Department of Homeland Security 

Office of Inspector General 

CBP Faces Challenges in Achieving Its 


Goals for Small Business Participation in 


Secure Border Initiative Network
 

OIG-10-54 February 2010 
Office of Inspector General 

U.S. Department of Homeland Security

Washington, DC 25028 

 February 3, 2010 

Preface 

The Department of Homeland Security (DHS) Office of Inspector General (OIG) was 

established by the Homeland Security Act of 2002 (Public Law 107-296) by amendment 

to the Inspector General Act of 1978. This is one of a series of audit, inspection, and 

special reports prepared as part of our oversight responsibilities to promote economy, 

efficiency, and effectiveness within the department. 

The attached report presents the results of our review to determine whether U.S. Customs 

and Border Protection’s Secure Border Initiative Network contracting strategies will 

provide access to small business for the term of the contract. It is based on interviews 

with CBP employees, direct observations, and a review of applicable documents. 

The recommendations herein have been developed to the best knowledge available to our 

office, and have been discussed in draft with those responsible for implementation. We 

trust this report will result in more effective, efficient, and economical operations. We 

express our appreciation to all who contributed to the preparation of this report. 

Richard L. Skinner 


Inspector General
 
Table of Contents/Abbreviations 

Executive Summary.............................................................................................................1
 

Background..........................................................................................................................2
 

Results of Audit ...................................................................................................................3
 

Recommendation ...........................................................................................................4 


Management Comments and OIG Analysis ..................................................................4 


Appendixes 

Appendix A: Purpose, Scope, and Methodology..........................................................6 


Appendix B: Management Comments to the Draft Report ..........................................7 


Appendix C: History of SBInet Performance in Meeting Small Business Goals......12
 

Appendix D: Major Contributors to this Report.........................................................13 


Appendix E: Report Distribution................................................................................14 


Abbreviations 

CBP U.S. Customs and Border Protection 


DHS Department of Homeland Security 


FAR Federal Acquisition Regulation 


SBI Secure Border Initiative 


SBInet Secure Border Initiative Network
 

CBP Faces Challenges in Achieving Its Goals for Small Business Participation in Secure Border 


Initiative Network 

OIG 

Department of Homeland Security 

Office of Inspector General 

Executive Summary 

We conducted this audit to determine whether Secure Border Initiative 

Network contracting strategies will provide access to small business for 

the term of the contract. Federal Acquisition Regulation 19.702 

requires agencies to provide maximum practicable opportunity in their 

contracts to small business, veteran-owned small business, servicedisabled veteran-owned small business, small disadvantaged business, 

women-owned small business, and small businesses located in 

designated historically underdeveloped “HUBZone” areas. 

Customs and Border Protection faces challenges in meeting small 

business subcontracting goals for the remainder of the Secure Border 

Initiative Network indefinite delivery, indefinite quantity contract. A 

change in Customs and Border Protection’s acquisition strategy from 

acquiring technology to acquiring steel for border fence construction 

reduced opportunities for small business to participate in awards under 

the Secure Border Initiative Network indefinite delivery, indefinite 

quantity contract. In response, the prime contractor Boeing, has 

implemented initiatives to improve small business participation in 

Secure Border Initiative Network subcontracts to achieve its 

subcontracting goals. Despite these initiatives, the contractor has not 

achieved the established goals for small business participation since the 

reporting period ended September 2007. 

We recommended that Customs and Border Protection continue 

monitoring Boeing’s efforts to identify and recruit small business in 

order to achieve established small business goals in the Secure Border 

Initiative Network indefinite delivery, indefinite quantity contract. 

Customs and Border Protection non-concurred with the 

recommendation. 

CBP Faces Challenges in Achieving Its Goals for Small Business Participation in Secure Border 

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Page 1 
1

 FAR 19.702. Statutory Requirements. 

Background 

The Secure Border Initiative (SBI) program is a comprehensive, 

DHS-wide effort to secure the Nation’s borders. A component of 

the overall effort is the Secure Border Initiative Network (SBInet), 

a major acquisition program initiated to gain operational control of 

the borders through improved use of technology, infrastructure, 

and personnel. To implement technology to monitor the border, 

the department awarded the SBInet systems integration contract in 

September 2006 to the Boeing Company (Boeing). The base 

period of the indefinite delivery, indefinite quantity (IDIQ) 

contract was three years. 

