26,695 paid on Oct. 14, 2008. The PAC corrected filings in September 2009 to show that it paid Gold Communications to send mailers that benefited the four legislative candidates. The original November 2008 monthly report disclosed the expense but not that the money directly benefited candidates.

The commission found the error when examining a complaint about monthly reports. Between April 2008 and August 2009, the PAC filed reports that inaccurately stated the balance of cash on hand. Balances changed on average by about $6,700. The two largest changes to the contribution balance were a decrease of $25,100 and a decrease of $44,560.

Once the mistake was found, the PAC filed corrected reports within a week, Allen said.

“Our PAC is fairly new, and being new to reporting, we had some technical errors that were found,” Allen said. “They were related to cash on hand. Those have been corrected.”

Read more: http://www.star-telegram.com/2010/08/26/2428025/planned-parenthood-pac-failed.html#ixzz0xobkyfYd
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In 2009

An Audit Shows Planned Parenthood Owes Thousands, sources say debt stands at $1 million

According to this story by KFOX: Planned Parenthood Owes $154K To UMC from November 13, 2009

EL PASO, Texas — KFOX has confirmed Friday that Planned Parenthood Center of El Paso owes more than $150,000 to the county’s University Medical Center.

Through an open records request, KFOX has learned that PPCEP owes UMC $154,814. Sources close to PPCEP claim their total debt stands at more than $1 million.

University Medical Center declined any comment on PPCEP’s current balance. They did not disclose what type of contract was established.

As KFOX reported, a state audit found that PPCEP violated its state contracts after it requested reimbursement for bills that were never paid.

State representatives have told KFOX that it is unclear if the money will ever be collected, and PPCEP is currently under bankruptcy protection.

KFOX has not been able to confirm PPCEP’s bankruptcy status

View Story Here:

Inspector General Report Here

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In 2010


Planned Parenthood Golden Gate’s former employees blame the organization’s longstanding pattern of financial mismanagement, former PPGG CEO, Dian Harrison. Because of this, the national Planned Parenthood organization has announced it will divorce itself from the networks of clinics that serve patients in five Bay Area counties, citing fiscal and administrative problems with the local organization. Effective Sept. 3, 2010, Planned Parenthood Golden Gate must operate under another name, a representative of the national organization said that Planned Parenthood Golden Gate had failed to uphold the “standards and guidelines” by which each separately incorporated affiliate must abide, but that the details of the situation were confidential.

“They were not meeting our standards for administrative and fiscal management,” said Karen Ruffato, vice president of affiliate services for the national organization.

A report in the Bay Citizen:

The most recent tax documents filed with the I.R.S. suggest that PPGG has not only been losing money in recent years, but is in financial disarray. For the tax year ending June 30, 2009, it showed a loss of $2.8 million.

Yet, from financial information for the previous year, it’s unclear just how much money the organization lost because it filed three separate sets of numbers with the I.R.S. In the filings, losses ranged between nearly $1.9 and $2.8 million. Two different accounting firms signed off on the various filings.

Tax documents also show that the organization’s financial problems did not start with the catastrophic recession and California’s fiscal crisis, which has delayed MediCal reimbursements from the state. Tax documents for the year ending June 30, 2007 show that the organization lost $181,000 that year.

Yet, the organization’s fiscal problems date farther back. Documents associated with a 2004 accreditation review of Planned Parenthood Golden Gate show that the local affiliate did not meet the national federation’s financial standards for its affiliates. Of nine indicators of financial health, Planned Parenthood Golden Gate was given a “not met” rating for five of them. For instance, the affiliate had only 11.4 days of cash on hand, as opposed to the required 60 days.

Planned Parenthood Federation of America executives refused to comment on the accreditation documents on the grounds that they’re internal and confidential.
On Wednesday, the charitable trusts division of the state’s attorney general’s office sent a warning letter to the Planned Parenthood Golden Gate Action Fund, the political advocacy and public policy arm of the affiliate, because the organization has failed to file copies of its tax documents with that that office for at least 10 years.
“We do not have any reports on file for them,” Rebecca MacLaren from the attorney general’s press office wrote in an e-mail.

The warning cautioned that if the organization fails to file those forms within 30 days, its registration would be suspended and officers would be personally liable for late fees.

In the letter, the clinicians detail a myriad of problems in the organization, including their concerns about “the misappropriation and mismanagement of PPGG’s funds.” The letter accuses the executive staff of profligate spending during lean times:

It is apparent that while Medical Services has been mandated and has complied with financial reform and cost savings, the Executive Administrative members have failed to adhere to their own mandate for financial restrictions. Executive staff’s personal expenditures are excessive and are not aligned with the mandatory fiscal restrictions. Flagrant use of PPGG funds to pay for personal belongings, personal services and exorbitant technology products is seemingly unchallenged and not subject to the same financial scrutiny that clinic supplies and staff salaries are, for example.

When Harrison replied to their concerns in a letter dated November 14, 2008, she assured the clinicians and doctors that administration was feeling the fiscal pain, too: “Administration has temporarily or permanently frozen a number of positions, budgets were cut, expenses were halted for a period of time and office supplies were not purchased,” she wrote.

And from the San Francisco Bay Guardian:

Former employees saw problems coming at Planned Parenthood Golden Gate
By Rebecca / San Francisco Bay Guardian
Created 08/11/2010 – 4:08pm

This week’s announcement that Planned Parenthood Federation of America (PPFA) was severing ties with Planned Parenthood Golden Gate (PPGG) came as no surprise to some former employees, who have for months been trying to sound the alarm that the chapter was being mismanaged, had major financial problems, and was in a steep decline that could threaten important reproductive care services that low-income women rely on.

A former PPGG employee with knowledge of the organization’s internal affairs described a longstanding pattern of financial mismanagement when former president and CEO Dian Harrison was at the helm. There was widespread concern about spending on expensive marketing campaigns and lavish functions, the person said, and a high level of employee turnover and discontent.

Warning signs of financial difficulties surfaced at least a year ago. Dan Cohen, a spokesperson of the Packard Foundation — a major donor to PPGG — told the Guardian that Packard awarded PPGG a 12-month, $30,000 “organizational effectiveness” grant, which will expire in September. The grant “allows an organization to select a talented, external provider to help them think through some of these challenges,” Cohen explained. The Packard Foundation also awarded a 3-year grant for general operating support for $800,000, which will also expire next month.

Another former employee told the Guardian that she would love to discuss internal problems, but was made to sign a confidentiality agreement upon leaving the organization.

