DHS awarded $98.2M for unaccompanied alien child transportation, with MVM Inc. as the primary contractor

Contract Overview

Contract Amount: $98,230,236 ($98.2M)

Contractor: MVM, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2018-09-21

End Date: 2019-09-29

Contract Duration: 373 days

Daily Burn Rate: $263.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: UNACCOMPANIED ALIEN CHILDREN (UAC) TRANSPORTATION SERVICES

Place of Performance

Location: MCALLEN, HIDALGO County, TEXAS, 78501

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $98.2 million to MVM, INC. for work described as: UNACCOMPANIED ALIEN CHILDREN (UAC) TRANSPORTATION SERVICES Key points: 1. Contract value represents a significant investment in logistical support for vulnerable populations. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. Fixed-price contract type aims to control costs and provide predictability. 4. The duration of the contract (373 days) indicates a need for sustained service delivery. 5. Geographic focus on Texas highlights a key area for UAC processing and transit. 6. The North American Industry Classification System (NAICS) code 561612 points to security and patrol services, which may encompass transportation security aspects.

Value Assessment

Rating: fair

The total award of $98.2 million for transportation services is substantial. Benchmarking this against similar contracts is challenging without more specific service details. However, the firm fixed-price structure suggests an attempt to manage costs. The provided 'br' (breakdown?) of $263,352 might represent a specific delivery order or a component of the total contract value, but its relation to the overall $98.2M is unclear without further context. Further analysis would require comparing per-mile or per-child transportation costs to industry standards.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. This method generally promotes a competitive environment, which can lead to better pricing and service quality. The number of bidders is not specified, but the open competition suggests multiple entities likely vied for this significant contract.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it encourages a wider range of providers to compete, potentially driving down costs and improving the value received for public funds.

Public Impact

Unaccompanied alien children (UAC) are the direct beneficiaries of the transportation services provided. The services ensure the safe and timely movement of UACs between facilities or locations. The primary geographic impact is in Texas (ST: TX, SN: TEXAS), a key state for border operations. The contract supports the logistical and operational workforce involved in UAC care and transit.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or service level agreements in the provided data.
The broad NAICS code (561612) could imply a wider scope of services than just transportation, requiring clarification.
The relationship between the total award and the 'br' value is not immediately clear.

Positive Signals

Awarded under full and open competition, suggesting a robust vetting of potential contractors.
Firm fixed-price contract type provides cost certainty for the government.
Contract duration indicates a stable, ongoing need for these critical services.

Sector Analysis

The contract falls within the broader transportation and logistics sector, specifically serving government needs related to social services and border management. The market for government transportation services is competitive, with specialized firms often bidding on such contracts. The size of this award suggests it is a significant contract within its niche, potentially indicating a substantial need for these services.

Small Business Impact

The provided data does not indicate any small business set-aside provisions for this contract, nor does it specify subcontracting goals. Given the large dollar value and the nature of the services, it is possible that larger, specialized firms were the primary bidders. Further investigation into subcontracting plans would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight would typically be managed by the contracting officer and the relevant program office within U.S. Immigration and Customs Enforcement (ICE). Transparency is generally facilitated through contract award databases like FPDS. Accountability measures would be tied to the contract's performance clauses and reporting requirements, with potential oversight from Inspectors General if performance issues arise.

Related Government Programs

Unaccompanied Alien Children Program
Department of Health and Human Services (HHS) Office of Refugee Resettlement (ORR) services
Customs and Border Protection (CBP) services
Department of Justice (DOJ) Executive Office for Immigration Review (EOIR) services

Risk Flags

Vulnerability of the transported population
Potential for security incidents during transit
Need for specialized logistical coordination
Dependence on contractor's personnel reliability

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $98.2 million to MVM, INC.. UNACCOMPANIED ALIEN CHILDREN (UAC) TRANSPORTATION SERVICES

Who is the contractor on this award?

The obligated recipient is MVM, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $98.2 million.

What is the period of performance?

Start: 2018-09-21. End: 2019-09-29.

What is the specific nature of the 'Security Guards and Patrol Services' (NAICS 561612) in relation to UAC transportation?

The NAICS code 561612, 'Security Guards and Patrol Services,' is somewhat broad. In the context of UAC transportation, it likely encompasses security measures during transit, ensuring the safety and security of the unaccompanied children and the personnel involved. This could include background checks for drivers, secure vehicle protocols, and potentially escort services. While the primary service is transportation, the security aspect is critical given the vulnerable population being moved. The contract's focus might be on ensuring the integrity and safety of the transportation chain, rather than just the logistics of moving individuals from point A to point B.

How does the $98.2 million contract value compare to historical spending on UAC transportation services by DHS?

Historical spending data for UAC transportation services by DHS would be necessary for a direct comparison. However, the $98.2 million award suggests a significant and sustained need for these services over the contract period. Fluctuations in UAC arrivals and policy changes can heavily influence spending in this area. Without access to prior years' consolidated spending figures specifically for UAC transportation, it's difficult to definitively state if this award represents an increase or decrease. However, the magnitude indicates a substantial resource allocation to address this specific logistical challenge.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided data does not detail the specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for transportation services involving vulnerable populations, KPIs would focus on timeliness of transport, safety incident rates (e.g., accidents, security breaches), condition of vehicles, communication protocols, and adherence to specific handling procedures for UACs. The firm fixed-price nature suggests that meeting defined service standards is crucial for the contractor to receive full payment. A thorough review of the contract document itself would be required to ascertain these specific performance metrics.

What is MVM, Inc.'s track record in providing similar transportation or security services, particularly for government contracts?

MVM, Inc. has a history of providing transportation and security services, often to government agencies. Their contract portfolio frequently includes services related to logistics, personnel movement, and security operations. Information available through federal procurement databases often shows MVM holding various contracts with agencies like DHS, HHS, and the Department of Defense. Their experience in handling sensitive or high-risk transportation needs is a key factor in their ability to secure contracts like this one. A deeper dive into their past performance reviews and contract history would provide more granular insights into their capabilities and reliability.

What is the geographic scope of services beyond Texas, and how are routes determined?

While the contract is associated with Texas (ST: TX, SN: TEXAS), the specific geographic scope beyond this state is not detailed in the provided summary data. UAC transportation services often involve movement across multiple states, connecting border regions to intake facilities, shelters, or reunification points. Routes are typically determined based on operational needs, the location of UACs, available shelter capacity, and reunification plans. The contracting agency (ICE) likely works with the contractor to establish specific pickup and drop-off points and schedules, which may extend nationally depending on the UAC's final destination or processing requirements.

What risk mitigation strategies are in place for ensuring the safety and well-being of UACs during transportation?

Ensuring the safety and well-being of UACs during transportation involves multiple risk mitigation strategies. These typically include stringent vetting of transportation personnel, requirements for secure and appropriate vehicles, protocols for monitoring during transit, and emergency response plans. Given the NAICS code, security services are likely integrated, potentially involving escorts or enhanced surveillance. The firm fixed-price nature of the contract incentivizes the contractor to maintain high safety standards to avoid incidents that could lead to penalties or contract termination. The government agency overseeing the contract would also have its own oversight mechanisms to ensure these protocols are followed.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Guards and Patrol Services

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › OTHER TRANSPORT, TRAVEL, RELOCAT SV

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 44620 GUILFORD DR STE 150, ASHBURN, VA, 20147

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $98,230,236

Exercised Options: $98,230,236

Current Obligation: $98,230,236

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSCEDM14D00006

IDV Type: IDC

Timeline