The Federal Acquisition Regulation (FAR) requires companies 

who bid on contracts valued over $550,000 to submit 

subcontracting plans with bid proposals.1 The subcontracting 

plans are required to establish small business goals in each 

applicable small business category and identify mechanisms to 

recruit small business. Incorporated in the SBInet IDIQ contract 

with Boeing are small business participation goals. Strategies for 

achieving these goals are outlined in the Boeing Subcontracting 

Plan. Boeing has established an overall small business goal of 

40% of the SBInet IDIQ contract. Within this overall goal are five 

small business subcategories with goals ranging from 1% to 5% for 

small business participation. The Boeing Subcontracting Plan 

identified a Mentor-Protégé component, an outreach component, 

and a web-based registry component as means of encouraging 

small business participation in the project. The contractor is 

required to provide small business participation data twice 

annually at the end of the six month periods ending March 31 and 

September 30. 

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Page 2 
Results of Audit 

CBP faces challenges in meeting its small business participation 

goals for the remainder of the SBInet IDIQ contract. A change in 

CBP’s acquisition strategy from acquiring technology to acquiring 

steel for fence construction along 670 miles of the southern border 

significantly reduced opportunities for small business to participate 

in awards under the SBInet contract. This shift in border security 

strategy occurred in response to the Secure Fence Act of 2006. To 

meet the material needs of the fencing effort, CBP awarded the 

Supply and Supply Chain Management task order to Boeing. 

Generally, since steel companies are inherently large businesses, 

this strategy shift to fence construction reduced opportunities for 

small business participation. 

CBP has taken steps to increase focus on small business 

participation in awards under the SBInet IDIQ contract to meet the 

challenge posed by the change in acquisition strategy. 

Specifically, the SBInet systems task order awarded in April 2008 

more clearly focused on meeting small business goals in award fee 

calculations. CBP recruited knowledgeable contract specialists to 

monitor awards to small business. To develop opportunities for 

subcontracting to small business given the reduced emphasis on 

system deployment, CBP also encouraged Boeing to identify small 

businesses that could provide steel mesh for fence construction. 

Despite these actions, awards to small business have not achieved 

the 40% goal since the reporting period ended September 2007. 

The trend for the last three reporting periods has been generally 

positive, showing a slight increase in small business participation. 

In March 2008, small business accounted for approximately 31% 

of subcontract awards. As of the reporting period ended 

September 2009, awards to small business remained at 

approximately 34% of subcontracts, with awards to HUBZone and 

veteran-owned small business exceeding the subcontract goal. 

Nonetheless, overall small business participation has not met 

established goals. Appendix C provides a summary of small 

business participation in awards under the SBInet IDIQ contract 

since project initiation. 

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Page 3 
 

2

 FAR 19.706 Responsibility of the cognizant administrative contracting officer 

CBP Faces Challenges in Achieving Its Goals for Small Business Participation in Secure Border 

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Page 4 

Recommendation 

We recommend that the Commissioner, U.S. Customs and Border 

Protection continue monitoring Boeing’s efforts to identify and 

recruit small business in order to achieve established small 

business goals in the SBInet IDIQ contract. 

Management Comments and OIG Analysis 

CBP’s Comments on Recommendation: 

CBP did not concur with the recommendation stating that it was 

unnecessary because it closely monitors small business 

subcontracting performance under the SBInet IDIQ contract as a 

matter of routine and robust contract administration. CBP’s 

response included examples which it claimed demonstrated that its 

subcontracting oversight program for the contract was adequate 

and exceeded requirements of federal acquisition regulations and 

routine contract administration guidelines. A copy of CBP’s 

written response is included in Appendix B. 

