FBI investigates Puerto Rico power contract - WSJ

New had nothing to do with it. Lack of cat-5 hurricane building codes was the problem. Deregulation!

First off, I have to say that second photo is the most beautiful solar field photo I've ever seen. It brings years to my eyes.

There is no way to build electric distribution facilities to survive a direct hit from Cat-5 hurricane. Especially not on an island with a GOVERNMENT RUN POWER COMPANY already more than $19,000,000 in the hole.

It cost a crap load of money to ship fuel there to run their power plants. Solar was much cheaper for them.
 
Their power poles were all blown out of the ground. It was not because they were old & neglected. It was due to deregulation / poor design standards / lax building codes

BN-VF246_MARIAU_M_20170920231922.jpg
 
Having spent 40+ years in procurement, I have some insights into this whole scenario.

You cannot have competitive bids when you do not have a clear specification. In a situation like this, you solicit for experience, qualifications, a history of managing similar types of efforts. You KNOW that you are going to be screwed with sky-high rates for everything from craft labor to equipment usage (or rental), and that you will be on the hook, not only for expenses, but First Class expenses. As the procuring agency under these emergency conditions, you are in no position to drive a hard bargain.

The contract will be COST REIMBURSABLE, plus a hefty fee. No way around it. Regardless of who gets the contract.

Now for the important stuff. There is a vast network of project managers, engineers, craft laborers, and technicians who live their whole lives as expats working major construction projects around the world - guns for hire. They work outside the US for tax reasons. They will work anywhere in the world on a moment's notice, and they get paid handsomely for it. Their reputations follow them around, so if they are not hard working and technically competent, their work will dry up.

It is not inconceivable that a company comprised of "two full time employees" at the time of contract award can have in their briefcases the names and contact information for armies of such people, and/or subcontractors who work as teams around the world, probably specializing in electrical infrastructure work. It is not inconceivable that the company that got this work is fully capable of doing the job, and it must be recognized that NO COMPANY has a thousand competent engineers, technicians, laborers, etc., just sitting around waiting to be called to go to Puerto Rico. So the number of employees of the contractor is near irrelevant for a project of this type. even if they had a million employees, those employees are not just sitting around; they are working on other projects elsewhere, and will have to be re-deployed, which takes time and money.

It is my belief, based on my many years of experience, that the termination of this contract will result in a new contract being awarded to an incompetent local company in Puerto Rico, a company owned by a friend of the mayor or the governor or the president of the power company. And that company will spend a king's ransom and make a lot of Puerto Ricans rich, while doing a less competent job than the terminated company. And this will be done SOLELY because of the poor optics of the original award. And the ignorance of the general public, which is, it appears, outraged that a company with "two employees" got a $300 million contract.

Government (including publicly owned utilities) fucks everything up. And the only reason that is not obvious to everyone is that the only thing they are good at is disguising their failures as success.

Mark my words.
 
Their power poles were all blown out of the ground. It was not because they were old & neglected. It was due to deregulation / poor design standards / lax building codes

Have you been to PR and do you work in the electric utility industry?

I have and am. In fact as I type this i am sitting in a Storm Room working to help restore about 250,000 customer outages related to a Storm in the Northeast US last evening.

The utility system in Puerto Rico was largely 1950s vintage before this storm. In 2015 PEEPS reported a need for $4 BILLION dollars in system improvements. The ISO my employer is in would fine us out the ass for needing 10% as much.

You seem to believe thzt the electric. Utility isn't regulated because we're private companies. We are highly regulated. And PREPA was a public owned utility company.

There is nothing out there that will stand up to CAT-5 weather. The problem is that whzt it will cozt to rebuild the infrastructure wjll far outweigh the value of the system once it's built, nevermind the value of the zystem before the storm.

Nobody is going to invest thst sort of money into a money pit like the PR electric grid.
 
And what has trump to do with it? if you no some thing share, as far as I can tell its just a greedy Republican politico from WY
 
Hey, it's just Trump paying off his friends with our 300 million. What's the big deal?
300 million to get power back and stabilized for 3.5 million people really doesn't sound that out of line. Especially taking the location and lack of skilled workers into account. When you have to ship 2,500 tons of equipment and the people that can run it to an island? I'm not sure anyone is getting ripped off here just going over the basics.

Oh stfu with that bullshit. It was a sweetheart deal using your money to enrich their friends. If you're cool with that go ahead and write them checks directly.
You're a retard. Do you have any idea how much money it takes to run power lines? Let me clue you in. If you purchase a property without power to it next door to a property with power it's going to cost you 10 to 20 thousand to get that brought to your property line. That's here, mainland, no hurricane damage, no clean up to do to get the job done. No equipment or people coming from across the sea to do it.

