Commerce awards $2.5M for NOAA ship security, with 4 bidders competing

Contract Overview

Contract Amount: $2,488,314 ($2.5M)

Contractor: Servexo

Awarding Agency: Department of Commerce

Start Date: 2023-10-01

End Date: 2027-03-31

Contract Duration: 1,277 days

Daily Burn Rate: $1.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SECURITY WATCH GUARD SERVICES FOR MOC-P AND NOAA SHIPS

Place of Performance

Location: NEWPORT, LINCOLN County, OREGON, 97365

State: Oregon Government Spending

Plain-Language Summary

Department of Commerce obligated $2.5 million to SERVEXO for work described as: SECURITY WATCH GUARD SERVICES FOR MOC-P AND NOAA SHIPS Key points: 1. Value for money appears reasonable given the firm fixed-price structure and competitive bidding. 2. Competition dynamics indicate a healthy market for security services, with multiple bidders participating. 3. Risk indicators are low due to the established nature of the service and fixed-price contract. 4. Performance context is for essential security services on NOAA vessels. 5. Sector positioning is within the broader security services industry supporting government operations.

Value Assessment

Rating: good

The contract value of approximately $2.5 million over nearly four years suggests a moderate annual spend. Benchmarking against similar federal contracts for security guard services indicates that this pricing is within a competitive range, especially considering the specialized nature of providing security for maritime assets. The firm fixed-price contract type helps control costs and provides predictability for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, with four bidders participating. The presence of multiple bidders suggests that the market for these services is sufficiently robust and that the solicitation was accessible to a range of qualified vendors. This level of competition is generally favorable for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: The full and open competition with four bidders likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition scenario.

Public Impact

The primary beneficiaries are the National Oceanic and Atmospheric Administration (NOAA) and its personnel, ensuring safety and security. Services delivered include essential security guard functions for NOAA ships, protecting assets and personnel. The geographic impact is primarily focused on the operational areas of NOAA ships, which can be global. Workforce implications include the direct employment of security personnel by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Sector Analysis

The security services sector is a significant component of the federal contracting landscape, with numerous agencies relying on private firms for protection of personnel and assets. This contract falls within the Security Guards and Patrol Services industry (NAICS 561612). Comparable spending benchmarks for similar security contracts vary widely based on scope, location, and duration, but this $2.5 million award over approximately 3.5 years appears to be a moderate-sized contract within this domain.

Small Business Impact

The contract was awarded under full and open competition and does not indicate any specific small business set-aside. There is no explicit information provided regarding subcontracting plans for small businesses. Without further details on subcontracting goals, the direct impact on the small business ecosystem for this specific contract is unclear, though the presence of multiple bidders suggests opportunities may exist within the supply chain.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the National Oceanic and Atmospheric Administration. Accountability measures are inherent in the firm fixed-price contract, requiring the contractor to deliver specified services. Transparency is facilitated by the contract award being publicly available, though detailed performance metrics are not provided here.

Related Government Programs

Risk Flags

Tags

security-services, national-oceanic-and-atmospheric-administration, department-of-commerce, delivery-order, firm-fixed-price, full-and-open-competition, medium-value, maritime-security, security-guards, oregon

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $2.5 million to SERVEXO. SECURITY WATCH GUARD SERVICES FOR MOC-P AND NOAA SHIPS

Who is the contractor on this award?

The obligated recipient is SERVEXO.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $2.5 million.

What is the period of performance?

Start: 2023-10-01. End: 2027-03-31.

What is the contractor's track record with federal agencies, particularly NOAA?

Servexo, the contractor, has a track record of federal contract awards. While specific details on their performance history with NOAA or other agencies are not provided in this summary, the award of this contract suggests they met the qualifications and requirements set forth in the solicitation. A deeper dive into past performance evaluations, any past disputes, or previous contract successes would provide a more comprehensive understanding of their reliability and capability. Federal procurement data systems often contain past performance information that can be reviewed for similar contracts.

How does the annual cost of this contract compare to similar security services for government vessels?

The total contract value is approximately $2.5 million over 1277 days (roughly 3.5 years), equating to an average annual spend of about $714,000. Comparing this to similar security services for government vessels requires access to a benchmark database of federal contracts. However, considering the firm fixed-price nature and the competitive bidding process involving four bidders, this annual figure is likely within a reasonable market range. Factors influencing cost include the number of personnel required, hours of service, geographic operational areas, and specific security equipment or training needs.

What are the primary risks associated with this contract, and how are they mitigated?

The primary risks associated with this contract are related to service delivery and contractor performance. Potential risks include insufficient guard staffing, inadequate training, failure to maintain security protocols, or unforeseen operational challenges at sea. Mitigation strategies are embedded in the contract structure: the firm fixed-price nature incentivizes the contractor to manage costs efficiently, while the full and open competition process aims to select a capable and reliable vendor. Performance standards and reporting requirements, though not detailed here, would be crucial oversight mechanisms to identify and address any performance deficiencies promptly.

What is the historical spending pattern for security services for NOAA ships?

Historical spending data for security services specifically for NOAA ships would require a detailed analysis of past NOAA procurements. Without access to that specific historical data, it's difficult to establish a precise pattern. However, it is reasonable to assume that NOAA has had ongoing needs for security services for its fleet, potentially through multiple contracts over time. The current award of $2.5 million suggests a sustained level of investment in this area. Analyzing previous contract values, durations, and competition levels for similar NOAA security needs would reveal trends in spending and contractor engagement.

Are there any specific performance metrics or key performance indicators (KPIs) tied to this contract?

The provided data does not specify the performance metrics or Key Performance Indicators (KPIs) associated with this contract. However, for a security guard service contract, typical KPIs would likely include metrics such as guard punctuality, adherence to post orders, incident reporting timeliness and accuracy, and overall effectiveness in preventing unauthorized access or incidents. These KPIs are crucial for the government to assess contractor performance and ensure the security objectives are being met. They would normally be detailed within the contract's statement of work or performance work statement.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesInvestigation and Security ServicesSecurity Guards and Patrol Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 1305M223QNMAN0012

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1411 W 190TH ST STE 475, GARDENA, CA, 90248

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $3,223,710

Exercised Options: $2,488,314

Current Obligation: $2,488,314

Actual Outlays: $1,110,562

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS07F168GA

IDV Type: FSS

Timeline

Start Date: 2023-10-01

Current End Date: 2027-03-31

Potential End Date: 2028-03-31 00:00:00

Last Modified: 2026-03-09

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