Therese Wilson, executive vice president of Planned Parenthood Golden Gate — who took over PPGG when Harrison left last year on medical leave — did not return repeated calls seeking comment.

An internal PPGG document provided to the Guardian displays the agency’s on-hand cash reserves as compared with other affiliates, suggesting that the reserve ratios were at or below the minimum required by the national Planned Parenthood federation for all but one year from 1998 to 2007 — and well below that of other affiliates of similar size. That is a key requirement for meeting accreditation standards.

When we asked Elizabeth Toledo, a PPFA representative, about this apparent pattern she said she could not comment because she had not seen the documents. She also said the accreditation reviews were confidential. “Understanding the true financial picture for health care providers takes a very in-depth evaluation,” Toledo said. “PPFA and PPGG were working together over the last few years to resolve fiscal challenges.”

Despite delays at the state level in awarding nonprofit funding and the loss of support from the national organization, Toledo and a union representative for PPGG employees both said they believe the clinics will continue serving patients under a different name.

“They plan to stay open, and employees are planning to stay,” said SEIU Local 1021 representative Sarah Sherpun-Zimmer, who has been a union rep for PPGG employees for the last two years. “Folks are really happy working there and they feel like it’s going in a good direction.”

PPGG operated eight clinics, which will lose their Planned Parenthood accreditation Sept. 3, effectively severing their ties to a trusted entity that thousands of low-income women rely upon for birth control, abortion procedures, and other forms of reproductive health care. PPGG operates clinics in San Francisco, Alameda, San Mateo, Sonoma, Marin, and Mendocino counties, serving about 55,000 women per year.

Roughly 92 percent of the clients they serve live at or below the federal poverty line, according to PPGG’s 2008 annual report.

Planned Parenthood affiliates Mar Monte and Shasta Diablo are in the process of hatching plans for taking over some of the eight affected clinics or otherwise growing their own operations to cover any gaps in service area, according to Toledo. She said neighboring affiliates are in a position financially to be able to cover a wider territory and added that they have been in “expansion mode,” adding new clinics over the past couple years.

“It’s unusual to have a disaffiliation,” she said. “But it’s not unusual for national committees to have a reallocation of service area. That part is well-practiced.” Toledo added that “Every effort possible will be made” to ensure continuity of care.

In a report of the top paid Planned Parenthood employees for 2008, Harrison made the list when the California Catholic Daily reported this

Dian Harrison, President and Chief Executive Officer
Salary: $274,438
Benefits: $18,976
Expense Account: $11,340
Total Compensation: $304,754

Here Harrison brags about her rich and lavish new design for the abortion clinic she managed !

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Planned Parenthood’s missing millions, New GAO report reveals disturbing financial discrepancies

According to Rita Dillar , a new report from the U.S. Government Accountability Office (GAO) on federal tax money funneled into Planned Parenthood and similar organizations raises more questions than it answers about the nation’s largest abortion chain.

Planned Parenthood Federation of America’s (PPFA) audits show the organization spent just $657.1 million between 2002 and 2008 from federal government grants and programs, but the abortion behemoth’s own annual reports show that it took in $2.3 billion from government grants and programs during the same time period.

That’s not pocket change. Why the discrepancy?

The report (the first of its kind since 2002) was released in response to a request from 31 U.S. senators and representatives and in an atmosphere increasingly hostile to abortion. Not surprisingly. then, its findings are fueling an escalating outcry to defund Planned Parenthood.

Since 2009, at least five nationwide polls have confirmed that a majority of Americans consider themselves pro-life.

Someone, then, needs to explain to all those people why $2.3 billion in tax dollars have been doled out to an organization that admits to systematically having killed more than 1.8 million pre-born babies between 2002 and 2008 and then reports it only spent $657.1 million in federal dollars.

Has Planned Parenthood managed to tuck away megamillions of our tax dollars, seemingly unnoticed? Or is that much of its government funding coming from sources other than the federal government? Or is there a problem with the way Planned Parenthood is reporting its expenditure of our federal monies?

In just two weeks, Planned Parenthood will complete its 2009-10 fiscal year. Yet it still has not released its annual report for its 2008-09 fiscal year. In light of the discrepancy revealed in this GAO report, we must ask: What is Planned Parenthood trying to keep secret?

It’s time for Planned Parenthood to come clean – if such a thing is possible.

Yes, Planned Parenthood has other sources of government funding – state and local – but historical data indicate it is simply not believable that such a large amount of its funding is from local and state sources.

GAO reports for prior years show that from 1997 through 2001, PPFA expenditures of federal money accounted for an average of 72 percent of its government income.

Yet this new report shows PPFA expenditures of federal money making up an average of just 32 percent of its government income from 2002 through 2008.

Planned Parenthood’s abortion business has increased year after year in lock step with its increasing government funding, as evidenced by the included chart.

Obviously, every penny Planned Parenthood receives feeds its abortion business in one way or another.

For instance, Title X money is not to be used for abortions. However, according to Abby Johnson, former director of Planned Parenthood’s abortion center in Bryan/College Station, Texas, it is used to gain the trust of women in minority neighborhoods in order to bring them into Planned Parenthood facilities, supposedly for health care, and then persuade them to become Planned Parenthood birth-control clients. Then, when the birth control fails, the organization has a built-in minority clientele for abortion, which Ms. Johnson says is Planned Parenthood’s big cash cow.

Planned Parenthood affiliates continue to build huge abortion megacenters in minority neighborhoods in an attempt to polish its image and gear up for the veritable tsunami of clients that will be headed its way under President Obama’s health care plan, which earmarks $11 billion for community health centers.

Is there no end to the amount of our hard-earned tax dollars that will be poured down the bottomless pit known as Planned Parenthood to quench this social-engineering agency’s thirst for sexualizing our children, stealing their souls and dumping the mutilated bodies of our children’s children into our nation’s waste bins?

On May 14, Gallup produced its third consecutive poll showing that most Americans identify themselves as pro-life. It is unthinkable that American citizens continue to be forced to fund, by the sweat of their brows, the organization that commits one-third of our nation’s abortions.

American Life League stands with pro-life legislators and hundreds of thousands of grass-roots organizations and activists in calling for accountability for the money Planned Parenthood has received from the federal government and in demanding the immediate defunding of Planned Parenthood.

Rita Diller is the national director of Stop Planned Parenthood (Stopp), a project of American Life League.

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A 2010 article in the Philadelphia Bulletin headlined: Federal Funds Misappropriated By New Jersey Family Planning, Planned Parenthood By KATHLEEN GILBERT on August 24, 2010 reads:

TRENTON, N.J. – Audits by the United States Inspector General (IG) have uncovered that family planning clinics, including Planned Parenthood, have improperly taken Medicaid reimbursement for family planning services.

