Department of Homeland Security

Office of Inspector General 

Immigration and Custom Enforcement 


Detention Bedspace Management
 

OIG-09-52 April 2009 

Table of Contents/Abbreviations 

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

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

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


 Detention Space Management Plan Has Not Been Implemented.............................3 


 Continued Ad Hoc Use of Intergovernmental Service Agreements.........................3 


 Requirements Forecasting and Analysis...................................................................5 


Potential Opportunities for Controlling Costs ..........................................................5 


Conclusion ...........................................................................................................................6 


Recommendations................................................................................................................6
 

Management Comments and OIG Analysis ........................................................................6 


Appendices 

Appendix A: Purpose, Scope and Methodology..........................................................9 


Appendix B: Management Comments to the Draft Report.......................................11 


Appendix C: FY 2007 ICE SBI-related Contract 


Actions in Excess of $20 Million.........................................................15 


Appendix D: Major Contributors to this Report........................................................16 


Appendix E: Report Distribution ..............................................................................17 


Abbreviations 

DRO Detention and Removal Operations 


ICE Immigration and Customs Enforcement 


SBI Secure Border Initiative 


USCIS United States Citizenship and Immigration Services 

OIG
 

Department of Homeland Security 

Office of Inspector General 

Executive Summary 

We performed an audit of Immigration and Customs Enforcement 

(ICE) detention bedspace management. Our objective was to 

determine whether ICE is acquiring detention bedspace in a costeffective manner. Appendix A provides details on our audit 

purpose, scope, and methodology. 

ICE has limited assurance that it is acquiring detention bedspace in 

a cost-effective manner. Its March 2007 plan for improving 

bedspace acquisition does not have the management priority 

needed to ensure its execution. The objective of the plan was to 

increase ICE use of larger, strategically located facilities, thereby 

increasing program consistency, improving conditions of 

confinement, and lowering detention costs. Because the plan has 

not been implemented, since fiscal year 2006 ICE has increased its 

reliance on ad hoc intergovernmental service agreements and has 

made limited use of alternative facilities and strategies for 

addressing detention bedspace requirements. 

We are making three recommendations that the Acting Assistant 

Secretary, Immigration and Customs Enforcement, update the plan 

for cost-effective acquisition of detention bedspace, establish 

adequate and effective financial and management controls, and 

improve data gathering and analysis capabilities. The agency 

concurred with our recommendations and in their response 

provided details on how they made a plan to make improvements. 

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Background 

ICE is the investigative arm of the department responsible for 

enforcing immigration laws. ICE’s Office of Detention and 

Removal Operations (DRO) is responsible for removing illegal 

aliens and, when appropriate, safely and securely detaining aliens 

pending removal. To accomplish this mission, ICE needs a 

sufficient number of safe, secure facilities compliant with national 

detention standards for the treatment and care of detainees. 

Detention bedspace acquisition is the largest single ICE 

expenditure, totaling more than $800 million annually. In fiscal 

year (FY) 2007, ICE received more than $1.4 billion in funding to 

support overall alien detention and removal operations. 

Since 2005, ICE has pursued a comprehensive interior 

enforcement strategy composed of concurrent efforts to identify 

and remove criminal aliens, fugitives, and other immigration 

violators; build worksite enforcement and compliance programs to 

deter illegal employment; and uproot criminal activities that 

support illegal immigration, such as human trafficking and 

fraudulent document preparation. The strategy focuses on ending 

the practice of “catch and release” of apprehended aliens. 

Whereas more than 113,000 aliens were released in FY 2005, by 

mid FY 2007 that number was nearly zero. Detaining versus 

releasing aliens increased the demand for detention bedspace. 

ICE reported an increase in its average daily detention population 

from more than 28,000 in FY 2007 to nearly 34,000 in FY 2008. 

ICE houses detainees in eight ICE-owned and operated service 

processing centers, seven contract detention facilities owned and 

operated by private-sector businesses on behalf of ICE, or more 

than 350 state and local government facilities through 

intergovernmental service agreements. These agreements provide 

housing for approximately 52% of the detainee population 

annually. 

In March 2007, ICE developed its National Detention Management 

Plan to address the demand for adequate bedspace to hold aliens 

while they are processed for removal. The plan focused on 

achieving a cost-effective mix of detention bedspace facilities by: 

�	 Expanding the use of existing service agreements to satisfy 

immediate needs for more bedspace; 

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�	 Transitioning to the use of larger, strategically located 

facilities to better control detention conditions and to lower 

costs; and 

�	 Developing information systems and forecasting models to 

predict future detention requirements and the most costeffective means of acquiring detention services. 

