How was Bechtel selected?
Seven U.S. companies were secretly invited to bid in a limited competition allowed under the Foreign Assistance Act of 1961. While all seven had a track record on overseas projects in such places as Kosovo and Afghanistan, Bechtel’s experience in Arabic-speaking nations carried the day. It employs more than 1,000 people in the Mideast, it’s building a $1.7 billion aluminum smelter in Bahrain, and it’s expanding a Saudi Arabia airport for $1.5 billion. Why were the bidders all American? USAID officials say the law requires them to use only U.S. suppliers. In addition, each bidder had to have a type of security clearance, which no foreign company possessed, to review classified documents handed out at a pre-bid conference. Overseas companies, however, are eligible for subcontracts. Besides, one USAID official says: “Imagine the furor if we chose European companies, using American tax dollars.” USAID also says it had to limit competition because it was working under a tight deadline. In t
