DHS awarded $22.8M for detention standards compliance support, with The Nakamoto Group Inc. as the contractor

Contract Overview

Contract Amount: $22,825,670 ($22.8M)

Contractor: THE Nakamoto Group, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2007-08-15

End Date: 2009-04-14

Contract Duration: 608 days

Daily Burn Rate: $37.5K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: OTHER (NONE OF THE ABOVE)

Sector: Other

Official Description: CONTRACT SUPPORT SERVICES FOR THE ONSITE DETENTION STANDARDS COMPLIANCE CAPABILITY TO DRO

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $22.8 million to THE NAKAMOTO GROUP, INC. for work described as: CONTRACT SUPPORT SERVICES FOR THE ONSITE DETENTION STANDARDS COMPLIANCE CAPABILITY TO DRO Key points: 1. Contract value of $22.8M over approximately 2 years suggests a significant investment in ensuring detention standards. 2. The contract was awarded via a competitive delivery order, indicating some level of market engagement. 3. The duration of the contract (608 days) is relatively short for a service of this nature, potentially impacting long-term effectiveness. 4. The specific service area, 'Building Inspection Services', may not fully encompass the breadth of 'detention standards compliance'. 5. The contract's focus on a specific geographic area (District of Columbia) limits its broader applicability. 6. The absence of small business set-aside flags warrants further investigation into subcontracting opportunities.

Value Assessment

Rating: fair

The contract value of $22.8 million for approximately two years of service appears substantial. Benchmarking against similar contracts for detention standards compliance is difficult without more specific service details. However, the per-day cost is approximately $37,542, which seems high for what is described as 'Building Inspection Services'. Further analysis is needed to determine if the scope of work justifies this expenditure and if it aligns with market rates for specialized compliance monitoring.

Cost Per Unit: Approximately $37,542 per day.

Competition Analysis

Competition Level: full-and-open

The contract was awarded as a 'COMPETITIVE DELIVERY ORDER', suggesting it was part of a larger, pre-competed contract vehicle. The data indicates one award, but the nature of a delivery order implies that multiple entities may have been considered or were eligible under the parent contract. The competitive aspect is positive, but the specifics of the competition under the parent vehicle are not detailed here. This method can offer efficiency but might limit the breadth of direct competition for this specific task order.

Taxpayer Impact: A competitive award process, even for a delivery order, generally leads to better price discovery and potentially more favorable terms for taxpayers compared to a sole-source award.

Public Impact

The primary beneficiaries are U.S. Immigration and Customs Enforcement (ICE) and the Department of Homeland Security (DHS), who receive support in ensuring compliance with detention standards. The services delivered aim to uphold the quality and safety of detention facilities, impacting the welfare of detainees. The geographic impact is concentrated in the District of Columbia, where the onsite services were likely performed. The contract supports specialized analytical and inspection services, potentially requiring a skilled workforce in compliance and building standards.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The description 'Building Inspection Services' may be too narrow for the stated purpose of 'detention standards compliance capability', potentially leading to scope gaps.
The contract duration of less than two years might be insufficient for establishing and maintaining long-term compliance improvements.
Lack of explicit small business participation noted; further review needed for subcontracting.
The concentration of services in the District of Columbia limits the applicability of lessons learned to other ICE facilities nationwide.

Positive Signals

Awarded through a competitive delivery order, indicating a structured procurement process.
The contract addresses a critical area of government responsibility: ensuring humane and compliant detention conditions.
The contractor, The Nakamoto Group, Inc., was selected, implying they met the required qualifications for the services.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically related to building inspection and compliance. The market for such services is diverse, encompassing firms specializing in regulatory compliance, facility management, and government contracting. The total contract value of $22.8 million over roughly two years represents a significant, albeit localized, investment in ensuring adherence to detention standards. Comparable spending benchmarks would depend heavily on the specific regulatory framework and the scale of facilities being monitored.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This means the competition was likely open to both large and small businesses. Without specific subcontracting plans or performance data, it's difficult to assess the direct impact on the small business ecosystem. However, the absence of a set-aside suggests that larger firms or prime contractors were potentially better positioned to compete for this award, and any small business involvement would likely be through subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would primarily reside with the U.S. Immigration and Customs Enforcement (ICE) contracting officers and program managers within the Department of Homeland Security (DHS). The contract's performance would be monitored against the defined scope of work and deliverables. Transparency is facilitated through contract databases like FPDS, where basic award information is publicly available. The Inspector General for DHS would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

DHS Detention Facility Inspections
ICE Contracted Detention Standards Monitoring
Federal Building Safety and Compliance Services
Government Facility Management Support

Risk Flags

Potential scope mismatch between 'Building Inspection Services' and 'Detention Standards Compliance'.
Contract duration may be insufficient for long-term impact.
Lack of explicit small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $22.8 million to THE NAKAMOTO GROUP, INC.. CONTRACT SUPPORT SERVICES FOR THE ONSITE DETENTION STANDARDS COMPLIANCE CAPABILITY TO DRO

Who is the contractor on this award?

