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Wednesday, October 03, 2007
Even Bad Contractors Get New Contracts!
 U.S. PIRG released a new report today that profiles how contractors who have poor performance or fraudulent practices can still receive new contracts from the federal government. The report profiles companies such as Bank of America, General Electric, Lexis-Nexis, Kellogg, Brown, and Root, and Northrup Grumman, among others. An excerpt from the report's executive summary:
The rapid increase of federally contracted dollars—100 percent since 2000—makes outsourcing the fastest growing component of discretionary spending. The government's preference for using outside contractors to provide goods and services makes careful scrutiny of the process and the decisions more important than in the past. At present, loose rules, lack of competition, and limited accountability permit so-called 'bad actors' to receive contracts that put taxpayers and our money at risk.
It's a very interesting report and I'm sure, as they imply, these examples are just the tip of the iceberg. Also of note, they use FedSpending.org for their contracts data - very cool!
U.S. PIRG: Forgiving Fraud and Failure: Profiles in Federal Contracting
Posted by Adam Hughes
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