By Elliot Spagat

The Trump administration said Tuesday that it will waive federal contracting laws to speed construction of a wall at the U.S.-Mexico border.

The Department of Homeland Security said waiving procurement regulations will allow 177 miles (283 kilometers) of wall to be built more quickly in California, Arizona, New Mexico and Texas. The 10 waived laws include requirements for having open competition, justifying selections, and receiving all bonding from a contractor before any work can begin.

The acting Homeland Security secretary, Chad Wolf, is exercising authority under a 2005 law that gives him sweeping powers to waive laws for building border barriers.

“We hope that will accelerate some of the construction that's going along the Southwest border,” Wolf told Fox News Channel's “Fox & Friends” on Tuesday.

Secretaries under President Donald Trump have issued 16 waivers, and President George W. Bush issued five, but Tuesday's announcement marks the first time that waivers have applied to federal procurement rules. Previously they were used to waive environmental impact reviews.

The Trump administration said it expects the waivers will allow 94 miles (150 kilometers) of wall to be built this year, bringing the Republican president closer to his pledge of about 450 miles (720 kilometers) since taking office and making it one of his top domestic priorities. It said the other 83 miles (133 kilometers) covered by the waivers may get built this year.

“Under the president’s leadership, we are building more wall, faster than ever before,” the department said in a statement.

The move is expected to spark criticism that the Trump administration is overstepping its authority, but legal challenges have failed. In 2018, a federal judge in San Diego rejected arguments by California and environmental advocacy groups that the secretary's broad powers should have an expiration date. An appeals court upheld the ruling last year.

Congress gave the secretary power to waive laws in areas of high illegal crossings in 2005 in a package of emergency spending for wars in Iraq and Afghanistan and minimum standards for state-issued identification cards. The Senate approved it unanimously, with support from Joe Biden, Barack Obama and Hillary Clinton. The House passed it with strong bipartisan support; then-Rep. Bernie Sanders voted against it.

The waivers, to be published in the Federal Register, apply to projects that the U.S. Army Corps of Engineers will award in six of nine Border Patrol sectors on the Mexican border: San Diego and El Centro in California; Yuma and Tucson in Arizona; El Paso, which spans New Mexico and west Texas, and Del Rio, Texas.

The administration said the waivers will apply to contractors that have already been vetted. In May, the Army Corps named 12 companies to compete for Pentagon-funded contracts.

The Army Corps is tasked with awarding $6.1 billion that the Department of Defense transferred for wall construction last year after Congress gave Trump only a fraction of the money. The administration has been able to spend that money during legal challenges.

Share:
More In Politics
End of Child Tax Credit Could Mean Slide Back Into Increasing Child Poverty
Millions of Americans with young children have relied on the child tax credit since the federal government began issuing checks in July 2021. The last round of payments was sent out just before the Christmas holiday — at the same time as the omicron variant surged. Leah Hamilton, associate professor of social work at Appalachian State University, joined Cheddar to discuss what the end to the tax credit means as the U.S. sees the end of many relief programs and its highest number of COVID cases since the start of the pandemic. "It'll become harder for families to meet their basic needs, increasing national childhood poverty rates and the proportion of families who have difficulty putting food on the table, maintaining stable housing, and paying their bills," Hamilton said. She also pointed to research that the credit as a long-term investment in children offsets claims that it contributes to macroeconomic impacts like inflation.
President Biden Speaks with Ukrainian President Ahead of Russia Meeting
U.S. President Joe Biden spoke with Ukrainian President Volodymyr Zelensky over the week-end, just days after he spoke with Russian President Vladimir Putin. The call comes as Washington prepares to meet with Moscow on January 10, as tensions mount over Russia's military build up near its border with Ukraine. Cheddar News speaks with Mustafa Tameez, a former advisor to the U.S. Department of Homeland Security, about the issue.
NYT Piece Claims Silicon Valley Investors and Founders Contorted Legal Tax Break to Avoid Taxes on Investment Profits
Several Silicon Valley insiders are being accused of contorting a 1990s-era tax break to avoid taxes on millions of dollars of investment profits. The tax break is known as the qualified small business stock exemption, and it allows early investors in certain companies to avoid half of the taxes on up to $10 million in capital gains. A piece recently published in the New York Times says venture capital firms like Andreessen Horowitz replicated the tax exemption by giving shares of companies to friends and family, who would otherwise face a 23.8% capital gains bill. The CEO of Roblox is also accused of replicating the tax break for his family members at least 12 times. Although the loophole known as 'stacking' is considered to be legal, the Times piece implies that the exemption has been manipulated for the ultra-wealthy to become more wealthy. Greycroft co-founder and Chairman Emeritus Alan Patricof joins Cheddar News' Closing Bell to discuss.
This Year In Trivia
Hena Doba and Azia Celestino recap some of the biggest stories of the year, and learn a thing or two while they're at it. It's This Year in Trivia!
Looking Ahead to Regulating Uber, Lyft, and the Gig Economy in 2022
The push to regulate the gig worker economy is gaining steam as the share of workers who participate in freelancing through businesses like Uber and Lyft have also exponentially grown during the pandemic. Employment attorney Mark Kluger, founding partner at Kluger Healey, LLC, joined Cheddar to break down how the battle to reclassify gig workers will continue in the new year, and why the issue continues to generate conflict. "More and more workers are using gig work as their primary source of income and as a result of that they are not like employees in the sense that they don't have benefits like health insurance," Kluger noted.
2022 Promises a Mixed Bag of Market Predictions
2021 saw markets continue to be impacted by the onslaught of the coronavirus pandemic -most recently in the form of the Omicron variant- in addition to the global supply chain shortage, and increased inflation. But it wasn't all bad news, as crypto soared throughout the year, and meme stocks continued to have a moment. With the year coming to a close, investors are keeping an eye out to see if they should expect more of the same in the new year. Chris Vecchio, Senior Analyst, at DailyFX tells us what market trends to be on the watch for in 2022.
Load More