{"article":{"id":122620,"heading":"Possible Fraud of LAUSD Construction Contracts","author":"Patricia McAllister","created":"2005-02-16 03:29:22","modified":"2005-08-15 03:08:33","last_modified":"Mon, 15 Aug 2005 11:08:33","article":"

There could be possible fraud at the LAUSD Facilities Management Department. African Americans have not received the SBE construction contracts that were earmarked for them. Instead, companies like Verizon, Pinner construction, and other multi-million dollar (non-SBE) firms have been receiving these contracts.

Also, based on our investigation, we have not found a system in place where prime contractors such as Verizon, and Pinner construction are awarding Black SBE firms their fair share of subcontracts.

<\/p>\n



February 2, 2005



Mr. Terry McConville

Director Litigation Research

LAUSD

333 South Beaudry Avenue, 20th Floor

Los Angeles, CA 90017

Dear Mr. McConville:

Based on a report that was issued by the Los Angeles Unified School District, Facilities Services Division, Small Business Program Year-End Report,

presented by Veronica Soto, Manager of Small Business Program, School Construction Bond Citizens' Oversight Committee, March 17, 2004 report, the

following figures were released regarding African Americans and Hispanic LAUSD construction contracts.

Prime Contracts

Afro-American\/Black\t\t$8,230,750.40

Hispanic\t\t\t$78,171,253.99

Subcontracts

Afro-American\/Black\t\t$6,644,998.00

Hispanic\t\t\t$16,966,085.00

Based on the Freedom of Information Act (FOIA) that I submitted to you on November 3, 2004, I was given the following contracts for the above two racial

groups on a CD ROM, in the third week of December 2004. I have drawn a line through the vendors that are NOT SBEs. I cannot understand why these

firms received SBE allocated contracts, when they are not SBE certified firms.

Contract #\t\tVendor\t\t\t\tContract Name\t\t\tAmount\t\tDate

0410149\t\tOJM\/Barbon\t\t\tRamona elem.school\t\t$12,135,000.00\t\t12\/3\/03

0410128\t\tNike Construction Co.\t\tBerendo Middle school\t\t$584,000.00\t\t11\/17\/03

0410075\t\tDJM.Barbon\t\t\tIvanhoe-Ramoa\/Selma Sch\t$4,767,000.00\t\t10\/27\/03

0410074\t\tPinner Construction\t\tManual Arts Elementary\t$12,069,000.00\t\t9\/22\/03

0410071\t\tCentury Paving\t\t\tSan Gabriel ES & Victoria\t$419,000.00\t\t9\/22\/03

0410051\t\tCali USA Acoustics\t\tVarious school groups\t\t$1,485,867.90\t\t12\/3\/03


\t\t\t\t\t\t(replacement of ceilings)

0410048\t\tCali USA Acoustics\t\tReplacement light fixtures\t$1,315,536.00\t\t9\/30\/03

0410028\t\tBernards Bros., Inc.\t\tNew school facilities\t\t$62,590,000.00\t\t8\/14\/03


\t\t\t\t\t\t(East Valley, North Hollywd)

0410024\t\tVerizon California, Inc.\tSafety & Technology\t\t$4,760,626.79\t\t10\/6\/03

0410012\t\tVerizon California, Inc.\tSafety & Tech. (Adden 2)\t$839,718.14\t\t9\/9\/03

0310602\t\tVerizon California, Inc.\tSafety & Tech (Adden 1)\t$2,628,589.50\t\t10\/28\/03

0310597\t\tWest Coast Construction\tHot & cold water lines\t\t$464,000.00\t\t1\/25\/03

0310586\t\tVerizon California, Inc.\t96th st. elem school \t\t\t$3,461,364.00\t\t10\/16\/03

0310583\t\tVerizon California, Inc.\t\tDelores Elem. School\t\t$730,668.00\t\t6\/11\/03

0310577\t\tDJM\/Barbon\t\t\tBelvedere\t\t\t$2,174,000.00\t\t11\/3\/03

0310574\t\tE.A. Mendoza\t\t\tLos Angeles, H.S.(concrete)\t$851,000.00\t\t8\/11\/03

