Key Takeaways
- A consulting firm with deep personal and business ties to Homeland Security Secretary Kristi Noem and her aides secretly received taxpayer money from a $220 million DHS ad campaign.
- The firm, The Strategy Group, is run by Ben Yoho, the husband of Noem’s chief DHS spokesperson, Tricia McLaughlin.
- DHS bypassed normal competitive bidding rules for the massive ad contract by invoking the “national emergency” at the border, a move ethics experts call corrupt.
- Most of the money was awarded to a mysterious Delaware company created just days before the deal, obscuring the final destination of the funds.
A Republican consulting firm with long-standing ties to Homeland Security Secretary Kristi Noem and her top aides was secretly paid from a $220 million, taxpayer-funded ad campaign, records show. The Department of Homeland Security (DHS) awarded the contracts without competitive bidding, citing the “emergency” at the border.
The firm, The Strategy Group, does not appear on any public contract documents. Its involvement was uncovered through records and interviews, revealing a web of personal and political connections that government watchdogs say raises serious ethical questions.
A Hidden Connection
The Strategy Group has been a key player in Kristi Noem’s political career, heavily involved in her 2022 gubernatorial campaign. The firm’s CEO, Ben Yoho, is married to Tricia McLaughlin, who serves as Noem’s chief spokesperson at DHS. Additionally, Noem’s top DHS adviser, Corey Lewandowski, has also worked extensively with the firm.
This relationship came to light during the production of a DHS ad filmed at Mount Rushmore, where The Strategy Group was running the shoot. In the ad, Noem appears on horseback, warning immigrants, “Break our laws, we’ll punish you.”
McLaughlin acknowledged the conflict of interest, stating she had recused herself from matters involving her husband’s company. “My marriage is one thing and work is another. I don’t combine them,” she said.
However, government contracting experts have voiced alarm. “It’s corrupt, is the word,” said Charles Tiefer, a leading authority on federal contract law. “Hiding your friends as subcontractors is like playing hide the salami with the taxpayer.”
Bypassing Rules and Raising Red Flags
To award the massive ad contracts, DHS invoked the “national emergency” at the border, allowing it to bypass the standard competitive bidding process designed to prevent corruption and ensure fair pricing.
Scott Amey, general counsel at the Project on Government Oversight, called for an investigation “to ferret out how these decisions were made, and whether they were made legally and without bias.”
The bulk of the contract money—$143 million—went to a mysterious Delaware company, Safe America Media, which was formed just days before the contract was finalized. This arrangement further obscures how taxpayer funds are being spent and who the ultimate beneficiaries are.
In a statement, DHS said it “has no involvement with the selection of subcontractors” and that its contracting process is run “by the book” by career officials.
A History of Controversial Deals
This is not the first time The Strategy Group has benefited from a publicly funded contract under Noem’s leadership. In 2023, as governor of South Dakota, her administration awarded the firm an $8.5 million contract for a state ad campaign. A former administration official claimed Noem quietly intervened to ensure The Strategy Group secured the deal.
During that time, the firm also paid up to $25,000 to Madison Sheahan, one of Noem’s closest advisers, who now serves as the second-in-command at Immigration and Customs Enforcement (ICE).
The ads produced by the firm for South Dakota featured Noem in various costumes, including a dentist, a plumber, and a state trooper.
The pattern of awarding non-competitive, taxpayer-funded contracts to a politically connected firm raises significant questions about transparency and the use of public funds under Secretary Noem’s leadership.
Image Referance: https://www.propublica.org/article/kristi-noem-dhs-ad-campaign-strategy-group