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About POGO's Federal Contractor Misconduct Database (FCMD)
The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »
Ranking: 13
Bechtel Corporation
Bechtel is one of the world's premier development, engineering, construction, and project management companies. It has completed more than 22,000 projects in 140 countries on all seven continents, including more than 500 power stations.
Federal Contract $: $4498.8m
Total Number of Instances: 19
Total Misconduct dollar amount: $ 378.3m
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Instances of Misconduct
1. Big Dig Tunnel Collapse Wrongful Death Lawsuit
The family of Milena Del Valle, who was killed in July 2006 when a portion of the Big Dig tunnel ceiling collapsed, settled a wrongful death lawsuit for more than $28 million with 15 defendants, including Bechtel/Parsons Brinckerhoff. See related Bechtel Corporation instances “NTSB Report on July 2006 Big Dig Tunnel Ceiling Collapse” and “Construction Mismanagement on the Boston Central Artery/ Tunnel Project.”... more»
2. Jensen v. Bechtel BWXT Idaho (Retaliation Against Worker Complaints)
Amount of settlement: 270 days of personal leave, confirmation of plaintiff as a Project Planner, reimbursement for out of his out-of-pocket expenses, travel, and 80 hours of time attending trial and depositions, plus attorney fees. Bechtel Babcock and Wilcox settled a case that alleged retaliation against a worker who complained of hazardous working conditions at INEEL. Clint Jensen “raised concerns that he was exposed to Depleted Uranium and other substances at work that may have caused his own Gulf War Syndrome-like symptoms. He suggested that the Industrial Hygiene program was deficient, that he had been ordered to burn substances other than DU in the oxidation oven – in violation of the oven’s permit, and that his uranium exposure levels soared after he looked down to find himself standing in DU-laden water…. Rather than truly investigating Mr. Jensen’s concerns or compensating him for his illness, his employer attempted to silence him and keep him out of the workplace.”... more»
3. Construction Mismanagement on the Boston Central Artery/ Tunnel Project
Bechtel/ Parsons Brinckerhoff’s construction work on the Boston Central Artery/ Tunnel Project (aka the "Big Dig") has been the subject of 11 Massachusetts Inspector General investigations over the past several years. The investigations focus on faulty waterproofing, poor design, paving, and many other examples of construction mismanagement that have increased the cost of the project. On November 27, 2006, Attorney General Thomas F. Reilly announced plans to file a civil lawsuit against fifteen companies directly involved in the management, design, construction, and oversight of the Interstate 90 connector tunnel that collapsed and killed a woman in July 2006. The suit alleges negligence, breach of contract and gross negligence on the part of Bechtel/Parsons Brinckerhoff. In a July 2007 report on the Boston Big Dig tunnel ceiling collapse, the National Transportation Safety Board partly blamed the accident on mistakes made by Bechtel/Parsons Brinckerhoff. The NTSB also faulted other builders, suppliers and the Massachusetts Turnpike Authority, finding they should have known that the epoxy glue used to fasten ceiling panel bolts into place could slip over time, and that they should have better monitored the panels after bolts were found slipping out of place in 1999. In January 2008, Bechtel/Parsons Brinckerhoff entered into a global agreement with the United States and the Commonwealth of Massachusetts, agreeing to pay $407 million ($357.1 million of which will come from Bechtel) to resolve all criminal and civil liabilities in connection with the tunnel collapse and other issues pertaining to the project. In addition, Bechtel and Parsons Brinckerhoff will be required to enact corporate ethics and compliance programs designed to prevent similar lapses from occurring on future public construction projects. See related Bechtel Corporation misconduct instance “NTSB Report on July 2006 Big Dig Tunnel Ceiling Collapse.”... more»
4. EEOC v. Bechtel Corp (Discrimination on the Basis of National Origin)
“The Philadelphia District Office filed a Title VII lawsuit alleging that Bechtel, an international construction company, subjected charging party to a hostile work environment and discriminatory terms and conditions of employment because of his Iraqi national origin, and discharged him because of his national origin. Defendant hired charging party into a Site Acquisition Specialist position in June 2001 and he worked at construction projects in Illinois, Massachusetts, New Jersey, and New York. The Commission alleged that following the September 11, 2001, terrorist attacks charging party was harassed by coworkers (including physical attacks and offensive and degrading comments about his national origin), excluded from meetings, isolated, and denied work assignments. Charging party's complaints were ignored and he was discharged in June 2002.”... more»
