Saturday, May 12, 2018

Why one Foxconn contractor is already off the job, updated

[Editor's note: I've had to repost this. My apologies].

An old friend in the labor movement sends this interesting story about a Foxconn subcontractor whose past transgressions have have already barred its participation:
A minority-owned contractor banned from state road projects was booted Friday from its spot among 28 companies working on the first phase of construction for Foxconn Technology Group’s $10 billion factory in Racine County.
Hoffman Construction, a lead contractor on the Foxconn project, terminated its agreement with the subcontractor Vizcaino’s Trucking, of Oconomowoc, after The Daily Reporter inquired about the company’s status as a debarred contractor with the Wisconsin Department of Transportation, a list that bans companies from doing work with that agency.
The story also highlights the disconnects between state and local officials about potential bad actor contractors - - something the City of Milwaukee wants to address.
The city asks companies if they have been debarred by other agencies before certifying them as SBE contractors, said Nikki Purvis, director of the city’s Office of Small Business Development. 
But when companies renew their status, officials don’t follow-up. City officials recently signaled they may tighten their rules governing SBE businesses after another contractor, Sonag Construction, was indicted for bilking the government out of more than $200 million by exploiting programs set up to help firms owned by women, minorities and veterans.
I have added this post to my blog's full Foxconn archive, here.

1 comment:

Jake formerly of the LP said...

If these projects were bid using state rules, the company being on the debarred list would have come up. But because the Fox-con basically uses no-bid contracts despite the use of billions of taxpayer dollars, this wasn't known until after the contract was handed out.

The corrupt side of this boondoggle is becoming more apparent by the day.