I'd like to know
Who the government departments out-sourced their ad-campaign management to. I'd be surprised if they did it in house and ppc management companies usually charge on a % fee basis. Perhaps the finger is pointing in the wrong direction?
It's possible both departments used the same provider. They could have been playing two customers with deep pockets off on one another and raking in a nice increase in profits in the process...
Pay per click cowboys? yes, I've heard of them.