5. Hazardous Waste Violations
Bechtel and the DOE were fined by the Washington Department of Ecology for hazardous waste violations. “The U.S. Department of Energy and a Hanford contractor have been fined $5,000 for hazardous waste violations including an incident when pressure built up inside a drum resulting in the drum lid popping into the air, narrowly missing workers. The violations by Energy and Bechtel Hanford Inc. were based on Washington Department of Ecology inspections last fall of cleanup involving the four 183-H Solar Evaporation Basins, located along the southern shore of the Columbia River in the Hanford Site's north-central area.”... more»
6. Keiffer v. Bechtel (Age Discrimination)
In this age discrimination case, the plaintiff “had been with Bechtel for 27 years when management reorganized his department and selected a 30 year old male as the new supervisor. Not long after, based on Keiffer's reduced workload and high salary, Bechtel terminated him as part of a reduction in force.” See 65 Cal. App. 4th 893 (1998).... more»
7. NTSB Report on July 2006 Big Dig Tunnel Ceiling Collapse
In a report on the Boston Big Dig tunnel ceiling collapse that killed a woman in 2006, the National Transportation Safety Board partly blamed the accident on mistakes made by Bechtel/Parsons Brinckerhoff. The NTSB also faulted other builders, suppliers and the Massachusetts Turnpike Authority, finding they should have known that the epoxy glue used to fasten ceiling panel bolts into place could slip over time, and that they should have better monitored the panels after bolts were found slipping out of place in 1999. See related Bechtel Corporation misconduct instance “Construction Mismanagement on the Boston Central Artery/ Tunnel Project.”... more»
8. Violations of CFC and Asbestos Emissions Laws (Idaho National Engineering and Environmental Lab)
Bechtel was fined for violations of federal asbestos and CFC emission laws at the Idaho National Engineering and Environmental Laboratory. “EPA found that at various times from June 15, 1997, to July 1, 2000, no records were kept of what service was performed and how much refrigerant was added to comfort cooling systems at the Idaho Nuclear Technical and Engineering Center (INTEC) at INEEL. In addition, EPA found that comfort cooling systems with annualized leak rates greater than 15% were not repaired within 30 days.” See related Lockheed Martin misconduct instance, "Emissions Violations at the Idaho National Engineering and Environmental Laboratory."... more»
9. Violation of DOE Radioactive Waste Policies (Idaho National Engineering and Environmental Lab)
Bechtel BWXT was fined for... “noncompliances associated with the July 17, 2003, waste stack-toppling event at the Subsurface Disposal Area (SDA) [at the Idaho National Engineering and Environmental Laboratory (INEEL)]. During the event, a column of low-level radioactive waste containers toppled over, with several coming to rest on the forklift being used to stack the waste. In addition to the potential radiological consequences of the event, the event had serious occupational safety implications and constituted a “near-miss.”... more»
10. Violation of DOE Safety Procedures (Hanford)
In violation of Department of Energy safety procedures, “workers [at the Hanford, WA plutonium plant] unwrapped a highly contaminated Filter Press without utilizing appropriate engineering and/or administrative controls. As a result, an Airborne Radioactivity Area was created which was not adequately recognized, posted, or controlled.” The base civil penalty for the violations was $165,000, which the Department of Energy mitigated by half.... more»
11. Violations of Wetlands and Water Quality Laws
Bechtel paid a fine for violating New Hampshire’s wetlands and water quality laws in the construction of a gas pipeline. “PNGTS [Portland Natural Gas Transmission System] began building the 68-mile-long gas pipeline through Coos County in the spring of 1998, with Bechtel acting as general contractor for the project. During construction, DES inspectors discovered many violations of state environmental laws and permit conditions, mostly involving the discharge of sediment into streams and wetlands. Sedimentation and turbidity impair water quality and can damage fish and wildlife habitat as well as wetlands vegetation.”... more»
12. Violations of Rules and Procedures at INEEL
