Christie Administration Waived Paperwork Requirements and Expedited Payments To Politically Connected “Stronger than Storm” Ad Contractor

Sandy Victims Suffered Onerous Paperwork and Huge Delays In Receiving Payments

MWW Consulting Firm Got Paperwork Waivers & Quick Cash

The HUD IG audit shows that the Christie Administration cares little about people, but bends over backwards to reward corporate friends.

As thousands of Sandy victims were forced to bear onerous paperwork requirements to apply for assistance to put their lives back together, the Christie Administration waived paperwork requirements for the MWW consulting firm that was awarded the $25 million “Stronger than the storm” advertising campaign contract.

Even worse, while thousands of people waited over a year to receive payments – many still have not been paid and remain living in makeshift homes or rentals – the Christie Administration accelerated 100% payments to the MWW firm.

And perhaps most offensive, while Sandy victims were subject to rigorous government oversight and had to jump through numerous bureaucratic hoops to document their damage claims, the Christie administration did not require that MWW submit even basic paperwork – like time sheets – before getting paid in full.

For MWW it was smooth sailing – fast cash, no questions asked.

Can’t be true, you say?

All of this is documented in the fine print of the HUD Inspector General audit of the “Stronger than the storm” campaign that violated federal procurement requirements – I wrote about that yesterday (See this post).

So, let’s take those issues one by one from excerpts of the HUD IG audit:

• MWW Waiver

Here is how the IG describes the MWW waiver of paperwork requirements:

The State’s contract with MWW Group required the contractor to provide copies of at least three quotes or proposals when submitting invoices for payment. However, shortly after the State awarded the contract, it waived the requirement because the contractor claimed that it would hinder its ability to move quickly on certain activities. (@ p.10)

That’s right – Team Christie waived paperwork requirements to move quickly to fund activities to promote the Governor in the STTS ad campaign.

Meanwhile, Sandy victims are still filling out forms and waiting to get paid.

• MWW Rapid and Full Payments

The Administration very rapidly distributed funds under the STTS contract. They made these payments far faster than Sandy victim compensation:

• MWW failure to submit time sheets

Sandy victims were required to fill out multiple forms to rigorously document all damage claims.

Yet the politically connected firm MWW failed to provide adequate time sheets!

When submitting invoices for payment, the contract required the contractor to provide copies of weekly timesheets for employees assigned to do the work referenced in the invoice. The State did not have timesheets to support $3.5 million in labor costs charged by the contractor’s employees. (@ p.11)

Can you imagine getting away with this?

The HUD IG audit says a lot more about Team Christie than incompetence, mismanagement and lack of financial controls.

It shows that the Administration cares little about people, but bends over backwards to reward corporate friends.