Homeland Security awards $240M for soft-sided facilities and wrap-around services in Texas

Contract Overview

Contract Amount: $240,060,910 ($240.1M)

Contractor: Deployed Resources LLC

Awarding Agency: Department of Homeland Security

Start Date: 2021-01-15

End Date: 2022-08-09

Contract Duration: 571 days

Daily Burn Rate: $420.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SOFT-SIDED FACILITIES AND WRAP-AROUND SERVICES IN DONNA, TEXAS.

Place of Performance

Location: DONNA, HIDALGO County, TEXAS, 78537

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $240.1 million to DEPLOYED RESOURCES LLC for work described as: SOFT-SIDED FACILITIES AND WRAP-AROUND SERVICES IN DONNA, TEXAS. Key points: 1. Contract awarded to DEPLOYED RESOURCES LLC for logistics consulting services. 2. Significant investment in border infrastructure and support services. 3. Contract duration of 571 days indicates a substantial operational need. 4. Services provided under a Firm Fixed Price contract type. 5. Geographic focus on Donna, Texas, highlighting regional border security efforts. 6. This award represents a large portion of the agency's spending in this category.

Value Assessment

Rating: fair

The total award of $240,006,091.07 for soft-sided facilities and wrap-around services appears substantial. Benchmarking this against similar contracts for border infrastructure and support services is challenging due to the specific nature of 'wrap-around services.' However, the scale suggests a significant operational requirement. The firm fixed price contract type aims to control costs, but the overall value proposition depends heavily on the effective delivery and necessity of the services provided over the contract's duration.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process is generally expected to yield better pricing and value for the government. The fact that it was competed fully suggests that the market had sufficient capacity and interest to respond to the requirement.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it fosters a competitive environment, driving down prices and encouraging innovation, ultimately leading to more efficient use of public funds.

Public Impact

Provides essential facilities and support services for U.S. Customs and Border Protection operations. Enhances border security infrastructure in the Donna, Texas region. Supports the logistical needs of federal agencies involved in border management. Potentially impacts the local workforce through employment opportunities related to facility management and support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if 'wrap-around services' are not clearly defined and managed.
Dependence on a single contractor for critical infrastructure and support services.
The large contract value could indicate a significant, ongoing need that may extend beyond the current award period.

Positive Signals

Awarded through full and open competition, suggesting a robust bidding process.
Firm Fixed Price contract type helps to mitigate cost uncertainty for the government.
Addresses a critical operational need for border security infrastructure.

Sector Analysis

This contract falls within the broader sector of government services and logistics, specifically related to national security and border management. The market for such services includes companies specializing in temporary or deployable infrastructure, logistics, and support for government operations. Spending in this area is often driven by evolving geopolitical conditions and national policy priorities. Comparable spending benchmarks would typically be found within the Department of Homeland Security's budget for operational support and infrastructure.

Small Business Impact

The contract was awarded to DEPLOYED RESOURCES LLC and does not indicate any specific small business set-aside provisions. Analysis of subcontracting opportunities for small businesses would require further investigation into the prime contractor's subcontracting plan, if applicable. Without this information, the direct impact on the small business ecosystem is unclear, though large prime contracts can sometimes create indirect opportunities.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Homeland Security, specifically U.S. Customs and Border Protection. Accountability measures are typically embedded within the contract terms, including performance standards and delivery schedules. Transparency is facilitated through contract award databases, though detailed operational oversight reports are not always publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Homeland Security Operations Support
Border Infrastructure Projects
Logistics and Support Services Contracts
Federal Emergency Management Agency (FEMA) Facility Support

Risk Flags

Potential for scope creep in 'wrap-around services'.
Dependence on contractor for critical operational support.
Long-term sustainability and cost-effectiveness of temporary facilities.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $240.1 million to DEPLOYED RESOURCES LLC. SOFT-SIDED FACILITIES AND WRAP-AROUND SERVICES IN DONNA, TEXAS.

Who is the contractor on this award?

