Three contractors are bidding to fix a broken fence at the White House in DC:
One is from New York, another is from Tennessee, and the third, is from Florida.
All three go with a White House official to examine the fence.
The Florida contractor takes out a tape measure and does some measuring; then works some figures with a pencil.'Well,' he says, 'I figure the job will run about $900:
$400 for materials,
$400 for my crew and
$100 profit for me.'
The Tennessee contractor also does some measuring and figuring, then says,
'I can do this job for $700:
$300 for materials,
$300 for my crew and
$100 profit for me.'
The New York contractor doesn't measure or figure, but leans over to the White House official and whispers, '$2,700.'
The official, incredulous, says,
'You didn't even measure like the other guys! How did you come up with such a high figure?'
The New York contractor whispers back,'$1000 for me,
$1000 for you; and we hire the guy from Tennessee to fix the fence.'
'Done!' replies the government official.
And that, my friends, is how government contracting works!
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