The City of New Orleans hired MWH, formerly known as Montgomery Watson Harza, to guide city rebuilding:
MWH's role will include monitoring the work; ensuring uniformity in documentation provided to the Federal Emergency Management Agency for reimbursement; and making the process more transparent, company chief executive Bob Uhler said.I assume MWH will be trying to avoid situations like this:
The deal with Montgomery Watson Harza, however, has sparked questions from FEMA officials, who say it violates federal rules by tying profits to costs. The agreement also has raised eyebrows at the FBI, which issued subpoenas last year for documents related to a subcontractor linked to longtime water board member Benjamin Edwards.More:
The alleged problem with the contract's structure, which critics say provides no incentive to keep costs low, has spawned another reimbursement feud, which S&WB officials say has retarded further the progress of sewer system repairs.
According to a Nov. 3 letter by Public Works Director Robert Mendoza, state officials are using the findings of the fiscal review as a reason to hold back $9.6 million that they already have received from the feds for the Montgomery Watson contract. The state department serves as the pass-through agency for disaster appropriations to local entities.(All above emphasis mine.)
h/t jeffrey and his commenters
