DHS awards $38.6M contract for detention services to AKAL SECURITY, INC

Contract Overview

Contract Amount: $38,644,800 ($38.6M)

Contractor: Akal Security, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2004-12-21

End Date: 2005-12-31

Contract Duration: 375 days

Daily Burn Rate: $103.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DETENTION SERVICES

Place of Performance

Location: SANTA CRUZ, SANTA FE County, NEW MEXICO, 87567

State: New Mexico Government Spending

Plain-Language Summary

Department of Homeland Security obligated $38.6 million to AKAL SECURITY, INC. for work described as: DETENTION SERVICES Key points: 1. Contract awarded to AKAL SECURITY, INC. for detention services. 2. The contract value is $38,644,799.90. 3. The contract was awarded under full and open competition after exclusion of sources. 4. The period of performance is from December 21, 2004, to December 31, 2005. 5. The contract type is Firm Fixed Price.

Value Assessment

Rating: fair

The contract value of $38.6 million for detention services over approximately one year appears to be within a reasonable range for such services, though specific benchmarks are not readily available without further market research.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a competitive process was used, but some potential bidders may have been excluded. This method aims for competitive pricing but the exclusion clause warrants scrutiny.

Taxpayer Impact: Taxpayer funds are being used for detention services, a necessary but potentially costly government function. The competitive award process aims to ensure value for money.

Public Impact

Provides essential detention services for U.S. Immigration and Customs Enforcement. Supports national security and immigration enforcement operations. Ensures the safe and secure housing of individuals in federal custody.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Detention services fall under the broader security and government services sector. Spending in this sector can fluctuate based on immigration policies and national security needs. Benchmarks for detention services vary significantly by region and service level.

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 determine small business participation.

Oversight & Accountability

The contract was awarded by U.S. Immigration and Customs Enforcement (ICE), a component of the Department of Homeland Security. Oversight would typically involve contract management and performance monitoring by ICE officials.

Related Government Programs

Risk Flags

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $38.6 million to AKAL SECURITY, INC.. DETENTION SERVICES

Who is the contractor on this award?

The obligated recipient is AKAL SECURITY, 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 $38.6 million.

What is the period of performance?

Start: 2004-12-21. End: 2005-12-31.

What was the rationale for excluding certain sources in the 'full and open competition'?

The rationale for excluding sources in a 'full and open competition after exclusion of sources' typically relates to specific technical requirements, past performance, or unique capabilities that only a subset of potential offerors can meet. Without further documentation, the exact reasons for exclusion remain unclear and could potentially limit the competitive landscape, impacting price discovery.

How does the pricing of this contract compare to similar detention service contracts awarded by other federal agencies?

A direct comparison of pricing for this $38.6 million detention services contract against similar federal contracts is challenging without access to detailed service level agreements, geographic location, and specific security requirements. However, the firm fixed price structure suggests a defined cost expectation, and the competitive award process aims to achieve reasonable market rates.

What is the long-term effectiveness and cost-efficiency of using AKAL SECURITY, INC. for detention services based on this contract?

The effectiveness and cost-efficiency of AKAL SECURITY, INC. based solely on this single contract award cannot be definitively determined. The contract's duration of approximately one year and firm fixed price suggest a defined scope and budget. Evaluating long-term effectiveness would require analyzing performance metrics, any subsequent contract renewals, and overall operational outcomes.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7 INFINITY LOOP, ESPANOLA, NM, 87532

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $295,504,707

Exercised Options: $69,613,012

Current Obligation: $38,644,800

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: ACL2C0002

IDV Type: IDC

Timeline

Start Date: 2004-12-21

Current End Date: 2005-12-31

Potential End Date: 2008-12-31 00:00:00

Last Modified: 2017-07-30

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