When news broke that Whitefish Energy – a two-person company based out of Interior Secretary Ryan Zinke’s Montana hometown – won the $300 million contract to restore power to Puerto Rico, it raised many eyebrows. With a company of that size attempting this massive undertaking, things don’t add up, with industry analysts even suggesting that Whitefish didn’t come by this contract through an ethical, competitive bidding process. As the Department of Homeland Security analyzes the $300 million contract, the document has hit the web and drawn even more controversy.
The 42-page document features some very questionable clauses, forcing FEMA to speak about its unease with the terms. “Based on initial review and information from PREPA, FEMA has significant concerns with how PREPA procured this contract and has not confirmed whether the contract prices are reasonable,” FEMA wrote in a statement. “FEMA is presently engaged with PREPA and its legal counsel to obtain information about the contract and contract and contracting process, including how the contract was procured and how PREPA determined the contract prices were reasonable.”
Read the document below in its entirety, or scroll down to check out some of the most concerning aspects:
PREPA, Puerto Rico and other government bodies cannot "audit or review the cost and profit elements"
The Puerto Rican government cannot take any action against the company in the case of "delayed completion of the work"
The contract suggests FEMA approved the contract, a claim the agency denies
The helicopter budget
The rates per hour
The workers' accommodations each day