The obligated recipient is THE NAKAMOTO GROUP, 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 $22.8 million.

What is the period of performance?

Start: 2007-08-15. End: 2009-04-14.

What specific detention standards was this contract intended to ensure compliance with, and how were these standards defined?

The contract aimed to provide 'CONTRACT SUPPORT SERVICES FOR THE ONSITE DETENTION STANDARDS COMPLIANCE CAPABILITY TO DRO'. While the specific detention standards are not detailed in the provided data, they likely refer to the Performance-Based National Detention Standards (PBNDS) or similar ICE-mandated guidelines governing the operation of detention facilities. These standards typically cover areas such as facility safety, security, inmate health services, sanitation, food services, and detainee rights. The 'DRO' likely refers to the Detention and Removal Operations directorate within ICE. The Nakamoto Group's role would have been to assess and report on the contractor's or facility's adherence to these established benchmarks.

How does the $22.8 million contract value compare to other DHS or ICE contracts for similar compliance monitoring services?

Direct comparison of the $22.8 million contract value is challenging without knowing the precise scope, duration, and specific services rendered. However, the average daily cost of approximately $37,542 suggests a potentially high expenditure. Many government contracts for facility oversight and compliance can range widely, from smaller, localized inspections to large-scale, multi-year programs. To benchmark effectively, one would need to identify contracts with similar objectives (e.g., monitoring detention standards, facility compliance audits) and similar geographic scope and service intensity. Given the specialized nature of detention standards, costs can be elevated due to required expertise and the sensitive environment. Further research into ICE's historical spending on detention oversight would provide better context.

What was the track record of The Nakamoto Group, Inc. with DHS or other federal agencies prior to this award?

Information on The Nakamoto Group, Inc.'s prior track record with DHS or other federal agencies is not provided in the initial data. A comprehensive assessment would require reviewing their contract history, past performance evaluations, and any documented issues or successes on previous government contracts. Federal procurement databases (like FPDS) would list their awards, and sources like SAM.gov might contain performance feedback. Understanding their experience with similar compliance, inspection, or government support services would be crucial in evaluating their capability to fulfill this $22.8 million contract effectively.

What risks were identified or mitigated for this contract, given its focus on detention standards?

Potential risks for a contract focused on detention standards compliance could include: 1) Inaccurate or incomplete assessments leading to non-compliance issues being overlooked. 2) Contractor bias or conflicts of interest. 3) Insufficient expertise of the contractor's personnel. 4) Scope creep or unclear deliverables. 5) Security risks associated with accessing sensitive detention facility information. Mitigation strategies would typically involve rigorous contractor vetting, clear performance standards and metrics, regular progress reviews, robust oversight by the government, and defined protocols for handling sensitive information. The competitive nature of the award may have helped mitigate risks related to contractor capability.

How has DHS spending on detention standards compliance evolved over time, and does this contract represent a trend?

Analyzing the evolution of DHS spending on detention standards compliance requires historical data beyond this single contract award. This $22.8 million contract, awarded in 2007 and ending in 2009, represents a specific investment during that period. To understand trends, one would need to examine spending patterns across multiple fiscal years, looking at the number of contracts, total obligated amounts, and the types of services procured for detention oversight. Factors such as changes in immigration policy, facility capacity, and evolving detention standards would influence these spending trends. This contract alone does not indicate a broader trend but is a data point within a larger spending landscape.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Building Inspection Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HSCEOP-07-Q-00076

Offers Received: 1

Pricing Type: OTHER (NONE OF THE ABOVE) (3)

Evaluated Preference: NONE

Contractor Details

Address: 3347 ECLIPSE DR, JEFFERSON, MD, 06

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Woman Owned Business

Financial Breakdown

Contract Ceiling: $22,825,670

Exercised Options: $22,825,670

Current Obligation: $22,825,670

Parent Contract

Parent Award PIID: DJJODT6D0002

IDV Type: IDC

Timeline