Companies with recent histories of shoddy work and fraudulent practices still receive billions of dollars in federal contracts, according to a new report by the Florida PIRG Education Fund.
The report, “Forgiving Fraud and Failure: Profiles in Federal Contracting,” highlights nine representative examples of new, often no-bid, contracts that were granted to companies with recent records of questionable performance.
In each of the cases profiled, companies received new contracts during or shortly after having negotiated settlements in cases of poor performance. In several instances, companies were awarded contracts with less competition after problems surfaced.
The report recommends taking immediate steps to establish accountability, including increasing disclosure of contract information, increasing competition, and strengthening the rules to screen bad actors.