You people have lost your fucking minds. You're so desperate to berate Trump you can't even think straight. Remember when you were all upset that Trump didn't send enough Navy ships and people YOU thought should be there? I have news for you dipshit. Those hospital ships and all those people you wanted cost far more than 300 million. Now you want a new power grid built for what? a couple million? I swear you morns think we can just go to home depot buy some extension cords and power strips and start plugging shit in all over the island.

300 million is fucking cheap. Be happy and STFU.
 
Hmm...

FBI investigates Puerto Rico power contract - WSJ

The Federal Bureau of Investigation is investigating a $300 million (227.20 million pounds) contract that Puerto Rico’s government power company awarded to a U.S.-based energy startup, the Wall Street Journal reported on Monday, citing people familiar with the matter.

The contract between Whitefish Energy Holdings and Puerto Rico’s bankrupt power utility came under fire after it was revealed last week that the terms were obtained without a competitive public bidding process.

Whitefish had more than 350 workers and 2,500 tons of heavy equipment on the ground for rebuilding electrical lines destroyed in Hurricane Maria, raising concern about Puerto Rico's management of federal disaster-relief funds to the island, the WSJ reported. (on.wsj.com/2zjM0vi)

The Federal Emergency Management Agency, multiple congressional committees and local auditors have begun requesting documents about the deal, according to the WSJ.

A Whitefish spokesman said the company was not aware of any such investigation and that it “is committed to full cooperation with any inquiry or investigation.”
Besides the Zinke connections, the company has links to major Trump campaign donors:
$300M Puerto Rico Recovery Contract Awarded to Tiny Utility Company Linked to Major Trump Donor

So the Democrats that run Puerto Rico conspired with Trump to award a contract to a small Montana Company.

Yeah, right!
 
Hmm...

FBI investigates Puerto Rico power contract - WSJ

The Federal Bureau of Investigation is investigating a $300 million (227.20 million pounds) contract that Puerto Rico’s government power company awarded to a U.S.-based energy startup, the Wall Street Journal reported on Monday, citing people familiar with the matter.

The contract between Whitefish Energy Holdings and Puerto Rico’s bankrupt power utility came under fire after it was revealed last week that the terms were obtained without a competitive public bidding process.

Whitefish had more than 350 workers and 2,500 tons of heavy equipment on the ground for rebuilding electrical lines destroyed in Hurricane Maria, raising concern about Puerto Rico's management of federal disaster-relief funds to the island, the WSJ reported. (on.wsj.com/2zjM0vi)

The Federal Emergency Management Agency, multiple congressional committees and local auditors have begun requesting documents about the deal, according to the WSJ.

A Whitefish spokesman said the company was not aware of any such investigation and that it “is committed to full cooperation with any inquiry or investigation.”
Besides the Zinke connections, the company has links to major Trump campaign donors:
$300M Puerto Rico Recovery Contract Awarded to Tiny Utility Company Linked to Major Trump Donor

So the Democrats that run Puerto Rico conspired with Trump to award a contract to a small Montana Company.

Yeah, right!
I'm pretty sure Russia had something to do with this contract. No not the Clinton uranium deal Russia they are fine, the other Russia who made Trump president. That's the one the left doesn't like.
 
Hey, it's just Trump paying off his friends with our 300 million. What's the big deal?
300 million to get power back and stabilized for 3.5 million people really doesn't sound that out of line. Especially taking the location and lack of skilled workers into account. When you have to ship 2,500 tons of equipment and the people that can run it to an island? I'm not sure anyone is getting ripped off here just going over the basics.

$120,000.00 per ton is very expensive. Copper is only $5,300 per ton. Every power line was not erased, so dividing the cost by the million homes there is not accurate.
 
The problem is this is a tiny company with close to 0 experience. they are farming out all the work & taking money off the top. giving a friend a job is not a problem. giving a job to any one not capable of doing even part of the job them self's, its a big problem when its our money.

Hey, it's just Trump paying off his friends with our 300 million. What's the big deal?
300 million to get power back and stabilized for 3.5 million people really doesn't sound that out of line. Especially taking the location and lack of skilled workers into account. When you have to ship 2,500 tons of equipment and the people that can run it to an island? I'm not sure anyone is getting ripped off here just going over the basics.

Oh stfu with that bullshit. It was a sweetheart deal using your money to enrich their friends. If you're cool with that go ahead and write them checks directly.

Fuckin LefTards...like usual, have no fucking clue what they're talking about.
WhiteFish Energy is a company that hires union workers through the International Brotherhood Of Electrical Workers...a huge union with access to thousands of highly qualified, highly trained union hands. The size of the company with the contract means very little.
Company X is given a contract, hires workers through a union, hires a book keeping firm....TA-DA!
See how this works now morons? You're welcome in advance.
 
The problem is this is a tiny company with close to 0 experience. they are farming out all the work & taking money off the top. giving a friend a job is not a problem. giving a job to any one not capable of doing even part of the job them self's, its a big problem when its our money.

