Last December, a committee of Kentucky lawmakers met to hear a presentation from legislative analysts that confirmed a longstanding concern with the way the state doles out road paving contracts: Single-bid jobs are costly.
According to the Legislative Research Commission analysts, most of the contracts awarded by the Kentucky Transportation Cabinet from January 2018 through July 2023 went to companies that submitted the only bid to do the work.
Without competition, the analysts found that those jobs cost taxpayers more money than other paving projects that pitted two or more companies against each other to bid for the lowest price.
The presentation followed a 2021 Kentucky Center for Investigative Reporting analysis which found that nearly a third of all road work contracts awarded between 2018 and 2021 went to single bidders — costing taxpayers $9.6 million more than state officials’ estimates.
The legislative researchers provided a list of policy recommendations they said could make the bidding process more competitive — like ending the practice of publishing a list of contractors who planned to submit bids for a project, which the analysts warned can stifle competition.
Brandon Storm, a Republican from London and chair of the oversight and investigations committee that heard the presentation about single bids, said a full report on the issue would be released in January 2024.
But lawmakers have yet to release the report. And Kentucky Transportation Cabinet officials have implemented just one of six policy changes recommended by the analysts — they started using software to help detect collusion in the bidding process, according to a cabinet spokesperson who said the cabinet was working to implement other recommendations.
In the months following the committee meeting, Kentucky transportation officials have continued to award single-bid contracts, resulting in higher costs for the taxpayers, according to research from Andrew McNeill, president of the research organization KY Forum for Rights, Economics and Education.
McNeill has tracked Kentucky Transportation Cabinet bids for years, often arguing the state’s practice of awarding single-bid contracts is fiscally irresponsible.
He analyzed state transportation contracts awarded in the first six months of 2024 and found $142 million in work awarded to single-bid contracts, which he estimates is about $4.5 million more than state officials would have paid if multiple companies vied for contracts.
He based his estimation on research from the University of Kentucky in 2015 that determined that bids with two or more bidding companies resulted in costs that were 86.6 percent of the state’s estimated costs.
These numbers are similar to those presented to the legislature in December. Legislative analysts at that presentation said single-bid contracts cost 100.5% of the engineers’ estimate, while those with two or more bidders cost 93.3% of the estimates.
McNeill said wasting money on single-bid contracts takes away funding that could be used on other transportation needs across the state.
“These dollars are going towards these companies’ bottom line, because the Transportation Cabinet is either unwilling or incapable of designing procurements to generate competition,” he said.
Naitore Djigbenou, the spokesperson for the Kentucky Transportation Cabinet, said in an email that “fostering a competitive bidding process for advertised projects has always been our goal and part of the Transportation Cabinet’s longstanding effort to continually benchmark procurement practices and results with other states.” Djigbenou said the cabinet has been working to implement five of the six recommendations from the presentation, and Djigbenou said those changes “are at various degrees of implementation.”
Chad Larue, executive director of the Kentucky Association of Highway Contractors, said he’d defer speaking to reporters until after the legislators issue their promised report.
The investigations and oversight committee has met twice this year, in June and July, respectively. The topic of single-bid contracts was not on either meeting’s agenda. Storm, the committee chair, said in an email to KyCIR that he anticipates the report will be released in August.
To McNeill, the delay raises questions.
“Why wouldn’t the legislature want the public to see the full report? Is there something in there that is more damning than what was presented in December? Are they simply more interested in protecting their friends in the highway contractor industry and their relationship with the Transportation Cabinet than they are with being transparent with the public?” he asked.
Power, problems and politics
Asphalt companies are powerful job suppliers that donate thousands to political campaigns. Online records maintained by the Kentucky Registry of Election Finance show asphalt company employees across the state donated $117,000 thousand in donations from employees of asphalt companies during the 2023 election cycle.
The industry also has a checkered past. Leonard Lawson, who founded paving company Mountain Enterprises, was accused of bid rigging and indicted on federal antitrust charges in 2008. He was acquitted of those charges along with two state transportation cabinet officials.
Federal investigators raided the Lexington offices of ATS Construction and its subsidiaries, companies owned by Leonard Lawson’s son, Steve Lawson, in 2017 as part of another federal antitrust investigation. Company officials did not immediately return a request for comment.
