DHS Homeland Security Contracts — August 08, 2026

B.I. Incorporated, a GEO Group subsidiary, secured a $228.5 million firm-fixed-price delivery order for ICE's Intensive Supervision Appearance Program (ISAP), with $107.5 million already outlaid, indicating strong initial funding and competitive win under full and open competition.

SAIC received a time-and-materials delivery order from DHS/CBP for IT support services, with a potential value of $741.7 million if all options are exercised, indicating a substantial multi-year revenue opportunity with lower pricing risk.

IBM secured a $97.6 million firm-fixed-price delivery order from FEMA for risk mapping and data services, with a 21-month performance period and $100.5 million potential value including options, reflecting steady but not transformative federal IT demand.

The $228.5 million ISAP delivery order is firm-fixed-price, meaning cost overruns in technology-enabled case management could pressure margins for GEO Group's B.I. Incorporated subsidiary.

All $422.3 million in obligations are from DHS civilian agencies (ICE, FEMA, CBP), with no defense backing; immigration enforcement and disaster IT budgets could face cuts under a Continuing Resolution or policy changes.

SAIC's $96.2 million initial obligation is only 13% of the $741.7 million potential ceiling; if CBP does not exercise options, the actual revenue could be far lower than the headline suggests.

The $228.5 million ISAP award, with $107.5 million already outlaid, signals ICE's commitment to cost-effective detention alternatives; GEO Group's competitive win under full and open competition suggests potential for follow-on awards as the program expands.

The time-and-materials pricing structure and $741.7 million potential ceiling provide SAIC with a low-risk revenue stream; DHS's continued IT modernization investment suggests option exercise is likely.

IBM's $97.6 million FEMA contract, with $100.5 million potential value, reflects bipartisan support for climate resilience and disaster preparedness IT, offering IBM a stable civilian revenue stream.

GEO Group's $228.5 million ISAP award and SAIC's $96.2 million CBP IT support contract demonstrate DHS's dual focus on technology-enabled immigration enforcement and border modernization, with $324.8 million combined obligation.

IBM's $97.6 million FEMA risk mapping contract highlights sustained federal spending on climate resilience and disaster preparedness IT, supported by bipartisan infrastructure initiatives.

{"entity" => "GEO Group (GEO)", "reason" => "Won the highest-materiality contract ($228.5M ISAP) with $107.5M already outlaid; execution and policy risks are key.", "trigger" => "Q3 2025 earnings for revenue recognition; ICE policy changes or re-compete announcements"}

{"entity" => "SAIC (SAIC)", "reason" => "CBP IT support contract has a $741.7M potential ceiling; option exercises will determine actual revenue.", "trigger" => "Quarterly earnings for option exercise announcements; DHS budget allocations for IT services"}

{"entity" => "IBM (IBM)", "reason" => "FEMA risk mapping contract is short-term (21 months); option exercise and follow-on awards are critical.", "trigger" => "FEMA option exercise or modifications; FY2027 budget cycle for disaster IT"}