OIG Comments: 

The FAR requires the administrative contracting officer to assist in 

the evaluation of the subcontracting plan, and to monitor, evaluate, 

and document contract performance.2 CBP’s assertion that its 

oversight of Boeing’s subcontracting performance was adequate, 

and exceeded the requirements of federal acquisition regulations 

and routine contract administration guidelines is not evident in the 

agency’s achievement of its small business goals. Many of the 

examples provided are exercises that do not provide in-depth 

oversight of the small business contract monitoring and evaluation 

requirement, and do not document performance. For instance, 

CBP’s response that reviews were conducted semi-annually to 

assess small business participation and recommend actions when 

appropriate often do not result in increased participation as 

evidenced by the approximately 38% decline in small business 

participation from September 2007 to March 2008. 
Other examples provided represent external assessments of 

subcontracting monitoring activity which also do not address actual 

subcontracting performance. 

CBP Comments: 

CBP also expressed concerns regarding our assessment of its 

achievement of its small business goals and our portrayal of 

Boeing’s small business goals and CBP agency wide goals in our 

recommendation. 

CBP stated that the OIG incorrectly reported small business 

achievements. CBP stated that Boeing had exceeded small 

business subcontracting goals in October 2007. 

OIG Analysis: 

The reported data is correct. The timing, form, and mechanism for 

reporting awards to small business are prescribed in FAR 52.219.9 

and section H.28 of the SBInet IDIQ contract. Awards to small 

business are reported at 6-month intervals ending March 31st and 

September 30th. To clarify the reporting period, the Results of 

Audit section was revised to “Despite these actions, awards to 

small business have not achieved the 40% goal since the reporting 

period ended September 2007.” 

CBP Comments: 

CBP also commented that (1) the report recommendation 

mistakenly addresses the Boeing Subcontracting Plan small 

business goals and the agency’s small business goals; and (2) small 

business goals specified in the Boeing Subcontracting Plan are 

dictated by federal and department regulations which limits CBP’s 

authority beyond the implementation of mechanisms identified in 

the Boeing Subcontracting Plan. 

OIG Analysis: 

The SBInet IDIQ contract and the Boeing Subcontracting Plan 

were the focus of our audit. To clarify this issue, we revised 

references to “SBInet contracts” to “SBInet IDIQ contract”. We 

agree that the SBInet IDIQ is not the only procurement tool used to 

execute SBI. 

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Appendix A 

Purpose, Scope, and Methodology 

The objective of our review was to determine whether Secure 

Border Initiative Network (SBInet) contracting strategies will 

provide access to small business for the term of the SBInet 

indefinite delivery, indefinite quantity (IDIQ) contract 

HSBP1006D01353. We interviewed government officials and 

reviewed information gathered at Department of Homeland 

Security (DHS), Office of Chief Procurement Officer and U.S. 

Customs and Border Protection (CBP) headquarters in 

Washington, DC, and at CBP’s National Finance Center in 

Indianapolis, IN. We developed an understanding of internal 

controls to provide access to small business in awards under the 

SBInet IDIQ contract by reviewing requirements of the Federal 

Acquisition Regulation and the Boeing Subcontracting Plan by 

interviewing small business and contract specialists at DHS and 

CBP. The understanding gained was used to plan the audit and 

determine the nature, timing, and extent of tests to be performed. 

We conducted this performance audit between September 2007 

and April 2008 under the authority of the Inspector General Act of 

1978, as amended, and according to generally accepted 

government auditing standards. Those standards require that we 

plan and perform the audit to obtain sufficient, appropriate 

evidence to provide a reasonable basis for our findings and 

conclusions based on our audit objectives. We updated 

information for the report to present small business participation in 

the SBInet IDIQ contract through September 2009 and to present 

recent improvement initiatives. We believe that the evidence 

obtained provides a reasonable basis for our findings and 

conclusions based on our audit objectives. 