After the December committee meeting, the cabinet agreed to monitor contracts awarded for work in Fayette County and follow up if the pattern of single-bid contracts continued. According to McNeill’s review of the data for 2024, the cabinet awarded $52.8 million in single-bid contracts in Fayette County.
December’s hearing included some explanations for the lack of competitiveness in Kentucky’s road paving industry. Asphalt can only be transported for 30 to 40 minutes before it starts to set, so companies are limited to jobs close to asphalt plants. And asphalt plants are expensive, making it difficult for new companies to enter the industry. Researchers said about half of all asphalt contracts from 2018 to 2023 went to single bidders, with five companies winning 60% of single-bid contracts.
At the time, lawmakers seemed unbothered by analysts’ findings.
Sen. Reginald Thomas, a Democrat from Lexington, said he didn’t see the problem with the state’s contracting system.
“As I sit here and listen to all these different points, I’m trying to figure out, what’s the problem here?” Thomas asked. “There’s no indication the quality of the work is not fine.”
July 22 (UPI) — A Kentucky man was arrested and charged Monday with a federal hate crime for pulling a loaded gun on a Palestinian American at a restaurant in March.
The Justice Department said in a statement that an indictment was unsealed Monday accusing Melvin Litteral III of threatening a Palestinian American man and practicing Muslim while they were “enjoying the goods, services and facilities of a local restaurant” on March 28.
Little about the crime was revealed by the Justice Department, but local reports published following the incident state it occurred at the Cheddar’s Scratch Kitchen on Walden Drive in Lexington.
The victim in the court document is identified as O.S. Following the incident, Omar Shalash identified himself as the victim in a lengthy post on X, screen shots of which were published online by LEX 18.
In the post, Shalash states he and his wife were at the restaurant to break their fast when harassed by a man who was making racist and anti-Muslim remarks.
Shalash said he attempted to confront the man about his comment who then pushed him and produced a firearm.
“He pulled a gun out of his pocket and stuck it to my head and asked me, ‘Do you want to die, Arabia?’” Shalash said.
Officers with the Lexington Police Department took Litteral into custody that night at his home, the Lexington Herald-Leader reported in the days following his arrest.
According to police cited in the report, Litteral tried to slam his front door on the arresting officers and then used his body to prevent their entrance. He then resisted arrest by not willingly giving up his hands to be handcuffed.
The federal prosecutors have charged Litteral with a hate crime offense and a second firearms charge. If convicted, he faces a maximum penalty of 10 years imprisonment and a $250,000 fine for the hate crime offense and a mandatory minimum penalty of seven years in prison to run consecutively for the firearm offense.
The alleged crime occurred amid Israel’s war against Hamas in the Palestinian enclave of Gaza and a spike in hate incidents directed at Palestinians and Muslims in the United States.
According to the Council on American-Islamic Relations, it received 3,578 complaints during the last three months of last year, starting with October, which is when the Israel-Hamas war began.
“We welcome the hate crime charge in this case and thank federal law enforcement authorities for their swift and professional actions to apprehend a suspect,” CAIR National Deputy Director Edward Ahmed Mitchell said Monday in a statement.
“No American should be targeted by hatred or violence because of their religion, ethnicity or national origin. Our country has been consumed by a wildfire of anti-Palestinian racism and anti-Muslim bigotry spread by those who seek to justify the genocide in Gaza by dehumanizing Palestinians and Muslims. It must stop.”
WOLFE COUNTY, Ky. (WKYT) – An effort to find a missing man ended in what rescuers are describing as a miracle over the weekend.
“I am personally not that religious, but ‘miracle’ is the word that comes to mind,” said David Fifer, an advanced practice paramedic with RedSTAR Wilderness.
On July 6, Scott Allen Hern from Ironton, Ohio, was seen in the Red River Gorge area on his way to see Bell Falls. He wasn’t seen again for 14 days.
“Apparently, he got a little disoriented; he got tired. He tried to take a nap or a sleep under this rock shelter and took a tumble while sleeping and injured himself,” said John May, chief of Wolfe County Search and Rescue.
