DHS awards $28.5M for ICE modernization and expansion, with CACI Inc. as prime contractor

Contract Overview

Contract Amount: $28,503,282 ($28.5M)

Contractor: CACI, Inc. - Federal

Awarding Agency: Department of Homeland Security

Start Date: 2019-09-27

End Date: 2024-01-08

Contract Duration: 1,564 days

Daily Burn Rate: $18.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: EL PASO REGION AND SAN ANTONIO REGION MODERNIZATION AND SITE EXPANSION BUILD-OUT.

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $28.5 million to CACI, INC. - FEDERAL for work described as: EL PASO REGION AND SAN ANTONIO REGION MODERNIZATION AND SITE EXPANSION BUILD-OUT. Key points: 1. Contract awarded through full and open competition, suggesting a robust bidding process. 2. The contract value of $28.5 million over approximately 4 years indicates significant investment in infrastructure. 3. CACI, Inc. - Federal, the prime contractor, has a substantial presence in federal IT and engineering services. 4. The project focuses on modernization and site expansion, implying a need for updated facilities and capabilities. 5. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 6. The North American Industry Classification System (NAICS) code 541330 points to engineering services, a critical component of infrastructure projects.

Value Assessment

Rating: good

The contract value of $28.5 million for modernization and site expansion appears reasonable given the scope of work and the duration of the contract (over 4 years). Benchmarking against similar large-scale infrastructure modernization projects for federal agencies would provide a more precise value-for-money assessment. However, the firm fixed-price nature of the contract suggests that the government has negotiated a ceiling price, which can be advantageous.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of multiple bidders (3 indicated) suggests a competitive environment, which typically leads to better pricing and innovation. The specific number of bids received beyond the '3' is not detailed, but the open competition framework is a positive sign for price discovery.

Taxpayer Impact: Taxpayers benefit from the competitive bidding process, which aims to secure the best possible price and quality for the services rendered. Full and open competition generally leads to more cost-effective solutions compared to sole-source or limited competition awards.

Public Impact

The primary beneficiaries are U.S. Immigration and Customs Enforcement (ICE) and the Department of Homeland Security (DHS), gaining modernized facilities and expanded operational capacity. Services delivered include engineering, modernization, and site expansion build-out, crucial for supporting ICE's mission. The geographic impact is focused on the El Paso and San Antonio regions, suggesting improvements to critical operational hubs. Workforce implications may include the need for specialized engineering and construction labor, potentially creating jobs in the targeted regions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions arise, despite the fixed-price contract.
Dependency on CACI, Inc. - Federal for successful project completion, highlighting contractor performance risk.
Scope creep could become an issue if project requirements are not tightly managed.
Integration challenges with existing ICE systems and infrastructure.

Positive Signals

Firm Fixed Price contract structure transfers cost risk to the contractor.
Full and open competition suggests a well-vetted selection process.
The contract duration allows for phased implementation and potential learning curve adjustments.
CACI, Inc. - Federal is an established government contractor with relevant experience.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to infrastructure development and modernization for government agencies. The market for federal engineering and construction services is substantial, driven by ongoing needs for facility upgrades, new construction, and technological integration across various departments. Comparable spending benchmarks would involve analyzing other large-scale modernization projects within DHS or similar agencies, considering factors like square footage, complexity, and specific technological requirements.

Small Business Impact

The data indicates that small business participation (sb) was not a specific set-aside requirement for this contract (ss: false, sb: false). While CACI, Inc. - Federal is the prime contractor, there is no explicit information on subcontracting plans for small businesses within this award. Further analysis would be needed to determine if CACI has a history of subcontracting with small businesses on similar projects or if there are broader DHS initiatives encouraging small business involvement in their supply chain.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Homeland Security (DHS) and U.S. Immigration and Customs Enforcement (ICE) contracting officers and program managers. The firm fixed-price nature of the contract provides a degree of accountability by capping costs. Transparency is generally facilitated through federal contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected or identified during the contract's performance.

