DoD Awards $99.7M Contract for Border Holding Facilities Amidst Ongoing Migration Challenges
Contract Overview
Contract Amount: $99,709,226 ($99.7M)
Contractor: Deployed Resources LLC
Awarding Agency: Department of Defense
Start Date: 2025-03-30
End Date: 2025-08-27
Contract Duration: 150 days
Daily Burn Rate: $664.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: TEMPORARY SOFT-SIDED (TENT) HOLDING FACILITIES, ANCILLARY STRUCTURES, AND OTHER EQUIPMENT TO ACCOMMODATE THE PROCESSING AND HOLDING NONCITIZENS ARRIVING AT THE SOUTHERN BORDER.
Place of Performance
Location: EL PASO, EL PASO County, TEXAS, 79934
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $99.7 million to DEPLOYED RESOURCES LLC for work described as: TEMPORARY SOFT-SIDED (TENT) HOLDING FACILITIES, ANCILLARY STRUCTURES, AND OTHER EQUIPMENT TO ACCOMMODATE THE PROCESSING AND HOLDING NONCITIZENS ARRIVING AT THE SOUTHERN BORDER. Key points: 1. The contract addresses critical infrastructure needs for processing noncitizens at the southern border. 2. Competition was full and open, suggesting a potentially competitive pricing environment. 3. The firm fixed-price contract type provides cost certainty for the government. 4. This spending falls under logistics consulting services, supporting operational needs.
Value Assessment
Rating: good
The award amount of $99.7 million for 150 days of service appears reasonable given the critical and urgent nature of border operations. Benchmarking against similar rapid deployment contracts is difficult due to unique circumstances.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: Taxpayer funds are being utilized to manage humanitarian and logistical challenges at the border, aiming for efficient processing and holding of noncitizens.
Public Impact
Addresses immediate humanitarian and logistical needs at the southern border. Supports federal agencies in managing noncitizen arrivals and processing. Potential impact on local communities near border facilities. Highlights ongoing federal resource allocation towards border security and management.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Urgency of need may lead to premium pricing.
- Contract duration is relatively short, requiring potential follow-on contracts.
- Geographic concentration of services in Texas.
Positive Signals
- Full and open competition utilized.
- Firm fixed-price contract provides cost predictability.
- Awarded by the Department of Defense, leveraging logistical expertise.
Sector Analysis
This contract falls under professional services, specifically logistics consulting, supporting the Department of Defense's role in border operations. Spending in this category can fluctuate based on national security and humanitarian needs.
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 Department of the Army, under the Department of Defense, is responsible for the award and oversight. Accountability will depend on performance metrics and adherence to contract terms, especially given the operational context.
Related Government Programs
- Process, Physical Distribution, and Logistics Consulting Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Urgent operational need.
- Potential for cost creep in remote or challenging environments.
- Dependence on contractor performance for critical services.
- Short contract duration may necessitate rapid follow-on actions.
- Geographic concentration of services.
Tags
process-physical-distribution-and-logist, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $99.7 million to DEPLOYED RESOURCES LLC. TEMPORARY SOFT-SIDED (TENT) HOLDING FACILITIES, ANCILLARY STRUCTURES, AND OTHER EQUIPMENT TO ACCOMMODATE THE PROCESSING AND HOLDING NONCITIZENS ARRIVING AT THE SOUTHERN BORDER.
Who is the contractor on this award?
The obligated recipient is DEPLOYED RESOURCES LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $99.7 million.
What is the period of performance?
Start: 2025-03-30. End: 2025-08-27.
What is the cost-effectiveness of temporary soft-sided facilities compared to more permanent infrastructure solutions for border processing?
Temporary soft-sided facilities offer rapid deployment and flexibility, crucial for immediate needs. However, their long-term cost-effectiveness is questionable compared to permanent structures, which have higher upfront costs but lower operational and replacement expenses over time. The suitability depends on the projected duration of the need.
What are the primary risks associated with the rapid deployment and operation of these temporary holding facilities?
Key risks include potential cost overruns due to unforeseen logistical challenges, inadequate infrastructure leading to health and safety concerns for noncitizens and staff, and security vulnerabilities within temporary structures. Environmental factors and the rapid pace of deployment can also strain operational effectiveness and oversight.
How effectively will these facilities address the processing and holding needs, and what are the metrics for success?
Effectiveness will be measured by the facility's ability to safely and efficiently process and hold noncitizens within contractually defined parameters, meeting hygiene and security standards. Success metrics likely include throughput rates, incident reports (or lack thereof), and compliance with operational directives from relevant agencies.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting Services
Product/Service Code: LEASE/RENT EQUIPMENT › LEASE OR RENTAL OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 164 MCPIKE RD, ROME, NY, 13441
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $117,638,458
Exercised Options: $99,709,226
Current Obligation: $99,709,226
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 47QRAA25D0050
IDV Type: FSS
Timeline
Start Date: 2025-03-30
Current End Date: 2025-08-27
Potential End Date: 2025-09-25 00:00:00
Last Modified: 2025-08-28
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