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Page 7
 

U.S.I)~JW'UT1enl ofHomrluld Security

w...hlngton. DC 20129

u.s. Customs and

Border Protection

MEMORANDUM FOR RICHARD L. SKINNER

INSPECTOR GENERAL

DEPARTMENTOrHOMELANDSECU~TY

FROM: f Executive Diteetor()/Y

~, Office of Policy and Planmng

U.S. Customs and Bordcr Protection

SUBJECT: Response to the Office ofInspector General's Revised Draft Letter

Report Entitled, "CBP Faces Challenges in Achieving Its Goals for

Small Business Participation in SBlnel"

Thank you for providing us with a copy ofthe revised draft letter report entitled, "CBP Faces

Chailenges in Acb.icving Its Goals for Small Business Panicipation in SBIner," and the

opportunity to discuss the issues included therein. The report summarizes the results ofthe

Office of Inspector General's (OlG) audit ofsmail business subcontracting achievements under

the Secure Border Initiative's SBlner prime contract with the Boeing Company, and provides a

recommendation for continued monitoring ofBoeing's efforts 10 identify and recruit small

business in order to achieve established small business goals in SBlner contracts.

Summary

CBP does not concur with the report's recommendation and does not agree with the report's

conclusions and content. Despite extensive and collaborative pre-draft coordination with the

OIG on the results ofthe audit, the draft report continues to contain misstatement offacl and

inaccuracies that are misleading regarding small business participation in the SBlnel prime

contraet and Boeing's role rciated to small busincss participation in the SBI program as a whole.

Of note, CBP has the following concerns:

•

•

The rccommendation, as wriUen, interchangeably uses subcontracting goals ofthe SBlnet

indclinitc-delivery indefinite-quantity (IDIQ) contract and small business prime contmct

goals of the agency as a whole. Small business subcontmcting and prime contrdcling gools,

and regulations governing them, tire It/uf/llllly exclush'e. ACC(lrdingly, CBP cannot

implement a portion oflhe recommendation as il extends beyond the SBlnel contracl

awarded to the Boeing Company.

Moreover, small business goals, and how small business sel-asides are detennined and

approved are dictated by federal and departmental regulations. CBP is required to follow

Appendix B 

Management Comments to the Draft Report 

CBP Faces Challenges in Achieving Its Goals for Small Business Participation in Secure Border 

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Page 8
 

2

these regulations and cannot "contrace for Boeing to achieve the agency's or the S81

Program's small business goals.

•

•

The report's recommendation regarding continued oversight and monitoring by esp's

Commissioner ofBocing's su!x:ontrdcting achievements is unnecessary. CBP closely

monitors small business subcontracting perfonnance under the SBlnellD1Q contract as a

mallcr of routine and robust contract administration,

For these reasons. the reports findings do not logically support the reIXm's recommendation.

esP's rntionale in support of its position follows below.

Small Business I)articipation in the SBlne' Prime Contract

OIG Finding: Awards to small business have nollll:hieved the 40% goal required in the

SBlne/ systems integration contract since OClObcr 2007, The trend for the last three reponing

periods have been genemlly positive, showing a slight increase in small busincss participation.

In March 2008, small business accounted for approximately 31% ofsubcontract awards. A year

later, awards to small business were approximatel)· 34% ofsubcontracts, with awards to veteranowned small business exceeding the subcontract goal. Nonetheless, Boeing still needs to do

more to achieve its small business panicipation goals.

CBP Response: The DIG correctly identifies several challenges the prime contractor faced in

achieving its planned small business subcontracting goals on the SBlnel1D1Q contract.

However, the DIG's data as reported is incorrect. In October 2007 Boeing. in fact, exceeded its

small business subcontracting goals. [t was in late December 2007 that small business

subcontracting achievements under the COntract with the Boeing Company were impacted by a

stmtcgic acquisition decision to purchase structural steel and inventory management services.

This purchase providcd for structural steel, wire mesh panels, inventory management, storage

and distribution of these materials to construction contractors completing 670 miles of fence

along our nation's Southwest border. I The decision to use the contract for this purchase was

three fold: (1) the contract was pre-competed and allowed for this type of support; (2) it was the

most cost effective and efficient means for acquiring and distributing these materials; and (3) it

fuJly supported the agency in meeting the timeframe and mandate of the Secure Fence Act to

expeditiously construct tactical infrasiructure in areas determined by the Border Patrol to be high

areas of illegal cross border activity2.

