Thread: Native American Firms Profit from Detaining Immigrants

Native American Firms Profit from Detaining Immigrants
Tom Barry | January 21, 2010




Americas Program, Center for International Policy (CIP) americas.irc-online.org


Immigrant detention means business. Several Native American firms are profiting from the immigrant crackdown against hopeful new Americans.


Not only are the major private prison corporations seeing their profits soar from the surge in immigrant inmates, Native American corporations, as the favored recipients of Department of Homeland Security (DHS) contracts, are also cashing in on the growing opportunities to make money by detaining and imprisoning immigrants.

Doyon Ltd. is one of several Native American corporations that are sealing major contracts with the Department of Homeland Security. Immigration and Customs Enforcement (ICE) has contracted the operations, transportation, and food services of the 800-bed El Paso Service Processing Center to the private holding group Doyon. Doyon is one of twelve original Alaskan Native Regional Corporations created as part of the Alaska Native Claims Settlement Act of 1971.

Other firms of the Alaska Native Corporations (ANCs) are also seeking contracts to run detention centers. A few of these Native American corporations are contracting for various parts of ICE's immigrant detention operations. Contract awards to ANCs by all federal agencies increased by 916% from 2000-2008, rising from $508.4 million in 2000 to $5.2 billion in 2008. The first volume of a two-part report recently prepared for the Senate Committee on Homeland Security and Governmental Affairs for Senator Claire McCaskill found that ANC federal contracts have been increasing at a 33.6% annual rate since 2000—six times greater than the overall increase in federal contract spending.

In 1986 Congress passed legislation that allowed ANCs to participate in the Small Business Administration's (SBA) 8(a) program. Since then, Congress has extended special procurement advantages to 8(a) ANC firms, such as the ability to win sole-source contracts for any dollar amount. A Governmental Accountability Office (GAO) study in 2006 lambasted the lack of oversight and accountability by government agencies in issuing sole-source contracts to the ANCs.

The GAO said that "acquisition officials at the agencies reviewed told GAO that the option of using ANC firms under the 8(a) program allows them to quickly, easily, and legally award contracts for any value. They also noted that these contracts help them meet small business goals."

Immigrant Detention Reform and Outsourcing in ICE Central
Last summer the Department of Homeland Security announced its decision to overhaul the widely criticized immigrant detention system run by the DHS's Immigration and Customs Enforcement. Among the promised reforms were the centralization of immigrant detention and increased oversight of its patchwork system of more than 350 immigrant detention centers owned and operated by private prison firms and local governments.

Although DHS, through Immigration and Customs Enforcement (ICE), outsources most of its arrested immigrants to private firms and governments in the business of imprisonment, the department has seven of its own detention centers ("Service Processing Centers").

These centers, five of which are found on the southern border, have historically formed the foundation of the federal government's immigrant detention system. But over the past two decades, and especially since 2003, the Justice Department has preferred outsourcing immigrants to in-house detention.

Among immigrant advocacy and human rights organizations, the DHS promise to overhaul immigrant detention has sparked hope that ICE will stop its outsourcing practices and reestablish the government as the direct custodian of the more than 350,000 immigrants it has held for detention in recent years.

But the type of outsourcing and subcontracting practices that have led to major oversight and accountability problems within ICE's contracted facilities are deeply ingrained even within ICE's own detention centers.

While more Native American corporations are securing DHS contracts, most of the government contracts held by ANCs and other Native American corporations are with the Department of Defense (DOD).

Doyon's Family
Doyon says it "operates a diverse array of subsidiary businesses and joint ventures."

Its main subsidiaries include Doyon Government Group, Doyon Associated, Doyon Universal Services, Cherokee General Corporation, and Doyon Drilling. These subsidiaries have other subsidiary companies and joint ventures, allowing Doyon to compete through preferential contracting in an array of business sectors propped up by government contracts—and where, as in detention services, it has little or no experience of its own.

The member of the Doyon family that contracts for immigrant detention is Doyon Security Services, part of the company's Doyon Government Group. In addition to the El Paso contract, Doyon has a $144.8 million contract to provide security and most other services at ICE's Krome detention center in Miami, Florida.

Doyon Security Services boasts that it "has grown into a powerhouse in the security field during the past six years. Within the past twelve months this subsidiary has won over $266 million in new competitive contracts that employ 960 personnel in the homeland security-immigration and customs enforcement fields."

On its website, Doyon points to its Board of Advisers for Doyon Government Group. But that board has only one member: Ret. Brig. Gen. Joe Stringham, who is hailed for his service in Vietnam and El Salvador.

In South Vietnam, Stringham is reported to have formed "a unique mercenary battalion" that became the subject of the John Wayne movie, "The Green Berets." In the 1980s, Stringham became the commander of the U.S. Military Group [military unit assigned to the embassy] in El Salvador and "trained and developed the Salvadoran Armed Forces," and in recognition for his "bravery and meritorious service" he received El Salvador's highest military decoration, "The Medal of Gold." While General Stringham's experience in the U.S. interventions in Vietnam and El Salvador may not prove especially relevant in immigrant detention, Doyon underlines its in-house military experience in securing security services contracts with the U.S. Army and Coast Guard.

