>>510322335The Department of Treasury alone accounts for a dozen ongoing contracts tied to Krause’s company that are together valued between $7.3 million to $11.8 million. These include licenses for the data visualization tool ibi WebFocus and purchases of systems called Citrix NetScaler that help manage traffic to apps. (Some publicly posted procurement records do not break out contract details, so actual figures may be even higher.)
Critics have expressed concern about the alleged conflicts of interest posed by Krause’s decision to keep his role in the private sector. Cloud Software could benefit from extending its federal contracts or securing additional ones, though there is no public evidence that Krause has done anything improper with his dual roles. Existing federal regulations also bar actual and apparent unjust favoritism in contracting. “Public trust in those safeguards is nonnegotiable,” says Scott Amey, general counsel at the Project on Government Oversight, a nonpartisan watchdog group.
As Krause moves forward with two jobs, he could have to potentially navigate not only contracting conflicts, but also dueling crises. “What would happen if a Citrix emergency emerges at the same time as Treasury obligations?” says Jeff Hauser, founder and executive director of the Revolving Door Project, which researches federal appointees.