DHS Awards $57.1M for El Paso Detention Transport Services to Paragon Professional Services LLC
Contract Overview
Contract Amount: $57,131,182 ($57.1M)
Contractor: Paragon Professional Services LLC
Awarding Agency: Department of Homeland Security
Start Date: 2025-09-30
End Date: 2026-07-31
Contract Duration: 304 days
Daily Burn Rate: $187.9K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: THIS CONTRACT PROVIDES DETENTION AND TRANSPORTATION SERVICES AT THE EL PASO SERVICE PROCESSING CENTER. THE PURPOSE OF THIS MODIFICATION IS TO ISSUE A NEW TASK ORDER AND ADD FUNDING FOR THESE SERVICES.
Place of Performance
Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99503
State: Alaska Government Spending
Plain-Language Summary
Department of Homeland Security obligated $57.1 million to PARAGON PROFESSIONAL SERVICES LLC for work described as: THIS CONTRACT PROVIDES DETENTION AND TRANSPORTATION SERVICES AT THE EL PASO SERVICE PROCESSING CENTER. THE PURPOSE OF THIS MODIFICATION IS TO ISSUE A NEW TASK ORDER AND ADD FUNDING FOR THESE SERVICES. Key points: 1. Contract awarded for essential detention and transportation services at El Paso Service Processing Center. 2. Significant funding increase via modification for ongoing services. 3. Limited competition due to the nature of task orders for ongoing services. 4. Sector focus on security services, specifically guards and patrol.
Value Assessment
Rating: fair
The contract value of $57.1M for a 304-day duration appears high for security guard and patrol services. Benchmarking against similar contracts for detention and transportation services is crucial to assess value.
Cost Per Unit: $187,932 per unit (likely annual or contract-level, needs clarification)
Competition Analysis
Competition Level: limited
The contract was not available for competition, suggesting a limited or sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The high contract value without competitive bidding raises concerns about taxpayer value and potential for cost overruns.
Public Impact
Ensures continued operation of critical immigration processing facilities. Impacts individuals in U.S. immigration custody requiring transportation. Supports federal agency's mission in border security and immigration enforcement.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- High per-unit cost
- Potential for cost overruns
Positive Signals
- Ensures continuity of essential services
- Supports federal mission
Sector Analysis
This contract falls within the Security Guards and Patrol Services (NAICS 561612) sector. Spending in this sector is often driven by government needs for facility protection and personnel transport, with significant variation based on contract scope and duration.
Small Business Impact
The data does not indicate whether small businesses were involved in subcontracting opportunities for this contract. Further analysis is needed to determine small business participation.
Oversight & Accountability
Oversight is critical to ensure the contractor meets service level agreements and that funds are used efficiently. The modification process warrants scrutiny to confirm necessity and fair pricing.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- U.S. Immigration and Customs Enforcement Programs
Risk Flags
- High contract value for limited competition
- Lack of detailed service breakdown
- Potential for cost inefficiencies
- Limited transparency in award process
Tags
security-guards-and-patrol-services, department-of-homeland-security, ak, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $57.1 million to PARAGON PROFESSIONAL SERVICES LLC. THIS CONTRACT PROVIDES DETENTION AND TRANSPORTATION SERVICES AT THE EL PASO SERVICE PROCESSING CENTER. THE PURPOSE OF THIS MODIFICATION IS TO ISSUE A NEW TASK ORDER AND ADD FUNDING FOR THESE SERVICES.
Who is the contractor on this award?
The obligated recipient is PARAGON PROFESSIONAL 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 $57.1 million.
What is the period of performance?
Start: 2025-09-30. End: 2026-07-31.
What is the specific breakdown of services included in the $57.1M task order, and how does this justify the cost?
The provided data lacks a detailed breakdown of services. A thorough review of the task order's statement of work is necessary to understand the scope, including personnel, equipment, and operational requirements. This will help determine if the $57.1M allocation is justified by the specific services rendered and if it aligns with industry standards for similar operations.
What are the risks associated with a limited competition award for essential detention and transportation services?
Limited competition increases the risk of inflated pricing, reduced service quality, and a lack of innovation. Without competitive pressure, the contractor may have less incentive to optimize costs or improve efficiency. Furthermore, it limits the government's ability to secure the best value, potentially leading to taxpayer funds being used less effectively.
How effectively does this contract support the U.S. Immigration and Customs Enforcement's mission at the El Paso Service Processing Center?
While the contract ensures the provision of essential detention and transportation services, its effectiveness hinges on the contractor's performance and the overall efficiency of the service delivery. The high cost and limited competition raise questions about optimal resource allocation. Continued monitoring of service quality and cost-effectiveness is crucial to gauge its true contribution to ICE's mission.
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: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3301 C ST, ANCHORAGE, AK, 99503
Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $57,131,182
Exercised Options: $57,131,182
Current Obligation: $57,131,182
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70CDCR22D00000012
IDV Type: IDC
Timeline
Start Date: 2025-09-30
Current End Date: 2026-07-31
Potential End Date: 2026-07-31 00:00:00
Last Modified: 2026-04-06
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