November 14 2003 Copyright 2003 Business Research Services Inc. 202-364-6473 All rights reserved.
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Industry Day is Planned for Iraq Reconstruction The Iraq Coalition Provisional Authority will hold an industry day Nov. 19 in Arlington, VA, to outline its plans for the next round of reconstruction contracts, now that President Bush has signed the $87.5 billion supplemental appropriations bill for Iraq and Afghanistan. The Defense Department said a new Iraq Infrastructure Reconstruction Office will manage the contracts, which will be awarded by the Army Corps of Engineers and the Agency for International Development. DOD said the industry day is “the first step in a series of measures designed to make the contracting process and business opportunities in Iraq as transparent and accessible as possible.” The Reconstruction Office “will emphasize full and open competition in awarding contracts and responsiveness to the needs of Iraqi citizens,” DOD added. The Bush administration has been widely criticized for awarding earlier contracts in Iraq on a sole-source or limited-bid basis. The Corps of Engineers Office of Small and Disadvantaged Business Utilization will participate in the conference. When the House passed the supplemental appropriation, it included a provision requiring large prime contractors working in Iraq to draw up subcontracting plans including small firms. Subcontracting plans are required on large contracts performed in the United States, but not overseas. The amendment was dropped from the final bill by a House-Senate conference committee. Its sponsor, Rep. Nydia Velazquez (D-NY), blamed the Republican leadership for stripping the provision. The bill appropriates $18.7 billion for projects in Iraq. That includes not only infrastructure but also many other tasks such as training the army and police. According to the Coalition Provisional Authority, the projects include: •$5.6 billion for electricity generation; •$3.6 billion for drinking water and sewage plants; •$1.9 billion for oilfield reconstruction and purchase of oil; •$2.1 billion for training and equipping the Iraq army; •$793 million for health projects; •$775 million for irrigation and dams; •$619 million for training police and protecting borders; •$500 million for railroads, airports and telecommunications; •$433 million for private-sector development and local governance; •and $370 million for roads, bridges and housing projects. The Reconstruction Office will operate both in Baghdad and in Arlington, VA. Deidre Lee, director of defense procurement, has been working with the office and will host the Nov. 19 industry day. Another contractors’ conference will be held in London Nov. 21. For details and to register, go to http://www.rebuilding-iraq.net/pls/.
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