| Submit your comments on this article |
| Iraq |
| Bechtel wins first contract to rebuild Iraq |
| 2003-04-18 |
| Bechtel Corp., the San Francisco construction giant known for its global reach and high-powered political connections, won a contract Thursday worth up to $680 million to rebuild Iraqi roads, schools, sewers and hospitals damaged in the war. The contract, sought by the nation's largest construction firms, places Bechtel squarely in the middle of U.S. efforts to reshape Iraq. Good idea. Big company, lots of experience, well run — oh, I just noticed they aren't French, either! The company will repair Iraq's waterworks, its electrical grid and its sewage systems. Bechtel also may dredge the seaport of Umm Qasr — gateway for food and medical supplies flowing into the country — as well as repair Iraq's airports. The U.S. Agency for International Development, in charge of picking companies for Iraq's reconstruction, offered few details Thursday of why it chose Bechtel. The selection process, which was cloaked in secrecy because of national security concerns and which was open only to U.S. companies that were invited to bid by the government, angered critics in Congress and abroad. Bechtel, however, pointed to its 60-year history building pipelines, airports and oil sites in the Middle East as credentials for the job. The company has roughly 1,000 people stationed in the region. Although the company offered few details of its plans, spokesman Michael Kidder said Bechtel was meeting with USAID to prioritize the work, determining which of the many tasks had to be handled first. The firm then will seek subcontractors to help, a process Kidder said would be open to companies from other nations. USAID raised the possibility that some of the work would go to Iraqis, saying in a press release that Bechtel would "engage the Iraqi population and work to build local capacity." An agency spokeswoman, however, said USAID had no authority to require that Bechtel hire subcontractors from any specific country. Smart move, though. Get idle hands to work. The contract is the largest for Iraq's reconstruction so far awarded by USAID, which has also hired companies to piece back together the country's education system and run the Umm Qasr seaport. Although the government may spend $680 million on the contract during the next 18 months, the initial award to Bechtel Thursday was far smaller, totaling $34.6 million. Bechtel's decision to bid for the contract turned the company's Beale Street headquarters into a flash point for protests in recent weeks. Demonstrators repeatedly tried to block the building's entrance, saying Bechtel wanted to make money from war. "They use the word reconstruction," said Patrick Reinsborough, Well then, get your own countries to put up some dough. There's lots to be done. |
| Posted by:Steve White |
| #6 Dishman - Thanks. Sarcasm and laziness don't mix well... |
| Posted by: Raj 2003-04-18 12:25:06 |
| #5 I can only smile that Bechtel is HQed in the Financial District of that most Republican of cities... San Francisco! If anybody was late for work because "useful Idiots" laid down in traffic a few weeks ago, it would have been the HQ employee's of this company. Heh, I smell a conspiracy here. I bet this "sweetheart deal" was brokered by Bechtels very own person congress person... Let's see, that would be California's 8th Congressional District Congresswomen Nancy Pelosi... Geez Nancy, I would expect to see you morally outraged on CNN tonight that this went down in a multi national company HQed in YOUR district. We know you support the troops and all, but this outrage must be stopped, right Nancy? I will be listening...I am sure you will do what is right. |
| Posted by: Capsu78 2003-04-18 12:14:41 |
| #4 Bechtel is privately held.. Cheney doesn't own any stock. I've worked with the company in the past. Its corporate culture is pretty decent. They'll do a good job. Based on what I know of the business, I'd say they're probably the best pick. I'm guessing, but I'd say that there may have been an "evaluated bid" process without formal bids. Instead, the possible companies were evaluated based on their capabilities, and Bechtel won. This cuts at least a month off the process, and time is of the essence. |
| Posted by: Dishman 2003-04-18 11:30:27 |
| #3 It will be about 2 |
| Posted by: Raj 2003-04-18 10:49:59 |
| #2 Here's a real shocker for y'all - most big corps are run by...Republicans! Oh, quick Martha, my pills!... |
| Posted by: mojo 2003-04-18 09:53:15 |
| #1 That $34 Million is mobilization money, a standard part of any construction contract. Listened to NPR's headlines this AM and they're already spinning: "Bechtel is a large company - 59% of whose political donations went to Republicans. The company is similar to Halliburton, a company formerly associated with Dick Cheney" Jeebus! |
| Posted by: Frank G 2003-04-18 09:23:43 |