Today's Article
One tech company
has even been
contracted to run the
Homeland Security
Department's entire
data center network.
The American Spark
Homeland Security Contracts Data Operations To Big Business
By Cliff Montgomery - Aug. 12th, 2008
Everyone knows of the Bush Administration's unconstitutional surveillance programs, in which phone
companies like AT&T and Verizon have aided in government wiretaps. But few Americans know of perhaps an
even more questionable Bush spy policy with Big Business.
Private companies have been hired by the U.S. government to gather and analyze vast swathes of apparently
sensitive information in the name of "national security"--and one tech corporation has even been contracted to
run the Homeland Security Department's entire data center network.
Steven Aftergood, director of the Project on Government Secrecy at the Federation of American Scientists,
said in a 2005 interview with National Journal Magazine that there's an inherent problem in hiring private
contractors to do intelligence work for the federal government.
"Using contractors to perform sensitive intelligence or counterintelligence work, whether it's prisoner
interrogation in Iraq or data mining in D.C., is always problematic, because their activities are much harder to
oversee," said Aftergood.
"Unlike government agencies, contractors are not answerable to Congress [or to the American people]. And
the secrecy of most intelligence work makes them all but impervious to independent oversight. If they broke or
bent the law, we might never find out."
Information technology (IT) giant Electronic Data Systems (EDS) provides the federal government with such
services as "intelligence gathering and vulnerability assessment," and "real-time analysis and integration of
data," according to a section of its website dedicated to "Homeland Security Solutions".
EDS sells its IT services to numerous government agencies, including the Defense and Justice Departments,
but sells many of its services through a special Department of Homeland Security (DHS) contract initiative,
called the "Enterprise Acquisition Gateway for Leading Edge Solutions," or "DHS EAGLE".
EDS provides "a full range of IT capabilities/solutions and emerging technologies for use by all U.S.
Department of Homeland Security (DHS) agencies," including data center operations, data storage and
network management.
Companies like EDS and Raytheon, a top defense contractor, are making hefty sums of money from this DHS
initiative.
Homeland Security has awarded over 170 contracts through the DHS EAGLE contract program since 2006.
DHS has paid these contractors over $3.5 billion for their services, which include 10 task orders for intelligence
analysis totaling more than $85 million, according to task order summary reports released by the agency.
One IT company has even been contracted to run all of Homeland Security's data center operations.
The DHS confirmed on July 2nd, 2008, that it will outsource the agency's data center services to Computer
Sciences Corp. (CSC) through a lucrative $390 million deal.
The agency hopes the agreement will allow it to fully centralize its 18 data center services into two
mega-centers. The DHS already has moved its systems to a main data hub, the National Center for Critical
Information Processing and Storage, at NASA's Stennis Space Center, a multi-governmental complex located
south of Picayune, Mississippi.
The contract with CSC extends until Dec. 31st, 2016.
And that second mega-center? It's being constructed by EDS, which scored an $800 million deal with
Homeland Security earlier this year. The eight-year agreement states that the company will run this second
mega-center as an alternate data center if ever the Stennis hub becomes inoperable. The EDS-managed
center also will aid with data services whenever the primary center at Stennis is overwhelmed with its spying
duties.
Homeland Security plans a five-year transition period for converting the managed services and equipment of
its Stennis hub from a government-furnished data center to one furnished and run by a private corporation.
CSC even plans to charge the Homeland Security Department for using the data center, along the lines of a
'pay-per-use' system.
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