Halliburton-KBR’s LOGCAP-3 Iraq Contract Not Renewed

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Headed for Iraq The US Army says its 5-year sole provider LOGCAP contract with Halliburton’s KBR unit will be put up for bids after its current phase ends later this year. According to Army figures, KBR has received orders totaling $17.1 billion since the start of the current LOGCAP 3 contract, including about $15.4 billion in Iraq, for feeding, housing and providing fuel and other services to U.S. troops worldwide. As DID has noted, KBR has found itself embroiled in controversy over its role, its prices, and audits of its work that have been unable to fully account for millions of dollars of those funds or justify all charges to the Pentagon’s full satisfaction. The firm strongly denies any wrongdoing, and Army Secretary Francis Harvey recently praised their efforts. LOGCAP 4’s new approach clearly acknowledges the controversies spawned, however, and early reports say that it will be very different. The Army is currently in the final stages of developing its LOGCAP 4 RFP, with winners expected to be named in November 2006. They tentatively plan to split the work among 3 companies, with a 4th firm hired to help monitor the performance of the other 3. KBR will be allowed […]

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