The audits were released by New Jersey Right to Life (NJ RTL) as pro-abortion state lawmakers lobby not only to restore $7.5 million in state family planning funds, but to acquire a federal waiver that would permanently secure the 90 percent Medicaid reimbursement rate for family planning clinics. Pro-life Governor Chris Christie has withdrawn a waiver application and, last month, vetoed an attempt to restore the state funding, a move lawmakers are angling to override.

While the state of New Jersey has taken responsibility for the incorrect recording of services, the audits leave open the question of how far the clinics themselves were complicit in the misappropriation of funds. The reports show that a total of almost $3 million was misappropriated over the course of 2001-2005.

One report, issued in 2008, singled out Planned Parenthood providers as guilty of billing all claims to Medicaid as “family planning,” including services that did not meet federal criteria for the 90 percent reimbursement rate. The normal Medicaid reimbursement rate is about 50 percent. In that report, the state was urged to reimburse almost $600,000 in Medicaid funds, and to amend their billing processes.

Instead of services that “prevent or delay pregnancy,” which are eligible for the waiver, the report found that services such as treatment for swollen ankles and a rash were listed as “family planning,” as well as other services administered to patients well beyond childbearing age. Others simply lacked documentation.

Another 2008 report found New Jersey to have improperly received reimbursement for 111 of 161 examined claims, requesting over $160,000 to be returned. A 2007 report requested the return of over $2.2 million thanks to the state of New Jersey incorrectly designating 227 National Drug Codes as related to family planning.

“The facts cannot be denied,” said New Jersey Right to Life in a press release. “Planned Parenthood’s supporters not only want to use $7.5M in taxpayer dollars to fund these family planning clinics, they also want the state of New Jersey to permanently apply for a federal waiver to reimburse family planning clinics 90 percent for every Medicaid service they provide despite the clinics’ history of improperly billing Medicaid and contributing to the nearly $3M in fees calculated by the Federal Government to be refunded to them.”

“Taxpayers should be outraged”

NJ RTL Executive Director Marie Tasy expressed disappointment that the IG audits went unnoticed as Planned Parenthood gained favor with the media during its fight for more taxpayer funds. “It’s sinful that the press did not do their homework when this issue was being used in the news,” Ms. Tasy told LifeSiteNews.com, adding that the arrogance behind the misappropriation “is astounding.”

Whether it’s Planned Parenthood or the state’s fault, she said, the audits reveal a “systematic abuse” that funnels taxpayer cash towards family planning.

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Kansas high court returns Planned Parenthood case to District Court
By DAVID KLEPPER
The Star’s Topeka correspondent 10/2010

TOPEKA | After a long delay, a criminal prosecution of Planned Parenthood’s Overland Park clinic may proceed, the Kansas Supreme Court ruled Friday.
Planned Parenthood of Kansas and Mid-Missouri faces 107 charges that it falsified records and performed illegal abortions. Phill Kline filed the charges in 2007 when he served as Johnson County district attorney.

The case had been tied up in a dispute over subpoenas, but the high court returned it to the District Court, where it may proceed.

The charges against Planned Parenthood included 23 felonies. Kline argued that the group’s clinic performed illegal late-term abortions and falsified or forged documents to make it appear the abortions were legal.

Planned Parenthood denies the allegation and insists it doesn’t perform abortions after the 22nd week of pregnancy, the legal threshold for late-term abortions.

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Also in 2010 , the United States Court of Appeals for the Ninth Circuit has ruled in favor of the American Center for Law and Justice’s (ACLJ) client in a multi-million dollar fraud case against Planned Parenthood (PP) affiliates in California. ACLJ attorneys are representing a former employee of the PP affiliate in Los Angeles, who is now a federal whistleblower. A federal district court in California had dismissed the case, but the Ninth Circuit’s ruling, dated yesterday, reinstates the lawsuit.

“The question on appeal was whether the former PP employee is a proper whistleblower under the False Claims Act”

“This is a tremendous victory,” said Jay Sekulow, Chief Counsel of the ACLJ. “While this case is by no means over, winning this appeal means we have gotten the federal claim over the threshold hurdles and can now get down to the heart of this case: the alleged fraud.”

The federal False Claims Act (FCA) forbids government contractors from submitting “false or fraudulent” claims for payment. The FCA also authorizes private individuals to bring suit against the offenders to recover the fraudulently obtained funds.

The allegation in this case is that PP affiliates in California illegally marked up the supposed cost of various birth control drugs when seeking government reimbursement, resulting in tens of millions of dollars of overbilling – at taxpayer expense. State audits in both California and Washington State have found PP affiliates guilty of overbilling.

When a former PP staffer sued the PP affiliates in federal court, charging the defendants with having fraudulently overbilled the state and federal governments in the amount of tens of millions of dollars, a prominent law firm began representing the PP defendants in the case at no cost to the defendants. The PP attorneys asked the federal district court to dismiss the case on technical jurisdictional grounds.

The federal district court accepted their arguments in part, and dismissed the case. ACLJ attorneys then entered the case to handle the appeal.
“The question on appeal was whether the former PP employee is a proper whistleblower under the False Claims Act,” said Sekulow. “We contended that the answer is ‘Yes,’ and now a three-judge panel of the Ninth Circuit has unanimously agreed with us.”

The ACLJ’s opening brief had dissected and refuted the arguments of PP’s attorneys point by point, explaining why the court of appeals should reverse the lower court’s judgment and reinstate the lawsuit. You can read the ACLJ opening brief here:

ACLJ attorneys subsequently filed a reply brief and two supplemental briefs addressing intervening developments in the law.
Led by Chief Counsel Jay Sekulow, the American Center for Law and Justice focuses on constitutional law and is based in Washington, D.C. The ACLJ is online at http://www.aclj.org.

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This report by Texas Watchdog from August 26,2010 shows a campaign manager for Planned Parenthood in Texas was fined. Planned Parenthood of North Texas PAC fined $3,000 for campaign finance violations

The Texas Ethics Commission has fined Cary Jennings, the campaign treasurer for Planned Parenthood of North Texas‘ political action committee, $3,000 for failing to disclose spending $26,695 to support four political candidates in the November, 2008 state elections.

The Ethics Commission also found Planned Parenthood of North Texas Action Fund Political Committee had either failed to report or made mistakes with political contribution and expenditure totals on more than 17 monthly reports required by state law.

