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Competitive Bidding Falls Off in Bush Years
The Washington Post ^ | 11 May 2007 | Lyndsey Layton

Posted on 05/13/2007 9:03:22 AM PDT by BGHater

The value of federal contracts awarded without competitive bidding has soared since President Bush took office in 2000, according to a new study to be released Monday by the Center for American Progress, a liberal think tank.

Federal contracting grew from $203 billion in fiscal 2000 to $377 billion by fiscal 2005. During the same period, the value of federal contracts awarded without competitive bidding more than doubled, from $67 billion to $145 billion, the study found. At the same time, government oversight of contracting has weakened, according to the study's author, Scott Lilly, a senior fellow at the center and a former House Democratic aide.

For example, the Defense Department is responsible for 80 percent of the overall federal contract growth during the five years under study. But the number of federal civilians employed by the department declined by about 2,000 in the same period. As a result, contractors have increasingly stepped in to fill the void -- to help the government decide its needs, draft contracts awarded to other private firms and then monitor their performance, the study found.

Federal contracts are big money -- they represent about 3 percent of U.S. gross domestic product, about the same amount as the automotive industry. And because a growing chunk of that money is being handed to private companies without competitive bidding, it raises questions about whether taxpayers are getting the best deal and whether the contracting process has grown corrupt, Lilly said.

(Excerpt) Read more at washingtonpost.com ...


TOPICS: Business/Economy; Government
KEYWORDS: bidding; contracts; oversight
Gotta fight the WOT, but losing our money is like losing a Division.
1 posted on 05/13/2007 9:03:24 AM PDT by BGHater
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To: BGHater

You know how long the competive process takes on awarding major contracts? About a year or more. In times of war you do not have that much time, so you use contract vehicles already in place which can be done in a matter of weeks or even less.


2 posted on 05/13/2007 9:07:43 AM PDT by Always Right
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To: Always Right
You have it exactly right! - Such BS. Absolute no context and reality to anything the MSM spins any more. They are a joke.

Ahh, well, the MSM could focus on such things as the deficit coming down faster then expected.....but no, they'll find anything negative (even out of context) instead.

3 posted on 05/13/2007 9:10:17 AM PDT by SevenMinusOne
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To: BGHater

This “liberal think tank” is just angry that the money is going to private firms rather than unionized government drones.


4 posted on 05/13/2007 9:10:25 AM PDT by Lancey Howard
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To: BGHater

Terribly deceiving story when looking at the war in Iraq since there are many firms that simply would not bid on contracts due to the risk.


5 posted on 05/13/2007 9:11:56 AM PDT by irish guard
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To: BGHater
Funny how the media never talks about how many of those awards were protested by contractors who were supposedly left out of the bidding process (because that number is a big fat zero).

Everybody in the media hollers about Halliburton's non- competitive contracts. It was done that way because nobody else would bid. Believe me, any contractor that had officially protested Halliburton's Iraq contract awards and had cause would've been made a celebrity and their executives would've been on the alphabet network news every night until doomsday.

6 posted on 05/13/2007 9:14:52 AM PDT by Excuse_My_Bellicosity (Stop global worming.)
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To: BGHater
"Competitive Bidding" is one of the greatest, costliest perversions of capitalism ever foisted on the tax-paying public. Competition is in the marketplace on a daily basis, not on a one-time award to the low-bidder @ purchase. GM, Ford, etc. assess the competition minute-by-minute and adjust. The purchaser can change his mind in an instant. The Gov't issues a half-a**ed description of what they "think" they need for the next 4 or 5 years, and then base their award decision on how well the vendors responded in writing to the scope of work. The quality of their proposal has NOTHING to do with their ability or willingness to do the work needed. (Can you predict ALL of your needs for the next 5 years?) The tax-paying public would be much better off with nepotism (assuming a reasonable amount of audit and oversight) and permitting the Gov't to fire any given contractor and bring in a replacement unlike today's system where the winning bidder is almost impossible to remove and it takes months/years and millions of $$ to replace the incumbent. And, typically, the incumbent's reward for great performance is getting underbid on the re-compete after 5 years and getting tossed out in favor of a lower bid from a competitor who promptly hires the incumbent's staff (the incumbent is required by law to make them available to his successor)who usually then mods the contract for many more $$ because the Gov't failed to specifiy what their needs really are.

If you've never seen this in action, trust me - you don't want to know how it really works unless you like being ripped off.

7 posted on 05/13/2007 9:19:57 AM PDT by Thom Pain (8/14/2006 Israel made a HUGH mistake! On Nov 7th we did worse!)
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To: BGHater
Why did this liberal think tank not warn us about Klintons waste?
8 posted on 05/13/2007 9:22:08 AM PDT by mountainlyons (Hard core conservative)
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To: mountainlyons

Isn’t it amazing how all kinds of companies in and around Little Rock, who never had a govt. contract in their life, were suddenly being awarded high-dollar contracts when Krinton took power? Hmmm, I wonder how they would’ve performed on an audit. Any guesses on how much work was accomplished and what was actually delivered?


9 posted on 05/13/2007 9:25:07 AM PDT by Excuse_My_Bellicosity (Stop global worming.)
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To: Thom Pain

What really sucks is that so few govt. contracts have any kind of performance clauses written in. Contractors know that they can low-ball the bid just to get the award, make it up on contract change-orders, do a half-assed job, and still walk away with all of the money. If they’re actually fired, which is almost impossible, they’ll still walk away with 3/4 of the money. And they’ll have to be considered on the next contract because the govt. only punishes blatant fraud, not incompetence and “accidental oversights”. Just play dumb and you’re always in the game.


10 posted on 05/13/2007 9:30:11 AM PDT by Excuse_My_Bellicosity (Stop global worming.)
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To: BGHater

I have a friend who works in government acquisitions. He lays partial blame on the fact that intellectual property law was overhauled in the 1990s to greatly favor private contractors vis-a-vis the government. Contractors typically will NOT sell the rights to their data or proprietary information to the government, thereby locking the government into a series of expensive noncompetitive follow-on contracts.


11 posted on 05/13/2007 9:38:36 AM PDT by JCEccles (“Politics ain’t beanbag” Finley Peter Dunne)
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To: BGHater

Funny, I couldn’t find Feinstein’s name in the article. Wonder why.


12 posted on 05/13/2007 9:49:35 AM PDT by Lord Basil (stupisticated - Having a refined fantasy view of the world that is typically based on group-think.)
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To: Always Right

How many companies are big enough to handle the size and scope of some of these needs?


13 posted on 05/13/2007 9:51:56 AM PDT by mimaw
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To: Always Right

Too, how many companies are capable of doing the needed jobs?

But why is the truth needed when they’re trying to drum up an emotional response?


14 posted on 05/13/2007 1:17:25 PM PDT by kenth (I got tired of my last tagline...)
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