Hey, it's just Trump paying off his friends with our 300 million. What's the big deal?
300 million to get power back and stabilized for 3.5 million people really doesn't sound that out of line. Especially taking the location and lack of skilled workers into account. When you have to ship 2,500 tons of equipment and the people that can run it to an island? I'm not sure anyone is getting ripped off here just going over the basics.

Oh stfu with that bullshit. It was a sweetheart deal using your money to enrich their friends. If you're cool with that go ahead and write them checks directly.

Fuckin LefTards...like usual, have no fucking clue what they're talking about.
WhiteFish Energy is a company that hires union workers through the International Brotherhood Of Electrical Workers...a huge union with access to thousands of highly qualified, highly trained union hands. The size of the company with the contract means very little.
Company X is given a contract, hires workers through a union, hires a book keeping firm....TA-DA!
See how this works now morons? You're welcome in advance.

Nice explanation but you haven't explained how this little shit company with ties just happen to land a huge sweetheart deal. Fuck off stupid
 
The problem is this is a tiny company with close to 0 experience. they are farming out all the work & taking money off the top. giving a friend a job is not a problem. giving a job to any one not capable of doing even part of the job them self's, its a big problem when its our money.

Hey, it's just Trump paying off his friends with our 300 million. What's the big deal?
300 million to get power back and stabilized for 3.5 million people really doesn't sound that out of line. Especially taking the location and lack of skilled workers into account. When you have to ship 2,500 tons of equipment and the people that can run it to an island? I'm not sure anyone is getting ripped off here just going over the basics.

Oh stfu with that bullshit. It was a sweetheart deal using your money to enrich their friends. If you're cool with that go ahead and write them checks directly.

Fuckin LefTards...like usual, have no fucking clue what they're talking about.
WhiteFish Energy is a company that hires union workers through the International Brotherhood Of Electrical Workers...a huge union with access to thousands of highly qualified, highly trained union hands. The size of the company with the contract means very little.
Company X is given a contract, hires workers through a union, hires a book keeping firm....TA-DA!
See how this works now morons? You're welcome in advance.

Nice explanation but you haven't explained how this little shit company with ties just happen to land a huge sweetheart deal. Fuck off stupid

If you fuckin Loons could pull your heads from your asses long enough to think logically you'd realize that no-bid contracts aren't that uncommon in urgent situations where time is of the essence and the time for due-process isn't afforded.

"U.S. law permits the government to award sole source contracts under specified circumstances (48 CFR Ch. 1, Part 6) but no-bid contracts are illegal under European Union commissioning law.[citation needed] Usually the reason is cost and urgency as a no-bid contract allows the government to get contractors working as quickly as possible in an "urgent" situation.
Legal reasons for sole source contracts in the USA include; 1. only one firm has a product that will meet the projects needs or only one firm can do the work; 2. The existence of an unusual and compelling urgency; 3. For purposes of industrial mobilization or expert services; 4. On international agreement; 5. Sole source is authorized or required by law, e.g., socio-economic programs; 6. National security and 7. The public interest."

Now go ahead and please shut the fuck up. Thank you.
 
The problem is this is a tiny company with close to 0 experience. they are farming out all the work & taking money off the top. giving a friend a job is not a problem. giving a job to any one not capable of doing even part of the job them self's, its a big problem when its our money.

Hey, it's just Trump paying off his friends with our 300 million. What's the big deal?
300 million to get power back and stabilized for 3.5 million people really doesn't sound that out of line. Especially taking the location and lack of skilled workers into account. When you have to ship 2,500 tons of equipment and the people that can run it to an island? I'm not sure anyone is getting ripped off here just going over the basics.

Oh stfu with that bullshit. It was a sweetheart deal using your money to enrich their friends. If you're cool with that go ahead and write them checks directly.

Fuckin LefTards...like usual, have no fucking clue what they're talking about.
WhiteFish Energy is a company that hires union workers through the International Brotherhood Of Electrical Workers...a huge union with access to thousands of highly qualified, highly trained union hands. The size of the company with the contract means very little.
Company X is given a contract, hires workers through a union, hires a book keeping firm....TA-DA!
See how this works now morons? You're welcome in advance.

Nice explanation but you haven't explained how this little shit company with ties just happen to land a huge sweetheart deal. Fuck off stupid

If you fuckin Loons could pull your heads from your asses long enough to think logically you'd realize that no-bid contracts aren't that uncommon in urgent situations where time is of the essence and the time for due-process isn't afforded.