Results of Audit 

Detention Space Management Plan Has Not Been Implemented 

Since its publication in March 2007, ICE’s plan for cost-effectively 

acquiring detention bedspace has not been implemented. 

Enforcing immigration laws, including conducting work site 

enforcement, apprehending aliens, and uprooting criminal 

infrastructures for human trafficking and fraudulent document 

preparation, remains ICE’s priority. Obtaining the most costeffective detention bedspace is a secondary activity in support of 

its mission. 

Further, given the recent emphasis on alien removal versus 

detention, the plan and its goals have become outdated. 

Specifically, to expedite the removal of aliens, ICE has focused on 

positioning detainees at facilities near removal locations, 

improving detainee access to immigration judges to adjudicate 

cases, and increasing the use of video teleconferencing with 

foreign consulates in the United States to establish agreements on 

alien deportation. The increased focus on removal versus 

detention may have reduced ICE’s attention to ensuring costeffective acquisition of detention bedspace. 

Continued Ad Hoc Use of Intergovernmental Service Agreements 

ICE has continued to rely on ad hoc use of intergovernmental 

service agreements to meet increased detention bedspace 

requirements resulting from its expanded interior enforcement 

strategy. ICE has added more than 6,500 detention beds through 

the use of intergovernmental service agreements, a 32% increase 

since FY 2006. In contrast, ICE has made limited progress in its 

plan to move to increased use of contract detention facilities and 

service processing centers. Since FY 2006, only 250 additional 

beds were provided through contract detention facilities; none were 

provided through service processing centers. Using contract 

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detention facilities and service processing centers was expected to 

improve program consistency and conditions of confinement while 

also lowering costs. 

Intergovernmental service agreements provide a comparatively 

quick means of adding bedspace compared to contracting with 

commercial detention facilities or constructing new governmentowned ones. However, without standards and controls for 

intergovernmental service agreement use, ICE may be spending 

more than it should for intergovernmental service agreement 

detention bedspace and related services. For example: 

�	 For the two months reviewed, the ICE DRO Boston Field 

Office made unauthorized payments of $2,400 per month 

for meals for 800 detainees in transit away from their 

assigned facilities. Detainee meal costs were included in 

the intergovernmental service agreement as part of the daily 

per diem rate. However, duplicate costs were incurred for 

box lunches for the detainees when they were escorted to 

various locations for court hearings or medical care. 

�	 For two months, the ICE DRO Boston Field Office paid 

$140,837 for 3,889 hours of law enforcement overtime 

labor to local law enforcement agencies without calculating 

which portion of the time should have been charged at the 

normal pay rate. As a result, the Boston Field Office paid 

$34,000 in excess overtime charges. 

�	 The ICE DRO Atlanta Field Office gave a local law 

enforcement agency several vehicles to transport ICE 

detainees. According to the service agreement, the Field 

Office would pay mileage costs for detainee transport, but 

included no provision for the transfer of vehicles. 

�	 The intergovernmental service agreement with the Rolling 

Plains Jail and Detention Center in Haskell, TX, specified 

that detainee transportation costs would be paid according 

to the rate set by the General Services Administration. In 

contrast, several other counties were paying for services at 

rates other than those agreed to in the service agreement or 

set by the General Services Administration. 

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Requirements Forecasting and Analysis 

ICE has not followed through on its March 2007 plan to develop 

systems to improve its detention budget and expenditure data 

gathering and analysis capabilities. ICE planned to use the data to 

develop forecasting models for predicting future detention 

requirements, strengthening capacity planning, and determining the 

most cost-effective means of acquiring detainee housing and 

transportation services. However, ICE has made no significant 

progress in this regard. 

Such requirements forecasting and analysis could help ICE 

accommodate surges in its detainee population due to immigration 

enforcement operations. For example, an ICE DRO enforcement 

operation in San Francisco was expected to result in the 

apprehension of about 200 aliens. Existing detention space in the 

San Francisco area was inadequate or too costly to house the 

number of persons projected. San Francisco management had to 

make hasty contingency plans and move the aliens to a detention 

center hundreds of miles outside of the San Francisco area for case 

review. Such efforts disrupted enforcement operations and 

resulted in lost productivity and increased transportation costs. 

Until ICE conducts the needed analysis, it may be hampered in its 

flexibility to adjust detention bedspace arrangements in such 

instances to support mission operations. 