The political action committee in a November 2008 report said it spent $26,695 for mass mailings the previous month. However, the report failed to say the mailings were made in support of Wendy Davis, who was running for state Senate and Dan Barrett, Carol Kent and Chris Turner, who were running for state House seats, according to the Ethics Commission findings.

The following month, the political action committee reported spending $15,410 in one day to the same company for a blitz of campaign telephone calls on behalf of Davis, Kent, Turner and Robert Miklos, who was running for the House. The Commission took note that this disclosure of candidate support was not reflected on the report’s cover page.

The committee filed 17 corrected campaign finance reports on Sept. 14, 2009. Texas Watchdog has a call in to Planned Parenthood, and will update the blog if we hear back from the group here .
Davis, Kent, Turner and Miklos won their legislative races, while Barrett lost to Republican physician Mark Shelton.

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Spokane’s Planned Parenthood fined by state

10/29/2010 / The Spokesman-Review
Planned Parenthood of the Inland Northwest will pay the state $345,000 after settling a 2009 audit that uncovered the clinic used incorrect codes and provided insufficient documentation for some claims billed to Medicaid.

The original audit finding estimated the Spokane family-planning organization improperly billed Medicaid more than $629,000 for 333 patient procedures from March 2004 through February 2007.

During that time, the clinic collected about $7.6 million from Medicaid.

Planned Parenthood appealed and a compromise was reached with the state “without any admission of incorrect billing, documentation of payment,” according the Department of Social and Health Services.

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Learn more about Planned Parenthood’s activities by clicking my home page

Media report here

Accusations continue to fly against Planned Parenthood Golden Gate by those who claim to be in the “know”

Posted in Abortion, Financial mismanagement, Planned Parenthood with tags , , , , , , , , , , , on August 17, 2010 by saynsumthn

This week’s announcement that Planned Parenthood Federation of America (PPFA) was severing ties with Planned Parenthood Golden Gate (PPGG) came as no surprise to some former employees,

The San Francisco Bay Guardian is filling up with staff, board, and associate comments about PPGG. The article is here- the comments are interesting (Read Below)
(Comments on Planned Parenthood Golden Gate Clinic – )

COMMENTS BEGIN:

