DHS ICE Leases Multi-Functional Devices for $10.2M from Ameritel Communications Corp

Contract Overview

Contract Amount: $10,203 ($10.2K)

Contractor: Ameritel Communications Corporation

Awarding Agency: Department of Homeland Security

Start Date: 2020-04-09

End Date: 2025-07-31

Contract Duration: 1,939 days

Daily Burn Rate: $5/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MULTI-FUNCTIONAL DEVICE LEASE WITH MAINTENANCE

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77060

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $10,203 to AMERITEL COMMUNICATIONS CORPORATION for work described as: MULTI-FUNCTIONAL DEVICE LEASE WITH MAINTENANCE Key points: 1. Lease agreement for multi-functional devices valued at $10.2 million. 2. Contract awarded to Ameritel Communications Corporation. 3. Department of Homeland Security (DHS) agency, U.S. Immigration and Customs Enforcement (ICE), is the customer. 4. The contract spans from April 2020 to July 2025. 5. This falls under the Photographic and Photocopying Equipment Manufacturing sector.

Value Assessment

Rating: fair

The total contract value is $10.2 million over approximately 5 years. Without specific per-unit pricing or detailed feature comparisons, it's difficult to definitively assess value against market rates for similar multi-functional device leases.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and can lead to more favorable pricing for the government.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing competitive pricing for necessary equipment.

Public Impact

Ensures operational continuity for U.S. Immigration and Customs Enforcement (ICE) by providing essential office equipment. Supports law enforcement and administrative functions through reliable document management and communication tools. Potential for cost savings through competitive bidding process for leased equipment. Leasing model may offer flexibility in technology upgrades compared to outright purchase.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lease duration is substantial (over 5 years).
Lack of specific performance metrics or service level agreements mentioned.
Potential for vendor lock-in with maintenance included.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract provides cost certainty.
Supports critical law enforcement agency operations.

Sector Analysis

The lease falls within the broader category of office equipment and technology services. Spending benchmarks for similar multi-functional device leases vary widely based on volume, features, and service levels, but a $10.2 million expenditure over five years suggests a significant deployment for a federal agency.

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 the extent of small business participation.

Oversight & Accountability

The contract was awarded by the Department of Homeland Security, U.S. Immigration and Customs Enforcement. Standard federal procurement oversight processes would apply, including review of the acquisition strategy and contract performance.

Related Government Programs

Photographic and Photocopying Equipment Manufacturing
Department of Homeland Security Contracting
U.S. Immigration and Customs Enforcement Programs

Risk Flags

Lease duration may exceed the useful life of the technology.
Lack of detailed performance metrics for maintenance.
Potential for higher long-term costs compared to outright purchase.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $10,203 to AMERITEL COMMUNICATIONS CORPORATION. MULTI-FUNCTIONAL DEVICE LEASE WITH MAINTENANCE

Who is the contractor on this award?

The obligated recipient is AMERITEL COMMUNICATIONS CORPORATION.

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 $10,203.

What is the period of performance?

Start: 2020-04-09. End: 2025-07-31.

What is the total cost per device per month, and how does this compare to industry benchmarks for similar leased equipment with maintenance?

The total contract value is $10.2 million over approximately 61 months (April 2020 to July 2025). This equates to roughly $167,278 per month. Without knowing the exact number of devices and their specific configurations, a direct per-unit cost comparison is impossible. However, this monthly figure would need to be benchmarked against market rates for comparable multi-functional devices and maintenance services to assess value.

What are the specific performance requirements and service level agreements (SLAs) for the maintenance included in this lease, and how are they monitored?

The provided data does not detail the specific performance requirements or service level agreements (SLAs) for the maintenance component of this lease. Effective oversight would require clearly defined SLAs for response times, uptime, and repair quality, along with a robust system for monitoring Ameritel Communications Corporation's adherence to these standards to ensure operational continuity for ICE.

How does the total cost of leasing these multi-functional devices over the contract period compare to the estimated cost of purchasing and maintaining similar equipment outright?

The total lease cost is $10.2 million over approximately five years. To assess the value proposition against purchasing, one would need to estimate the acquisition cost of comparable devices, their expected lifespan, and the projected costs for maintenance, supplies, and potential upgrades over the same five-year period. A detailed cost-benefit analysis comparing leasing versus purchasing is crucial for determining the most fiscally responsible option.

Industry Classification

NAICS: Manufacturing › Commercial and Service Industry Machinery Manufacturing › Photographic and Photocopying Equipment Manufacturing

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: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7361 CALHOUN PLACE, ROCKVILLE, MD, 20855

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

Financial Breakdown

Contract Ceiling: $10,203

Exercised Options: $10,203

Current Obligation: $10,203

Actual Outlays: $5,794

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS03F102CA

IDV Type: FSS

Timeline