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Senate OKs plan to open storm bids

Wednesday, May 3, 2006

By Jeff Zeleny - Chicago Tribune

WASHINGTON -- The Senate agreed Tuesday to require all federal contracts for Hurricane Katrina reconstruction that exceed $500,000 to be competitively bid.

In a unanimous vote, the Senate passed an amendment designed to prevent a repeat of what took place in the immediate aftermath of the hurricane last year, when FEMA awarded four $100 million no-bid contracts to four companies.

"Eight months after Katrina, there's no longer any emergency that justifies a no-bid contract that might have been entered into the days after Katrina," said Sen. Barack Obama (D-Ill.), who sponsored the amendment.

The full bill is expected to pass the Senate on Wednesday.