DHS awards $60M contract for detention facility services to The GEO Group, Inc

Contract Overview

Contract Amount: $59,993,453 ($60.0M)

Contractor: THE GEO Group, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-10-16

End Date: 2025-10-15

Contract Duration: 364 days

Daily Burn Rate: $164.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DETENTION, TRANSPORTATION, AND MEDICAL SERVICES FOR DENVER (AURORA) CONTRACT DETENTION FACILITY

Place of Performance

Location: BOCA RATON, PALM BEACH County, FLORIDA, 33431

State: Florida Government Spending

Plain-Language Summary

Department of Homeland Security obligated $60.0 million to THE GEO GROUP, INC. for work described as: DETENTION, TRANSPORTATION, AND MEDICAL SERVICES FOR DENVER (AURORA) CONTRACT DETENTION FACILITY Key points: 1. The contract is for detention, transportation, and medical services. 2. The GEO Group, Inc. is the sole awardee. 3. The contract is a firm-fixed-price delivery order. 4. The contract duration is 364 days. 5. The contract falls under Facilities Support Services.

Value Assessment

Rating: fair

The award amount of $59,993,453.20 for a 364-day contract appears high for facilities support services. Benchmarking against similar contracts for detention and related services is needed to assess value.

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, it is a delivery order, which may indicate it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Taxpayer Impact: Taxpayer funds are being used for essential services related to immigration enforcement and detention.

Public Impact

Impacts individuals in immigration detention. Ensures operational capacity for immigration enforcement. Supports the broader U.S. immigration system. Potential for scrutiny regarding detention conditions and costs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Facilities Support Services, specifically related to detention operations. Spending in this sector is driven by government needs for secure housing and associated services for detainees.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract award.

Oversight & Accountability

Oversight will be crucial to ensure the contractor meets all service level agreements and provides humane conditions for detainees, as well as manages costs effectively.

Related Government Programs

Risk Flags

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $60.0 million to THE GEO GROUP, INC.. DETENTION, TRANSPORTATION, AND MEDICAL SERVICES FOR DENVER (AURORA) CONTRACT DETENTION FACILITY

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 $60.0 million.

What is the period of performance?

Start: 2024-10-16. End: 2025-10-15.

What is the benchmark cost per detainee per day for similar services?

Determining the benchmark cost per detainee per day requires access to detailed cost breakdowns and comparisons with other government contracts for detention facilities. Factors like location, security levels, and included services (medical, transportation) significantly influence per-day costs. Without this comparative data, assessing the value for money of this $60 million contract is challenging.

What are the specific performance metrics and penalties for service failures?

The contract likely includes performance metrics and potential penalties for failures in detention, transportation, and medical services. Robust oversight is needed to ensure these metrics are tracked rigorously and that penalties are applied when services fall short. This is critical for maintaining accountability and ensuring the well-being of detainees.

How does the cost of this contract compare to in-house government-operated facilities?

Comparing the cost of this contract to in-house government-operated facilities would provide insight into the efficiency of outsourcing detention services. Such a comparison should account for all direct and indirect costs, including staffing, infrastructure maintenance, and administrative overhead for both models. This analysis is essential for long-term strategic decisions about facility management.

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

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: $59,993,453

Exercised Options: $59,993,453

Current Obligation: $59,993,453

Actual Outlays: $47,096,715

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70CDCR22D00000001

IDV Type: IDC

Timeline

Start Date: 2024-10-16

Current End Date: 2025-10-15

Potential End Date: 2025-10-15 00:00:00

Last Modified: 2026-04-07

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