0310570\t\tVerizon California, Inc.\t\tAudubon Middle School\t\t$1,565,138.00\t\t8\/1\/03

0310564\t\tVerizon California, Inc.\t\tFord & Marianna Elem sch\t$1,946,505.00\t\t11\/4\/03

0310559\t\tDJM\/Barbon\t\t\tCommonwealth\/Hoover sch\t$2,159,000.00\t\t8\/26\/03

0310543\t\tVerizon California, Inc.\t\tWestern Ave elem school\t$945,081.33\t\t9\/29\/03

0310526\t\tE.A. Mendoza\t\t\tCimarron H.S. (yard work)\t$454,100.00\t\t9\/16\/03

0310525\t\tDJM\/Barbon\t\t\tBreed St. Elem., etc.\t\t$4,564,000.00\t\t7\/3\/03

0310516\t\tMasco Electric, Inc.\t\t42nd St. elem school\t\t$971,000.00\t\t7\/24\/03

0310515\t\tPinner Construction\t\tAlexander Hamilton High\t$6,961,882.00\t\t4\/1\/03

0310513\t\tServon\t\t\t\tBrainard school paint job\t$47,750.00\t\t4\/22\/03

0310493\t\tKhachik Toomians Electric\tWeemes Elem. School\t\t$1,148,700.00\t\t1\/25\/03

0310476\t\tDJM\/Barbon\t\t\tOlive Vista\/El Dorado School\t$1,115,000.00\t\t4\/1\/03

0310468\t\tH.A. Nichols\t\t\t156th Elementary School\t$991,000.00\t\t4\/11\/03

0310466\t\tDatum Group, Inc.\t\tRoosevelt H.S.\t\t\t$280,000.00\t\t4\/11\/03

0310465\t\tAmerican Integrated Services\tHarbor Occupational Ctr.\t$68,350.00\t\t3\/13\/03

0310447\t\tBernards Brothers, Inc.\t\tArlington Hts., Elem school\t$5,095,000.00\t\t3\/11\/03

0310445\t\tKemp Brothers Construction\tLA Center for Enriched studies\t$10,899,000.00\t\t3\/7\/03

0310443\t\tJJJ Floor Covernings, Inc.\tNorth Hollywood Adult sch.\t$99,120.00\t\t4\/1\/03

0310440\t\tToomians Electric\t\tCimarron Elem. School\t\t$1,297,000.00\t\t7\/3\/03

0310435\t\tCentury Paving, Inc.\t\tHarbor City school\t\t$305,000.00\t\t4\/4\/03

0310434\t\tLucas Brothers\t\t\tGlenFeliz Elem. School\t\t$101,940.00\t\t4\/11\/03

0310428\t\tA.E. Mendoza\t\t\tLeapwood Ave., Elem school\t$468,100.00\t\t(no date\/sig)

0310427\t\tToomians Electric\t\tEvergreen Elementary\t\t$931,700.00\t\t3\/27\/03

0310422\t\tKemp Brothers Construction\tHuntington Park Elem #3\t$16,800,000.00\t\t3\/7\/03

0310419\t\tTorres Construction Co.\t\tLiberty Elem. School\t\t$288,000.00\t\t5\/7\/03

0310417\t\tCali USA Acoustics, Inc.\t\tVarious Schools Addem. 01\t$513,011.00\t\t5\/6\/03

0310415\t\tGeorge C. Hopkins Construc.\tAragon Elem. School\t\t$5,670,000.00\t\t3\/3\/03

0310410\t\tServon\t\t\t\tRoscoe ES\t\t\t$69,750.00\t\t2\/13\/03

0310409\t\tSchwartz & Lindheim, Inc.\tKamasaki Elem. School\t\t$664,385.00\t\t3\/27\/03

0310404\t\tCommercial Paving & Coating\tSunland Elem. School\t\t$399,000.00\t\t3\/3\/03

0310402\t\tMcCarthy Building Co., Inc.\tMiles\/Pacoima Elem. School\t$5,140,083.00\t\t3\/27\/03

