GovernmentExecutive.com

In a sign that the Bush administration is entering a period of intense scrutiny from the new powerbrokers on Capitol Hill, a leading Democrat with oversight responsibility will announce next week a wide-ranging probe of government contracts for rebuilding Iraq.

On Tuesday, the day of President Bush's State of the Union speech, House Oversight and Government Reform Government Management Subcommittee Chairman Edolphus Towns, D-N.Y., plans to unveil an investigation into "no-bid" contracts and possible conflicts of interest in the awarding of Iraq reconstruction contracts by the Pentagon.

A Towns press release dated Jan. 23 states that "one of the primary targets of the investigations" would be "the Halliburton Corp. and its subsidiary Kellogg, Brown and Root." It also notes that Vice President Cheney is the former Halliburton CEO.

In an interview Friday, Towns said a series of subcommittee hearings could begin as early as February -- as soon as he is staffed up -- and last as long as necessary. "We're going to look vigorously," Towns said. "We're going to stay on it."

Towns said he would be willing to call administration officials to testify, saying that while he would prefer cooperation, he is willing to issue subpoenas.

"If we think that somebody has information that we need, we're going to go after it -- whoever, whatever," he said. The hearings will focus on "how this money is being spent and whether or not the contracts were bid properly," he said. "We want to make sure we're not wasting money," Towns said. "We want to make sure there's no abuse here."

Towns was scheduled to meet with Oversight and Government Reform Chairman Henry Waxman, D-Calif., at presstime to discuss his plans. The subcommittee hearings could lead to legislation designed to revoke funding for contractors in Iraq.

"If we see that there's waste, fraud and abuse, or we really feel that things could be done differently, and people fail to cooperate or not respond to it, then, yes, that could happen," Towns said.

Administration officials were not prepared to comment by deadline this afternoon. Towns' plan coincides with a series of hearings by House Armed Services Chairman Ike Skelton, D-Mo., which began Thursday, into wasteful spending by military and defense contractors engaged in Iraq reconstruction work.