DHS awards $37.4M contract for detention and transport services in Arizona

Contract Overview

Contract Amount: $37,409,835 ($37.4M)

Contractor: Akima Global Services, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2024-09-30

End Date: 2025-09-29

Contract Duration: 364 days

Daily Burn Rate: $102.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DETENTION AND TRANSPORT SERVICES AT FLORENCE SERVICE PROCESSING CENTER (SPC)

Place of Performance

Location: FLORENCE, PINAL County, ARIZONA, 85132

State: Arizona Government Spending

Plain-Language Summary

Department of Homeland Security obligated $37.4 million to AKIMA GLOBAL SERVICES, LLC for work described as: DETENTION AND TRANSPORT SERVICES AT FLORENCE SERVICE PROCESSING CENTER (SPC) Key points: 1. Contract value represents a significant investment in immigration enforcement support services. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The fixed-price contract type aims to provide cost certainty for the government. 4. The duration of the contract is one year, with potential for extensions. 5. The services are critical for managing detention and transportation needs within the specified region. 6. The contractor, Akima Global Services, LLC, will be responsible for providing security and patrol services.

Value Assessment

Rating: good

The contract value of $37.4 million for a one-year period for detention and transport services appears to be within a reasonable range for the scope of work. Benchmarking against similar contracts for immigration detention support services in the Southwest region would provide a more precise assessment of value for money. The firm fixed-price structure helps control costs, but the overall value is contingent on the quality and efficiency of services delivered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this procurement method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The agency likely sought to maximize competition to ensure the best value.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it increases the likelihood of receiving competitive pricing and encourages contractors to offer their best value propositions, potentially leading to cost savings.

Public Impact

The primary beneficiaries are U.S. Immigration and Customs Enforcement (ICE) and the Department of Homeland Security (DHS), who will receive essential support services for their operations. The services delivered include security guards and patrol services at the Florence Service Processing Center (SPC). The geographic impact is focused on Arizona, specifically the Florence Service Processing Center. The contract supports the operational workforce involved in detention and transportation of individuals within the immigration system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for service disruptions if contractor performance is subpar.
Reliance on a single contractor for critical security and transport functions.
Ensuring consistent adherence to detention standards and protocols.

Positive Signals

Awarded under full and open competition, suggesting a robust selection process.
Firm fixed-price contract provides cost predictability.
Contract duration allows for sustained service delivery.

Sector Analysis

This contract falls within the security and protective services sector, specifically supporting government operations related to immigration and border security. The market for such services is substantial, driven by ongoing federal needs for detention management, transportation, and facility security. Comparable spending benchmarks would involve analyzing other DHS and ICE contracts for similar services across different regions.

Small Business Impact

The provided data does not indicate if this contract included small business set-asides or subcontracting requirements. Analysis of the contractor's past performance and subcontracting plans would be necessary to determine the impact on the small business ecosystem. Without specific set-aside provisions, large businesses are typically the primary awardees in such competitive solicitations.

Oversight & Accountability

Oversight for this contract will likely be managed by U.S. Immigration and Customs Enforcement (ICE) contracting officers and program managers. Accountability measures will be embedded in the contract terms, including performance standards and reporting requirements. Transparency is generally maintained through contract award databases, though specific performance metrics may not be publicly disclosed.

Related Government Programs

Immigration Detention Services
Detention Facility Operations
Security Guard Services
Transportation Services
Federal Law Enforcement Support

Risk Flags

Potential for performance issues impacting operational continuity.
Risk of cost escalation if not managed effectively.
Ensuring compliance with all relevant regulations and standards.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $37.4 million to AKIMA GLOBAL SERVICES, LLC. DETENTION AND TRANSPORT SERVICES AT FLORENCE SERVICE PROCESSING CENTER (SPC)

Who is the contractor on this award?

The obligated recipient is AKIMA GLOBAL SERVICES, LLC.

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 $37.4 million.

What is the period of performance?

Start: 2024-09-30. End: 2025-09-29.

