DHS Awards $116.6M Contract for LA Detention Services to The GEO Group, Inc

Contract Overview

Contract Amount: $116,595,854 ($116.6M)

Contractor: THE GEO Group, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2022-12-20

End Date: 2023-12-19

Contract Duration: 364 days

Daily Burn Rate: $320.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: NEW TASK ORDER FOR DETENTION SERVICES IN THE LOS ANGELES AREA OF RESPONSIBILITY

Place of Performance

Location: ADELANTO, SAN BERNARDINO County, CALIFORNIA, 92301

State: California Government Spending

Plain-Language Summary

Department of Homeland Security obligated $116.6 million to THE GEO GROUP, INC. for work described as: NEW TASK ORDER FOR DETENTION SERVICES IN THE LOS ANGELES AREA OF RESPONSIBILITY Key points: 1. The contract is for detention services in the Los Angeles area. 2. The GEO Group, Inc. is the sole awardee. 3. This represents a significant expenditure for immigration and customs enforcement. 4. The contract duration is one year.

Value Assessment

Rating: fair

The award amount of $116.6 million for a one-year detention services contract appears high. Benchmarking against similar contracts for detention services in other regions or for comparable bed counts is necessary to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is positive for price discovery. However, the specific details of the competition and the number of bids received are not provided, making it difficult to fully assess the price discovery mechanism.

Taxpayer Impact: Taxpayer funds are being used to finance detention services, a significant cost for the government. Ensuring competitive pricing is crucial for efficient use of these funds.

Public Impact

Impacts individuals in immigration detention within the Los Angeles area. Affects the private prison industry and its workforce. Raises questions about the cost-effectiveness and conditions of private detention facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the government services sector, specifically related to security and detention operations. Benchmarks for detention services can vary widely based on location, services provided, and bed capacity.

Small Business Impact

There is no indication that small businesses were involved in this contract award, either as prime contractors or subcontractors. Further analysis would be needed to determine if small business participation was sought or achieved.

Oversight & Accountability

Oversight of detention services is critical to ensure humane conditions and efficient operations. The Department of Homeland Security, through ICE, is responsible for oversight, but the effectiveness of this oversight for private facilities warrants scrutiny.

Related Government Programs

Risk Flags

Tags

security-guards-and-patrol-services, department-of-homeland-security, ca, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $116.6 million to THE GEO GROUP, INC.. NEW TASK ORDER FOR DETENTION SERVICES IN THE LOS ANGELES AREA OF RESPONSIBILITY

Who is the contractor on this award?

The obligated recipient is THE GEO GROUP, 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 $116.6 million.

What is the period of performance?

Start: 2022-12-20. End: 2023-12-19.

What is the cost per bed per day for these detention services, and how does it compare to government-run facilities or other private facilities in similar locations?

The cost per bed per day is not explicitly stated in the provided data. To determine this, the total contract value ($116,595,853.53) would need to be divided by the number of beds and the contract duration (364 days). A comparison would then be made to industry averages and government benchmarks to assess cost-effectiveness and identify potential savings.

What are the specific performance metrics and standards required in the contract, and how will compliance be monitored to mitigate risks associated with detention operations?

The provided data does not detail the specific performance metrics or monitoring mechanisms. Effective oversight would require clear standards for care, safety, and security, with regular audits and inspections by ICE. Robust monitoring is essential to ensure the contractor meets all contractual obligations and to mitigate risks related to inmate welfare and operational efficiency.

Given the full and open competition, what was the range of bids received, and what factors led to The GEO Group, Inc. being selected as the most advantageous offer?

The data indicates 'FULL AND OPEN COMPETITION' but does not provide the number of bids received or the evaluation criteria used for selection. Understanding the bid range and the specific factors contributing to The GEO Group's selection (e.g., price, past performance, technical approach) is crucial for assessing the effectiveness of the competition in securing the best value for taxpayers.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesInvestigation and Security ServicesSecurity Guards and Patrol Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

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: 4955 TECHNOLOGY WAY, BOCA RATON, FL, 33431

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

Financial Breakdown

Contract Ceiling: $116,595,854

Exercised Options: $116,595,854

Current Obligation: $116,595,854

Actual Outlays: $116,595,854

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70CDCR20D00000009

IDV Type: IDC

Timeline

Start Date: 2022-12-20

Current End Date: 2023-12-19

Potential End Date: 2024-12-19 00:00:00

Last Modified: 2024-05-28

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