"U.S. law permits the government to award sole source contracts under specified circumstances (48 CFR Ch. 1, Part 6) but no-bid contracts are illegal under European Union commissioning law.[citation needed] Usually the reason is cost and urgency as a no-bid contract allows the government to get contractors working as quickly as possible in an "urgent" situation.
Legal reasons for sole source contracts in the USA include; 1. only one firm has a product that will meet the projects needs or only one firm can do the work; 2. The existence of an unusual and compelling urgency; 3. For purposes of industrial mobilization or expert services; 4. On international agreement; 5. Sole source is authorized or required by law, e.g., socio-economic programs; 6. National security and 7. The public interest."

Now go ahead and please shut the fuck up. Thank you.

Bullshit - plenty of ESTABLISHED utility companies approached, they couldn't get a call back. But this company with 2 employees and relatively small job experience got 300 million dollar contract.
 
The problem is this is a tiny company with close to 0 experience. they are farming out all the work & taking money off the top. giving a friend a job is not a problem. giving a job to any one not capable of doing even part of the job them self's, its a big problem when its our money.

300 million to get power back and stabilized for 3.5 million people really doesn't sound that out of line. Especially taking the location and lack of skilled workers into account. When you have to ship 2,500 tons of equipment and the people that can run it to an island? I'm not sure anyone is getting ripped off here just going over the basics.

Oh stfu with that bullshit. It was a sweetheart deal using your money to enrich their friends. If you're cool with that go ahead and write them checks directly.

Fuckin LefTards...like usual, have no fucking clue what they're talking about.
WhiteFish Energy is a company that hires union workers through the International Brotherhood Of Electrical Workers...a huge union with access to thousands of highly qualified, highly trained union hands. The size of the company with the contract means very little.
Company X is given a contract, hires workers through a union, hires a book keeping firm....TA-DA!
See how this works now morons? You're welcome in advance.

Nice explanation but you haven't explained how this little shit company with ties just happen to land a huge sweetheart deal. Fuck off stupid

If you fuckin Loons could pull your heads from your asses long enough to think logically you'd realize that no-bid contracts aren't that uncommon in urgent situations where time is of the essence and the time for due-process isn't afforded.

"U.S. law permits the government to award sole source contracts under specified circumstances (48 CFR Ch. 1, Part 6) but no-bid contracts are illegal under European Union commissioning law.[citation needed] Usually the reason is cost and urgency as a no-bid contract allows the government to get contractors working as quickly as possible in an "urgent" situation.
Legal reasons for sole source contracts in the USA include; 1. only one firm has a product that will meet the projects needs or only one firm can do the work; 2. The existence of an unusual and compelling urgency; 3. For purposes of industrial mobilization or expert services; 4. On international agreement; 5. Sole source is authorized or required by law, e.g., socio-economic programs; 6. National security and 7. The public interest."

Now go ahead and please shut the fuck up. Thank you.

Bullshit - plenty of ESTABLISHED utility companies approached, they couldn't get a call back.

But this company with 2 employers and relatively small job experience got the contract.

Haha...RIGHT.
Is that what CNN told you?
 
The problem is this is a tiny company with close to 0 experience. they are farming out all the work & taking money off the top. giving a friend a job is not a problem. giving a job to any one not capable of doing even part of the job them self's, its a big problem when its our money.

Oh stfu with that bullshit. It was a sweetheart deal using your money to enrich their friends. If you're cool with that go ahead and write them checks directly.

Fuckin LefTards...like usual, have no fucking clue what they're talking about.
WhiteFish Energy is a company that hires union workers through the International Brotherhood Of Electrical Workers...a huge union with access to thousands of highly qualified, highly trained union hands. The size of the company with the contract means very little.
Company X is given a contract, hires workers through a union, hires a book keeping firm....TA-DA!
See how this works now morons? You're welcome in advance.

Nice explanation but you haven't explained how this little shit company with ties just happen to land a huge sweetheart deal. Fuck off stupid

If you fuckin Loons could pull your heads from your asses long enough to think logically you'd realize that no-bid contracts aren't that uncommon in urgent situations where time is of the essence and the time for due-process isn't afforded.

"U.S. law permits the government to award sole source contracts under specified circumstances (48 CFR Ch. 1, Part 6) but no-bid contracts are illegal under European Union commissioning law.[citation needed] Usually the reason is cost and urgency as a no-bid contract allows the government to get contractors working as quickly as possible in an "urgent" situation.
Legal reasons for sole source contracts in the USA include; 1. only one firm has a product that will meet the projects needs or only one firm can do the work; 2. The existence of an unusual and compelling urgency; 3. For purposes of industrial mobilization or expert services; 4. On international agreement; 5. Sole source is authorized or required by law, e.g., socio-economic programs; 6. National security and 7. The public interest."

Now go ahead and please shut the fuck up. Thank you.

Bullshit - plenty of ESTABLISHED utility companies approached, they couldn't get a call back.

But this company with 2 employers and relatively small job experience got the contract.

Haha...RIGHT.
Is that what CNN told you?

If you don't have a real response just stfu.
 

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