Moreover. as part of Boeing's suocontraeting efforts for the supply and supply chain

management task order (SSCM) a good faith effort was made by the contractor to locate small

businesses capable of supplying steel materials. Two small businesses were identified to provide

steel mesh panels, and no smal1 businesses were available to supply the other structural steel

components. This '".as due to both the nature ofthe market place and financial capabilities

1 Referred to herein and in contraci relat~d documents as the "Supply and Suppty Chain Management'" task order.

'The agency', determination ,uPIX'"ing the ex.,edilCd a....ard oflhe Supply and Supply Chain Management task

a....ard is dlX:umented in the .ontral:l file.

Appendix B 

Management Comments to the Draft Report 

CBP Faces Challenges in Achieving Its Goals for Small Business Participation in Secure Border 

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Page 9
 

CBP Faces Challenges in Achieving Its Goals for Small Business Participation in Secure Border 

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3

required to complete the work. The value ofthe small business subcontracts were -S28 million

and the large business subconlnK:t -$237 million.

Subsequent to the award oftbc SSCM task order in December 2007, small business

subcontracting achievements have notably bun jmproving. Reference Table J ~SmQlI Business

Goals and Awards as a Percenrage ojSB/nel SubconIrOCIS.

.J Supply & Supply Chaon

Task Ordef Awarded

TIblf.l. Small Bulillf'SS Gub aid AlI"trdt III rffttO!ltf orSB~

-

Cattgol'- Go.l Mar 2007

Arla1l

Mpt 2007 MJr 2008

un

Stp12008 Mlr 2009

"OM

..

Onrall SmaU BUllrom

"" 42% 68,6% ,,9% 34.7% 34.2% ....1%

SflKlfd S.bc.l!'lorif'S:

Small Disarh-ama w_"""'"

HURl..

VelefalKl~lICd

Senlce-dis&bIed

S%

S%

1%

3.5%

J%

Jj%

l%

3.5%

0.9%

0.1%

2.1%

l.N

'.9%

1%

OJ%

urI

1.4%

0.4%

13%

0.6%

13%

1.S%

OJ%

3.2%

1%

1."/,

1.5%

OJ'"

3.9%

,,%

=

.~

w.

,..

1

When subcontrneling achievements IlU analyzed by both excluding and including the SSCM task

order we find:

1. Exdusivc of SSCM: Boeing is in fact e:>.:ceeding the overall small business

subconlracting goals by 1J.91%.

2. Inclusive or SSCM: Boeing is within 5,8% points of meeting the contract's overall

small business subcontra<:ting goals ollly one )ltar aflu award oftlte SSCM tMk

order,

These results demonstrate both Boeing's commitment to attaining the ori~inally established

goals, and the government's commitment to overseeing their altainment.

Redirecting Work to Ensure Subcontracting Goals are Attained

OIG Finding: Given uncertain fimding and potential future changes in SBInet acquisition

strategy, CBP may also need to redire<:! its approach to increasing small business panieipation in

SBlner contract. Pursuing alternative contract strategies, such as focusing efforts on deployment

technology solutions on the nonhero border and subcontracting fence maintelUlJlce 10 small

businesses on the southern border, should strengthen CBP's ability to increase small business

access to and participation in SSlnel.

CBP Response: Although the SBlnel lDIQ contract is an important procun,:ment tool utilized

by CBP, it is not the exclusive contract vehicle used by the agency 10 execute its Border Security

Appendix B 

Management Comments to the Draft Report 
4

Fencing and Te\:hnology (BSFI1) funded initiatives. When using lhis contract CBP must weigh

the benefits of competition and prime contract small business opportunities againsl1he skill sets.

resources. and Icelmology that can be provided through the SBlne/ IDIQ contract.

