Poor Government Oversight of Anham and Its Subcontracting Procedures Allowed Questionable Costs To Go Undetected
SPECIAL INSPECTOR GENERAL FOR IRAQ RECONSTRUCTION ARLINGTON VA
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Since 2003, the United States Government has awarded billions of dollars to support relief and reconstruction services in Iraq. A significant amount of the contracted work was, in turn, subcontracted to lower-tier firms. The term subcontractor in this report refers to any person or organization that furnishes supplies or services under a prime contractor. Oversight of subcontractors in contingency operations has been a long-term concern and the subject of hearings before, among others, the Senate Homeland Security and Government Affairs Committee, the House Congressional Committee on Oversight and Government Reform Subcommittee on National Security and Foreign Affairs, and the Commission on Wartime Contracting in Iraq and Afghanistan. This report examines subcontracts associated with a contract awarded in September 2007 by the former Joint Contracting Command-IraqAfghanistan to Anham, LLC Anham3 to provide for the receipt, storage, and forward movement of supplies and equipment needed to reconstitute the Iraqi Security Forces and reconstruct the countrys infrastructure. The contract had a ceiling price of 300 million and, at its conclusion, obligations of approximately 119.1 million. Anham subcontractors provided at least 55 million of supplies and services under this contract. Both the Iraq Security Forces Fund about 91.0 million and the Armys Operations and Maintenance Fund about 28.1 million funded this contract. Anham holds contracts for goods and services with the U.S. government totaling about 3.9 billion see Appendix C.
- Economics and Cost Analysis
- Government and Political Science
- Unconventional Warfare