Ice Consideration of Using Cost-Type Contracts for Detention Space/Bedspace Procurement

ICE CONSIDERATION OF USING COST-TYPE CONTRACTS FOR DETENTION SPACE/BEDSPACE PROCUREMENT

Dear Industry Partners,

The U.S. Department of Homeland Security (DHS) Immigration and Customs Enforcement (ICE) is considering cost-type contracts for its immigration detention service procurements. ICE believes that cost-type contracting may reduce the financial risk to our industry partners, which may encourage innovative detention processes, broaden competition, and explore techniques to limit expenditures on unused bedspace.

Your feedback is welcome as ICE considers a move to cost-type contracts for detention services. To submit comments, please email OAQDCRGENERAL@ice.dhs.gov with the subject line, ICE Consideration of Cost Type Contracts for Detention Space.

As ICE explores different ways of conducting detention space business, industry partners are encouraged to review the requirements for an approved cost accounting system in advance of a potential transition in Fiscal Year 2026 (see FAR 16.301-3). To assist industry, requirements for an adequate accounting system are located under the Defense Contract Audit Agency (DCAA) website:
https://www.dcaa.mil/Guidance/Audit-Process-Overview/

For questions related to establishing adequate accounting systems, please email procurementsupport@hq.dhs.gov, with the e-mail subject line, ICE Consideration of Cost Type Contracts for Detention Space.

We look forward to continuing our highly beneficial collaboration with you on this important matter. Thank you for all that you do to support our missions and protect the Homeland.

Sincerely,

Albert Dainton
Head of the Contracting Activity
Immigration & Customs Enforcement

Paul Courtney
Chief Procurement Officer
Department of Homeland Security