DHS awards $41.8M for facilities support services to B.I. INCORPORATED under full and open competition

Contract Overview

Contract Amount: $41,773,632 ($41.8M)

Contractor: B.I. Incorporated

Awarding Agency: Department of Homeland Security

Start Date: 2010-11-01

End Date: 2011-11-05

Contract Duration: 369 days

Daily Burn Rate: $113.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OPTION YEAR 1 TASK ORDER AWARD ISAP II (BASE CONTRACT# HSCECR-09-D-00002)

Place of Performance

Location: BOULDER, BOULDER County, COLORADO, 80301

State: Colorado Government Spending

Plain-Language Summary

Department of Homeland Security obligated $41.8 million to B.I. INCORPORATED for work described as: OPTION YEAR 1 TASK ORDER AWARD ISAP II (BASE CONTRACT# HSCECR-09-D-00002) Key points: 1. The contract value represents a significant investment in facilities support services for U.S. Immigration and Customs Enforcement. 2. Competition dynamics suggest a potentially competitive bidding process, which could lead to favorable pricing. 3. The firm-fixed-price contract type generally shifts performance risk to the contractor. 4. The duration of the task order is approximately one year, indicating a need for ongoing operational support. 5. The contract falls under facilities support services, a critical but often overlooked area of government operations. 6. The awardee, B.I. INCORPORATED, has secured a substantial contract, suggesting a strong performance record or competitive proposal.

Value Assessment

Rating: good

The award amount of $41.8 million for a one-year task order for facilities support services appears reasonable given the scope of services typically required by agencies like ICE. Benchmarking against similar contracts for large-scale facilities management would provide a more precise valuation, but the price seems within expected ranges for comprehensive support. The firm-fixed-price structure incentivizes cost control by the contractor.

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 presence of 3 bidders suggests a healthy level of competition for this requirement. This competitive environment is generally expected to drive down prices and encourage innovation as contractors vie for the award.

Taxpayer Impact: Taxpayers benefit from full and open competition as it typically leads to more competitive pricing and better value for the government's investment.

Public Impact

U.S. Immigration and Customs Enforcement (ICE) benefits from the provision of essential facilities support services, ensuring operational continuity. Services likely include maintenance, repair, custodial, and potentially security services for ICE facilities. The geographic impact is concentrated where ICE facilities are located, primarily within the United States. The contract supports jobs within the facilities management and support services sector, potentially including local workforces near ICE facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep occurs without adequate change order management.
Dependence on a single contractor for critical facilities operations could pose a risk if performance falters.
Ensuring consistent service quality across all supported facilities requires robust oversight.

Positive Signals

Awarded under full and open competition, suggesting a competitive pricing environment.
Firm-fixed-price contract type transfers cost risk to the contractor.
The contractor, B.I. INCORPORATED, has secured a significant award, implying capability and competitiveness.

Sector Analysis

Facilities Support Services (NAICS 561210) is a broad category encompassing a wide range of services essential for the operation and maintenance of buildings and grounds. This sector is characterized by numerous providers, from large integrated facility management companies to specialized service firms. Government contracts in this area are substantial, reflecting the extensive real estate holdings of federal agencies. This award to B.I. INCORPORATED fits within the typical pattern of federal agencies outsourcing these critical support functions to private sector entities to focus on their core missions.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, and the awardee is not identified as a small business. Therefore, there are no direct small business set-aside implications. However, the prime contractor may engage small businesses as subcontractors to fulfill portions of the contract, which would be a positive signal for the small business ecosystem. Further analysis of subcontracting plans would be needed to confirm this.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer's representative (COR) within U.S. Immigration and Customs Enforcement, responsible for monitoring performance and ensuring compliance with contract terms. The Department of Homeland Security's Office of Inspector General may also conduct audits or investigations into contract performance and financial management to ensure accountability and prevent fraud, waste, and abuse. Transparency is facilitated through contract award databases like FPDS.

Related Government Programs

Federal Buildings and Facilities Maintenance
Government Facilities Management Services
Department of Homeland Security Operations Support
Immigration and Customs Enforcement Support Contracts

Risk Flags

Performance Risk
Cost Control Risk
Service Disruption Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $41.8 million to B.I. INCORPORATED. OPTION YEAR 1 TASK ORDER AWARD ISAP II (BASE CONTRACT# HSCECR-09-D-00002)

Who is the contractor on this award?

