KBR, the evil wing of Halliburton (and damn that's evil) is wasting money right and left
. Somehow I knew this NY Times article would end up being about KBR.
Overhead costs have consumed more than half the budget of some reconstruction projects in Iraq, according to a government estimate released yesterday, leaving far less money than expected to provide the oil, water and electricity needed to improve the lives of Iraqis.
The report provided the first official estimate that, in some cases, more money was being spent on housing and feeding employees, completing paperwork and providing security than on actual construction.
Those overhead costs have ranged from under 20 percent to as much as 55 percent of the budgets, according to the report, by the Special Inspector General for Iraq Reconstruction. On similar projects in the United States, those costs generally run to a few percent.
The highest proportion of overhead was incurred in oil-facility contracts won by KBR Inc., the Halliburton subsidiary formerly known as Kellogg Brown & Root, which has frequently been challenged by critics in Congress and elsewhere.
The report did not explain why KBR’s overhead costs on those contracts - the contracts totaled about $296 million - were more than 10 percent higher than those at the other companies audited. Despite past criticism of KBR, the Army, which administers those contracts, has generally agreed to pay most of the costs claimed by the company.
I think I can tell them why, KBR is nothing but a bunch of war-profiteering criminals who would be strung up if it weren't for their connections to the Vice President.