What is Akima Global Services, LLC's track record with similar federal contracts, particularly within DHS or ICE?

Akima Global Services, LLC has a history of performing various government contracts, including those related to logistics, base operations support, and security services. Their experience with Department of Homeland Security (DHS) and U.S. Immigration and Customs Enforcement (ICE) contracts would be a key factor in their selection for this award. A review of their past performance evaluations and any reported issues on previous ICE or DHS contracts would provide insight into their reliability and capability to execute this detention and transport services contract effectively. Their ability to manage complex security operations and meet stringent performance requirements is crucial for this role.

How does the awarded price of $37.4 million compare to the estimated value or historical spending for similar detention and transport services in Arizona?

The awarded price of $37.4 million for a one-year contract for detention and transport services at the Florence Service Processing Center needs to be benchmarked against historical spending for similar services in the region and against the government's own cost estimates. If this amount is significantly higher than previous contracts for comparable services, or exceeds the agency's independent cost estimate, it could indicate potential overpricing or scope creep. Conversely, if it aligns with or is lower than market rates and past expenditures, it suggests a competitive and fair price was secured through the full and open competition process. Detailed analysis of contract line item pricing and service levels would be required for a definitive value assessment.

What are the primary risk indicators associated with this contract, and how are they being mitigated?

Key risk indicators for this contract include potential performance failures by the contractor (Akima Global Services, LLC) in providing adequate security and transportation, leading to operational disruptions or security breaches. There's also a risk of cost overruns if the firm fixed-price contract doesn't adequately account for unforeseen operational challenges. Mitigation strategies likely involve rigorous performance monitoring by ICE, clear contractual performance standards, defined remedies for non-performance, and potentially contingency planning by the agency. The contractor's past performance record and financial stability are also critical factors assessed during the procurement to mitigate these risks.

How effective is the firm fixed-price contract type in ensuring value for money for these detention and transport services?

The firm fixed-price (FFP) contract type is generally effective in ensuring value for money by shifting the risk of cost overruns to the contractor. This incentivizes the contractor to manage costs efficiently and deliver services within the agreed-upon price. For detention and transport services, where the scope of work is relatively well-defined, FFP provides cost certainty for the government. However, it's crucial that the initial price is competitive and reflects realistic service levels. If the contractor underbids to win the contract and then struggles to meet performance standards due to cost pressures, the overall value for money could be compromised, necessitating close performance oversight.

What is the historical spending pattern for detention and transport services by DHS/ICE in Arizona over the past five years?

Analyzing the historical spending patterns for detention and transport services by DHS/ICE in Arizona over the past five years would reveal trends in contract values, durations, and the number of awarded contracts. This data can help determine if spending has been consistent, increasing, or decreasing, and whether it has been concentrated with a few key contractors or distributed more broadly. Understanding these patterns can provide context for the current $37.4 million award, indicating whether it represents a typical expenditure or a significant deviation. It also helps in assessing the overall federal investment in managing immigration-related logistics in the region.

What specific performance metrics are being used to evaluate Akima Global Services, LLC's delivery of security and patrol services?

The specific performance metrics for evaluating Akima Global Services, LLC's delivery of security and patrol services are typically detailed within the contract's Performance Work Statement (PWS) or Performance Requirements Summary (PRS). These metrics often include response times to incidents, adherence to security protocols, personnel qualifications and training, facility access control effectiveness, and incident reporting accuracy. The government will monitor these metrics to ensure compliance and satisfactory performance. Failure to meet these metrics can result in contractual remedies, including financial penalties or contract termination, underscoring their importance in ensuring service quality and accountability.

Industry Classification

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

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

Parent Company: Nana Regional Corporation, Inc.

Address: 2553 DULLES VIEW DR STE 700, HERNDON, VA, 20171

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $37,409,835

Exercised Options: $37,409,835

Current Obligation: $37,409,835

Actual Outlays: $32,564,492

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 70CDCR20D00000004

IDV Type: IDC

Timeline