DHS ICE Spends $61.4M on Unscheduled Air Charters from Texas

Contract Overview

Contract Amount: $61,413,755 ($61.4M)

Contractor: CSI Aviation, Inc

Awarding Agency: Department of Homeland Security

Start Date: 2014-06-02

End Date: 2018-06-30

Contract Duration: 1,489 days

Daily Burn Rate: $41.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: UNSCHEDULED AIR CHARTER SERVICES ORIGINATING OUT OF BROWNSVILLE, TEXAS. IGF::OT::IGF

Place of Performance

Location: BROWNSVILLE, CAMERON County, TEXAS, 78521

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $61.4 million to CSI AVIATION, INC for work described as: UNSCHEDULED AIR CHARTER SERVICES ORIGINATING OUT OF BROWNSVILLE, TEXAS. IGF::OT::IGF Key points: 1. Significant expenditure on unscheduled air charter services highlights potential for cost optimization. 2. Sole provider CSI Aviation, Inc. managed all contracts, raising questions about competition and pricing. 3. The contract duration of nearly four years suggests a sustained need, but also a long-term commitment. 4. Focus on 'All Other Travel Arrangement and Reservation Services' may indicate a niche or specialized requirement.

Value Assessment

Rating: questionable

The total award of $61.4M over four years for unscheduled air charter services is substantial. Benchmarking against similar contracts for charter services, especially those with flexible scheduling, is crucial to determine if the pricing was competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

While the contract was awarded under full and open competition, the data indicates a single awardee, CSI Aviation, Inc., managed all delivery orders. This suggests that while the initial competition was open, the subsequent execution may have lacked robust price discovery for each individual need.

Taxpayer Impact: Taxpayer funds were used for these services. Without clear benchmarks and competitive pricing for each charter, it's difficult to ascertain the optimal use of these funds.

Public Impact

Essential for rapid deployment and logistical support for law enforcement operations. Ensures operational flexibility for time-sensitive missions. Supports critical government functions by providing necessary transportation solutions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed cost breakdown per flight.
Potential for price creep over a long contract duration.
Limited visibility into the necessity of 'unscheduled' nature of charters.

Positive Signals

Contract awarded under full and open competition.
Services provided by a single, established vendor.
Supports critical government operations.

Sector Analysis

The 'All Other Travel Arrangement and Reservation Services' sector, particularly for specialized air charters, can be costly due to the on-demand nature and specific requirements. Benchmarking against industry standards for charter services is essential.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The contract was awarded by the Department of Homeland Security, U.S. Immigration and Customs Enforcement. Oversight would involve monitoring the necessity and cost-effectiveness of each charter service utilized.

Related Government Programs

All Other Travel Arrangement and Reservation Services
Department of Homeland Security Contracting
U.S. Immigration and Customs Enforcement Programs

Risk Flags

High total expenditure for a specialized service.
Potential lack of competitive pricing for individual charter needs.
Long contract duration without clear cost-optimization strategies.
Limited transparency on the necessity of 'unscheduled' services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $61.4 million to CSI AVIATION, INC. UNSCHEDULED AIR CHARTER SERVICES ORIGINATING OUT OF BROWNSVILLE, TEXAS. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is CSI AVIATION, 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 $61.4 million.

What is the period of performance?

Start: 2014-06-02. End: 2018-06-30.

What was the average cost per flight hour or per trip, and how does this compare to industry benchmarks for similar unscheduled charter services?

The provided data aggregates the total award amount over the contract period, making it difficult to calculate precise per-flight costs without individual delivery order details. A thorough analysis would require access to each delivery order to determine the specific routes, aircraft types, and durations, allowing for a comparison against industry benchmarks for unscheduled air charter services.

What specific operational needs necessitated the use of unscheduled air charters, and could these needs have been met through more cost-effective, scheduled transportation options?

The 'unscheduled' nature suggests urgent or unpredictable operational requirements, likely related to law enforcement or emergency response by ICE. However, without detailed justifications for each charter, it's impossible to definitively assess if scheduled options were viable or if the premium for unscheduled service was justified by mission criticality and timeliness.

Were there any performance metrics or service level agreements tied to this contract to ensure efficiency and value for money, especially given the long duration and high cost?

The data indicates a 'FIRM FIXED PRICE' contract type, which generally implies a defined scope and price. However, specific performance metrics or service level agreements beyond basic delivery requirements are not detailed. Ensuring value for money would depend on the agency's internal monitoring of flight necessity, efficiency, and adherence to any implicit or explicit service standards.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Travel Arrangement and Reservation Services › All Other Travel Arrangement and Reservation Services

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HSCECR-14-Q-00020

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3700 RIO GRANDE BLVD NW, ALBUQUERQUE, NM, 87107

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $97,660,366

Exercised Options: $69,857,431

Current Obligation: $61,413,755

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS33F0025V

IDV Type: FSS

Timeline