donttouchthirdrail t1_j7kffa3 wrote
Reply to comment by lunaoreomiel in MTA spent twice as much on Second Ave subway consultants as it did on its construction by NYY657545
This is the free market. Do you think these contractors are run by the government?
TheGazzelle t1_j7kh6pc wrote
It is not free market when you have MWBE requirements on every job and have to hire incompetent people to "run" money through in order to meet your % requirements.
Look at JFK, the state wants 30% MWBE. Each of those businesses are a racket with no competition and drives up the overall price of construction.
nychuman t1_j7lnghh wrote
Anybody downvoting this does not work in construction. You’re absolutely correct.
Colorfulgreyy t1_j7kholu wrote
What kind of free market we talking about?
donttouchthirdrail t1_j7mpd1m wrote
Which are also free market firms?
TheGazzelle t1_j7nsoiu wrote
Except the state mandates their use and keeps them in business. So no. They are not free market. It’s like capitalism with a noose around the neck.
ArcticBeavers t1_j7kjtax wrote
You want the method the federal government takes by giving projects to the lowest bidder? Half-assed work that doesn't last or needs constant replacement. MBWE is the least of our concerns with spending inefficiencies.
TheGazzelle t1_j7kndis wrote
What are you talking about? I am not saying that at all, it should all be competitive. Right now I see 20-30% of projects budgets I work on get grifted out of existence to some rich MBE owner who never turns up to the jobsite and is completely incompetent. The only reason they exist is to live off the grift of the bureaucracy that forces everyone to use them.
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I have friends applying to JFK opening MWBEs and getting hired as consultants for triple their normal salary because the agencies need a way to spend $6 billion of the $18 Billion total budget on "Minority" enterprises. Workers get "borrowed" from one parent company to MBEs as a way to divert money and skim an extra 20%. It is ridiculous. MWBEs are 99% GRIFT.
vidro3 t1_j7lcx4n wrote
Ask consultants and it is well known that such and such MBWE is in a wife's name but basically run by a guy who is a lead at another firm.
TheGazzelle t1_j7lkl02 wrote
Yeah exactly. Put a regular or noncompetive company in your wife's name (or give 51% to a random minority owner) and now all of a sudden they get $30m-100m contracts on these government projects, then they drag out construction and make mistakes because they aren't very good but the government is forcing us to use them. Happens on literally every government job.
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