While normal bidding and vetting procedures have been suspended during the state of emergency, California has entered into roughly $3 billion worth of no-bid contracts for masks, ventilators, call-center workers and other supplies and services to respond to the health crisis,the state’s procurement database shows.
Gov. Gavin Newsom said the state hasn’t lost a penny — though a series of deals that collapsed or stalled have delayed California’s effort to obtain a huge volume of N95 masks.
In one case, the state yanked its money back after bankers raised suspicions about a $456.9 million wire transfer to a company called Blue Flame, an intended down payment for 100 million N95 masks, as first reported by CalMatters.
After the company missed two deadlines to earn certification, the state extended the contract again last week.
The federal occupational safety agency certified the masks Monday, Newsom announced, adding that the company would begin shipping the first of 150 million N95s to California later this week.