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The cost problem is tied to how procurement & bidding is done by the MTA. Rules & regulations (often in law) have built up over time to protect against corrupt
by fraserharris 11y ago
The cost problem is tied to how procurement & bidding is done by the MTA. Rules & regulations (often in law) have built up over time to protect against corruption & failure. They have calcified out-dated construction practices and insulates the process from any real competition amongst the limited number of approved suppliers.
In addition, federal funding comes with requirements to use suppliers that only employ unionized labor.
- jasonwocky 11y ago> Rules & regulations (often in law) have built up over time to protect against corruption & failure Having worked for NYC and become familiar with their vendor selection processes, I often wonder if the costs of corruption prevention (both direct and opportunity costs) often outweigh their benefits. For one thing, the vendor certification process costs quite a bit of time and effort on the part of their potential vendors, which rules out a lot of smaller (perhaps more efficient) entities in favor of bigger corporations who have the resources to jump through the hoops. The Tweed Courthouse may be one of the most corrupt structures ever built, but at least it's beautiful and it got done.