PPGG’s finances
If this Planned Parenthood affiliate had not been meeting minimum requirements for a cash reserve since 1998, why did they continually get approved/re-accredited by the national agency? The national spokesperson quoted, Elizabeth Toledo, said they’d only been working with them the past few years, but this problem sounds like it was ongoing since at least 1998. Reading between the lines, it sounds like the CEO was doing something wrong and covered it up as long as possible, then with the current recession had to just leave and the national office is trying to sweep it under the rug. The women who needed PPGG for care are the only ones to suffer I guess.
• reply
Posted by Samantha on Aug. 11, 2010 @ 6:23 pm
This article only touches on the tip of the ice berg
DIg a little deeper and you will discover gross inequities in pay between the administration and the front lines and unbelievable administrative blunders. I believe the far right infiltrated the agency and began to destroy it from within. The saddest part is that the medical staff is skilled and dedicated. However with the loss of PPFA oversight and malpractice insurance; no intelligent clinician would ever work for this group of scoundrels.
• reply
Posted by Guest 10+ year employee of PPGG on Aug. 11, 2010 @ 9:37 pm
If the current administration
If the current administration at PPGG were interested in serving their communities and their patients they would work with Planned Parenthood Shasta Diablo, Mar monte and the national organization to facilitate a speedy and friendly merger of the affiliates. This would ensure financial strength and continuity of care for the patients. Instead, they are clawing on to the idea of a new group of clinics – why? To keep their own paychecks coming?
• reply
Posted by Guest Anonymous on Aug. 12, 2010 @ 6:54 am
I would just like to point
I would just like to point out that PPGG not only serve women, but men as well.
Thank you.
• reply
Posted by Guest on Aug. 11, 2010 @ 10:34 pm
Re: Men and women
Thank you for pointing that out, Guest. Apologies for the omission.
• reply
Posted by rebecca on Aug. 12, 2010 @ 10:03 am
CEO’s salary
It was well known withing the agency that the former CEO, Dian Harrison, didn’t care about the mission or the patients and was only enriching herself and living large off of PPGG’s budget. She was so corrupt she even took to hiding her salary on the agency’s 990 tax forms for several years until the IRS started looking into her business. If the government ever looks at PPGG’s books, both Dian and the current CEO, Therese Wilson, will be sharing a jail cell next to Bernie Madoff.
• reply
Posted by Laura, former staff on Aug. 12, 2010 @ 7:32 am
CEO’s expense account and consultants
Nevermind if the government ever audits them, if the government just interviews former staff they’ll learn amazing things. Like how Dian had a hidden expense account for personal use and paid an “executive coach” over $100,000 a year to tell her how to be a CEO. Not just for one year, but for her entire tenure. I’m sure major foundations would like to have known they were paying this guy, Mike Takagawa, to hold Dian’s hand in perpetuity.
http://www.corporatedge.com/firm-founder.php
Check out his website and you can read Dian’s praise of Mike. It still even lists her as the CEO! He clearly wasn’t worth the money as he and Dian tanked the agency, but Dian’s review of him is a glowing load of BS:
http://www.corporatedge.com/clients-testimonials.php
“Over the years, the results of our Executive Partnership have been amazing. Working with Mike Takagawa has been an uplifting experience. It has alleviated a lot of the fears and stress I had as I transitioned into a much larger organization. Mike and the Corporate Edge team helped us achieve a major business turnaround that generated more than $1 million in new revenue sources. Corporate Edge also helped us establish an internal mentoring program that dramatically increased the productivity, retention levels, and spirit of collaboration among our employees.”
• reply
Posted by A.B., former fundraiser for PPGG on Aug. 12, 2010 @ 1:49 pm
This is so true! You would be
This is so true! You would be amazed/disgusted about the $$$ executives were making at PPGG, meanwhile excellent, long time employees never once recieved a merit raise, even after years of dedicated service. Total BS!!
• reply
Posted by Yet another former staff member! on Aug. 12, 2010 @ 7:40 pm
I cannot believe that “folks
I cannot believe that “folks are really happy” and all is going fine.
• reply
Posted by Guest on Aug. 12, 2010 @ 12:44 pm
This union rep is completely
This union rep is completely disillusioned. I am in touch with many staff who still painstakingly working within the remaining shell of PPGG and I doubt ANYONE would say they are really happy! They are extremely dedicated to caring for the clients, but I would definitely say that no one is happy with the working conditions there and the morale has been terrible since I left years ago.
• reply
Posted by Yet another former staff member! on Aug. 12, 2010 @ 7:44 pm
Somehow I find it hard to
Somehow I find it hard to believe that the current employees are happy.
• reply
Posted by Guest on Aug. 12, 2010 @ 12:50 pm
As a former employee, I can
As a former employee, I can guarantee that if every single staff member (past and present) were asked, they would absolutely disagree with what that union rep said. Looking at the turnover rate alone would be an indicator of that. Looking at the number of staff who left PPGG to work for another PP affiliate would be an indicator of that. I dare the Guardian to anonymously poll every staff member right now and ask them if they are happy. I would be shocked if 100% surveyed did not say they were in fact quite unhappy.
• reply
Posted by Guest on Aug. 12, 2010 @ 5:36 pm
Planned Parenthood debaucle
As a former union rep for 5 years with Planned Parenthood Golden Gate all I can say is this has been a very very long time coming. This organization took the good name of Planned Parenthood that is respected nationwide and abused its mission, finances, and staff. There was a huge discrepancy in pay between the front line workers and management. They routinely violated their union contract and exploited the giving nature of their workers. They would meet any request for decent wages, working conditions etc. with a type of feminist guilt that you didn’t support “the cause.” One can only hope that Dian Harrison’s finances are scrutinized and her cronies are questioned. Good luck to anyone still working there and know that there are many fields in health care where you will be treated well and not punished for your good work and efforts. Jump ship if you can!!
• reply
Posted by Guest Leslie on Aug. 12, 2010 @ 3:17 pm
http://www.baycitizen.org/hea
http://www.baycitizen.org/health/story/financial-docs-raise-questions-ab…
• reply
Posted by Guest on Aug. 12, 2010 @ 3:38 pm
The previous link seemed to
The previous link seemed to be the wrong one, but this one is correct, and holy cow:
http://www.baycitizen.org/health/story/financial-docs-raise-questions-ab…
“The local organization has also not kept up with reporting the activities of its related political action fund to the state. On Wednesday, the charitable trusts division of the state’s attorney general’s office sent a warning letter to the Planned Parenthood Golden Gate Action Fund, the political advocacy and public policy arm of the affiliate, because the organization has failed to file copies of its tax documents with that that office for at least 10 years.”
Dian and her cronies and enablers are screwed.
• reply
Posted by Jane on Aug. 12, 2010 @ 4:30 pm
PPGG Board
Aren’t the true leaders of a non-profit the Board of Trustees? What is their hand in all of this? Where was their fiduciary responsibility?
• reply
Posted by Guest on Aug. 12, 2010 @ 5:38 pm
Yes – good question. This is,
Yes – good question. This is, I assume, what keeps Dian’s (and probably other senior administrators) actions from being considered embezzlement. The Board had no oversight. I don’t know how they could look the other way or be this ignorant of the problems for so long. They should all be held liable for the loss of services to Bay Area women who relied on these clinics.
• reply
Posted by Anon colleague on Aug. 15, 2010 @ 10:09 am
MAny of Dian’s friends were
MAny of Dian’s friends were on the board. Employees and the board were never really allowed to mix, so the board only got the story in whatever form Dian chose to tell it.
• reply
Posted by Guest on Aug. 13, 2010 @ 9:50 am
The Board
When the 30 medical providers at PPGG, both clinicians and doctors, sent the “Letter of Concern” in 2008 (quoted in the Financial Docs article listed above), it was to Dian Harrison, PPFA, and the board. The board’s response was that they were in complete support of Dian and that we had broken protocol by contacting them. The last line was “We, the Trustees, will not be communicating with you any further and do not expect to receive any further communications from you.” How could this kind of purposeful disregard for the legitimate concerns of so many medical providers be ethical??
• reply
Posted by Guest on Aug. 13, 2010 @ 1:26 pm
the board was hand-picked
Dian chose the members of the board herself and there was a lot of payback to her friends and rich donors. For example, a very rich donor got her daughter, who was in high school, high school! a seat on the board. How someone in high school can provide legal oversight to a large and complex company is beyond me, but it sure got Dian whatever she wanted.
Check out Guidestar if you want to look up their board members. The ones who weren’t in high school should have known better as they’re going to be legally responsible for a lot of stuff they probably weren’t counting on.
• reply
Posted by Guest on Aug. 13, 2010 @ 2:13 pm
the former CEO is not on medical leave
I just looked up her LinkedIn profile and she lists being the CEO in her past. Apparently she’s a consultant now. I hope no one is wasting their money on her. Sounds like that whole “medical leave” thing is code for getting out of Dodge.
From her profile on LinkedIn
http://www.linkedin.com/pub/dian-harrison/6/3aa/496
Current
* Independent Consultant at Independent Consultant
Past
* President & CEO at Planned Parenthood Golden Gate
* Assistant Director Finance and Administration at San Jose Redevelopment Agency
* President & CEO at Santa Clara Valley Urban League
• reply

Posted by Ellen on Aug. 14, 2010 @ 9:27 am

was the union representative
was the union representative paid off as well? where did she get that misinformation? perhaps if she would return the abundance of messages left on her voicemail. we need our union dues recouped.
• reply
Posted by Guest on Aug. 14, 2010 @ 8:34 pm
the union didn’t care
The union didn’t really care about us. We were a small shop for them compared to places like Kaiser, so they didn’t pay much attention to the concerns of staff and were just content to collect our dues every month. They pretty much colluded with Dian to negotiate behind the employees’ backs and the only reason they’re probably commenting with this happy-talk nonsense is that they’re afraid they’ll be losing a bunch of dues paying members when this place goes under. Dian was extremely anti-union and anti-worker, so she was more than happy to have a union that didn’t really care about helping its members as it allowed her to do whatever she wanted to staff.
• reply

READ: Should there be an investigation into tax funded Planned Parenthood clinics? Letter reveals PPGG’s “misappropriation and mismanagement of funds”

More Here

Should there be an investigation into tax funded Planned Parenthood clinics? Letter reveals PPGG’s “misappropriation and mismanagement of funds”

Posted in Abortion, Defund Planned Parenthood, Financial mismanagement, Planned Parenthood with tags , , , , , , , , , , , , , , , on August 13, 2010 by saynsumthn

Looks like Planned Parenthood is dumping their affiliate PPGG just in the nick of time – should there be an investigation, after all Planned Parenthood gets millions of tax dollars per year???


