$3700 Generators and $666 Sinks: FEMA Contractors Charged Steep Markups on Puerto Rico Repairs – The New York Times

By Frances Robles
Nov. 26, 2018, 106

Lisandra Oquendo and Alexis Morales Ortiz at their home in Punta Santiago, P.R.CreditSaul Martinez for The New York Times
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“Their house had been approved for $18,000 in FEMA repair funds, but little was accomplished with the money.CreditSaul Martinez for The New York Times
SAN JUAN, P.R. — Juan F. Rodríguez had substantial damage to his house in northeastern Puerto Rico after Hurricane Maria slammed through in September 2017, but he felt better when he was told that the Federal Emergency Management Agency would pay for $5,000 in repairs.

The contractor hired by Puerto Rico’s FEMA-financed housing recovery program treated the roof with sealant, replaced four feet of cabinets and installed smoke detectors around his house with Velcro.

“I looked around and said, ‘Wait a minute, that treatment costs $100, and I can buy those cabinets for $500,’” Mr. Rodríguez said. “I know. I worked construction. Let’s say they did $2,000 worth of work, because prices are high now and you have to pay for labor. But $5,000?”

Mr. Rodríguez wasn’t the only homeowner who complained after the devastating storm — the worst to hit Puerto Rico in 89 years — that federal taxpayers were being charged far more for emergency home repairs than residents ever saw in improvements to their homes.””

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