Did Christie Select Another Corporate Crony For Sandy Recovery?
Flaws in Privatization, Lax Oversight, Failure to Learn Lessons Again Emerge
[Updates below]
Yesterday, I mistakenly characterized a dispute during the Legislative oversight of Sandy rebuild as a “cat fight”.
My bad. My apologies to Ms. Berger for trivializing her issue and the sexist innuendo I unfortunately used to describe the dispute.
I made that mistake because I was not aware of the serious issue around which the dispute centered.
The real serious issue was disclosed last week, when the Wall Street Journal reported: Sandy Contractor Draws Fire in Home-Reconstruction Effort – HGI Also Faced Criticism for Its Katrina Work
A Louisiana contracting firm that faced criticism for its handling of a Hurricane Katrina rebuilding program is accruing new complaints as it runs New Jersey’s main superstorm Sandy home-reconstruction efforts.
Hammerman & Gainer Inc., or HGI, was chosen by state officials in May to administer two programs distributing $780 million in federal money to Sandy victims, including New Jersey’s biggest homeowner-relief initiative, the $600 million Reconstruction, Rehabilitation, Elevation and Mitigation Program. […]
The reconstruction program has received 12,254 applications, and 3,497 have been deemed eligible, the state records show. No grants have been awarded yet. Contractors are still collecting documentation from homeowners and conducting property inspections—a time-consuming process, state officials said.
Not one penny paid out of a $600 million fund almost a year after Sandy?
An out of State (Louisiana) company given a $68 million contract to administer $780 million in two programs in Sandy recovery money?
This same company fucked up after Katrina and they are staffed by poorly trained temporary workers?
The NJ Department of Community Affairs designed the program, issued the contract, and has done nothing to enforce contract performance?
Where is the NJ press corps?
WTF is going on?
Here is the Wall Street Journal’s followup article: Sandy Contractor Criticized at New Jersey Hearing.
[Update #1]
The plot thickens – I just read that the WSJ also reported last week that – just like AshBritt – there are again Christie political crony ties to the contract: Sandy Relief Contractor Used Local Lawyer in Its Bid
The Louisiana firm awarded a contract to run New Jersey’s main federally funded housing programs for superstorm Sandy victims received some local help when it submitted its 2013 bid.
Glenn Paulsen, the former chief of the Burlington County Republicans, acted as Hammerman & Gainer Inc.’s legal counsel when they submitted a bid in April to run two Sandy relief programs, according to their bid. HGI’s $68 million bid was $127 million lower than the only competing offer and had more experience in disaster recovery work, according to the selection committee. HGI was chosen.
As the state was completing contracts for Sandy, the law firm where Mr. Paulsen is a managing shareholder, Capehart Scatchard, made a $25,000 donation to the Republican Governors Association in May, according to the association’s tax form contributions list. As a firm with significant state business, Capehart Scatchard is prohibited from giving New Jersey Gov. Chris Christie more than $300 in campaign contributions. But it can give much more to independent political groups such as the RGA. Mr. Christie is slated to become RGA president in 2014 if he wins re-election.
I really wish the media and legislative oversight would probe the policy issues I focus on with the vigor they investigate political scandal.
[Update #2 – I am not a WSJ reader, so missed all this. Where is the NJ press corps on this?
Check out this WSJ article over a week old as well: Democrats Will Highlight Sandy Rebuilding Issues in Governor’s Race Against Chris Christie
New Jersey Democrats are criticizing the handling of housing funding for victims of superstorm Sandy and intend to make it an issue in the November governor’s race. […]
Gov. Chris Christie is “known for the persona he projected during hurricane Sandy. Implicit in that was the promise that New Jersey families would be well taken care of,” said Matt Farrauto, communications director for the state committee, which coordinates the Democrats’ campaigns. “We’re seeing signs that he hasn’t followed through.”
No wonder that Gov. Christie has such a favorable poll rating – the NJ media is asleep and cheerleading when they’re awake.