Committee shields Accenture deal

But the House will debate a proposal that could prohibit future homeland security deals with overseas firms.

U.S. Visitor and Immigrant Status Indicator Technology (US-VISIT) Web page

Lawmakers who are attempting to block Accenture from getting a $10 billion homeland security contract lost the first round in their effort to prevent the deal from going to the company with an offshore parent.

According to a congressional staffer close to the issue, the House Rules Committee this week chose not to keep part of a proposed amendment to the homeland security appropriations bill that would prohibit the Homeland Security Department from signing certain task and delivery contracts, such as Accenture's deal as the prime integrator of the U.S. Visitor and Immigrant Status Indicator Technology (US-VISIT) program. That part of the amendment, aimed at companies based overseas, was not protected by the Rules Committee and will likely be removed when the appropriations bill goes to the House floor for debate, the staffer said.

However, the Rules Committee kept a section that eliminates a clause in the Homeland Security Act of 2002, which states that a company based overseas before the law passed could still receive homeland security contracts. Removing that clause means companies such as Accenture might not be eligible for future contracts, the staffer said.

"The Accenture contract right now looks relatively safe," the staffer said. "The [removal of the] grandfather clause, on the other hand, means that will be last such contract of its kind."

Reps. Rosa DeLauro (D-Conn.) and Marion Berry (D-Ark) sponsored the amendment. Debate over the rule is expected to occur on the House floor today.

Although the original amendment is not likely to make it through the House, lawmakers could still try to bar the contract when House and Senate negotiations hammer out the final bill.

DeLauro had sent a letter to the Rules Committee earlier today, urging them to protect the amendment that would close loopholes in the Homeland Security Act that allow homeland security vendors to have shell corporations outside the United States. Berry and two other Congress members signed the letter.

"I believe that once this issue reaches the House floor, we will see an overwhelming victory for taxpayers," DeLauro wrote in the letter. "It is wrong to reward companies who have purposely set up elaborate tax systems in foreign countries to avoid paying U.S. taxes with billions of dollars in taxpayer-funded government contracts."

Opponents of the amendment had planned to defeat the provision when the bill comes to the floor, which is expected to happen June 16. Rep. Jim Moran (D-Va.) said that either he or Rep. Tom Davis (R-Va.) will seek to block the provision.

DHS officials awarded the contract June 1 to Accenture LLP, which is based in Reston, Va. The parent company, however, is headquartered in Bermuda.

Lawmakers raised concerns about Accenture's Bermuda headquarters at the time of the award, but DHS officials have repeatedly said that the department followed procurement regulations.

Accenture officials say the unit that actually won the US-VISIT deal is based in Virginia, employs 25,000 people and pays U.S. taxes on income generated within the country. But the parent company has been based in Bermuda since inception, and does not pay U.S. taxes on income from outside the United States.

X
This website uses cookies to enhance user experience and to analyze performance and traffic on our website. We also share information about your use of our site with our social media, advertising and analytics partners. Learn More / Do Not Sell My Personal Information
Accept Cookies
X
Cookie Preferences Cookie List

Do Not Sell My Personal Information

When you visit our website, we store cookies on your browser to collect information. The information collected might relate to you, your preferences or your device, and is mostly used to make the site work as you expect it to and to provide a more personalized web experience. However, you can choose not to allow certain types of cookies, which may impact your experience of the site and the services we are able to offer. Click on the different category headings to find out more and change our default settings according to your preference. You cannot opt-out of our First Party Strictly Necessary Cookies as they are deployed in order to ensure the proper functioning of our website (such as prompting the cookie banner and remembering your settings, to log into your account, to redirect you when you log out, etc.). For more information about the First and Third Party Cookies used please follow this link.

Allow All Cookies

Manage Consent Preferences

Strictly Necessary Cookies - Always Active

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Sale of Personal Data, Targeting & Social Media Cookies

Under the California Consumer Privacy Act, you have the right to opt-out of the sale of your personal information to third parties. These cookies collect information for analytics and to personalize your experience with targeted ads. You may exercise your right to opt out of the sale of personal information by using this toggle switch. If you opt out we will not be able to offer you personalised ads and will not hand over your personal information to any third parties. Additionally, you may contact our legal department for further clarification about your rights as a California consumer by using this Exercise My Rights link

If you have enabled privacy controls on your browser (such as a plugin), we have to take that as a valid request to opt-out. Therefore we would not be able to track your activity through the web. This may affect our ability to personalize ads according to your preferences.

Targeting cookies may be set through our site by our advertising partners. They may be used by those companies to build a profile of your interests and show you relevant adverts on other sites. They do not store directly personal information, but are based on uniquely identifying your browser and internet device. If you do not allow these cookies, you will experience less targeted advertising.

Social media cookies are set by a range of social media services that we have added to the site to enable you to share our content with your friends and networks. They are capable of tracking your browser across other sites and building up a profile of your interests. This may impact the content and messages you see on other websites you visit. If you do not allow these cookies you may not be able to use or see these sharing tools.

If you want to opt out of all of our lead reports and lists, please submit a privacy request at our Do Not Sell page.

Save Settings
Cookie Preferences Cookie List

Cookie List

A cookie is a small piece of data (text file) that a website – when visited by a user – asks your browser to store on your device in order to remember information about you, such as your language preference or login information. Those cookies are set by us and called first-party cookies. We also use third-party cookies – which are cookies from a domain different than the domain of the website you are visiting – for our advertising and marketing efforts. More specifically, we use cookies and other tracking technologies for the following purposes:

Strictly Necessary Cookies

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Functional Cookies

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Performance Cookies

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Sale of Personal Data

We also use cookies to personalize your experience on our websites, including by determining the most relevant content and advertisements to show you, and to monitor site traffic and performance, so that we may improve our websites and your experience. You may opt out of our use of such cookies (and the associated “sale” of your Personal Information) by using this toggle switch. You will still see some advertising, regardless of your selection. Because we do not track you across different devices, browsers and GEMG properties, your selection will take effect only on this browser, this device and this website.

Social Media Cookies

We also use cookies to personalize your experience on our websites, including by determining the most relevant content and advertisements to show you, and to monitor site traffic and performance, so that we may improve our websites and your experience. You may opt out of our use of such cookies (and the associated “sale” of your Personal Information) by using this toggle switch. You will still see some advertising, regardless of your selection. Because we do not track you across different devices, browsers and GEMG properties, your selection will take effect only on this browser, this device and this website.

Targeting Cookies

We also use cookies to personalize your experience on our websites, including by determining the most relevant content and advertisements to show you, and to monitor site traffic and performance, so that we may improve our websites and your experience. You may opt out of our use of such cookies (and the associated “sale” of your Personal Information) by using this toggle switch. You will still see some advertising, regardless of your selection. Because we do not track you across different devices, browsers and GEMG properties, your selection will take effect only on this browser, this device and this website.