I stumbled upon the following information while researching to find out what many are wondering: Why was the ACA website contracted out to a Canadian
firm when we need jobs so desperately here in the U.S.?
Turns out that the Obama Administration apparently looked at a single bid
for the contract to
build this farce. Think about that – one company made one bid, and the Obama Administration said, “Ok sure, you got it!” And apparently that
bid was $515 million, not including the do-over, at an estimated total cost of over $1 billion.
Rather than open the contracting process to a competitive public solicitation with multiple bidders, officials in the Department of Health and
Human Services' Centers for Medicare and Medicaid accepted a sole bidder, CGI Federal, the U.S. subsidiary of a Canadian company with an uneven record
of IT pricing and contract performance.
is “a U.S. subsidiary of a Canadian company”. To me, this simply means “a Canadian company using
loopholes in order to funnel our tax money to Canadian millionaires. Like so many things in Washington, it may be legal, but that’s only because
highly-paid lobbyists got paid to make the law bend in that direction, not to mention that it’s highly unethical.
It gets worse. CGI was apparently
by the Canadian
Government for screwing up their website so badly.
Canadian provincial health officials last year fired the parent company of CGI Federal, the prime contractor for the problem-plagued Obamacare
health exchange websites, the Washington Examiner has learned.
CGI Federal’s parent company, Montreal-based CGI Group, was officially terminated in September 2012 by an Ontario government health agency after the
firm missed three years of deadlines and failed to deliver the province’s flagship online medical registry.
Having dealt with government contractors in the past, I know that you have to really
screw up to have your contract ended. That’s because
first, no one in the government wants to admit that they made a multi-million dollar mistake. Second, the process to find another company and have
them find and fix the screw-ups takes time that the hiring agency doesn’t have, and third, if the second company proves no better than the first,
roll. Plus, as we all know in more cases than not, someone’s good friend/relative/campaign fund provider is a big muckety-muck in
said company and is getting a favor returned. More on that later.
In addition to all of this, The ACA website is using 10-year old technology, according to a
USA Today article
The federal health care exchange was built using 10-year-old technology that may require constant fixes and updates for the next six months
and the eventual overhaul of the entire system, technology experts told USA TODAY. The site could be perfect, but if the systems from which it draws
data are not up to speed, it doesn't matter, said John Engates, chief technology officer at Rackspace, a cloud computer service provider. According to
FOX News, this should have come to no surprise to the Obama Administration, as this is nothing new with regard to CGI.
And according to FOX News
"In projects stretching from Canada to Hawaii, parent company CGI Group and its subsidiaries ran into complaints about its performance," Fox
reported. "The morning I heard CGI was behind [Healthcare.gov], I said, my God, no wonder that thing doesn't work," said James Bagnola, a
Texas-based corporate consultant who was hired by the Hawaii Department of Taxation (DOTAX) in 2008.
One of the biggest complaints of people who were actually able to get far enough is that they have to enter all of their personal information just to
get insurance quotes. This is the bottleneck which is causing the issues with the website, and according to forbes.com is by design
And according to Forbes.com:
bamacare's Website Is Crashing Because It Doesn't Want You To Know How Costly Its Plans Are
Growing consensuses of IT experts, outside and inside the government, have figured out a principal reason why the website for Obamacare’s
federally-sponsored insurance exchange is crashing. Healthcare.gov forces you to create an account and enter detailed personal information before
you can start shopping. This, in turn, creates a massive traffic bottleneck, as the government verifies your information and decides whether or not
you’re eligible for subsidies.
So this brings us back to the question, “Why did this obviously incompetent Canadian company get a no-bid contract to build a web site for an
American government program in the first place?”
Why would this company be considered so qualified by the Obama Administration to undertake what turned out to be such an enormous task without even
bidding against any competition? No doubt no veteran ATSer will be surprised at the answer, so let’s get the obvious one out of the way.
George Schindler — President, U.S. and Canada, of CGI Group, the Canadian parent company of U.S. subsidiary, CGI Federal — donated $1,000 to
in Aug. 2012.
Nothing unusual there. Apparently this guy Schindler is a little politically confused, because he also donated the same to Romney’s campaign.
“Just in case”, I guess. In and of itself, the above has come to mean nothing in the political arena, however it goes beyond that.
Maybe, just maybe, the fact that CGI’s Senior Vice President, Toni McCall Townes-Whitley, being Michelle’s good friend and former Princeton
classmate had a little something to do with it. According to her own Facebook Page
, they spent a very
pleasant Christmas together.
Townes-Whitley and her husband even enjoyed
“Christmas with the Obamas
” at the
White House in December 2010, according to a Facebook album created by Townes-Whitley.
Apparently this debacle hasn’t affected the growth of CGI in the least. Just check out their
” page and scroll down the enormous list of openings.
It just goes to show you how a little brown-nosing with the right people can contribute to your success at great expense to the American taxpayers,
and as in this case, American jobs.
And so it goes.
edit on 11/3/2013 by AntiNWO because: I made a mistake, I admit it.