Planned Parenthood Golden Gate’s former employees blame the organization’s longstanding pattern of financial mismanagement, former PPGG CEO, Dian Harrison. Because of this, the national Planned Parenthood organization has announced it will divorce itself from the networks of clinics that serve patients in five Bay Area counties, citing fiscal and administrative problems with the local organization. Effective Sept. 3, Planned Parenthood Golden Gate must operate under another name, a representative of the national organization said that Planned Parenthood Golden Gate had failed to uphold the “standards and guidelines” by which each separately incorporated affiliate must abide, but that the details of the situation were confidential.

“They were not meeting our standards for administrative and fiscal management,” said Karen Ruffato, vice president of affiliate services for the national organization.

A report in the Bay Citizen:

The most recent tax documents filed with the I.R.S. suggest that PPGG has not only been losing money in recent years, but is in financial disarray. For the tax year ending June 30, 2009, it showed a loss of $2.8 million.

Yet, from financial information for the previous year, it’s unclear just how much money the organization lost because it filed three separate sets of numbers with the I.R.S. In the filings, losses ranged between nearly $1.9 and $2.8 million. Two different accounting firms signed off on the various filings.

Tax documents also show that the organization’s financial problems did not start with the catastrophic recession and California’s fiscal crisis, which has delayed MediCal reimbursements from the state. Tax documents for the year ending June 30, 2007 show that the organization lost $181,000 that year.

Yet, the organization’s fiscal problems date farther back. Documents associated with a 2004 accreditation review of Planned Parenthood Golden Gate show that the local affiliate did not meet the national federation’s financial standards for its affiliates. Of nine indicators of financial health, Planned Parenthood Golden Gate was given a “not met” rating for five of them. For instance, the affiliate had only 11.4 days of cash on hand, as opposed to the required 60 days.

Planned Parenthood Federation of America executives refused to comment on the accreditation documents on the grounds that they’re internal and confidential.
On Wednesday, the charitable trusts division of the state’s attorney general’s office sent a warning letter to the Planned Parenthood Golden Gate Action Fund, the political advocacy and public policy arm of the affiliate, because the organization has failed to file copies of its tax documents with that that office for at least 10 years.
“We do not have any reports on file for them,” Rebecca MacLaren from the attorney general’s press office wrote in an e-mail.

The warning cautioned that if the organization fails to file those forms within 30 days, its registration would be suspended and officers would be personally liable for late fees.

In the letter, the clinicians detail a myriad of problems in the organization, including their concerns about “the misappropriation and mismanagement of PPGG’s funds.” The letter accuses the executive staff of profligate spending during lean times:

It is apparent that while Medical Services has been mandated and has complied with financial reform and cost savings, the Executive Administrative members have failed to adhere to their own mandate for financial restrictions. Executive staff’s personal expenditures are excessive and are not aligned with the mandatory fiscal restrictions. Flagrant use of PPGG funds to pay for personal belongings, personal services and exorbitant technology products is seemingly unchallenged and not subject to the same financial scrutiny that clinic supplies and staff salaries are, for example.

When Harrison replied to their concerns in a letter dated November 14, 2008, she assured the clinicians and doctors that administration was feeling the fiscal pain, too: “Administration has temporarily or permanently frozen a number of positions, budgets were cut, expenses were halted for a period of time and office supplies were not purchased,” she wrote.

And from the San Francisco Bay Guardian:

Former employees saw problems coming at Planned Parenthood Golden Gate
By Rebecca / San Francisco Bay Guardian
Created 08/11/2010 – 4:08pm

This week’s announcement that Planned Parenthood Federation of America (PPFA) was severing ties with Planned Parenthood Golden Gate (PPGG) came as no surprise to some former employees, who have for months been trying to sound the alarm that the chapter was being mismanaged, had major financial problems, and was in a steep decline that could threaten important reproductive care services that low-income women rely on.

A former PPGG employee with knowledge of the organization’s internal affairs described a longstanding pattern of financial mismanagement when former president and CEO Dian Harrison was at the helm. There was widespread concern about spending on expensive marketing campaigns and lavish functions, the person said, and a high level of employee turnover and discontent.

Warning signs of financial difficulties surfaced at least a year ago. Dan Cohen, a spokesperson of the Packard Foundation — a major donor to PPGG — told the Guardian that Packard awarded PPGG a 12-month, $30,000 “organizational effectiveness” grant, which will expire in September. The grant “allows an organization to select a talented, external provider to help them think through some of these challenges,” Cohen explained. The Packard Foundation also awarded a 3-year grant for general operating support for $800,000, which will also expire next month.

Another former employee told the Guardian that she would love to discuss internal problems, but was made to sign a confidentiality agreement upon leaving the organization.

Therese Wilson, executive vice president of Planned Parenthood Golden Gate — who took over PPGG when Harrison left last year on medical leave — did not return repeated calls seeking comment.

An internal PPGG document provided to the Guardian displays the agency’s on-hand cash reserves as compared with other affiliates, suggesting that the reserve ratios were at or below the minimum required by the national Planned Parenthood federation for all but one year from 1998 to 2007 — and well below that of other affiliates of similar size. That is a key requirement for meeting accreditation standards.

When we asked Elizabeth Toledo, a PPFA representative, about this apparent pattern she said she could not comment because she had not seen the documents. She also said the accreditation reviews were confidential. “Understanding the true financial picture for health care providers takes a very in-depth evaluation,” Toledo said. “PPFA and PPGG were working together over the last few years to resolve fiscal challenges.”

Despite delays at the state level in awarding nonprofit funding and the loss of support from the national organization, Toledo and a union representative for PPGG employees both said they believe the clinics will continue serving patients under a different name.

“They plan to stay open, and employees are planning to stay,” said SEIU Local 1021 representative Sarah Sherpun-Zimmer, who has been a union rep for PPGG employees for the last two years. “Folks are really happy working there and they feel like it’s going in a good direction.”

PPGG operated eight clinics, which will lose their Planned Parenthood accreditation Sept. 3, effectively severing their ties to a trusted entity that thousands of low-income women rely upon for birth control, abortion procedures, and other forms of reproductive health care. PPGG operates clinics in San Francisco, Alameda, San Mateo, Sonoma, Marin, and Mendocino counties, serving about 55,000 women per year.

Roughly 92 percent of the clients they serve live at or below the federal poverty line, according to PPGG’s 2008 annual report.

Planned Parenthood affiliates Mar Monte and Shasta Diablo are in the process of hatching plans for taking over some of the eight affected clinics or otherwise growing their own operations to cover any gaps in service area, according to Toledo. She said neighboring affiliates are in a position financially to be able to cover a wider territory and added that they have been in “expansion mode,” adding new clinics over the past couple years.

