Pretty sure NASA has blown more on Constellation, Orion and SLS, launchers to no where that never launch, than SpaceX has spent on successful development of 2 new rockets and Dragon1, and will probably spend on Falcon Heavy, Dragon 2 and their reusable program.
NASA's problem is not insufficient funding. Its inefficiency, bureaucratic bloat, corrupt contractors, and the inability to build or do much of anything in the vacinity of its manned space program. JPL and a few others places are doing fine but they are an exception to the rule.
Some people at Orbital probably do need to be sacked for trying to use 40+ year old Russian engines, the engines are actually that old not just the design. Some people at NASA probably should be sacked for buying in to a contractor proposing such a flawed concept.