DHS Awards $60.5M for STIPC Detention and Transportation Services to The GEO Group, Inc
Contract Overview
Contract Amount: $60,523,846 ($60.5M)
Contractor: THE GEO Group, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2024-08-06
End Date: 2025-08-05
Contract Duration: 364 days
Daily Burn Rate: $166.3K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: DETENTION AND TRANSPORTATION SERVICES - SOUTH TEXAS ICE PROCESSING CENTER (STIPC) FY24 TASK ORDER
Place of Performance
Location: PEARSALL, FRIO County, TEXAS, 78061
State: Texas Government Spending
Plain-Language Summary
Department of Homeland Security obligated $60.5 million to THE GEO GROUP, INC. for work described as: DETENTION AND TRANSPORTATION SERVICES - SOUTH TEXAS ICE PROCESSING CENTER (STIPC) FY24 TASK ORDER Key points: 1. The contract is for detention and transportation services at the South Texas ICE Processing Center. 2. The GEO Group, Inc. is the sole awardee for this task order. 3. The contract value is substantial at $60.5 million for FY24. 4. This falls under the Correctional Institutions NAICS code.
Value Assessment
Rating: fair
The firm fixed price contract is for a one-year duration. Benchmarking against similar detention and transportation contracts is difficult without more granular data on service levels and capacity.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, as a single task order to one provider, the price discovery is limited to the initial bid.
Taxpayer Impact: Taxpayer funds are being used to cover the costs of detention and transportation services, essential for immigration processing.
Public Impact
Impacts individuals in immigration proceedings requiring detention and transport. Supports the operational capacity of U.S. Immigration and Customs Enforcement (ICE). Contributes to the functioning of the South Texas ICE Processing Center.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if service demands exceed initial projections.
- Reliance on a single provider for critical services.
Positive Signals
- Clear tasking for detention and transportation services.
- Defined contract duration and pricing structure.
Sector Analysis
This contract falls within the correctional services sector, which is often government-dependent. Spending benchmarks for detention services can vary widely based on location, capacity, and specific service requirements.
Small Business Impact
The awardee is a large corporation, The GEO Group, Inc. There is no indication of small business participation in this specific task order.
Oversight & Accountability
Oversight is provided by U.S. Immigration and Customs Enforcement (ICE). The contract's fixed-price nature provides some accountability, but performance monitoring is crucial.
Related Government Programs
- Correctional Institutions
- Department of Homeland Security Contracting
- U.S. Immigration and Customs Enforcement Programs
Risk Flags
- Potential for cost creep if not managed tightly.
- Dependence on a single contractor for essential services.
- Need for robust performance monitoring and oversight.
- Limited transparency on per-unit cost effectiveness.
Tags
correctional-institutions, department-of-homeland-security, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $60.5 million to THE GEO GROUP, INC.. DETENTION AND TRANSPORTATION SERVICES - SOUTH TEXAS ICE PROCESSING CENTER (STIPC) FY24 TASK ORDER
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 $60.5 million.
What is the period of performance?
Start: 2024-08-06. End: 2025-08-05.
What is the historical cost per detainee for similar services to establish a better value benchmark?
Establishing a precise historical cost per detainee benchmark requires access to detailed operational data, including average daily population, specific transportation needs, and service level agreements. Without this granular information, comparing this $60.5 million contract to other detention and transportation services is challenging. Further analysis would involve examining ICE's historical spending patterns for comparable facilities and service scopes.
What are the specific performance metrics and penalties outlined in the contract to ensure service quality and mitigate risk?
The contract details likely include performance standards for detention conditions, transportation safety, and timeliness. Specific penalties for non-compliance would be crucial for risk mitigation. A review of the task order's statement of work and associated clauses is necessary to understand the oversight mechanisms and ensure accountability for the service provider.
How does the cost of these services compare to the government operating these facilities and providing transportation internally?
Comparing the cost of contracted services to in-house government operations involves a complex analysis of direct and indirect costs. Factors include personnel, infrastructure, equipment, and administrative overhead for government-run facilities versus the contractor's pricing. This $60.5 million award represents the government's assessment of value through a competitive process, but a full comparison would require a detailed cost-benefit analysis of both models.
Industry Classification
NAICS: Public Administration › Justice, Public Order, and Safety Activities › Correctional Institutions
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING 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: $60,523,846
Exercised Options: $60,523,846
Current Obligation: $60,523,846
Actual Outlays: $60,523,865
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70CDCR20D00000012
IDV Type: IDC
Timeline
Start Date: 2024-08-06
Current End Date: 2025-08-05
Potential End Date: 2025-08-05 00:00:00
Last Modified: 2025-11-14
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