The Department of Energy issued a preliminary notice of violation (PNOV) to Bechtel BWXT Idaho LLC, which operates the Idaho National Engineering Environmental Laboratory (INEEL), for violations of rules and procedures during drum venting activities at the Radioactive Waste Management Complex and a breakdown in work procedures during a cooling change-over at the Advanced Test Reactor. The drum venting event resulted in a proposed civil penalty of $41,250. None of the November 2001 violations resulted in injuries or releases of radioactive or hazardous materials.... more»
13. Hanford Waste Treatment Plant (Nuclear Safety Violations)
The Department of Energy assessed a civil penalty of $198,000 (reduced from an aggregate base civil penalty of $330,000) against Bechtel for violating nuclear safety requirements at the Hanford waste treatment plant. The preliminary notice of violation noted infractions that occurred during design and construction between May 2002 and September 2005 including failure to abide by building safety design codes and failure to adhere to inspection requirements for waste-processing tanks.... more»
14. Cila v. Bechtel (Big Dig Wrongful Death)
The widow of Vincent Cila, who died in an accident in the Boston Big Dig tunnel system in July 2005, filed a lawsuit against the state turnpike authority, Bechtel and other construction companies alleging his death was caused by defectively-designed handrails that line about 6 miles of the tunnels. Cila, a Massachusetts state trooper, hit a handrail post in a motorcycle crash and died from his injuries. In November 2010, it was reported that the case settled out of court for $9 million.... more»
15. Kanawi v. Bechtel (ERISA Class Action)
Bechtel Corp. agreed to pay $18.5 million to settle a class-action lawsuit alleging that the fees charged to employees in its 401(k) retirement plan were too high. The plaintiffs, Bechtel employees in California, alleged the company should have negotiated lower expenses for the more than 17,000 people in its 401(k) plan.... more»
16. Deficient Oversight of Hanford Waste Treatment Plant Suppliers
Bechtel National agreed to pay a $170,000 to settle a Department of Energy (DOE) investigation into Bechtel National’s oversight of its vendors’ implementation of their commercial grade dedication programs during the construction of the Hanford, Washington Waste Treatment and Immobilization Plant. Deficiencies identified by DOE Office of Health, Safety and Security’s Office of Enforcement included inadequacy in determining the critical characteristics of materials and components, sampling techniques and lot formation that were not properly conducted, and methods used for material and component acceptance and acceptance testing that were not clearly defined. The deficiencies did not result in the receipt or installation of materials or components that did not meet established requirements and specifications.... more»
17. Violations of Nuclear Safety Regulations (Hanford)
The Department of Energy will fine Bechtel National Inc. $165,000 for violations of nuclear safety regulations at the Waste Treatment and Immobilization Plant located at the Hanford Site in Richland, Washington. The violations, which occurred during the design and construction of the site between 2001 and 2006, included “(1) deficiencies in the implementation of design changes to radiation shielding of wall penetrations called joggles; (2) deficiencies in implementing a commercial grade dedication (CGD) program; (3) deficiencies related to the review and acceptance of supplier submittals; and (4) deficiencies in the procurement and testing of Integrated Control Network (ICN) system software.”... more»
18. Violation of the DOE Contractor Employee Protection Program (Hanford)
The Department of Energy fined Bechtel National $41,250 for laying off an employee who raised concerns in 2005 about the safety of the Hanford vitrification plant. The DOE Office of Enforcement later found that one of the employee's concerns about the software that controls the plant was valid and issued a notice of violation to Bechtel about it in 2007 (see Bechtel instance, “Violations of Nuclear Safety Regulations (Hanford)”).... more»
19. Price-Anderson Violations at Hanford Waste Treatment and Immobilization Plant
The U.S. Department of Energy issued a Preliminary Notice of Violation (PNOV) to Bechtel National, Inc. for nuclear safety violations at the DOE’s Hanford Site near Richland, Washington. Bechtel National is constructing the Waste Treatment and Immobilization Plant (WTP) at the Hanford Site. According to the DOE, “[s]everal thousand feet of piping intended to be used in sections of the WTP ‘black cell’ areas - areas in which no entry is planned over the 40-year life of the facility - were procured and fabricated in a manner that failed to meet the enhanced requirements stated in design documents, and BNI failed to correct known problems in the procurement and fabrication of the piping.” The DOE proposed a civil penalty of $385,000.... more»
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