DHS Spends $37.8M on Detention, Guard, and Transport Services for Houston CDF

Contract Overview

Contract Amount: $37,807,701 ($37.8M)

Contractor: Corecivic, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2012-04-01

End Date: 2013-03-31

Contract Duration: 364 days

Daily Burn Rate: $103.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF OTHER FUNCTION- DETENTION, GUARD AND TRANSPORTATION SERVICES FOR HOUSTON CDF.

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77060

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $37.8 million to CORECIVIC, INC. for work described as: IGF::OT::IGF OTHER FUNCTION- DETENTION, GUARD AND TRANSPORTATION SERVICES FOR HOUSTON CDF. Key points: 1. CoreCivic, Inc. secured a $37.8M contract for essential detention, guard, and transportation services. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. The firm fixed price contract type aims to control costs, but potential overruns are a risk. 4. Services fall under Security Guards and Patrol, a sector with consistent government demand.

Value Assessment

Rating: good

The contract's value of $37.8M for a one-year period appears reasonable for the scope of services. Benchmarking against similar detention and transportation contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Awarded via full and open competition, this method likely fostered competitive pricing. The firm fixed price structure further supports cost control, though the impact on price discovery for specialized services warrants consideration.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure services at a fair market price.

Public Impact

Ensures the secure housing and movement of individuals, a critical function for immigration enforcement. Supports the operational capacity of U.S. Immigration and Customs Enforcement (ICE) in the Houston area. Provides employment opportunities within the private security and detention services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the private security and detention services sector, which supports government functions like law enforcement and immigration. Spending in this area is often driven by policy and operational needs.

Small Business Impact

The contract was awarded to CoreCivic, Inc., a large corporation, and there is no indication of small business participation in this specific award. Future solicitations could explore opportunities for small business set-asides.

Oversight & Accountability

Oversight by U.S. Immigration and Customs Enforcement (ICE) is crucial to ensure contract compliance, service quality, and adherence to detention standards. Regular performance reviews and audits are essential accountability mechanisms.

Related Government Programs

Risk Flags

Tags

security-guards-and-patrol-services, department-of-homeland-security, tx, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $37.8 million to CORECIVIC, INC.. IGF::OT::IGF OTHER FUNCTION- DETENTION, GUARD AND TRANSPORTATION SERVICES FOR HOUSTON CDF.

Who is the contractor on this award?

The obligated recipient is CORECIVIC, 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 $37.8 million.

What is the period of performance?

Start: 2012-04-01. End: 2013-03-31.

What is the historical cost performance of CoreCivic, Inc. on similar government contracts?

Analyzing CoreCivic's past performance on comparable contracts would reveal their track record in managing costs and delivering services within budget. This includes examining any instances of cost overruns, change orders, or contract modifications, and assessing the reasons behind them. Such an analysis would provide valuable insight into the reliability of their pricing and operational efficiency for this specific contract.

What are the specific risks associated with the firm fixed price model for detention and transportation services?

The firm fixed price model can pose risks if the scope of services is not precisely defined or if unforeseen circumstances arise, such as increased inmate populations or transportation needs. CoreCivic might face challenges in absorbing unexpected costs, potentially leading to requests for contract modifications or impacting service quality if cost-cutting measures are implemented. Conversely, the government benefits from cost certainty, assuming the initial price accurately reflects the required services.

How effectively does this contract align with ICE's long-term detention and transportation strategy?

The effectiveness of this contract hinges on its alignment with ICE's broader strategic goals for detention capacity and transportation logistics. If this contract provides a cost-effective and reliable solution that meets ICE's operational tempo and geographic needs, it is effective. However, if it represents a short-term fix or does not integrate well with other ICE initiatives, its long-term effectiveness may be limited, potentially requiring renegotiation or alternative solutions.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesInvestigation and Security ServicesSecurity Guards and Patrol Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10 BURTON HILLS BLVD, NASHVILLE, TN, 37215

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

Financial Breakdown

Contract Ceiling: $37,807,701

Exercised Options: $37,807,701

Current Obligation: $37,807,701

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: HSCEDM09D00007

IDV Type: IDC

Timeline

Start Date: 2012-04-01

Current End Date: 2013-03-31

Potential End Date: 2014-03-02 00:00:00

Last Modified: 2017-07-31

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