0310389\t\tSim J. Construction, Inc.\tSylmar Elem. School\t\t$1,274,000.00\t\t3\/11\/03

0310379\t\tS.J. Amoroso Construction\tSoutheast area new H.S. #2\t$50,840,000.00\t\t1\/31\/03

0310372\t\tLucas Brothers\t\t\tVarious group, addem. 004\t$320,580.00\t\t3\/4\/03

0310367\t\tLucas Brothers\t\t\tVarious group addem. 004\t$195,103.00\t\t2\/13\/03

0310360\t\tPinner Construction\t\tFletcher Dr. Elem\t\t$6,590,000.00\t\t2\/4\/03

0310351\t\tE.A. Mendoza\t\t\tWashington Prep. H.S.\t\t$288,100.00\t\t1\/7\/03

0310349\t\tS.J. Amoroso Construction\tS.E. Middle H.S.\t\t$28,880,000.00\t\t1\/31\/03

0310345\t\tLeo's A-C Inc.\t\t\tFremont H.S.\t\t\t$945,000.00\t\t2\/5\/03

0310335\t\tE.A. Mendoza\t\t\tAudubon Middle School\t\t$269,100.00\t\t2\/5\/03

0310333\t\tCentury Paving, Inc.\t\tGraham & Manchester H.S.\t$767,821.00\t\t6\/9\/03

0310329\t\tMcCarthy Building Co., Inc.\t10th\/Hillside\/San Miguel H.S.\t$5,700,083.00\t\t6\/10\/03

0310315\t\tVerizon California Inc.\t\tE.S.\t\t\t\t$861,844.23\t\t8\/20\/03

0310313\t\tVerizon California Inc.\t\tGates 9th st. Kennedy\t\t$3,825,958.33\t\t7\/3\/03

0310305\t\tCommercial Paving & Coating\tMount Wash. Elem. School\t$271,219.00\t\t6\/4\/03

0310304\t\tVerizon California, Inc.\t\tCarnegie Middle school\t\t$579,702.26\t\t9\/9\/03

0310303\t\tE.A. Mendoza\t\t\tCarnegie Middle school\t\t$392,100.00\t\t(no date)

0310291\t\tKemp Brothers Construction\tSouthgate Elem. School\t\t$12,680,000.00\t\t5\/5\/03

0310282\t\tVerizon California, Inc.\t\t54th Street Elem school\t\t$722,032.88\t\t9\/23\/03

0310277\t\tVerizon California, Inc.\t\tOxnard St. Elem school\t\t$574,674.65\t\t6\/13\/03

0310266\t\tPasadena Construction & Int.\tGridley Street school\t\t$116,038.00\t\t4\/25\/03

0310265\t\tA.E. Mendoza\t\t\tDorris Place Elem. School\t$181,100.00\t\t4\/25\/03

0310263\t\tContour Contractors Corp.\tHart E.S.\t\t\t$749,325.00\t\t5\/29\/03

0310261\t\tPasadena Construction & Int.\tSharp Ave. Elem. School\t$205,565.00\t\t6\/13\/03

0310259\t\tCommercial Paving & Coating\tSelma Elem. School\t\t$178,200.00\t\t6\/4\/03

0310256\t\tCommercial Paving & Coating\tHuntington Dr. Elem. School\t$172,000.00\t\t4\/15\/03

0310255\t\tDJM\/Barbon\t\t\tFigueroa & 109th st. Elem sch\t$1,598,000.00\t\t7\/24\/03

0310254\t\tPinner Construction Co., Inc.\tStanford New Primary Center\t$7,681,000.00\t\t4\/25\/03

0310249\t\tAmtek Construction\t\tHaddon E.S. & CC\t\t$352,705.00\t\t5\/29\/03

0310247\t\tPinner Construction Co., Inc.\t68th Street Elem. School\t\t$5,343,000.00\t\t5\/5\/03

0310223\t\tMackone Development, Inc.\tAscot Elem. School\t\t$4,560,000.00\t\t2\/13\/03

