DOJ's $900K contract for physical security services awarded to Cynergy Professional Systems LLC

Contract Overview

Contract Amount: $900,000 ($900.0K)

Contractor: Cynergy Professional Systems LLC

Awarding Agency: Department of Justice

Start Date: 2025-09-11

End Date: 2026-09-10

Contract Duration: 364 days

Daily Burn Rate: $2.5K/day

Competition Type: COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NATIONAL PHYSICAL SECURITY PROGRAM

Place of Performance

Location: LAGUNA HILLS, ORANGE County, CALIFORNIA, 92653

State: California Government Spending

Plain-Language Summary

Department of Justice obligated $900,000 to CYNERGY PROFESSIONAL SYSTEMS LLC for work described as: NATIONAL PHYSICAL SECURITY PROGRAM Key points: 1. Value for money appears fair given the fixed-price nature and duration, but detailed cost breakdowns are needed for a definitive assessment. 2. Competition dynamics indicate a potentially limited competition environment, which could impact price discovery. 3. Risk indicators include the relatively short duration and the specific nature of the services, requiring close performance monitoring. 4. Performance context is tied to the Office of the Inspector General's physical security needs, suggesting a critical function. 5. Sector positioning is within IT-related services, specifically computer-related services, supporting physical security infrastructure.

Value Assessment

Rating: fair

The contract's value of $900,000 over one year for physical security services is within a reasonable range for specialized IT support. However, without detailed cost breakdowns or comparisons to similar, recent contracts for comparable services, a precise value-for-money assessment is challenging. The fixed-price structure provides cost certainty for the government, but it relies on accurate initial estimates from the contractor. Benchmarking against industry standards for physical security IT integration and maintenance would be beneficial.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), suggesting it was likely a limited competition. While the specific number of bidders is not provided, SAP is typically used for procurements below certain thresholds where full and open competition may not be feasible or cost-effective. This limited competition environment might mean fewer offers were considered, potentially leading to less aggressive pricing than under a full and open solicitation.

Taxpayer Impact: Limited competition can sometimes result in higher prices for taxpayers compared to a scenario with numerous bidders vying for the contract. However, the use of SAP aims to balance efficiency with reasonable pricing for smaller procurements.

Public Impact

The primary beneficiaries are the Department of Justice, specifically the Office of the Inspector General, who will receive enhanced physical security. Services delivered likely include the installation, maintenance, and monitoring of physical security systems, potentially involving IT integration. The geographic impact is focused on California, where the services will be rendered. Workforce implications are minimal for the government, with the primary workforce being the contractor's personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price inflation due to limited competition under SAP.
Ensuring the contractor's personnel have the necessary security clearances for sensitive OIG facilities.
Scope creep if the definition of 'Other Computer Related Services' is not tightly managed.

Positive Signals

Fixed-price contract provides cost certainty for the government.
Award to a specific LLC suggests a focused, potentially specialized service provider.
Contract duration of one year allows for periodic reassessment of needs and performance.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on 'Other Computer Related Services' (NAICS 541519). This category encompasses a wide range of IT support, including the integration and maintenance of systems that underpin physical security. The market for such services is competitive, with many firms offering specialized solutions. The DOJ's spending in this area is consistent with government-wide efforts to modernize and secure federal facilities through technological means.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on the small business ecosystem would be through potential subcontracting opportunities, which are not detailed here. Without specific subcontracting plans or goals, it's difficult to assess the direct benefit to small businesses from this particular award.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer's representative (COR) within the Department of Justice, Office of the Inspector General. The Office of the Inspector General itself is responsible for auditing and investigating departmental programs, which could include oversight of its own procurement activities. Transparency is facilitated through contract databases like FPDS, but detailed performance metrics and audit reports would provide further insight into accountability.

Related Government Programs

Department of Justice IT Services
Office of Inspector General Operations
Physical Security Systems Procurement
Federal IT Support Contracts

Risk Flags

Limited competition may impact price.
Contractor's specific experience with DOJ OIG security needs needs verification.
Clarity on 'Other Computer Related Services' scope is important to prevent scope creep.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $900,000 to CYNERGY PROFESSIONAL SYSTEMS LLC. NATIONAL PHYSICAL SECURITY PROGRAM

Who is the contractor on this award?

The obligated recipient is CYNERGY PROFESSIONAL SYSTEMS LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Office of the Inspector General).

What is the total obligated amount?

The obligated amount is $900,000.

What is the period of performance?

Start: 2025-09-11. End: 2026-09-10.

What is the track record of Cynergy Professional Systems LLC in performing similar government contracts?

Information regarding the specific track record of Cynergy Professional Systems LLC in performing similar government contracts is not detailed in the provided data. A thorough assessment would require reviewing their past performance evaluations, contract history with federal agencies, and any reported issues or successes on previous awards. Understanding their experience with physical security systems, IT integration, and compliance with government security protocols is crucial for evaluating their capability to fulfill this contract effectively. Without this historical data, it's difficult to gauge their reliability and expertise beyond the current award.

How does the awarded price compare to market rates for similar physical security IT services?

The provided data does not include specific pricing details beyond the total award amount of $900,000. To compare this to market rates, one would need to benchmark the per-unit costs or the overall value against similar contracts awarded by other federal agencies or even state and local governments for comparable physical security IT services. Factors such as the specific technologies deployed, the scope of maintenance, the level of support required, and the geographic location all influence market rates. A detailed cost analysis or a comparison with industry pricing guides for IT-enabled security solutions would be necessary for a robust benchmark.

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

Key risks associated with this contract include potential performance issues if Cynergy Professional Systems LLC lacks sufficient expertise in the specific physical security technologies required, or if there are challenges in integrating their IT solutions with existing DOJ infrastructure. Another risk is the possibility of cost overruns if the fixed-price contract does not adequately account for all necessary services or unforeseen technical challenges. Mitigation strategies would typically involve rigorous contractor vetting, clear performance work statements, regular progress reviews, and potentially performance bonds. The government's ability to monitor performance closely and enforce contract terms is critical.

How effective is the current physical security system managed under this contract in meeting the OIG's needs?

The effectiveness of the physical security system managed under this contract cannot be determined from the provided data alone. Effectiveness would be measured by metrics such as the reduction in security incidents, the reliability of the security systems (e.g., uptime of surveillance, access control), and the responsiveness of security personnel or systems to alerts. The Office of the Inspector General's own internal assessments, security audits, and incident reports would be the primary sources for evaluating the system's effectiveness. This contract represents an award for services, implying an ongoing or newly established system, so its ultimate effectiveness will unfold over its performance period.

What are the historical spending patterns for physical security IT services by the DOJ?

Historical spending patterns for physical security IT services by the Department of Justice are not detailed in the provided data. To analyze this, one would need to examine past contract awards for similar services over several fiscal years. This would involve looking at the total amount spent, the types of services procured (e.g., hardware, software, installation, maintenance), the primary contractors utilized, and the competition levels for those awards. Understanding historical trends can help contextualize the current $900,000 award, identify potential increases or decreases in spending, and reveal patterns in contractor selection and service delivery.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 15G1AC22Q00000001

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 23187 LA CADENA, STE 102, LAGUNA HILLS, CA, 92653

Business Categories: 8(a) Program Participant, Category Business, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $900,000

Exercised Options: $900,000

Current Obligation: $900,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 15G1AC22D00000044

IDV Type: IDC

Timeline