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NYT:  Company With No Bid Contract to Manage NYC Migrant Chaos Embroiled in Scandal

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By: Hal C Clarke

DocGo, a medical services provider, is under the microscope for the services it has been providing for NYC, which include managing the migrant intake debacle which has escalated into a crisis for the entire city.

DocGo finds itself embroiled in a series of complaints. Allegations include claims that its representatives or subcontractors misled and threatened migrants.

More recently, the company has been accused of potentially obstructing a police investigation into two cases of sexual assault at migrant shelters it operates in motels upstate.

The NY Times reported extensively on DocGo.

These issues come at a delicate juncture in the ongoing migrant crisis, placing pressure on Mayor Eric Adams and Governor Kathy Hochul. The criticisms they’re facing from the public and each other over their response strategies make DocGo’s problems all the more concerning.

Despite this, New York City has entrusted DocGo with critical tasks such as managing the main intake center at a Manhattan hotel. However, the growing concerns about the company’s performance are compounding the city’s challenges as it grapples with an unrelenting influx of migrants.

In Cheektowaga, a suburb of Buffalo, local police are investigating interactions between DocGo and victims or suspects in two alleged sexual assault cases before police intervention. This has raised concerns about potential witness tampering, which could compromise the ongoing investigations.

Anthony Capone, DocGo’s CEO, expressed the company’s devastation over the incidents and assured that they were fully cooperating with law enforcement.

In meetings with government officials and migrant advocates, Capone pledged to address the issues that have arisen since the company received a substantial no-bid contract worth $432 million from New York City. This contract aimed to finance the relocation of migrants from overcrowded city shelters to upstate communities.

The police investigation has intensified the scrutiny on DocGo. Governor Hochul and other officials were already demanding increased oversight of the company’s actions. In response to the assault allegations, New York City temporarily halted migrant relocations to Buffalo, and National Guard troops were dispatched to the hotels accommodating the migrants.

DocGo’s ascent began with Covid testing and vaccination contracts in New York City during the pandemic. Its involvement in migrant care began only recently, as the city sought assistance in managing asylum seekers’ flow from the southern border to Manhattan’s Port Authority Bus Terminal.

The pivotal moment arrived just in time for DocGo. As its Covid testing revenues dwindled, the company secured a substantial $432 million contract with the Department of Housing Preservation and Development. This contract covered housing, transportation, and care for migrants. However, questions arose about the company’s qualifications, with advocates wondering why a medical services provider was entrusted with migrant relocations.

While city officials defended their choice by highlighting DocGo’s financial stability, behind the scenes, the city’s contracting agency was lobbying for a $4 million cash advance to facilitate DocGo’s start-up costs. This lobbying effort raised eyebrows, especially since such cash advances were rarely granted.

Mayor Eric Adams’ administration approved another lucrative contract for DocGo without competitive bidding, sparking further criticism. The combined value of the two contracts, worth over $740 million, far exceeded DocGo’s reported revenue of $440 million in 2022.

The situation worsened as allegations of mistreatment of migrants came to light. These included deceptive paperwork, threats from security guards, and inadequate services.

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