Audit: Unlawful No-Bid Contracts in MA Shelter System

A Massachusetts audit by State Auditor Diana DiZoglio found the Executive Office of Housing and Livable Communities (EOHLC) unlawfully awarded no-bid contracts for food and transportation services amid a surge in demand from unhoused residents and migrant families. The report highlighted overpayments, including $9.5 million to Spinelli Ravioli and $4.7 million to Mercedes Cab Company/Pilgrim Transit, with individual transportation trips costing up to $140 for very short distances. The audit criticized EOHLC for a lack of documentation and oversight, and recommended more transparent and competitive contracting. In response, Governor Maura Healey disputed the findings and cited recent declines in shelter use and costs, announcing all emergency hotels and shelters will close six months earlier than planned. The audit has ignited political debate, with Republican candidates demanding accountability and reforms. The administration asserts that recent changes have already addressed many audit issues.