Founded in 2003, Doyon Security Services has attempted to take advantage of new federal efforts to protect government infrastructure. In addition to DHS, the company has secured federal contracts with the Army Corps of Engineers, U.S. Army, Alaska pipeline, and U.S. Navy.

Joint Ventures and Outsourcing
Immigrants arrested by ICE are often confused, understandably, about just who are their jailors—even within an ICE owned and operated detention center. The same is true for visitors who are met not by ICE personnel but by an outsourced workforce of clerical workers and security guards.

Being an immigrant in ICE custody gives one an inside look at the business of detention in America and also how prevalent and labyrinthine government outsourcing is.

In the case of the El Paso center, DHS issued a request for contracts for the operation of its detention center (including cell extractions, armed guards, in/out processing, armed escorts, vehicle fleet ownership, and feed services).

DHS awarded the $152 million contract to Doyon Ltd., a corporation that has no in-house experience in detention services. But Doyon has something better than experience. It has preference rights.

Preference gives Alaska Native Corporation a priority shot at getting federal contracts. Native status gets a corporation into the door, but a company like Doyon also needs a partner that can actually do the work.

An article in Alaska Business Monthly (Oct. 2004), titled "Native corporations form prosperous joint ventures: these corporate marriages can be made in heaven if carefully thought out," called the ANCs' search for business partners "a corporate matchmaker's dream."

ANCs and other Native American Corporations have perfected the capitalist art of joint ventures and subcontracting. For its part, Doyon established a joint venture with Akal Security, the country's fifth largest private security services firm.

Named after the Punjabi word for "deathless" (the traditional battle cry of Indian Sikhs), Akal Security was founded and is run by Sikhs.

Akal has a "Homeland Security" division, and observes that "the U.S. government has turned to Akal to provide specialized security services for many of America's most critical national security facilities and agencies, including the Departments of Justice and Homeland Security."

In 2008 Akal, apart from its joint ventures with Doyon and other preferential contractors, received $132 million in DHS contracts. Among other DHS security work, Akal serves as an ICE surrogate at four ICE detention centers: El Paso, Krome, Florence, AZ, and El Centro, CA. As Akal notes, "DHS has turned to Akal to ensure the quality of critical contract detention services."

The new ICE contracts at the El Paso and Krome processing centers build on previous Akal contracts with ICE. Prior to its joint venture with Doyon, Akal had paired up with another Native American corporation, DECO Security Services, to operate the El Paso immigrant detention center.

These ICE contracts are set aside for 8(a) companies. By creating joint ventures with such native companies like Doyon, Deco, or Ahtna, larger companies with real capacity can secure contracts that would otherwise be out of reach, since they don't otherwise qualify as small businesses, minority businesses, or native corporations. With respect to the Krome contract, the security company says that "Akal and Doyon operate under an approved mentor-protégé agreement, so with Akal as the incumbent, the effort was ideally positioned."

Describing the joint venture's structure, Akal says that Doyon owns 51%, and "Doyon will be the principal operator on the site and Akal will provide professional and back-end support." In other words, like almost all of the Native American or Native Alaskan contracts with DHS, DOD, and the State Department, the non-native business will do the actual work of the contract while the native business provides the preference qualifications.

Immigrant Inmates Launch Hunger Strikes Against ANC Detention Centers

Another ANC that has taken advantage of preferential government contracts is Ahtna Development Corporation, which describes itself as "A Full-Service Operations and Maintenance Company."

DHS contracted with the ANC's subsidiary, Ahtna Technical Services, Inc. (ATSI), which had no experience in correctional services, to provide operational, maintenance, and other support services at four ICE facilities: Buffalo Federal Detention Facility, Krome Service Center, Port Isabel Service Processing Center, and the Varick Street Detention Facility in New York City.

In addition, ICE has contracted the Alaskan corporation to manage food services at six other ICE processing centers.

A New York Times article (Nov. 1, 2009) highlighted the history of abuses at the Varick facility, which is an adjunct to the ICE field office in New York City. Operated by ATSI under a DHS contract, the security staff at the Varick detention center are employees of a Texas security subcontractor.

In April last year 200 immigrant detainees at ICE's Port Isabel detention center organized a passive resistance campaign and hunger strike to protest alleged physical and verbal mistreatment by the staff of Ahtna Technical Services. According to immigrant-support groups, detainees also suffered due process violations and were not receiving adequate medical care.

The immigrant inmates involved in the protest complained that despite repeated complaints to ICE the abuses and deplorable conditions at the detention center had gone unresolved.

