Disgraced Healthcare.gov Firm Ensnared In New Jersey Sandy Recovery Flimflam

A federal watchdog is throwing a red flag on a $60.2 million Hurricane Sandy Recovery contract New Jersey officials awarded to the Canadian firm behind the disastrous Obamacare Healthcare.gov web site.

CGI Federal lost its $93 million contract for Healthcare.gov after it crashed within hours of going live in 2013 and contained so many design flaws the Obama administration had to assemble an emergency team to make the Obamacare website minimally operable.

Five months before that widely publicized digital disaster, CGI won the New Jersey contract in a procurement process that the Department of Housing and Urban Development’s inspector general now says was rife with serious flaws.

New Jersey officials were required to comply with federal procurement rules because the $60.2 million was awarded as part of Washington’s $1.5 billion disaster recovery assistance to the state in the wake of Hurricane Sandy.