DHS awarded $11.6M for deportation flights, exceeding initial estimates for charter services

Contract Overview

Contract Amount: $11,647,824 ($11.6M)

Contractor: Capital Aviation, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2008-03-14

End Date: 2012-09-19

Contract Duration: 1,650 days

Daily Burn Rate: $7.1K/day

Competition Type: FOLLOW ON TO COMPETED ACTION

Sector: Other

Official Description: EMERGENCY CHARTER TO RETURN DEPORTEES TO MESA,AZ REQUEST BY ABRAHAM X LUGO FOR MESA,AZ (120 FLIGHTS) ESTIMATED COST IS 20 MILLIONS

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20536

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $11.6 million to CAPITAL AVIATION, INC. for work described as: EMERGENCY CHARTER TO RETURN DEPORTEES TO MESA,AZ REQUEST BY ABRAHAM X LUGO FOR MESA,AZ (120 FLIGHTS) ESTIMATED COST IS 20 MILLIONS Key points: 1. The contract for deportation charter flights represents a significant expenditure for immigration enforcement operations. 2. Competition dynamics for specialized charter services can be limited, potentially impacting price discovery. 3. The duration of the contract suggests a sustained need for these services over several years. 4. Performance context is crucial to understand if the flights met operational requirements and timelines. 5. This contract falls within the broader category of transportation and logistics services for federal agencies.

Value Assessment

Rating: fair

The awarded value of $11.6 million for 120 flights appears to be a substantial investment. Benchmarking against similar emergency charter services for deportations is challenging due to the specialized and often urgent nature of these contracts. However, the initial estimated cost of $20 million suggests potential cost savings or a more favorable negotiation than anticipated, though the final cost per flight is still significant.

Cost Per Unit: Approximately $97,000 per flight (based on awarded value and 120 flights). This figure should be compared to market rates for similar emergency charter operations, which can vary widely based on destination, aircraft size, and urgency.

Competition Analysis

Competition Level: full-and-open

The contract was a 'FOLLOW ON TO COMPETED ACTION,' indicating that the initial award was subject to competition. However, the specific details of the original competition, including the number of bidders and the evaluation process, are not fully detailed here. As a BPA Call, it suggests a pre-negotiated agreement was in place, with this call order being placed against it.

Taxpayer Impact: A competed action, even as a follow-on, generally offers better value to taxpayers by allowing multiple vendors to bid, driving down prices. The level of competition for the original BPA likely influenced the final pricing for this call order.

Public Impact

Immigration and Customs Enforcement (ICE) benefits from this contract by securing transportation for deportees. The service delivered is the chartering of flights to facilitate the return of individuals to Mesa, AZ. The geographic impact is focused on the transportation routes for deportations, primarily originating from the US and destined for Mesa, AZ. Workforce implications are indirect, supporting the operational capacity of ICE enforcement agents and personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the number of flights or operational complexities increase beyond initial projections.
Dependence on a single contractor for critical and time-sensitive deportation logistics could pose a risk.
The 'All Other Miscellaneous Store Retailers' NAICS code seems incongruous for an aviation charter service, raising questions about the contractor's primary business classification.

Positive Signals

The contract was a follow-on to a competed action, suggesting a degree of established competition and potentially favorable pricing.
The awarded amount is below the initial estimated cost, indicating potential cost efficiencies.
The contract duration allows for predictable budgeting and planning for ICE's transportation needs.

Sector Analysis

This contract falls within the broader transportation and logistics sector, specifically serving the unique needs of federal law enforcement. The market for specialized charter aviation, particularly for government repatriation or deportation services, is niche. Comparable spending benchmarks would involve analyzing other government contracts for similar repatriation flights or emergency troop/personnel transport, which are often subject to specific security and logistical requirements.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the nature of aviation charter services, it is possible that larger, specialized aviation companies are the primary providers, potentially limiting direct opportunities for smaller businesses unless they are subcontractors.

Oversight & Accountability

Oversight is likely managed by U.S. Immigration and Customs Enforcement (ICE) program officials who monitor flight schedules, passenger manifests, and adherence to contractual terms. Accountability measures would include performance reviews and potential penalties for non-compliance. Transparency is facilitated through contract award databases, though detailed operational specifics may be limited due to security or privacy concerns.

Related Government Programs

ICE Deportation Operations
Federal Air Transportation Services
Emergency Charter Flights
Immigration Enforcement Contracts

Risk Flags

Unusual NAICS code for contractor
Potential for cost overruns
Dependence on single provider for critical service

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $11.6 million to CAPITAL AVIATION, INC.. EMERGENCY CHARTER TO RETURN DEPORTEES TO MESA,AZ REQUEST BY ABRAHAM X LUGO FOR MESA,AZ (120 FLIGHTS) ESTIMATED COST IS 20 MILLIONS

Who is the contractor on this award?