Potential Opportunities for Controlling Costs 

Without improved data gathering and analysis capabilities and 

forecasting models, ICE may be missing opportunities to control 

detention bedspace and transportation costs. For example, in 

FY 2007, the average intergovernmental service agreement 

bedspace cost was about $79 per unit per day, compared to an 

average of about $77 per unit per day in contract detention 

facilities. With an average daily detainee population of about 

17,000, the potential savings from acquiring bedspace through 

contract detention facilities versus intergovernmental service 

agreements would be more than $13 million annually. Until ICE 

updates its plan, including conducting the appropriate requirements 

forecasting and analysis, it may be missing opportunities to control 

costs or achieve savings and efficiencies in detention bedspace 

acquisition. 

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Conclusion 

ICE has not fully implemented its National Detention Management 

Plan, resulting in mixed progress in moving toward a more 

cost-effective strategy for acquiring detention bedspace. ICE has 

continued to rely on intergovernmental service agreements with 

local governments to meet immediate needs, as the plan calls for; 

however, weak controls resulted in unauthorized charges. ICE 

planned to use data to develop forecasting models for predicting 

future detention requirements, strengthening capacity planning, 

and determining the most cost-effective means of acquiring 

detainee housing and transportation services. However, ICE has 

made no significant progress in this regard. Without improved 

data gathering and analysis capabilities and forecasting models, 

ICE may be missing opportunities to control costs. 

Recommendations 

We recommend that the Acting Assistant Secretary, Immigration 

and Customs Enforcement: 

Recommendation #1: Update the plan for cost-effective 

acquisition of detention bedspace to reflect the agency’s current 

emphasis on alien removal versus detention. 

Recommendation #2: Establish adequate and effective financial 

management controls to ensure that the agency is not paying more 

than it should for detention bedspace and related services. 

Recommendation #3: Improve data gathering and analysis 

capabilities to support forecasting of requirements and to 

determine the most cost-effective means of acquiring detention 

bedspace. 

Management Comments and OIG Analysis 

We obtained written comments on a draft of the report from the 

Acting Assistant Secretary of ICE. We have included a copy of 

the comments in Appendix B. 

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ICE concurred with recommendation #1. ICE commented that 

they will update the National Detention Management Plan to 

include: 

�	 New enforcement initiatives such as Secure Communities; 

�	 A focus on overall cost-effective removal operation 

coupled with the use of detention bed space gained at a fair 

and reasonable cost; 

�	 A balanced acquisition strategy to include both flexible 

intergovernmental service agreements and contract 

detention facilities with reduced guarantee minimums; 

�	 Continued collaboration with the Office of Acquisition 

Management; and 

�	 Optimal utilization of alternatives to detention. 

ICE also commented that DRO will preserve the cycle time 

decrease achieved in FY 2008 by focusing on effective alien 

removal and the Office of Acquisition Management has embarked 

on several initiatives to make the acquisition of bedspace more cost 

effective. Other updates to the National Detention Management 

Plan are also underway regarding intergovernmental service 

agreements and unit cost and price analysis. We consider this 

recommendation resolved but open until ICE provides us with 

documentation that supports the implementation of the actions 

planned. 

ICE concurred with recommendation #2. ICE commented that 

they are working to establish a robust Contract Officer Technical 

Representative presence at detention facilities both to monitor 

performance and to review invoices. ICE plans to recruit 

26 Contract Officer Technical Representatives in FY 2009 to 

improve contract monitoring and financial controls. ICE will 

provide adequate and constructive training to their Contract Officer 

Technical Representatives, in order to better equip them to 

constructively review the bedspace invoices received from its 

intergovernmental service agreements. This will ensure the agency 

pays only for the services received. Also, the contracting officer 

will be involved in any case where there is an issue on proper 

payment amounts. We consider this recommendation resolved but 

open until ICE provides us with documentation that supports the 

implementation of the actions planned. 

ICE concurred with recommendation #3. ICE stated that it had 

already begun to implement this recommendation as evidenced by 

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its implementation of the Integrated Decision Support system in 

August 2008. DRO’s analysts combine the qualitative information 

drawn from monthly capacity planning meetings with the 

quantitative information the Integrated Decision Support system 

generates, in an effort to make arrest and detention forecasts. Also, 

DRO will conduct annual cost data analyses of facility daily rates 

and related services. These cost data analyses can then be 

incorporated into current bedspace forecasts and evaluation models 

to more accurately forecast budget needs and facilitate cost-based 

decision making. We consider this recommendation resolved but 

open until ICE provides us with documentation that supports the 

implementation of the actions taken or planned. 

