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Haiti: Relief and Reconstruction

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Haitian Companies Still Sidelined from Reconstruction Contracts Print

In December 2010, the AP conducted an analysis of Haitian earthquake contracts given out by the US government, finding that only $1.60 out of every $100 went to Haitian companies. In the story, USAID responded:

US AID says it is committed to increasing the amount of contracts going to Haitians.

“We already are engaging with Haitian communities to make them aware of how they can partner with us,” said Janice Laurente, a spokeperson for US AID.

Yet a new analysis from Haiti: Relief and Reconstruction Watch shows that since December 2010, not a single contract has been awarded to a Haitian firm, according to the Federal Procurement Data System  (FPDS).  As of April 14, 2011, 1490 contracts had been awarded, since the January 2010 earthquake, for a total of $194,458,912. Of those 1490 contracts, only 23 have gone to Haitian companies, totaling just $4,841,426, or roughly 2.5 percent of the total.

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Help CEPR in Our Work on Haiti Print

Dear Friend of CEPR,

Several times per year, we at the Center for Economic and Policy Research ask our friends and supporters to consider making a donation to sustain our work. This spring, we are asking for support for a crucial part of CEPR’s international work, our Haiti: Relief and Reconstruction Watch blog.

CEPR created the Haiti: Relief and Reconstruction Watch blog in the first few weeks after the devastating earthquake in Haiti, with a focus on ensuring that the most urgent needs of the Haitian people are being met. Through direct traffic as well as a partnership with Wired magazine, Haiti: Relief and Reconstruction Watch has been able to reach thousands of people, including policymakers, journalists and aid workers on the ground in Haiti. From the very first post (there are now over 275 posts), the blog has focused extensively on the issue of adequate shelter and sanitation.

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Lucke Guy; Former USAID Official Continues Lobbying for Contractors in Haiti Print
Following the earthquake in Haiti, Lewis Lucke became the United States' Special Coordinator for Relief and Reconstruction in Haiti. But less than a year after the earthquake he was in court suing the Haiti Recovery Group and its two partners, Ashbritt Inc. and the GB Group, for nearly $500,000. According to the AP, about two months after Lucke "finished" his work as US Special Coordinator, he began working with Ashbritt, a company we've written about numerous times before. The AP continues:

Lucke claims he "played an integral role" in securing two $10 million contracts -- the one from the Haitian government and a second from the World Bank -- along with a third with CHF International worth $366,000. He said he fulfilled his obligations under the contract by performing such services as "providing an understanding of the recovery efforts, making key introductions, and identifying sources of funding for HRG projects."

The incentives under the contract provided he would be paid a bonus if the HRG earned contracts worth more than $6 million. Lucke says he is owed about $492,483 as well as attorney's fees for the breach of contract.

Before the lawsuit was settled, however, Lucke was back at it. In December 2010, Lucke became a board member of MC Endeavor Inc. and its subsidiary, CENTIUUM Holdings Inc. The company describes itself as an "international Smart-Home Builder and Sustainable Community Developer utilizing green technologies". In a press release announcing Lucke's decision to join the board, the company touts Lucke's work in Haiti:

Ambassador Lucke most recently served as U.S. Response Coordinator for the Haiti earthquake, leading the United States’ $1.0 billion to date relief and recovery program. The reconstruction phase is next and is expected to take about $10 Billion to build interim and permanent housing for over 1 million homeless earthquake victims.

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IHRC Board Meets Amidst Mounting Criticism Print

As Bill Clinton heads to Haiti to participate in the second day of meetings of the Interim Haiti Recovery Commission (IHRC), the exclusion of Haitian and civil society input should be on top of the agenda. Jacqueline Charles of the Miami Herald reported yesterday, “Almost nine months after a battered Haiti approved a U.S.-backed blueprint for its recovery, small nongovernmental and grassroots community organizations essential to the country’s long-term reconstruction are being left behind in the nearly $2 billion in reconstruction projects that have been approved.” But not only are they missing out on the funding, they are being overlooked in the decision making process as well.

In December the 12 Haitian members of the IHRC wrote a formal letter outlining their marginalization within the IHRC. They wrote:


The twelve Haitian members present here feel completely disconnected from the activities of the IHRC. There is a critical communication and information shortage at the TIC [Information and Communication Technology] on the part of the Executive Secretary and even more from the Executive Committee. In spite of our role in the governance structure of the institution, we have so far received no follow-up on the IHRC activities.

In general, contact is only established one day before the board meetings. Board members have time neither to read, nor analyze, nor understand--and much less to respond intelligently--to projects submitted at the last minute, despite all the complaints expressed and promises made on this subject.


The letter adds that, “In reality, Haitians members of the board have one role: to endorse the decisions made by the Director and Executive Committee.”

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Talk of Prioritizing a Civilian, Over a Military Mission, at the UNSC Print

Colombian president Juan Manuel Santos chaired a UN Security Council meeting today, reportedly attended by representatives of 14 countries (including the foreign ministers of MINUSTAH members Argentina and Chile) and UN Special Envoy to Haiti Bill Clinton, that focused on Haiti. According to Colombia Reports, Santos said:

"Think of what we could achieve if instead of having a high percentage of military personnel, the mission had more civilian personnel and more engineers to assist the removal of debris, a task which is starting to show significant progress thanks to the efforts of the Haitian authorities," the president said.

And

"If we have a United Nations operation in Haiti, why don't we use it to serve their immediate needs and begin to cement its transition towards development?" Santos continued.

"Today, the proliferation of organizations operating on this island without any coordination between themselves or the Haitian authorities, undermines any effort to strengthen the institutions of the country and they affect the ability to undertake long-term initiatives which means that their efforts do not lead to anything concrete."

"It does not help Haiti if the international community does not take into account the vision of the Haitians about their own problems. For this reason if the Haitian people accept the renewed support of the international community, we propose that it be based on a foundation that guarantees the effectiveness of our joint action," Santos added.

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