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Public Employee Press

NYC Congress members
Investigate Bloomberg's contracting

The 11 Democratic members of the city's congressional delegation have sounded the alarm about the lack of accountability and excessive costs of the Bloomberg administration's contracting out, much of it using federal funds.

In a letter on May 14, the Congress members asked Gene L. Dodaro, the comptroller general of the United States, to investigate several "unseemly incidents of waste" involving the use of federal tax dollars. Congress member Charles B. Rangel wrote the letter, which the 10 other Democratic members of the New York City Congressional Delegation also signed.

The letter refers to "multiple abuses of federally appropriated funds" that were distributed to several city agencies. It notes that a series of investigations have exposed "ballooned contracts" and "deceptive practices" that have resulted in the loss of millions of dollars, including federal funds.

Specifically, the letter calls attention to fraudulent contract bidding, questionable payments for insufficiently documented expenses and a lack of serious accountability involving school contracting. The letter cites two examples in the schools:

  • A 2008 investigation into prohibited subcontracting uncovered a loss of nearly $437,000 at the school system's Division of Instructional and Informational Technology.
  • A 2004 investigation concluded that a lack of oversight caused the schools to lose millions of dollars because of spending on overpriced food contracts.
The letter tells how contracting out harms the civil service system. It says, "The misuse of federal funds for privatized employees removes the possibility of hiring merit-based employees, who are in most cases more qualified for such positions."

— GNH


 
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