DHS ICE Awards $34.2M Contract for Detention Services in Los Angeles Area
Contract Overview
Contract Amount: $34,258,265 ($34.3M)
Contractor: THE GEO Group, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2024-12-20
End Date: 2025-12-19
Contract Duration: 364 days
Daily Burn Rate: $94.1K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: DETENTION SERVICES DESERT VIEW (DV) ANNEX IN THE LOS ANGELES AREA OF RESPONSIBILITY
Place of Performance
Location: LOS ANGELES, LOS ANGELES County, CALIFORNIA, 90012
Plain-Language Summary
Department of Homeland Security obligated $34.3 million to THE GEO GROUP, INC. for work described as: DETENTION SERVICES DESERT VIEW (DV) ANNEX IN THE LOS ANGELES AREA OF RESPONSIBILITY Key points: 1. The contract is for detention services at the Desert View Annex. 2. The GEO Group, Inc. is the sole awardee. 3. The contract duration is one year. 4. The award is a delivery order under a larger contract. 5. The service falls under Security Guards and Patrol Services.
Value Assessment
Rating: fair
The contract value of $34.2M for one year of detention services appears within a reasonable range for such specialized facilities. Benchmarking against similar contracts for detention services in major metropolitan areas is necessary for a definitive assessment.
Cost Per Unit: $94,116 (daily rate for the facility)
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a competitive bidding process. However, this specific award is a delivery order, implying it might be part of a broader indefinite-delivery/indefinite-quantity (IDIQ) contract where initial competition occurred.
Taxpayer Impact: Taxpayer funds are being used to secure detention services, which is a necessary function for immigration enforcement. The cost-effectiveness of this specific award relative to alternatives will determine the ultimate taxpayer impact.
Public Impact
Ensures continued operation of detention facilities for immigration enforcement. Impacts individuals in immigration proceedings requiring detention. Supports federal law enforcement and judicial processes. Contributes to the private prison industry's revenue.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if service needs exceed initial estimates.
- Reliance on a single provider for critical detention services.
- Limited transparency on the specific services included in the daily rate.
Positive Signals
- Awarded through full and open competition.
- Clear contract duration of one year.
- Specific location and service clearly defined.
Sector Analysis
Detention services fall under the broader security and protective services sector. Spending in this sector is often driven by government mandates and national security priorities. Benchmarks for detention services vary significantly based on location, capacity, and service level.
Small Business Impact
The awardee, The GEO Group, Inc., is a large corporation and not a small business. There is no indication that small businesses were subcontracted for this specific delivery order, which is common for large-scale service contracts.
Oversight & Accountability
Oversight is provided by U.S. Immigration and Customs Enforcement (ICE). The effectiveness of oversight will depend on regular performance reviews, site inspections, and adherence to contract terms and conditions.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- U.S. Immigration and Customs Enforcement Programs
Risk Flags
- Potential for cost creep over the contract period.
- Dependence on a single large contractor.
- Limited public information on service quality metrics.
- Contract is a delivery order, raising questions about the underlying IDIQ competition.
Tags
security-guards-and-patrol-services, department-of-homeland-security, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $34.3 million to THE GEO GROUP, INC.. DETENTION SERVICES DESERT VIEW (DV) ANNEX 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 $34.3 million.
What is the period of performance?
Start: 2024-12-20. End: 2025-12-19.
What is the historical cost performance of The GEO Group, Inc. for similar detention services contracts?
Analyzing The GEO Group's past performance on similar detention services contracts is crucial for assessing value. This includes examining cost overruns, contract modifications, and any penalties or disputes. A review of their track record can indicate their ability to manage costs effectively and deliver services within budget, providing a basis for evaluating the current $34.2M award.
What are the specific performance metrics and service level agreements tied to this contract?
Understanding the specific performance metrics and service level agreements (SLAs) is vital for assessing risk. These define the quality and standards of detention services required. Without clear SLAs, it's difficult to gauge if the contractor is meeting expectations or if there's a risk of substandard service delivery, potentially impacting detainee welfare and operational efficiency.
How does the daily per-unit cost compare to publicly funded detention facilities or other private providers in the region?
Comparing the per-unit cost of $94,116 per day for the facility against publicly funded facilities and other private providers in the Los Angeles area is essential for effectiveness. This benchmark analysis will reveal if the contract represents a cost-effective solution for ICE, or if taxpayers are potentially overpaying for the services rendered.
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
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: $34,258,265
Exercised Options: $34,258,265
Current Obligation: $34,258,265
Actual Outlays: $21,068,356
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70CDCR20D00000009
IDV Type: IDC
Timeline
Start Date: 2024-12-20
Current End Date: 2025-12-19
Potential End Date: 2025-12-19 00:00:00
Last Modified: 2026-01-22
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