DHS Awards $61.9M for Montgomery Processing Center Support Services to The GEO Group, Inc

Contract Overview

Contract Amount: $61,884,955 ($61.9M)

Contractor: THE GEO Group, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-08-17

End Date: 2025-08-17

Contract Duration: 365 days

Daily Burn Rate: $169.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MONTGOMERY PROCESSING CTR FY24

Place of Performance

Location: CONROE, MONTGOMERY County, TEXAS, 77301

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $61.9 million to THE GEO GROUP, INC. for work described as: MONTGOMERY PROCESSING CTR FY24 Key points: 1. The contract is for facilities support services at the Montgomery Processing Center. 2. The GEO Group, Inc. is the sole awardee for this delivery order. 3. The contract value is $61.9 million for a one-year period. 4. This award falls under the Facilities Support Services NAICS code 561210.

Value Assessment

Rating: fair

The contract is a firm fixed price delivery order. Without comparable contract data or a detailed cost breakdown, assessing the pricing's value is difficult. Benchmarking against similar facilities support contracts would be necessary for a more definitive assessment.

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, this is a delivery order, and the specific competition details for this order are not provided, which could impact price discovery.

Taxpayer Impact: Taxpayer funds are being used for essential facilities support services. The competitive award process aims to ensure reasonable pricing, but the final value proposition depends on the efficiency and effectiveness of the services provided.

Public Impact

Ensures continued operation of critical immigration processing facilities. Supports federal agency's mission in border security and immigration enforcement. Provides essential services to maintain facility infrastructure and operations. Impacts local economy through employment and resource utilization in Texas.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Facilities Support Services, a broad category encompassing maintenance, security, and operational support for government facilities. Spending in this sector is consistent with agency operational needs, particularly for agencies like DHS with significant infrastructure requirements.

Small Business Impact

The data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed or if the nature of the contract made small business involvement unlikely.

Oversight & Accountability

The award is a delivery order under a larger contract vehicle. Oversight would involve monitoring the performance of The GEO Group, Inc. against the terms of the delivery order and ensuring compliance with federal procurement regulations.

Related Government Programs

Risk Flags

Tags

facilities-support-services, department-of-homeland-security, tx, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $61.9 million to THE GEO GROUP, INC.. MONTGOMERY PROCESSING CTR FY24

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 $61.9 million.

What is the period of performance?

Start: 2024-08-17. End: 2025-08-17.

What is the historical pricing trend for similar facilities support services contracts awarded by DHS?

Analyzing historical pricing for similar facilities support services contracts is crucial for a robust value assessment. Benchmarking against past awards, adjusted for inflation and scope differences, would reveal if the $61.9 million price is competitive or inflated. Without this context, determining true value for taxpayer money remains challenging.

What specific performance metrics are included in the delivery order to ensure effective service delivery?

The effectiveness of the services provided is paramount. The delivery order should include clear performance standards, key performance indicators (KPIs), and remedies for non-performance. Monitoring these metrics ensures that The GEO Group, Inc. meets its contractual obligations and that taxpayer funds are used efficiently to maintain the Montgomery Processing Center.

Are there any potential conflicts of interest or ethical concerns associated with awarding this contract to The GEO Group, Inc. given their history?

The GEO Group, Inc. has faced scrutiny regarding its operations in the past. A thorough review of potential conflicts of interest and ethical considerations is warranted. Ensuring transparency and adherence to strict ethical guidelines throughout the contract lifecycle is vital to maintain public trust and accountability in government contracting.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HSCEDM-15-R-00004

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: $61,884,955

Exercised Options: $61,884,955

Current Obligation: $61,884,955

Actual Outlays: $60,225,565

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSCEDM17D00009

IDV Type: IDC

Timeline

Start Date: 2024-08-17

Current End Date: 2025-08-17

Potential End Date: 2025-08-17 00:00:00

Last Modified: 2025-09-23

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