The Wall Street Journal reported this morning the Army has settled a billing dispute with Halliburton despite
Why, if the private sector is more efficient than the military in force provisions, can Halliburton not seem capable of keeping track of their war expenditures? I understand the instability of the region will create unforeseen problems, but this is not an excuse for not being able to properly bill your client.
$55 million was held back from the $1.2 billion paid out.
To settle the dining bill, which auditors for the Pentagon had initially been concerned was 40% higher than KBR could make sense of
That makes some sense. I still don’t understand why KBR continued to prepare more food than soldiers. A little overprepared is one thing, but 40% over is bogus. And I wonder what they did with all that uneaten food. I hope it wasn’t trashed. Like the trucks left on the side of the road after their tires get blown out.
In another break, the Army agreed to pay a fixed-price for the majority of the dining bills, instead of a reimbursement for actual expenditures. This increased Halliburton’s profit to 3% from 1%, Army officials said, generating an extra $26 million for the company.
Sweeeet. So $55 million minus $26 million equals $29 million. So did the Army hold back $55 million or $29 million? Did they include this in their report?
Of course not. But it seems that Halliburton will not get hit anyway, as spokesperson Beverly Scippa noted that the $55 million
Well, its a win-win situation for Halliburton. The Army cares more about their war than how much its going to cost, because really, we are paying for it. And as far as the subcontractors go, the ones getting stiffed, I do not claim to know, I am curious… I just wonder if they were doing what everyone was doing, and when the music stopped, they didn’t have a chair, or if these contractors actually did something beyond the pale of others and really deserve to get stiffed. Either way, the change to a fixed-payment is a bonus, so who ever screwed up should get a golden toilet.