Noem's DHS Paid a Political Donor $464 Million for Five Jets on Her Final Day in Office

The New York Times reported October 4, 2026, that the Department of Homeland Security finalized a $464 million no-bid contract for ten planes with Daedalus Aviation Corporation in the final hours of Kristi Noem's tenure as secretary. Five planes were bought well above what Daedalus itself had paid months earlier: a converted Boeing 737 for $108 million, versus under $90 million; two Gulfstream jets for a combined $106 million; and two older 737s at $45 million each. Daedalus is chaired by William Walters, a former State Department official whose firm held no federal contracts before 2025 and had donated $10,000 to a political committee tied to Noem. DHS cited "unusual and compelling urgency" to bypass competitive bidding.

Seven of the ten planes have sat unused for months in Lake Charles, Louisiana, because DHS lacks crews to fly them; a former acting ICE director said the fleet "would absolutely not make the top ten" of agency needs. DHS blames the prior leadership team, noting the contract grew by $303 million the day Noem's successor, Markwayne Mullin, took office. Noem, now a State Department envoy, disputes the account and has demanded a retraction. Senators Murray and Murphy have called for an investigation.