Unsupported Costs and Alleged Price Gouging on Hurricane Sandy Recovery Contracts

OIG investigated unsupported costs and possible price gouging identified during an OIG audit that reviewed claimed costs under three contracts, totaling $4,551,942, that the National Park Service (NPS) issued to a contractor to assist with Hurricane Sandy recovery operations. Our investigation identified $90,442 in charges that had no supporting documentation and for equipment that was broken on the day of claimed use. We also determined that the contractor double-billed two equipment items, resulting in an overpayment of $24,604.

 

This is a summary of an investigative report that was issued internally to the U.S. Department of the Interior.