Related Government Programs

Department of Homeland Security Facilities Modernization Programs
U.S. Immigration and Customs Enforcement Infrastructure Projects
Federal Engineering Services Contracts
Large-Scale Government Construction and Renovation Projects

Risk Flags

Contract performance risk
Potential for cost overruns
Integration complexity

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $28.5 million to CACI, INC. - FEDERAL. EL PASO REGION AND SAN ANTONIO REGION MODERNIZATION AND SITE EXPANSION BUILD-OUT.

Who is the contractor on this award?

The obligated recipient is CACI, INC. - FEDERAL.

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 $28.5 million.

What is the period of performance?

Start: 2019-09-27. End: 2024-01-08.

What is CACI, Inc. - Federal's track record with similar large-scale modernization and expansion projects for federal agencies, particularly within DHS or ICE?

CACI, Inc. - Federal has a significant history of performing IT, engineering, and professional services for various U.S. government agencies, including the Department of Homeland Security. While specific details on their past modernization and expansion projects of this exact scale and nature for ICE are not provided in this data snippet, their broad experience in areas like enterprise IT, cybersecurity, and mission support suggests a capability to handle complex infrastructure requirements. A deeper dive into their contract history would reveal the number and scope of similar projects, their performance ratings on those contracts, and any notable successes or challenges encountered. This would provide a clearer picture of their suitability and past performance in executing such critical modernization efforts.

How does the $28.5 million contract value compare to other recent DHS or ICE modernization and site expansion projects of similar scope and complexity?

Benchmarking the $28.5 million contract value requires comparing it to similar projects within DHS or ICE that involve modernization and site expansion. Without specific data on comparable projects' costs, a precise comparison is difficult. However, considering the contract duration of over four years and the nature of modernization and expansion, this figure suggests a substantial investment. Factors influencing cost include the geographic locations (El Paso and San Antonio regions), the specific technological upgrades required, the extent of physical expansion, and the complexity of integrating new systems with existing infrastructure. Generally, large-scale federal infrastructure projects can range from tens to hundreds of millions of dollars, making this award appear within a plausible range for a significant modernization effort.

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

Key risk indicators for this contract include potential cost overruns (despite the firm fixed-price structure, unforeseen issues can arise), contractor performance issues, scope creep, and integration challenges with existing systems. Mitigation strategies are inherent in the contract type and the competitive award process. The firm fixed-price contract shifts the financial risk of cost overruns to CACI, Inc. - Federal. The full and open competition process aims to select a capable contractor with a proven track record. DHS/ICE program managers will likely implement rigorous project management, regular progress reviews, and clear change control processes to manage scope and integration risks. Performance monitoring and defined deliverables will also be crucial for ensuring successful execution.

What is the expected program effectiveness or outcome of this modernization and site expansion for ICE operations in the El Paso and San Antonio regions?

The expected program effectiveness centers on enhancing ICE's operational capabilities in the El Paso and San Antonio regions through modernized facilities and expanded sites. This modernization is likely intended to improve efficiency, support advanced technologies, increase capacity for personnel or operations, and potentially enhance security measures. By upgrading infrastructure, ICE can better execute its mission, which may include improved data management, enhanced communication systems, more efficient processing capabilities, and better working environments for its staff. The site expansion suggests a need to accommodate growth or new operational requirements, leading to greater overall effectiveness and responsiveness in these key border regions.

How has federal spending in engineering services (NAICS 541330) for DHS or ICE trended over the past five years, and how does this contract fit into that pattern?

Analyzing federal spending trends in engineering services (NAICS 541330) for DHS or ICE over the past five years would require accessing historical contract data. Generally, spending in this category is driven by the need for infrastructure upgrades, new facility construction, and modernization efforts across federal agencies. For DHS and ICE, this spending is often tied to border security, law enforcement support, and operational capacity enhancements. This $28.5 million contract represents a significant, albeit specific, investment within that broader trend. Its placement within the pattern would depend on whether overall spending in this sector for DHS/ICE has been increasing, decreasing, or remaining stable, and whether this contract is part of a larger, ongoing modernization initiative or a standalone project.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: CACI International Inc

Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $28,503,282

Exercised Options: $28,503,282

Current Obligation: $28,503,282

Actual Outlays: $6,461,597

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70B04C19D00000046

IDV Type: IDC

Timeline