According to Maria Muentes, an organizer with Families for Freedom, "Many of the detainees are legal permanent residents from northeastern cities [and] they've been shipped to this desolate prison away from any kind of family and community support. ATSI [Ahtna] staff is being very brazen in their lawlessness. I think there's a perception that no one will speak up in defense of immigrants. It all seems designed to break down the will of the detainees so that they will agree to being deported."

DHS says that it owns and operates the Port Isabel detention center. However, by contracting out the operation of the center to a company with dubious professional credentials and experience and which then outsources its responsibilities to yet another company, DHS gives the impression that it is not taking direct and full responsibility for this homeland security and immigration regulation mission.

On Jan. 19 ICE agents in riot gear broke up a hunger strike at the Varick facility, according to detainee accounts. But an ICE spokesperson denied that there was a "sustained hunger strike," although he acknowledged that immigration agents entered and searched a jail dormitory after detainees began complaining about conditions and refused to leave it.

A Jamaican detainee in one dorm told New York Times (NYT) reporter Nina Bernstein that "all hell broke loose" after about 100 inmates refused to go to the mess hall on Tuesday morning and gave guards a flier declaring they were on a hunger strike to protest detention policies and practices. The detainee said a SWAT team "beat up" some detainees, took many to segregation cells as punishment, and transferred about 17 to immigration jails in other states, according to the NYT report.

Another detainee, an architect who said he has been a legal resident for 30 years, said he didn't want to give his name. "I don't want to be singled out," he said. "A lot of things are happening in the night—people are being moved secretly."

Last week ICE said it was closing the immigrant jail, which had become the subject of much criticism by immigrant advocates for its practice of transferring detainees, without notice, to other ICE detention centers. Immigrants inside the detention facility opposed the closure and consequent mass detainee transfer, apparently because their removal from Varick would also remove them from contact with family and legal advocates. However, they told the NYT that the hunger strike was part of a larger protest over immigration and detention policies.

The problems and concerns at ICE's Varick detention center reflect the generalized state of immigrant detention abuses, vindictive and unreasonable transfers, and the lack of accountability and transparency in an immigration incarceration system that is largely outsourced to private firms.

Media reports and immigrant advocacy are raising new awareness about the injustices that characterize the outsourcing of legal and illegal immigrants to private security firms like Ahtna and Doyon, and to prison companies like GEO Group.

But the lack of accountability and transparency and irresponsible profiteering are problems that are also prevalent in the very heart of Homeland Security operations, including intelligence, information systems, and infrastructure protection—all of which are largely outsourced using highly questionable bidding and contracting processes.


Tom Barry is a senior foreign policy analyst with the Americas Program at the Center for International Policy in Washington, DC. He blogs at: http://borderlinesblog.blogspot.com/.

To reprint this article, please contact americas@ciponline.org.



For More Information

Native Corporations as National Security Corporations
http://borderlinesblog.blogspot.com/200 ... ional.html

Native Americans Profit from Abusive Immigrant Detention and Billions of Dollars in National Security Contracts
http://borderlinesblog.blogspot.com/200 ... usive.html

Poor Pecos, Poor Prisoners—Criminal Justice for Immigrants in Texas' Reeves County
http://americas.irc-online.org/am/6503



http://americas.irc-online.org/am/6662

Are they detaining immigrants or illegal immigrants?

I think this is great. So much for the Brown Pride and Mexica arguments that the "indigenous" on this Continent are one big happy family who should let each other go where they want.

Originally Posted by WorriedAmerican

Are they detaining immigrants or illegal immigrants?

I'm sure they're detaining illegal aliens. There may be some screw-ups but those will work their way through the system. That woman from FreedomforUS is probably talking about people who have over-stayed their visa who were a legal immigrant once, but an illegal alien now.

Legal immigrants need to learn that once their visa has expired, then they are an illegal alien the same as someone who sneaked across the border stuffed behind the dash board. There is no distinction under US immigration law.

Everyone needs to understand that Americans are fed up to the gills with this immigration debacle and those who come on visas need to abide the laws governing those visas, the same as everyone else. If they want and qualify for an extension, then they must apply for the extension prior to the visa's expiration. We've got more people than jobs, so everyone needs to understand where Americans are coming from on this issue. Naturally, we're going to defend our citizens rights first and foremost and when jobs are scarce, we're going to do everything within our means to ensure all those jobs go to Americans first and foremost. Immigration is of no value to the United States unless we have more jobs than people and need immigrants to do part of the work. But that's not been the case in decades which is why we have 51 million Americans on MediCaid and another 30 million unemployed. Our country can't sustain this massive population so people need to be reading the writing on the walls and self-deport if they're here illegally and go home before their visa term expires because there's no reason in most cases at this point in time to extend those visas.

the immigrant crackdown against hopeful new Americans

That's a new one!

Originally Posted by ReggieMay

the immigrant crackdown against hopeful new Americans

That's a new one!

Righto, it certainly is! And just as blatantly absurd as the others.