“Congress has appropriated more than $20 billion since April 2003 to support rebuilding efforts in Iraq. This complex undertaking, which is occurring in an unstable security environment and under significant time constraints, is being carried out largely through contracts with private-sector companies. As of September 2003, agencies had obligated nearly $3.7 billion on 100 contracts or task orders under existing contracts.”

“The agencies encountered various contract administration challenges during the early stages of the reconstruction effort, stemming in part from inadequate staffing, lack of clearly defined roles and responsibilities, changing requirements, and security constraints.

While some of these issues have been addressed, staffing and security remain major concerns. Additionally, the Army and its contractors have yet to agree on key terms and conditions, including the projected cost, on nearly $1.8 billion worth of reconstruction work that either has been completed or is well under way. Until contract terms are defined, cost risks for the government remain and contract cost control incentives are likely to be less effective.”
http://www.gao.gov/htext/d04605.html

One question about these GAO reports, which tend to be solid and well researched,  is whether any administration officials, or anyone in government outside of Congress sees them. Generally, neither the White House nor the National Security Council acknowledges them.

June 3, 2004 – Matthew Cooper of Time Magazine moves to quash the grand jury subpoena.

June 3, 2004 – George Tenet resigns as head of CIA, Director of Central Intelligence, effective July 11.

Taking the knife in the side for the ‘intelligence failures’ in the lead-up to the Iraq war, which of course was policy strategizing rather than intelligence lapse, Tenet exits.

June 15, 2004 – Jeff Gannon/James Guckert asks a helpful question about purported Iraq WMD at a McClellan press briefing at the White House:       

“MR. MCCLELLAN: Go ahead, Jeff. You had one.

Q Thanks. Why hasn't the administration made more of the U.N. inspector's report that says Saddam Hussein was dismantling his missile and WMD sites before and during the war? And doesn't that, combined with the now-proven al Qaeda link between Iraq -- between Saddam Hussein and the terrorist organization unequivocally make the case for going to war in Iraq?”

June 28, 2004 – The U.S. returns sovereignty to Iraq; for security reasons the hand-off takes place two days earlier than the previously announced date of the end of June. The Coalition Provisional Authority ends. The Inspector General’s office in the CPA continues to perform until it is replaced by the Special Inspector General for Iraq Reconstruction (SIGIR). CPA’s Paul Bremer hands the documents over to Iraqi interim Prime Minister Iyad Allawi and interim President Ghazi al-Yawar in the U.S. compound in Baghdad, behind closed doors.

Widespread skepticism obtains about how real the transfer of power is, even aside from the continuing occupation of Iraq by 165,000 foreign troops and thousands of private security forces. As the Middle East Economic Survey points out, “they and their contractors enjoy immunity from prosecution under Iraqi law.” Furthermore, Bremer leaves office issuing a series of orders, including mandates that some Iraqi officials stay in office for five years, seriously limiting the ability of the interim Iraqi government to act independently. (M.E.E.S. July 5, 2004)