The obligated recipient is B.I. INCORPORATED.

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 $41.8 million.

What is the period of performance?

Start: 2010-11-01. End: 2011-11-05.

What is the historical spending pattern for facilities support services by U.S. Immigration and Customs Enforcement?

Analyzing historical spending patterns for facilities support services by U.S. Immigration and Customs Enforcement (ICE) is crucial for understanding budget trends and identifying potential areas for cost savings or efficiency improvements. While this specific award is for approximately $41.8 million for a one-year task order, ICE's overall expenditure on facilities management can fluctuate based on the number and size of facilities managed, infrastructure upgrades, and changes in service requirements. Historically, federal agencies like ICE often rely on a mix of in-house capabilities and contracted services. Examining prior years' budgets and contract awards for similar services would reveal whether this $41.8 million represents an increase, decrease, or stable level of investment. It would also highlight the primary contractors and the types of services most frequently procured, providing context for the current award's significance within the agency's broader operational budget.

How does the per-unit cost of services under this contract compare to industry benchmarks for facilities support?

Determining the precise per-unit cost for services under this contract is challenging without a detailed breakdown of the services provided and their respective quantities. However, the total award of $41.8 million for a one-year task order for facilities support services can be broadly benchmarked. Industry standards for facilities management vary significantly based on the type of facility (e.g., office buildings, detention centers, specialized operational sites), geographic location, and the scope of services (e.g., janitorial, HVAC maintenance, security, landscaping). Generally, government contracts aim for competitive pricing. If this contract covers a wide array of services for multiple large facilities, the per-unit cost might appear high in isolation but could be competitive when considering the comprehensive nature of the support. A detailed analysis would require comparing specific service line items against market rates for similar government or commercial contracts in the same region.

What is the track record of B.I. INCORPORATED in performing federal contracts, particularly in facilities support?

B.I. INCORPORATED's track record in performing federal contracts, especially within facilities support, is a key indicator of their capability to execute this $41.8 million award. A review of their past performance, accessible through federal procurement databases, would reveal the types and values of contracts they have previously held, the agencies they have served, and any reported performance issues or commendations. Success in similar large-scale facilities management contracts for agencies like Homeland Security or other federal entities would suggest a strong likelihood of successful performance. Conversely, a history of contract disputes, performance failures, or significant overruns could raise concerns. Understanding their experience with firm-fixed-price contracts and their ability to manage complex service delivery across multiple locations would provide further insight into their suitability for this role.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

The primary risks associated with this $41.8 million facilities support services contract include potential performance deficiencies by the contractor, cost overruns if the scope of work expands beyond the initial estimates, and disruptions to critical ICE operations if services are interrupted. Given the firm-fixed-price nature, the contractor bears the primary financial risk for cost overruns, but performance failures remain a significant concern. Mitigation strategies typically involve robust contract oversight by a COR, clear performance metrics and service level agreements (SLAs), regular performance reviews, and established procedures for addressing deficiencies. The government also retains the right to exercise contract remedies, including termination for default, if performance is consistently unsatisfactory. Proactive communication and collaboration between ICE and B.I. INCORPORATED are also vital for identifying and resolving issues early.

How does the level of competition for this contract influence the value received by taxpayers?

The fact that this contract was awarded under 'full and open competition' with three bidders is a positive indicator for taxpayer value. A competitive bidding process generally forces contractors to submit their most aggressive and cost-effective proposals to win the contract. This pressure helps ensure that the government is not overpaying for the services rendered. When multiple capable companies vie for a contract, it drives down prices and encourages innovation as bidders seek to differentiate themselves not only on price but also on the quality and efficiency of their proposed services. Therefore, the competition level directly translates to better value for taxpayers, as the awarded price is more likely to reflect a fair market rate and potentially include efficiencies that benefit the government's budget.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HSCECR-09-R-00004

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: THE GEO Group, Inc.

Address: 6400 LOOKOUT RD STE 101, BOULDER, CO, 80301

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

Financial Breakdown

Contract Ceiling: $41,773,632

Exercised Options: $41,773,632

Current Obligation: $41,773,632

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HSCECR09D00002

IDV Type: IDC

Timeline