[Congressional Record Volume 141, Number 178 (Friday, November 10, 1995)]
[Extensions of Remarks]
[Pages E2160-E2161]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          DEPARTMENT OF ENERGY CONTROVERSY: WE NEED TO MOVE ON

                                 ______


                          HON. BILL RICHARDSON

                             of new mexico

                    in the house of representatives

                        Friday, November 10, 1995

  Mr. RICHARDSON. Mr. Speaker, recently there has been a flurry of 
press articles concerning Energy Secretary Hazel O'Leary and a DOE 
consulting contract involving Carma International and a so-called 
enemies list of the press.
  I am attaching some factsheets concerning these issues. Hazel O'Leary 
has done a great job as Energy Secretary. While not condoning the Carma 
contract, we should look at all the facts before making any such 
judgments. The problem of the contract has been corrected and we need 
to move on.
  The Wall Street Journal ran an article on Thursday, November 9, 1995, 
entitled ``Turning the Tables, Energy Department Reports on 
Reporters.''
  The Journal article reports that DOE hired Carma International to 
compile an enemies list. This is simply not true.
  The company, Carma International, was asked to provide quantitative 
and qualitative measurements of the Department's public affairs efforts 
to see if the Department was doing its job right.
  The service purchased was a statistical analysis of the Department's 
news clips.
  There exists nothing behind the numbers--it is only a survey of news 
written about the Department and its actions. These actions are 
sometimes controversial and medial reports would reflect varied 
opinions.
  The article led its readers to believe that the Department was 
``reporting on reporters''; the Department did nothing of the sort 
``poking around on reporters''; the Department did nothing of the sort.
  The original focus on the Journal story was the tremendous growth in 
the media analysis business.
  The tenor of the article regarding the investigating of individual 
journalists was used to describe some services provided by the 
industry--not Carma, Inc., nor the service provided to the Department.
  It is this investigative side of the business--that the Department 
did not request, pay for, or receive--that has now unfairly become tar 
that has brushed the Department and the Secretary.
  According to press reports, Carma's media analysis services have been 
retained by the Internal Revenue Service, the U.S. Postal Service, and 
the Republican National Committee.

     Fact Sheet on the Department of Energy's Use of Media Analysis

       Reports that the Department of Energy compiled an ``enemies 
     list'' at taxpayers' expense are dead wrong.
       In January 1995, the Department of Energy's Office of 
     Public Affairs asked Carma International to evaluate the 
     effectiveness of its public outreach efforts by performing a 
     series of media analysis.
       This effort was launched in response to the Secretary's 
     pledge to make the Department of Energy more open and 
     responsive to the public, and to hold every program within 
     the Department accountable to measurable standards of 
     success.
       The Carma analysis was an attempt to measure how the Office 
     of Public Affairs was succeeding in earning the public 
     trust--it was not intended as an analysis of the news 
     coverage itself.
       Between January and August 1995, Carma International 
     gathered data. Carma analyzed items that appeared in 
     newspapers, magazines, trade publications, wire services, and 
     on television and radio, concerning the Department of 
     Energy's activities around the country.
       The firm took the unfortunate approach of characterizing 
     stories, reporters and sources of information cited in the 
     stories as ``favorable'' and ``neutral.'' The firm then rated 
     the top 25 ``favorable'' ``unfavorable'' and ``neutral'' 
     sources of information regarding the Department. This was not 
     a service requested by the Department of Energy.
       After reviewing the reports prepared by Carma 
     International, the Secretary determined that the information 
     contained in them was neither useful as a measure of success, 
     nor helpful in identifying areas for improvement in the 
     Office of Public Affairs.
       In August, the contract with Carma International was 
     cancelled, at a total cost of about $46,500.
       The reports were never used or cited again until the Wall 
     Street Journal published its story on today's front page.
       Carma International never conducted any background 
     investigations, or compiled any ``enemies list.''
       The list of reporters and ``unfavorable'' sources cited in 
     the Carma International report was never used in any way, 
     shape or form by the Department of Energy.
                                                                    ____


                               The Facts


                               Background

       The Government Performance and Results Act of 1993 (P.L. 
     103-62) requires that an annual performance plan be developed 
     ``covering each program activity set forth in the budget'' of 
     every government agency. Each performance plan must 
     ``establish performance indicators to be used in measuring or 
     assessing the relevant outputs, service levels. and outcomes 
     of each program activity.''
       Consistent with P.L. 103-62, all programs in the Department 
     have developed strategic plans and metrics for measuring 
     their performance.
       The DOE Office of Public Affairs prepared a performance 
     plan in consultation with a strategic planning group that 
     included members of the trade associations, academia, 
     interest groups, and DOE employees. This group was charged 
     with identifying ways to measure and improve the Department's 
     communication with the public.
       The strategic planning group recommended that the 
     Department prepare a media analysis to track its performance 
     in public communication of the complex issues and missions of 
     the Department of Energy.
       As a first step, the DOE Office of Public Affairs assessed 
     the cost of performing the recommended media analysis inside 
     DOE. The cost of such an assessment was determined to be 
     $170,000.
       The Office of Public Affairs determined that the task could 
     be performed by a contractor more effectively and for less 
     money. The Office examined private sector options.
       In January 1995, the Office of Public Affairs purchased the 
     services of the Carma International company.
       Carma International was paid $46,500 for the service that 
     they provided from January to August 1995.
       The company provided seven reports to the Office of Public 
     Affairs.


                           The Carma Service

       In order to evaluate the effectiveness of the DOE Office of 
     Public Affairs, Carma International was asked to provide 
     quantitative and qualitative measurements.
       The purpose was to allow the Department to better 
     understand whether the products of the DOE Office of Public 
     Affairs were useful and informative to reporters and the 
     public.
       The goal was to improve the quality of information made 
     available about a broad range of Departmental activities.
       The purchase order for the Carma services requested that 
     the company ``analyze'' media stores ``to determine what 
     message is getting out to the public.'' It also requested 
     that the company provide input on whether [``the information 
     is being presented in a favorable or unfavorable manner.'']

[[Page E 2161]]

       In discharging their responsibilities under the purchase 
     order, Carma charactered reporters and sources as 
     ``favorable, unfavorable, or neutral.''
       The product that resulted from Carma was a monthly report. 
     Seven of these reports were provided to the DOE Office of 
     Public Affairs.
       The reports included a narrative summary of DOE issues 
     covered by the media, an overview of the most frequently 
     addressed issues, and an assessment and a favorability rating 
     on the issues, messages and sources.
       The criteria for evaluating favorability was whether the 
     coverage presented the Department as living up to its 
     promises and commitments. Key Departmental promises and 
     commitments included open access, wise planning for the 
     handling of nuclear waste, and responsible management of DOE 
     programs.
       Carma was not authorized under the scope of work of the DOE 
     to investigate, rate, rank or score reporters and it did not 
     do so. No investigative work was conducted under the terms of 
     this contract.
       The President of Carma, Albert Borr, has stated that Carma 
     is ``not an investigative service.''
       The contract was terminated in August 1995.


                    utilization of the media surveys

       The seven reports presented to the Department by Carma 
     between January and August 1995) were read by a limited 
     number of people at the Department of Energy.
       Secretary O'Leary was provided with some of the reports. 
     She recalls having seen two of the reports and did not 
     believe they were particularly helpful.
       The information in the reports was never used by the 
     Secretary or by any other official in the Department either 
     to provide preferential treatment to a reporter, newspaper, 
     or source or to deny access.
       The Department's policy of openness has ensured that 
     reporters, media outlets, and sources have full and open 
     access to announcements and information concerning DOE 
     programs.

                          ____________________