Stock Markets June 3, 2026 01:21 PM

Mullin Cancels Most Pending DHS Contracts From Noem Era, Keeps Signed Deals Under Review

Secretary says unsigned agreements were largely scrapped while existing contracts remain in force pending inspector general examinations

By Avery Klein GEO CXW

Homeland Security Secretary Markwayne Mullin told the House Homeland Security Committee that he has terminated the majority of contracts that remained unsigned when he succeeded Kristi Noem. Contracts already executed will continue unless the department's inspector general identifies problems. Lawmakers pressed Mullin about alleged overspending on detention-site purchases and a $200 million advertising campaign from the prior administration.

Mullin Cancels Most Pending DHS Contracts From Noem Era, Keeps Signed Deals Under Review
GEO CXW

Key Points

  • Secretary Mullin said the department canceled the majority of contracts that were unsigned when he succeeded Kristi Noem.
  • Contracts already signed prior to Mullin's arrival remain in force unless the inspector general identifies issues.
  • Lawmakers raised concerns about warehouse purchases for detention conversion, a $200 million advertising campaign, and contracts tied to detention facilities and vehicle purchases.

WASHINGTON - Homeland Security Secretary Markwayne Mullin told members of the House Homeland Security Committee on Wednesday that most contracts awaiting approval when he assumed office from his predecessor, Kristi Noem, have been canceled.

At the hearing, Mullin said he examined agreements that had not yet been finalized at the time of his arrival and moved to terminate the bulk of those pending deals. He contrasted those unsigned agreements with contracts that had already been executed, noting the latter generally remain in effect unless the department's inspector general finds cause to void them.

Representative Bennie Thompson of Mississippi, the committee's top Democrat, questioned Mullin about specific transactions, citing warehouses acquired for conversion into immigrant detention centers at prices reportedly above appraised values and a $200 million advertising campaign launched under Noem that promoted the administration's deportation efforts.

Mullin recounted that he took office in March and that the period prior to his arrival had generated scrutiny over several spending decisions. Those issues include the advertising campaign, concerns about contractors with political ties, and the fallout from large-scale immigration operations in Minnesota that resulted in the deaths of two U.S. citizens, Renee Good and Alex Pretti. Democrats on the committee have continued to press the department for answers regarding those outlays, specifically pointing to contracts tied to detention facilities, vehicle purchases and advertising work.

The secretary clarified that contracts already signed before his tenure are typically not subject to unilateral cancellation unless the inspector general uncovers problems during review. During Wednesday's proceedings neither Mullin nor Deputy Secretary Troy Edgar named which specific contracts had been halted, but Mullin committed to providing lawmakers with additional details going forward.


Context and process

Mullin described a review process that differentiates between unsigned agreements, which he said were largely canceled, and signed contracts, which will proceed while subject to oversight from the inspector general. Lawmakers pressed for transparency around purchases and campaigns completed under the previous administration.


What lawmakers raised

  • Questions about warehouses purchased for conversion into detention centers and the valuations used.
  • Concerns over a $200 million advertising campaign tied to deportation efforts.
  • Scrutiny of whether politically connected contractors benefited from the prior administration's procurement decisions.

Mullin pledged to furnish additional information to the committee about the contracts that were stopped, but at the hearing he did not identify the specific agreements affected.

Risks

  • Uncertainty over which specific contracts were halted could complicate planning for vendors and contractors working with DHS - impacts procurement and private-sector government contractors.
  • Signed contracts generally cannot be canceled absent inspector general findings, creating potential delays in addressing disputed spending - affects detention facility operators and advertising contractors.
  • Continued congressional scrutiny over past spending decisions may result in additional oversight and reputational risk for firms involved in the contested contracts - relevant to companies in government services and detention operations.

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