New York City Comptroller Brad Lander praised the Adams administration on Wednesday, April 10th, for ending its contract with the controversial migrant shelter service provider DocGo.
However, Lander pointed out that the interim replacement vendor also poses fiscal challenges.
The comptroller cautioned that Garner, the Texas-headquartered company slated to temporarily manage DocGo’s shelters in and around New York City, continues to charge exorbitant rates for its staff, as per a recent assessment from his office.
The survey pointed out that one city agency is paying over $117 per hour for Garner’s security personnel at migrant sites.
The city will utilize an existing contract with Garner to assist approximately 1,800 migrants in New York City, while DocGo will maintain its operations upstate for another 1,800 migrants.
Administration officials stated that the Garner takeover would cost $10 less per person per night than DocGo.
Officials noted that discontinuing DocGo was a strategic move within a broader initiative to decrease housing expenses and support migrants.
This change follows the city’s controversial $432 million, no-bid emergency contract with DocGo last year, which Lander and other officials harshly criticized.
“This is what we think they should have done a year ago,” Lander stated.
Despite the expiration of the contract with DocGo on May 5, the company remains involved with the city through other agreements, providing medical services and case management to new migrants.
Abigail Rush, a spokesperson for DocGo, reaffirmed the company’s commitment to New York City.
Rush said, “DocGo is immensely proud of the exceptional work that our team has accomplished and continues to perform in aiding the City’s response to this unprecedented crisis.”
Regulatory changes also influenced the shift from DocGo.
Last November, the comptroller revoked the mayor’s emergency powers, which allowed no-bid contracts for migrant services without prior approval, effectively necessitating a new approach to contract renewals with DocGo.
Amid ongoing scrutiny of DocGo’s performance and operational concerns—including a New York Times report that led to an investigation by New York Attorney General Letitia James and findings of unauthorized security personnel—Lander and other officials urge opening more migrant-related contracts to competitive bidding.
In response to the termination, city officials negotiate with nonprofit organizations like Jewish Family Services to provide more focused and culturally competent services.
Camille Joseph Varlack, the mayor’s chief of staff, emphasized the city’s ongoing efforts to manage the crisis efficiently.
“We are constantly working to find new ways to better serve those in our care and manage this crisis in a financially responsible way,” Varlack commented.
City Council Immigration Committee Chair Alexa Avilés criticized the city’s handling of migrant services under the current administration.
“The real shame is the sheer amount of suffering that’s been allowed to take place under their watch,” Avilés remarked. “The City of New York needs to do better by its people.”
