As a follow up to an earlier posting about grants and contracts at FEMA see this one: Whitefish’s No-Bid Puerto Rico Contract Spotlights Troubled FEMA Grants.
The federal agency paying for a controversial no-bid, $300 million contract to rebuild Puerto Rico’s power grid has for years received scathing reports from government auditors for how it oversees the management of similar grants.
Members of Congress from both parties have raised questions about the selection last week of Whitefish Energy Holdings LLC to lead the rebuilding of Puerto Rico’s hurricane-ravaged electrical grid. The two-year-old Montana-based company had just two employees prior to beginning its work in Puerto Rico.
Update: Apparently, FEMA did not let the contract with Whitefish Energy Holdings according to this article: In its statement Friday, FEMA clarified that it was not involved in hiring the company to restore power to the island and hasn’t provided any reimbursement to the PREPA yet for its contract with Whitefish. See: FEMA Has ‘Significant Concerns About $300 M Utility Deal.
As of Oct. 29, it appears that the contract was let by the island’s utility co. The Governor is planning to cancel it. What took so long to figure this out? Here is an article from Huff Post on the subject; PR’s Contract with Whitefish Is As Bad As it Looks.