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Appendix A 

Purpose, Scope, and Methodology 

This report provides the results of our work to determine whether 

ICE is acquiring detention bedspace in a cost-effective manner. 

We initiated this review in response to the FY 2007 Homeland 

Security Appropriations Conference Report, which directed the 

Inspector General to review and report on Secure Border Initiative 

(SBI) contract actions in excess of $20 million. We examined 

SBI-related contract actions at Immigration and Customs 

Enforcement (ICE) and United States Citizenship and Immigration 

Services (USCIS). We identified three contract actions at ICE, 

collectively totaling more than $71 million, and none at USCIS 

meeting the criteria. The ICE contract actions were for operations, 

not capital investment programs. Appendix C provides details on 

the three contract actions. Of the three, we reviewed one contract 

action related to ICE detention bedspace management. Bedspace 

management is the largest single ICE expenditure, which totals 

more than $800 million annually. 

We conducted interviews with key ICE DRO personnel, including 

the Acting Director, Assistant Director of Field Operations, 

Assistant Director of Management, Deputy Assistant Director of 

Mission Support, Deputy Assistant Director of Detention 

Management, Chief of Budget Formulation/Execution, Chief of 

Detention Planning and Acquisition, Chief of Flight Operations, 

Chief of Detention Management and Planning, Field Office 

Directors, Assistant Field Office Directors, Head Contracting 

Authority, contracting officers, and contract specialists. 

We obtained and reviewed documentation such as ICE DRO’s 

National Detention Management Plan and the National Capacity 

Expansion Needs Assessment. We also obtained and reviewed 

intergovernmental service agreements, detainee population 

distribution reports, budget formulation and execution data, 

bedspace cost data, and invoices for services rendered. 

We analyzed data from the Federal Procurement Data System for 

FY 2006 and FY 2007 in order to identify SBI-related contract 

actions in excess of $20 million. Regarding detention bedspace 

management, we reviewed specific contracts, intergovernmental 

service agreements, and financial data from the beginning of 

FY 2007 through February 2008. We conducted analyses to 

determine whether there were significant differences in bedspace 

costs among service processing centers, contract detention 

facilities, and intergovernmental service agreements. We reviewed 

supporting documentation provided by DRO management to 

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Appendix A 

Purpose, Scope, and Methodology 

determine whether charges that DRO paid agreed with services 

rendered. 

We conducted fieldwork at ICE Headquarters in Washington, DC, 

and DRO field offices in Atlanta, GA; Boston, MA; Chicago, IL; 

Dallas and El Paso, TX; Oakdale, LA; and San Francisco, CA. 

We conducted our fieldwork between April 2007 and June 2008 

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 objective. 

We believe that the evidence obtained provides a reasonable basis 

for our findings and conclusions based on our audit objectives. 

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Appendix B 

Management Comments to the Draft Report 

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Appendix B 

Management Comments to the Draft Report 

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Appendix B 

Management Comments to the Draft Report 

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Appendix B 

Management Comments to the Draft Report 

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Appendix C 

FY 2007 ICE SBI-related Contract Actions in Excess of $20 Million 

Contract Action 

Number Vendor Name 

Contract Action 

Description 

Effective 

Date 

Contract 

Action Dollar 

Amount 

HSCEOP-07-J-00302 

Modification #1 

Corrections Corporation 

of America 

Detention, Wages, 

Meals, and Mileage 4/20/07 $21,840,798 

HSCEOP-07-F-CL0380 

DELL Marketing Limited 

Partnership 

Microsoft Desktops 

and Server Software 6/27/07 $23,923,859 

HSCEOP-07-J-00537 

Science Applications 

International Corporation 

Information Support 

Services 6/29/07 $25,804,782 

Total $71,569,439 

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Appendix D 

Major Contributors to this Report 

Phillip Maulden, Director 

Cheryl Jones, Audit Manager 

Gary Wilk, Auditor in Charge 

Sharleda Davis, Auditor 

Armando Lastra, Auditor 

Edwin Soto, Analyst 

Sue Vernier, Auditor 

Marissa Weinshel, Analyst 

James Bess, 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 

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 

Assistant Secretary, Immigration and Customs Enforcement 

Director, United States Citizenship and Immigration Services 

DHS Audit Liaison 

ICE Audit Liaison 

CIS Audit Liaison 

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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