The obligated recipient is DEPLOYED RESOURCES LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $240.1 million.

What is the period of performance?

Start: 2021-01-15. End: 2022-08-09.

What is the specific nature of the 'wrap-around services' included in this contract, and how are they measured for performance?

The term 'wrap-around services' in this context likely refers to a comprehensive suite of support functions necessary for the operation of the soft-sided facilities. This could include, but is not limited to, security, maintenance, sanitation, power generation, waste management, and potentially logistical support for personnel or resources within the facilities. Performance metrics for these services would typically be detailed in the contract's Performance Work Statement (PWS). These metrics would likely include response times for maintenance issues, adherence to cleanliness standards, reliability of utility services (like power), and overall operational readiness of the facilities. The effectiveness of these services is crucial for the intended purpose of the facilities, whether for temporary housing, processing centers, or other operational needs.

How does the $240 million award compare to historical spending by CBP on similar soft-sided facilities and support services?

Comparing this $240 million award to historical spending requires access to detailed CBP procurement data over several fiscal years. However, given the scale, it represents a significant investment. Historically, CBP has utilized various forms of temporary and deployable infrastructure, especially in response to surges in border crossings or specific operational requirements. Awards of this magnitude suggest a substantial and potentially prolonged need for such facilities and associated services, possibly indicating a shift towards more robust, albeit temporary, infrastructure solutions. Without specific historical data points for comparable contracts, it's difficult to definitively state if this is an increase or decrease, but the dollar amount itself signifies a major commitment.

What are the key performance indicators (KPIs) that DEPLOYED RESOURCES LLC is expected to meet under this contract?

Key Performance Indicators (KPIs) for this contract would be explicitly defined in the Performance Work Statement (PWS) or Statement of Work (SOW) attached to the delivery order. While the exact KPIs are not provided in the summary data, they would typically focus on the operational readiness and effectiveness of the soft-sided facilities and the associated wrap-around services. Examples of potential KPIs could include: facility availability (uptime), response times for critical maintenance or repair requests, adherence to safety and sanitation standards, reliability of essential utilities (power, water, waste disposal), and potentially metrics related to the efficiency of logistical support provided. Failure to meet these KPIs could result in contractually defined remedies, such as service level credits or even termination for default.

What is the risk profile associated with a contract of this size and duration for deployable facilities?

The risk profile for a contract of this size ($240 million) and duration (571 days) for deployable facilities involves several factors. Financial risks include potential cost overruns if the scope of 'wrap-around services' expands or if unforeseen logistical challenges arise. Operational risks involve ensuring the timely deployment, setup, and sustained functionality of the facilities and services, especially in potentially remote or challenging environments. Performance risks relate to the contractor's ability to consistently meet service level agreements and maintain the quality of services. There's also a programmatic risk if the need for these facilities changes due to policy shifts or evolving border dynamics. Reputational risk for the government exists if the facilities fail to meet their intended purpose or if there are significant issues with their operation.

How does the selection of DEPLOYED RESOURCES LLC align with CBP's strategic objectives for border management and infrastructure?

The selection of DEPLOYED RESOURCES LLC for this substantial contract suggests alignment with CBP's strategic objectives related to enhancing operational capacity and flexibility at the border. Soft-sided facilities, while potentially temporary, can be rapidly deployed to address immediate needs, such as processing centers or temporary holding facilities, which is crucial for managing fluctuating border flows. The 'wrap-around services' component indicates a need for comprehensive, turnkey solutions, allowing CBP personnel to focus on core law enforcement and security missions rather than facility management. This award likely supports objectives focused on improving efficiency, providing necessary infrastructure in critical areas like Donna, Texas, and ensuring the logistical backbone for border operations.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting Services

Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 164 MCPIKE RD, ROME, NY, 13441

Business Categories: Category Business, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $240,060,910

Exercised Options: $240,060,910

Current Obligation: $240,060,910

Actual Outlays: $64,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS10F0309T

IDV Type: FSS

Timeline