This fiscal year CBP has chosen to compete its fence maintenance contracts and to set-aside

approximately half of that effort to both I[V8Z0NE and 8(a) construction contractors. CDP will

benefit from the competitive environment. leverage the resources of contractors who have a

construction and road maintenance skill SCI. and the procurement will benefit small business by

providing opportunities al the prime contract level. Similarly, eBP has chosen to compete and

partially set-aside: a series of pilots thai may bring new commercialle\:hnologies to the border

security community: its newest Northern Border demonstration project: and, its requiremcnt for

mobile surveillance systems, The SBlnetlDlQ contract will be used to: complete planned

integratcd technology deployments: t<,.'Chnology logistic and maintenance support services:

tower-based technology deploymcnts along the northern border; and, continued SSCM ~rvices,

Continued Oversight by CDP's Commissioner

OIG Finding: Continucd oversight is needed to ensurc that the improvement initiatives and

actions prescribed in the subcontracting plan will be sufficient to increase small business access

10 and participation in SBlllet for the remainder of the contract,

CBP Response: As shared with the OIG team previously. thc following examples and

documentation support our dctermination that thc subcontracting oversight program for thc

contract is adcquate, and exceeds the requirements of federal acquisition regulations and routine

contract administration guidelines:

•

•

•

eBP's Small Business Specialist and DHS's Office of Small and Disadvantaged Business

Utilization (OSDBU) statc; "Since our im'oll'emem early-on with the SRlllel lDlQ

comract, we hal'e found Ihe SRI Acqllisilio/l Office's ol'l!rsighl o1/the SBlllet lDIQ 10 be

adequate, Further, we find 1/0 el'idence 10 show thm the prime con/ractor is nor making a

goodfai/h ejJori/o meeling the subcolI/rlIcting phm requirements_ "

Thc Defense Contract Managemem Agency (DCMA) provides CBP with independent

oversight and reviews of Boeing's compliance and subcontracting efforts. DCMA has

validatcd, consistently. the contractor's clC(:tronic Subcontracting Reporting System

(eSRS) reports, and found that "Ihe contraclor has demons/rated a goodjaith effort 10

meet all ofih" goals andfulfills the reqlliremems ofits sllbcomracting plan and the

regulations.··J

CBP hosts semi-annual subcontracting reviews. To date DHS and CBP have panicipated

in 5 semi·annual small business subcontracting revicw roundtables (2 during the review

period). Participants in each meeting include the SI3l Acquisition Office. CBP Small

Business Specialist. and DHS OSDBU among others. During these revil;ws progress

toward goal achievement arc discussed, assessed, and recommendations made toward

J DCMA report dated Novembc:r 10, 2008.

Appendix B 

Management Comments to the Draft Report 

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Page 10
 
s

improving small business subcontracting opportunities - .... here appropriate and

necessary.

•

•

•

•

•

All semi-annual eSRS Subcontract Reports have been submitted, reviewed, and accepted

in a timely manner by the Contracting Officer.

Advarn;e and pre-award approval of all subcontract awards are conducted by the

Contracting Oflker. Of note, this approval process is flot required by the Federal

Acquisition Regulation. or by known best practices. as the Boeing Company's purchasing

system has been audited and approved by the Defense Contract Management Agency

(DCMA). Although not required, CBP instituted this comrol to better manage and have

insight into the conlractor's subcontracting activities.

Review and assessment of Boeing's perfonnance againsllhc subcontracting plan is

conducted semi.annually as pan ofthe award fee monitoring and evaluation ofthe

Systems rask Urder (previously the Program Management task order).

Boeing conducts quanerly diversity reviews with its existing subcontraclOr and supplier

base to review performance against goals and identify opponunities to improve

performance.

Additionally, Boeing conducts and panicipates in numerous outreach conferences and

established a small business outreach program specifically for !he SBlllet program. This

activity funher demonstrates the contractor's e!fons to engage small businesses in

executing its contract requirements.

These activities, controls, and independent assessments have been in place or have reviewed

subcontracting activities since inception ofthe contrac!.

Finally. the O[G has an imbedded team located in the program office that is afforded every

opponunity to panicipate in any ofthe aforementioned activities to monitor - in real timeBoeing's subcontracting performance should they have concerns not addressed by the current

uv",r:.ight l>yl>t"'lll. Given the rubu:.l mtlute ami em.:elln:nel>S ufCBP'l> uversight aelivitiel>.

quancrly reponing by the Commissioner 10 the DIG on these activities is unnecessary and

unproductive.