“It’s unusual to have a disaffiliation,” she said. “But it’s not unusual for national committees to have a reallocation of service area. That part is well-practiced.” Toledo added that “Every effort possible will be made” to ensure continuity of care.
_____________________________________________________________________________________________________________________________________

According to a press release issued by, “Life, Liberty and the Pursuit of Happiness” a film financed by Planned Parenthood Golden Gate,Dian Harrison also served on these boards:the National Abortion Federation, the American Civil Liberties Union (ACLU), the National Association for the Advancement of Colored People (NAACP), and she blogs for RH Reality Check , Harrison was also a guest speaker at a NAF conference

In 2008 Assembly member Mary Hayashi Named Dian Harrison Of Planned Parenthood Golden Gate Her “Woman Of The Year”

In a report of the top paid Planned Parenthood employees for 2008, Harrison made the list when the California Catholic Daily reported this

Dian Harrison, President and Chief Executive Officer
Salary: $274,438
Benefits: $18,976
Expense Account: $11,340
Total Compensation: $304,754

Here Harrison brags about her rich and lavish new design for the abortion clinic she managed !

_______________________________________________________________________________________________________________________________________

In 2008, Planned Parenthood cut ties with their South Florida offices:

The July 2, 2008 Miami Herald article entitled, Planned Parenthood cuts ties with 5 clinics
reported this:

One of the nation’s best-known groups of health centers has permanently shut down a cluster of clinics in Broward and Palm Beach counties.

Planned Parenthood officially severed its ties Monday with five local clinics — four in Broward and one in Boca Raton — whose top administrator has acknowledged a history of “terrible mismanagement and possibly fraud.”

The disaffiliation allowed the national organization to wash its hands of the local chapter once known as Planned Parenthood of South Palm Beach and Broward Counties.

The chapter is dealing with many problems, including harassment complaints and possible misuse of nearly $450,000 — slightly less than they received in public funding in 2005.

“All these issues are now issues that they will have to face without us,” said Karen Ruffato, vice president of operations for the Planned Parenthood Federation of America.

The attitude has angered Ruth Lynch, the former Broward chapter’s CEO, who said the national organization bailed out before the local chapter could resolve its problems.

Lynch, who replaced former CEO Mary Capobianco in March, said that within two weeks of her arrival she found she could not account for $440,000 of the chapter’s $3 million budget.

“We take responsibility that there was horrible management,” Lynch said. “But that was then. This is now. We have a new board.”

CHAPTER’S PLANS

Lynch said that the chapter’s board of trustees plans to eventually open and continue medical services at the five clinics — in Oakland Park, Fort Lauderdale, Pembroke Pines, Deerfield Beach and Boca Raton — but without the trusted name of Planned Parenthood, one of the nation’s most recognized clinics in the field of reproductive heathcare.

“We don’t feel this was simple disaffiliation, we feel this was a hostile takeover,” Lynch said.

“And it was more about the Planned Parenthood trademark than it was about helping the community.”

At least 16,000 people used the five clinics for services such as breast exams, testing for HIV and abortions. In 2005, it received $500,000 in taxpayer funding.

HARSH REVIEW

The disbanding of the relationship ended a months-long back and forth between the Broward chapter and the national organization, which temporarily shut down the clinics in March after delivering a harsh review about the chapter’s administration.

Popular employees were fired. An employee alleged sexual harassment against a former CEO, Capobianco. The local board was investigating a rumor that its 2006 annual report was plagiarized.

SHUT DOWN

Ruffato said Planned Parenthood wanted to disaffiliate from the Broward chapter as soon as possible.

By March, the clinics were temporarily shut down.

They began the process in April to permanently strip the five clinics of the Planned Parenthood name.

Instead, Ruffato said they entrusted the more-reputable Planned Parenthood of Greater Miami, Palm Beach and the Treasure Coast to open one clinic in Broward and one in Boca Raton.

Ruffato said the Greater Miami chapter is one of the country’s best.

‘UNFORTUNATE’

“This is a very rare situation and a very unfortunate situation,” Ruffato said. “And as sad and as hard as moving through a disaffiliation is, I believe our ultimate responsibility is to the mission. And ultimately we need to make sure that your community clinic has the best healthcare and meets our high standards.”

For now, Planned Parenthood is concentrating on replacing the five clinics with at least two, said Judith Selzer, spokeswoman for the Greater Miami chapter. Officers plan to select one site by next month.

Selzer said they will add clinics “as quickly and swiftly as the community needs.”

The chapter plans to include Broward residents on the staff and board of trustees.

Said Selzer: “We’re poised and we’re ready to do this.”

________________________________________________________________________________________________________________________________

The National Planned Parenthood Office has NEVER denounced their racist founder Margaret Sanger who pushed eugenics, sterilization, and black genocide as documented in the film: Maafa21

More Here

READ: Accusations continue to fly against Planned Parenthood Golden Gate by those who claim to be in the “know”

Former Planned Parenthood Golden Gate employees describe longstanding pattern of financial mismanagement, by CEO

Posted in Abortion, Planned Parenthood with tags , , , , , , , , , , , , on August 12, 2010 by saynsumthn


Planned Parenthood Golden Gate’s former employees blame the organization’s longstanding pattern of financial mismanagement, former PPGG CEO, Dian Harrison. Because of this, the national Planned Parenthood organization has announced it will divorce itself from the networks of clinics that serve patients in five Bay Area counties, citing fiscal and administrative problems with the local organization. Effective Sept. 3, Planned Parenthood Golden Gate must operate under another name, a representative of the national organization said that Planned Parenthood Golden Gate had failed to uphold the “standards and guidelines” by which each separately incorporated affiliate must abide, but that the details of the situation were confidential.

“They were not meeting our standards for administrative and fiscal management,” said Karen Ruffato, vice president of affiliate services for the national organization.

According to a press release issued by, “Life, Liberty and the Pursuit of Happiness” a film financed by Planned Parenthood Golden Gate,Dian Harrison also served on these boards:the National Abortion Federation, the American Civil Liberties Union (ACLU), the National Association for the Advancement of Colored People (NAACP), and she blogs for RH Reality Check , Harrison was also a guest speaker at a NAF conference

In 2008 Assembly member Mary Hayashi Named Dian Harrison Of Planned Parenthood Golden Gate Her “Woman Of The Year”

In a report of the top paid Planned Parenthood employees for 2008, Harrison made the list when the California Catholic Daily reported this

Dian Harrison, President and Chief Executive Officer
Salary: $274,438
Benefits: $18,976
Expense Account: $11,340
Total Compensation: $304,754

Here Harrison brags about her rich and lavish new design for the abortion clinic she managed !

