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Unreasonable Bechtel cost estimates

 Bechtel allegedly failed to conduct cost related audits for 18 years leading to potential overcharges. Years later, an audit from May 2021 through May 2022, resulted in Bechtel being accused of cost estimates that were “unreasonable”. Yet in March of 2023, Hanford under Bechtel management, gets best ever annual rating. Wait what?


Why is there an apparent disconnect between DOE IG negative audits of Bechtel’s performance, and Bechtel’s annual performance ratings, and how does this disconnect impact Bechtel at other DOE facilities like LLNL?


November 2019

Taxpayers may have been overcharged for Hanford work for 18 years. Bechtel failed to audit costs

https://amp.tri-cityherald.com/news/local/hanford/article237409979.html


March 2023

Hanford contractor gets best ever annual rating, earning it $6.5M in incentive pay

https://www.aol.com/hanford-contractor-gets-best-ever-120000494.html


September 2023

These issues resulted in estimates that were likely unreasonable, could not be adequately supported, and potentially benefited Bechtel improperly and disadvantaged the taxpayer.

https://www.energy.gov/sites/default/files/2023-10/DOE-OIG-23-34.pdf


Comments

Anonymous said…
"Bechtel allegedly failed to conduct cost related audits for 18 years leading to potential overcharges. Years later, an audit from May 2021 through May 2022, resulted in Bechtel being accused of cost estimates that were “unreasonable”. Yet in March of 2023, Hanford under Bechtel management, gets best ever annual rating. Wait what?"

You are rather slow to the game.

Anonymous said…
“You are rather slow to the game.”

Thanks for your value added contribution, but it is DOE that has been chronically lethargic regarding Bechtel’s track record of conduct. Reading comprehension can be challenging for some.
Anonymous said…
C'mon, give Bechtel a break here folks. They have to have obscene profits in order to pay the kickbacks and bribes, they haven't figured how to make those tax deductible.
Anonymous said…
Bechtel is a corporate mafia that has long ago paid for Congressional support. Once you understand that the rest of the story writes itself.
Anonymous said…
“Bechtel is a corporate mafia that has long ago paid for Congressional support. Once you understand that the rest of the story writes itself.”

Not surprising, but then why was Bechtel booted out of LANL in favor of Triad?
Anonymous said…
9:18 because Bechtel was so completely inept that even the dim bulb bureaucrats of the NNSA couldn’t continue to ignore it.
Anonymous said…
“9:18 because Bechtel was so completely inept that even the dim bulb bureaucrats of the NNSA couldn’t continue to ignore it.“

I think you are correct.

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