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December 28, 2007
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Clinton: Make DHS Pay For Performance

By ARI PAUL

A measure in the Federal Omnibus Appropriations bill mandates that the Department of Homeland Security can give bonuses to private contractors only if they meet certain requirements detailed in the contract, U.S. Sen. Hillary Clinton announced Dec. 17.

HILLARY CLINTON: End unearned bonuses.
The amendment was introduced in reaction to DHS contractors receiving award bonuses regardless of performance, her office said.

'Don't Reward Bad Work'

"The Department of Homeland Security should be holding their contractors accountable and not rewarding bad behavior," Senator Clinton said in a statement. "With high risk areas like New York fighting for precious Homeland Security funds, it is outrageous that DHS is awarding bonuses to contractors that they haven't even earned."

She noted specifically that the Inspector General of DHS found in 2005 that one of its agencies, the Transportation Security Administration, granted a contractor, Boeing, $44 million in extra award fees.

"In too many cases, DHS appears to be awarding bonuses despite poor performance, or worse, without even evaluating work. Failing contractors should be rooted out, not rewarded," Senator Clinton said in a letter Nov. 26 to Richard L. Skinner, the Inspector General for DHS. "Given your report of what appears to be noncompliant federal contracting practices on the part of the DHS and a pattern of providing award fees to contractors without justification, I request that you expand your investigation into the practice of award fees by the department, especially when it comes to no-bid contacts."


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