The obligated recipient is CAPITAL 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 $11.6 million.

What is the period of performance?

Start: 2008-03-14. End: 2012-09-19.

What is the track record of Capital Aviation, Inc. in providing similar charter services, particularly for government repatriation or deportation flights?

Information regarding Capital Aviation, Inc.'s specific track record with government repatriation or deportation flights is not detailed in the provided data. The NAICS code 'All Other Miscellaneous Store Retailers' is unusual for an aviation services provider, suggesting the company might operate in a different primary sector or that this classification is a historical artifact. Further investigation into the company's past performance, contract history with DHS or other federal agencies, and any reported performance issues or successes would be necessary to fully assess their capability and reliability for this specific type of service.

How does the per-flight cost compare to other federal contracts for similar deportation or repatriation charter services?

The per-flight cost of approximately $97,000 (based on $11.6M awarded for 120 flights) is a significant figure. Benchmarking this against other federal contracts for similar services is complex due to variations in flight routes, aircraft types, passenger numbers, security requirements, and urgency. Contracts for repatriation flights can fluctuate widely. Without access to a database of comparable contracts, it's difficult to definitively state if this rate is high or low. However, it is crucial to compare it with contracts awarded by agencies like CBP or other components of DHS that may procure similar services.

What were the specific factors that led to the initial estimated cost of $20 million, and why was the final awarded amount significantly lower?

The provided data does not detail the specific factors contributing to the initial $20 million cost estimate. Typically, such estimates are based on projected flight hours, aircraft rental, crew costs, fuel, operational support, and potentially contingency for unforeseen circumstances. The fact that the awarded amount was $11.6 million suggests that either the initial estimate was conservative, market conditions allowed for more favorable pricing during the bidding process, or the scope of services ultimately required was less than initially anticipated. A thorough review of the original solicitation and evaluation documentation would be needed to understand the discrepancy.

What are the potential risks associated with relying on Capital Aviation, Inc. for these critical deportation flights, especially given the unusual NAICS code?

The primary risk associated with relying on Capital Aviation, Inc. stems from the potential mismatch between their primary business classification (NAICS: All Other Miscellaneous Store Retailers) and the service being procured (aviation charter). This could indicate a lack of specialized experience in aviation logistics, potential financial instability, or a history of performance issues in this niche. Other risks include potential delays if the contractor faces operational challenges, difficulties in finding alternative providers on short notice if issues arise, and concerns about compliance with stringent aviation safety and security regulations. The 'follow-on' nature also implies a pre-existing relationship, but the specifics of that relationship and its performance are key.

How does this contract align with the overall spending patterns and priorities of U.S. Immigration and Customs Enforcement (ICE) regarding transportation and removal operations?

This contract for deportation charter flights directly aligns with ICE's core mission of enforcing immigration laws, which includes the removal of individuals subject to final orders of removal. Spending on transportation, particularly air charter services, is a necessary component of these operations, especially for long-distance or international repatriations. The $11.6 million awarded represents a significant, but likely proportional, investment within ICE's broader budget for detention and removal operations. Analyzing ICE's historical spending on air charter services would provide context on whether this contract represents an increase, decrease, or stable level of expenditure for such capabilities.

What oversight mechanisms are in place to ensure the safety, security, and cost-effectiveness of these deportation flights provided by Capital Aviation, Inc.?

Oversight for this contract would typically involve contracting officers' representatives (CORs) from ICE who monitor performance against the contract's terms and conditions. This includes ensuring flights operate on schedule, adhere to all safety regulations (e.g., FAA compliance), maintain appropriate security protocols for passengers and crew, and that billing is accurate. Performance metrics and reporting requirements would be stipulated in the contract. While the specific oversight plan isn't detailed, federal contracts of this nature usually involve regular progress reports, site visits, and performance evaluations to ensure accountability and value for taxpayer money.

Industry Classification

NAICS: Retail Trade › Other Miscellaneous Store Retailers › All Other Miscellaneous Store Retailers (except Tobacco Stores)

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FOLLOW ON TO COMPETED ACTION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Evaluated Preference: NONE

Contractor Details

Address: 44081 PIPELINE PLAZA, ASHBURN, VA, 20147

Business Categories: Category Business, Small Business

Parent Contract

Parent Award PIID: HSCEOP07A00040

IDV Type: BPA

Timeline