0310219\t\tA.E. Mendoza\t\t\tFair E.S.\t\t\t$462,100.00\t\t1\/24\/03

0310217\t\tLeo's A-C Inc.\t\t\tUniversity High School\t\t$650,000.00\t\t3\/3\/03

0310213\t\tServon\t\t\t\tToland Way Elem. School\t$154,650.00\t\t2\/13\/03

0310201\t\tConstruction Concepts, Inc.\t6th Avenue E.S.\t\t\t$2,476,000.00\t\t1\/7\/03

0310176\t\tLucas Brothers\t\t\tArlington Heights, E.S.\t\t$93,824.00\t\t4\/11\/03

0310155\t\tSCS Flooring Systems\t\tUlysses Grant H.S.\t\t$450,000.00\t\t6\/9\/03

0310151\t\tTorres Construction Co.\t\tVarious Groups 2692\t\t$298,000.00\t\t1\/9\/03

0310147\t\tCali U.S.A. Acoustics, Inc.\tVarious schools\t\t\t$516,888.90\t\t11\/20\/02

0310144\t\tEnvironmental Acoustics, Inc.\tVarious schools\t\t\t$1,590,193.90\t\t11\/20\/02

0310142\t\tTorres Construction Co.\t\tSylmar High School\t\t$298,000.00\t\t4\/22\/03

0310136\t\tConstruction Concepts\t\tNorwood St. Elem. School\t$3,672,000.00\t\t1\/7\/03

0310125\t\tMartinez Landscape Construct.\tNathaniel Narbonne H.S.\t$280,000.00\t\t1\/6\/03

Please contact me to let me know when we can meet to discuss this matter, and how we might work together to rectify this situation by

compensating the Afro-Americans\/Blacks for the contracts that they did not receive.\t\t\t\t\t

\t

Sincerely,



Patricia McAllister



Cc: Mr. Carey Paul Peck, Vendor Service Manager


Veronica Soto, Manager of Small Business Program


\t\t\t\t





2

P.O. Box 86562\t\t\t\t\t213-200-6981\t

Los Angeles, CA 90086\t\t\t\t\tPatriciaMcAll@yahoo.com

\n","contact":"PatriciaMcAll@yahoo.com","link":"WWW.GenocideOfAfricanAmericans.8m.com","address":"P.O. Box 86562, Los Angeles, CA 90086","phone":"213-200-6981","parent_id":0,"mime_type":"text\/plain","summary":"The Los Angeles Unified School District, Facilities Management Department published a report that African Americans were awarded approximately $15 million in LAUSD construction contracts in their March, 2004 Small Business Program (SBE) year-end report. Based on the contracts that we received from the LAUSD, African Americans did not receive 1% of that amount.","numcomment":1,"fileurl":"\/uploads\/2005\/02\/finalreporttolausdoncontracts.txt","filesize":"8.3 kibibytes","article_url":"\/news\/2005\/02\/122620.php"},"attachments":[{"id":122621,"heading":"Possible Fraud at the LAUSD","article":"The Los Angeles Unified School District, Facilities Management Department published a report that African Americans were awarded approximately $15 million in LAUSD construction contracts in their March, 2004 Small Business Program (SBE) year-end report. Based on the contracts that we received from the LAUSD, African Americans did not receive 1% of that amount.","author":"Patricia McAllister","parent_id":122620,"mime_type":"text\/plain","created":"2005-02-16 03:29:23","modified":"2005-08-15 03:08:33","fileurl":"\/usr\/local\/www-domains\/la.indymedia.org\/public\/uploads\/2005\/02\/firstsbeminoritycontracts1stcd.txt"}],"comments":[{"id":122647,"heading":"interesting","article":"It's interesting, however, the 4:1 ratio of Hispanic to Black subcontracts actually reflects the population, which is around 10% Black and almost 50% Hispanic. The 10:1 ratio of prime contracts, however, it out of whack.\r\n\r\nWhat's the fraction of all contracts that go to minority small business? Given the population of LAUSD, it should be something like 95%.","author":"more rational","parent_id":122620,"mime_type":"text\/plain","created":"2005-02-16 08:39:43","modified":"2005-02-16 08:39:43","fileurl":""}]}