A report in the Bay Citizen:

The most recent tax documents filed with the I.R.S. suggest that PPGG has not only been losing money in recent years, but is in financial disarray. For the tax year ending June 30, 2009, it showed a loss of $2.8 million.

Yet, from financial information for the previous year, it’s unclear just how much money the organization lost because it filed three separate sets of numbers with the I.R.S. In the filings, losses ranged between nearly $1.9 and $2.8 million. Two different accounting firms signed off on the various filings.

Executives for PPGG did not return numerous calls or respond to e-mails seeking comment for this story.

Tax documents also show that the organization’s financial problems did not start with the catastrophic recession and California’s fiscal crisis, which has delayed MediCal reimbursements from the state. Tax documents for the year ending June 30, 2007 show that the organization lost $181,000 that year.

Yet, the organization’s fiscal problems date farther back. Documents associated with a 2004 accreditation review of Planned Parenthood Golden Gate show that the local affiliate did not meet the national federation’s financial standards for its affiliates. Of nine indicators of financial health, Planned Parenthood Golden Gate was given a “not met” rating for five of them. For instance, the affiliate had only 11.4 days of cash on hand, as opposed to the required 60 days.

Planned Parenthood Federation of America executives refused to comment on the accreditation documents on the grounds that they’re internal and confidential.
On Wednesday, the charitable trusts division of the state’s attorney general’s office sent a warning letter to the Planned Parenthood Golden Gate Action Fund, the political advocacy and public policy arm of the affiliate, because the organization has failed to file copies of its tax documents with that that office for at least 10 years.
“We do not have any reports on file for them,” Rebecca MacLaren from the attorney general’s press office wrote in an e-mail.

The warning cautioned that if the organization fails to file those forms within 30 days, its registration would be suspended and officers would be personally liable for late fees.

In the letter, the clinicians detail a myriad of problems in the organization, including their concerns about “the misappropriation and mismanagement of PPGG’s funds.” The letter accuses the executive staff of profligate spending during lean times:

It is apparent that while Medical Services has been mandated and has complied with financial reform and cost savings, the Executive Administrative members have failed to adhere to their own mandate for financial restrictions. Executive staff’s personal expenditures are excessive and are not aligned with the mandatory fiscal restrictions. Flagrant use of PPGG funds to pay for personal belongings, personal services and exorbitant technology products is seemingly unchallenged and not subject to the same financial scrutiny that clinic supplies and staff salaries are, for example.

When Harrison replied to their concerns in a letter dated November 14, 2008, she assured the clinicians and doctors that administration was feeling the fiscal pain, too: “Administration has temporarily or permanently frozen a number of positions, budgets were cut, expenses were halted for a period of time and office supplies were not purchased,” she wrote.

And from the San Francisco Bay Guardian:

Former employees saw problems coming at Planned Parenthood Golden Gate
By Rebecca / San Francisco Bay Guardian
Created 08/11/2010 – 4:08pm

This week’s announcement that Planned Parenthood Federation of America (PPFA) was severing ties with Planned Parenthood Golden Gate (PPGG) came as no surprise to some former employees, who have for months been trying to sound the alarm that the chapter was being mismanaged, had major financial problems, and was in a steep decline that could threaten important reproductive care services that low-income women rely on.

A former PPGG employee with knowledge of the organization’s internal affairs described a longstanding pattern of financial mismanagement when former president and CEO Dian Harrison was at the helm. There was widespread concern about spending on expensive marketing campaigns and lavish functions, the person said, and a high level of employee turnover and discontent.

Warning signs of financial difficulties surfaced at least a year ago. Dan Cohen, a spokesperson of the Packard Foundation — a major donor to PPGG — told the Guardian that Packard awarded PPGG a 12-month, $30,000 “organizational effectiveness” grant, which will expire in September. The grant “allows an organization to select a talented, external provider to help them think through some of these challenges,” Cohen explained. The Packard Foundation also awarded a 3-year grant for general operating support for $800,000, which will also expire next month.

Another former employee told the Guardian that she would love to discuss internal problems, but was made to sign a confidentiality agreement upon leaving the organization.

Therese Wilson, executive vice president of Planned Parenthood Golden Gate — who took over PPGG when Harrison left last year on medical leave — did not return repeated calls seeking comment.

An internal PPGG document provided to the Guardian displays the agency’s on-hand cash reserves as compared with other affiliates, suggesting that the reserve ratios were at or below the minimum required by the national Planned Parenthood federation for all but one year from 1998 to 2007 — and well below that of other affiliates of similar size. That is a key requirement for meeting accreditation standards.

When we asked Elizabeth Toledo, a PPFA representative, about this apparent pattern she said she could not comment because she had not seen the documents. She also said the accreditation reviews were confidential. “Understanding the true financial picture for health care providers takes a very in-depth evaluation,” Toledo said. “PPFA and PPGG were working together over the last few years to resolve fiscal challenges.”

Despite delays at the state level in awarding nonprofit funding and the loss of support from the national organization, Toledo and a union representative for PPGG employees both said they believe the clinics will continue serving patients under a different name.

“They plan to stay open, and employees are planning to stay,” said SEIU Local 1021 representative Sarah Sherpun-Zimmer, who has been a union rep for PPGG employees for the last two years. “Folks are really happy working there and they feel like it’s going in a good direction.”

PPGG operated eight clinics, which will lose their Planned Parenthood accreditation Sept. 3, effectively severing their ties to a trusted entity that thousands of low-income women rely upon for birth control, abortion procedures, and other forms of reproductive health care. PPGG operates clinics in San Francisco, Alameda, San Mateo, Sonoma, Marin, and Mendocino counties, serving about 55,000 women per year.

Roughly 92 percent of the clients they serve live at or below the federal poverty line, according to PPGG’s 2008 annual report.

Planned Parenthood affiliates Mar Monte and Shasta Diablo are in the process of hatching plans for taking over some of the eight affected clinics or otherwise growing their own operations to cover any gaps in service area, according to Toledo. She said neighboring affiliates are in a position financially to be able to cover a wider territory and added that they have been in “expansion mode,” adding new clinics over the past couple years.

“It’s unusual to have a disaffiliation,” she said. “But it’s not unusual for national committees to have a reallocation of service area. That part is well-practiced.” Toledo added that “Every effort possible will be made” to ensure continuity of care.
_____________________________________________________________________________________________________________________________________

The National Planned Parenthood Office has NEVER denounced their racist founder Margaret Sanger who pushed eugenics, sterilization, and black genocide as documented in the film: Maafa21