Federal authorities have arrested 70 current and former NYCHA officials for allegedly accepting $2 million in bribes to award $13 million in no-bid contracts, a scheme that has been ongoing since 2013. The corruption involved work at nearly 100 developments citywide and was exposed by a 2019 investigation. The charges mark the largest federal bribery case in the Justice Department's history and have led to immediate suspensions of those involved. NYCHA has committed to implementing reforms to prevent future corruption, and the investigation remains active, encouraging vendors to come forward.
The New York City Council plans to hold an oversight hearing in the fall to examine the billions of dollars in no-bid contracts awarded by the Adams administration to address the city's significant migrant influx. The contracts have raised concerns from politicians on both sides of the aisle, prompting calls for transparency and accountability. Councilwoman Gale Brewer will lead the hearing, focusing on reviewing the contracts and the programs they support. Councilwoman Inna Vernikov intends to introduce a bill mandating a public website to track taxpayer spending on migrants. The contracts, issued under a state of emergency, have not undergone thorough review by the City Comptroller's office. Mayor Eric Adams estimates the cost of the migrant crisis could reach $12 billion over the next three years.
New York's House Republican delegation criticized Governor Kathy Hochul and Mayor Eric Adams for awarding "no-bid" emergency contracts worth billions of dollars to address the migrant crisis. The Republicans raised concerns about the contracts and questioned the management of federal funds allocated for the crisis. They highlighted contracts awarded to Texas-based firms Garner Environmental Services and Cotton Commercial, as well as a controversial $432 million contract with DocGo. The GOP lawmakers also pointed out campaign contributions and connections between the contractors and Hochul's administration. They criticized the handling of the migrant crisis and expressed concerns about the state's budget gap. Hochul's office stated that the contracts were awarded to vendors with existing contracts with the federal General Services Administration.