•••••

In regard to the classification of the draft repon, COP did not identify any sensitive information

that would require a "For Official Usc Only" designation or warrant protection under the

Freedom of Information Act.

If you have any questions regarding this response, please contact me or have a member of your

statTcontact Ms. Patricia Quintana. Program Analyst. Office of Policy and Planning. al (202)

344·1038.

Appendix B 

Management Comments to the Draft Report 

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Page 11 
 

 

 

 

 

 

Appendix C 

History of SBInet Performance in Meeting Small Business Goals 

The SBInet systems integration contract was awarded in 

September 2006 to the Boeing Company (Boeing). The base 

period of the indefinite delivery, indefinite quantity contract was 3 

years with three 1-year options. Boeing’s bid proposal contained a 

Subcontracting Plan that established small business participation 

goals as a percentage of overall subcontract awards. The 

Subcontracting Plan prescribed mechanisms Boeing would 

implement to ensure access to small business in SBInet contracts. 

The following table reflects Boeing’s efforts over the past 3 years 

to achieve its small business participation through its 

Subcontracting Plan. 

Table 1. Small Business Goals and Awards as a Percentage of SBInet Subcontracts 

Category Goal 

Actual Performance 

Mar 2007 Sept 2007 Mar 2008 Sept 2008 Mar 2009 Sept 2009 

Overall Small Business 40% 42% 68.6% 30.9% 34.7% 34.2% 34.3 

Selected Subcategories: 

Small Disadvantaged 5% 3.5% 2.1% 1.3% 1.3% 1.4% 3.5 

Women-Owned 5% 2% 2.3% 1.4% 1.5% 1.5% 1.6 

HUBZone 1% 3.5% 0.9% 0.4% 0.3% 0.5% 2.1 

Veteran-Owned 3.5% 0.9% 1% 1.3% 3.2% 3.9% 3.6 

Service-Disabled 3% 0.7% 0.5% 0.6% 1% 1.2% 1.1 

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Appendix D 

Major Contributors to this Report 

Alexander Best, Director, Border Security Division 

Inez Jordan, Desk Officer, Border Security Division 

Mark Ferguson, Project Lead 

Patricia Alcaniz, Auditor 

Yeseira Diaz, Auditor 

Raul Quintero, Analyst 

James Best, Independent Referencer 

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Appendix E 

Report Distribution 

Department of Homeland Security 

Secretary 

Deputy Secretary 

Chief of Staff for Operations 

Chief of Staff for Policy 

Acting General Counsel 

Executive Secretariat 

Director, GAO/OIG Liaison Office 

Assistant Secretary for Office of Policy 

Assistant Secretary for Office of Public Affairs 

Assistant Secretary for Office of Legislative Affairs 

Under Secretary for Management 

Chief Procurement Officer 

DHS Audit Liaison 

Acting Commissioner, Customs and Border Protection 

Executive Director, SBI Program Office 

Executive Director, SBI Acquisition Office 

OIG Liaison, CBP 

Office of Management and Budget 

Chief, Homeland Security Branch 

DHS OIG Budget Examiner 

Congress 

Congressional Oversight and Appropriations Committees, as 

appropriate 

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• 

• 

• 

ADDITIONAL INFORMATION AND COPIES 

To obtain additional copies of this report, please call the Office of Inspector General (OIG) at (202) 254-4100, 

fax your request to (202) 254-4305, or visit the OIG web site at www.dhs.gov/oig. 

OIG HOTLINE 

To report alleged fraud, waste, abuse or mismanagement, or any other kind of criminal or noncriminal 

misconduct relative to department programs or operations: 

• Call our Hotline at 1-800-323-8603; 

Fax the complaint directly to us at (202) 254-4292; 

Email us at DHSOIGHOTLINE@dhs.gov; or 

Write to us at: 

DHS Office of Inspector General/MAIL STOP 2600, 

Attention: Office of Investigations - Hotline, 

245 Murray Drive, SW, Building 410, 

Washington, DC 20528. 

The OIG seeks to protect the identity of each writer and caller.