Hern’s car was ticketed the next day in the park since it didn’t have an overnight parking pass. However, it wasn’t until July 13 when a missing person’s report filed triggered an alert to Wolfe County Search and Rescue.
“That evening, I received a call about 8 o’clock, and once we realized he hadn’t been seen since the 6th and this was now the 13th, we dispatched team members that evening,” May said.
Using things like Hern’s diary, search and rescue teams began the daunting process of searching the rugged terrain, with teams from across the state assisting.
Fifer with RedSTAR Wilderness explained rescuers’ concerns, saying, “When somebody is not found for a couple of days, you do tend to think you are looking for maybe a deceased individual.”
John May even went as far as clarifying that “Finding him alive was a very remote possibility. I had even started to prep the family, saying, ‘I didn’t think this was going to turn out well.’”
However, this weekend, on the final push of the search, their miracle happened.
“It actually began with a report that they were hearing cries for help – that was the first report that came across the radio,” Fifer recalled. “And then when they confirmed it was actually Mr. Hern who they had found. It’s just an amazing feeling”
“Fortunately, he was alert enough to yell out for help,” said May. “They would have not found him most likely where he was at. It was just too thick underneath the cliff line.”
After 14 days in the wilderness, Scott Hern was severely dehydrated but safe. He was immediately taken to a hospital for further care but not before making a request to rescuers.
“One of our team members that got to him first, the first thing Scott said to him is ‘Would you give me a hug?’ Kind of gets you choked up when you hear it cause he had been out there for so long and didn’t think he was going to live, and he just wanted a hug,” said May.
Hern was reported to have only six bottles of water with him and a bag of trail mix, which he finished on July 8, meaning he went 12 days without food and water. As of this report, he is doing well and on his way to recovery.
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The announcement that President Joe Biden will end his reelection bid on Sunday leaves people wondering who will lead the Democratic party this November.
While Biden has endorsed Kamala Harris as his replacement, there’s talk of Kentucky Gov. Andy Beshear as a possible vice president nominee, along with North Carolina Gov. Roy Cooper, Pennsylvania Gov. Josh Shapiro and Arizona Sen. Mark Kelly.
Here’s what we know about Kentucky Gov. Beshear.
Gov. Andy Beshear: Who is Andy Beshear? What we know about his politics career
The 63rd governor in Kentucky is Andy Beshear, according to Kentucky.gov.
Gov. Beshear is a born-and-raised Kentuckian who was elected as a Democratic governor in 2019, according to his official website. Before acting as governor he served as the state’s attorney general, beginning in 2015, and was reelected as governor in November of 2023 after a successful first term.
Gov. Beshear is 46 years old.
Gov. Beshear was elected as the state’s attorney general in 2015, serving in the role until 2019 before his current role. Beshear was elected as governor in 2019 and reelected in 2023.
Gov. Beshear’s father, Steve Beshear, was Kentucky’s governor from 2007-2015. The Democrat has been married to Jane Beshear since 1969 and was first elected in 2007 before being re-elected in 2011. Steve was an attorney who also served as a state representative in the Kentucky General Assembly, attorney general and lieutenant governor before seeking out the governor seat.
Steve was raised in Dawson Springs in Hopkins County and holds a bachelor’s and a law degree from the University of Kentucky.
Gov. Beshear has a wife, Britainy, two children, Will and Lila, and a dog named Winnie, according to the politician’s website. The family are frequent visitors of Beargrass Christian Church, where both Beshear and his wife serve as deacons.
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While Gov. Beshear has kept quiet on his future political aspirations, he’s previously said he would only leave Kentucky’s governorship if he felt like he “could help the commonwealth even more with some other opportunity,” as previously reported by The Courier Journal. Read more at the link below.
▶ Biden out, Beshear in? What Kentucky’s governor is saying about potential run for VP
In Kentucky, a governor can serve an unlimited number of four-year terms, according to the Library of Congress Research Guides. However, a governor can only run for two consecutive terms, meaning if Gov. Beshear wanted to seek a third reelection, he’d have to wait until 2031 to do so.
Learn more from The Courier Journal below.
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