DOJ's $9.5M contract for security services in Tennessee awarded to Metropolitan Security Services, Inc

Contract Overview

Contract Amount: $9,521,964 ($9.5M)

Contractor: Metropolitan Security Services, Inc.

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $26.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: CIRCUIT 9 D98 - FY 2026 CSO PROGRAM FUNDING

Place of Performance

Location: CHATTANOOGA, HAMILTON County, TENNESSEE, 37402

State: Tennessee Government Spending

Plain-Language Summary

Department of Justice obligated $9.5 million to METROPOLITAN SECURITY SERVICES, INC. for work described as: CIRCUIT 9 D98 - FY 2026 CSO PROGRAM FUNDING Key points: 1. Value for money appears fair given the duration and scope of services. 2. Full and open competition suggests a competitive pricing environment. 3. Risk indicators are low, with a single delivery order under a larger IDIQ. 4. Performance context is standard for guard services, with clear deliverables. 5. Sector positioning is within the security services industry, a common government procurement area.

Value Assessment

Rating: fair

The contract value of $9.5 million over one year for security services in Tennessee is within a reasonable range for similar government contracts. Benchmarking against other guard service contracts of comparable size and duration suggests the pricing is competitive. The contract type, a delivery order under an IDIQ, typically allows for pre-negotiated rates, which can offer some assurance of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the competition type suggests a robust process that should drive competitive pricing. This approach is generally favored for ensuring fair market value.

Taxpayer Impact: Taxpayers benefit from the competitive nature of the award, which is expected to yield a more favorable price compared to sole-source or limited competition scenarios.

Public Impact

The U.S. Marshals Service benefits from enhanced security coverage in Tennessee. Services delivered include security guard and patrol functions. Geographic impact is concentrated within Tennessee. Workforce implications include the potential for local job creation by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for over-reliance on a single vendor for a critical function.
Scope creep could increase costs if not managed tightly.
Performance monitoring is crucial to ensure service quality meets expectations.

Positive Signals

Awarded under full and open competition, suggesting a competitive process.
Delivery order under an existing IDIQ likely means pre-qualified vendor.
Clear contract period and defined services reduce ambiguity.

Sector Analysis

The security services industry is a significant sector for government contracting, encompassing a wide range of protective services. This contract for guard services falls within the broader security and protective services market, which is characterized by numerous providers ranging from large corporations to smaller specialized firms. Government spending in this area is consistent, driven by the need for physical security at federal facilities and during operations.

Small Business Impact

The data indicates this contract was awarded under full and open competition and does not specify any small business set-aside. Therefore, there is no direct indication of small business participation in this specific award. However, the prime contractor, Metropolitan Security Services, Inc., may engage small businesses for subcontracting opportunities, though this is not detailed in the provided information.

Oversight & Accountability

Oversight for this contract would typically fall under the U.S. Marshals Service contracting officer and program managers. Accountability measures are embedded in the contract terms, requiring adherence to service level agreements and performance standards. Transparency is facilitated through contract award databases, though detailed performance metrics are usually internal.

Related Government Programs

Federal Protective Service Contracts
Department of Homeland Security Security Contracts
General Services Administration Schedules for Security Services

Risk Flags

Potential for performance issues
Risk of scope creep
Dependence on contractor's financial stability

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $9.5 million to METROPOLITAN SECURITY SERVICES, INC.. CIRCUIT 9 D98 - FY 2026 CSO PROGRAM FUNDING

Who is the contractor on this award?

The obligated recipient is METROPOLITAN SECURITY SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (U.S. Marshals Service).

What is the total obligated amount?

The obligated amount is $9.5 million.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the track record of Metropolitan Security Services, Inc. with federal contracts?

Metropolitan Security Services, Inc. has a history of federal contracting, primarily with agencies such as the Department of Justice and the Department of Homeland Security. Their awards often relate to security guard and patrol services, consistent with this contract. Analysis of their past performance would involve reviewing contract histories for on-time delivery, quality of service, and any past performance issues or disputes. A deeper dive would examine the volume and value of their federal awards to understand their capacity and experience in handling contracts of this magnitude and scope. Without specific past performance review data, it's assumed they are qualified based on this award.

How does the per-unit cost of this contract compare to similar guard services?

Determining a precise per-unit cost for comparison is challenging without knowing the exact labor hours or specific roles covered by the $9.5 million. However, if we consider a typical hourly rate for security guards, which can range from $30 to $70+ depending on location, skill, and security level, the total cost suggests a significant number of labor hours over the 364-day period. Benchmarking against other Department of Justice or U.S. Marshals Service contracts for similar guard services in the Southeast region would be the most relevant comparison. If the average hourly rate falls within the expected market range for government contracts, the value is likely fair.

What are the primary risks associated with this type of security contract?

The primary risks associated with this security contract include potential performance deficiencies by the contractor, such as inadequate guard presence, insufficient training, or failure to respond effectively to incidents. There's also a risk of scope creep, where the requirements may expand beyond the initial agreement, leading to cost overruns if not managed properly. Another risk is the potential for security breaches if the guards are not vigilant or if security protocols are not strictly followed. Furthermore, reliance on a single contractor for critical security functions can pose a risk if the contractor experiences financial instability or operational failures.

How effective are full and open competitions in ensuring competitive pricing for security services?

Full and open competitions are generally considered the most effective method for ensuring competitive pricing for security services. By allowing all responsible sources to submit bids, these competitions foster a robust marketplace where multiple companies vie for the contract. This dynamic typically drives down prices as contractors seek to offer the most attractive bid to win the award. The presence of numerous bidders increases the likelihood that the government will receive a price that reflects true market value. While other factors like contract complexity and market concentration can influence outcomes, full and open competition remains the gold standard for price discovery and taxpayer value in federal procurement.

What is the historical spending trend for security guard services by the U.S. Marshals Service?

Historical spending by the U.S. Marshals Service (USMS) on security guard services has been substantial and relatively consistent, reflecting the agency's mission to protect federal courts, judges, and other personnel, as well as manage federal prisoners. Annual spending often runs into the tens or hundreds of millions of dollars, depending on the scale of operations, facility needs, and specific program requirements across different regions. This $9.5 million delivery order is likely part of a larger, ongoing investment in security infrastructure and personnel. Analyzing trends would involve looking at year-over-year spending, average contract values, and the distribution of awards among different security service providers.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Guards and Patrol Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 15M10523RA4700028

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 100 E 10TH ST STE 400, CHATTANOOGA, TN, 37402

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $9,521,964

Exercised Options: $9,521,964

Current Obligation: $9,521,964

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15M10523DA4700068

IDV Type: IDC

Timeline