EPA awards $13.3M contract for security services at Research Triangle Park, North Carolina

Contract Overview

Contract Amount: $13,308,361 ($13.3M)

Contractor: Defense Contracting Activity, LLC

Awarding Agency: Environmental Protection Agency

Start Date: 2024-03-16

End Date: 2027-02-28

Contract Duration: 1,079 days

Daily Burn Rate: $12.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ARMED SECURITY OFFICER SERVICES AT THE U.S. EPA'S RESEARCH TRIANGLE PARK, NC CAMPUS, IN ACCORDANCE WITH THE STATEMENT OF WORK

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27709

State: North Carolina Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $13.3 million to DEFENSE CONTRACTING ACTIVITY, LLC for work described as: ARMED SECURITY OFFICER SERVICES AT THE U.S. EPA'S RESEARCH TRIANGLE PARK, NC CAMPUS, IN ACCORDANCE WITH THE STATEMENT OF WORK Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration is approximately 3 years, aligning with typical service contract lengths. 3. The primary service category is Security Guards and Patrol Services, a common requirement for federal facilities. 4. The awardee, Defense Contracting Activity, LLC, is a private entity. 5. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 6. The base contract value is $13.3 million over its period of performance.

Value Assessment

Rating: good

The contract's firm fixed price structure is generally favorable for cost control. Benchmarking against similar security contracts requires detailed analysis of scope, hours, and specific security requirements. Without more granular data on the number of officers, hours, and specific security measures, a precise per-unit cost comparison is difficult. However, the total award amount appears reasonable for a multi-year security contract at a large federal campus.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of two bidders suggests a moderate level of competition for this specific service. While two bidders is better than a sole-source award, a higher number of bidders typically leads to more robust price discovery and potentially lower prices for the government.

Taxpayer Impact: Full and open competition, even with a limited number of bidders, generally benefits taxpayers by encouraging competitive pricing and ensuring the government receives services at a fair market value.

Public Impact

The U.S. Environmental Protection Agency (EPA) will benefit from enhanced security at its Research Triangle Park campus. The contract ensures the provision of armed security officer services, contributing to the safety and security of federal personnel and property. The geographic impact is localized to the Research Triangle Park, North Carolina campus. The contract supports jobs within the private security sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future contract renewals if competition remains limited.
Ensuring consistent service quality and performance from the contractor throughout the contract period.
Monitoring contractor compliance with all security protocols and federal regulations.

Positive Signals

Awarded through full and open competition, promoting a fair marketplace.
Firm Fixed Price contract type helps manage budget predictability.
Contract duration provides stability for security operations at the EPA facility.

Sector Analysis

The security services sector is a significant component of the federal contracting landscape, with agencies consistently requiring protective services for facilities and personnel. This contract falls within the broader professional, scientific, and technical services category, specifically focusing on security and investigation services (NAICS code 561612). Federal spending in this area is driven by the need to protect critical infrastructure and government assets across various locations.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses in the provided data. Therefore, this award does not directly benefit the small business ecosystem through set-asides or mandated subcontracting goals.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. The firm fixed price nature of the contract provides a degree of cost control. Performance will likely be monitored by the EPA contracting officer and relevant program officials. Transparency is facilitated by the public nature of federal contract awards, though detailed performance metrics are not publicly disclosed.

Related Government Programs

Federal Protective Service Contracts
Department of Homeland Security Security Services
General Services Administration Security Contracts
EPA Facility Management Contracts

Risk Flags

Potential for cost overruns if scope is not clearly defined.
Ensuring consistent quality of service delivery.
Monitoring contractor performance against contract requirements.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $13.3 million to DEFENSE CONTRACTING ACTIVITY, LLC. ARMED SECURITY OFFICER SERVICES AT THE U.S. EPA'S RESEARCH TRIANGLE PARK, NC CAMPUS, IN ACCORDANCE WITH THE STATEMENT OF WORK

Who is the contractor on this award?

The obligated recipient is DEFENSE CONTRACTING ACTIVITY, LLC.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $13.3 million.

What is the period of performance?

Start: 2024-03-16. End: 2027-02-28.

What is the historical spending by the EPA on security services at the Research Triangle Park campus?

Historical spending data for security services specifically at the EPA's Research Triangle Park campus is not directly available in the provided data. However, the current award of $13.3 million over approximately three years (ending February 2027) provides a benchmark for recent spending. To understand historical patterns, one would need to access previous contract awards for security services at this specific location, potentially through databases like FPDS or USAspending, and analyze trends in contract values, durations, and awarded contractors over time. This would help determine if the current award represents an increase, decrease, or stable level of investment in campus security.

How does the per-officer cost of this contract compare to similar federal security contracts?

A precise per-officer cost comparison is challenging without knowing the exact number of officers, their hours, and the specific security requirements (e.g., armed vs. unarmed, specialized equipment, shift differentials). The total award is $13.3 million over roughly 1079 days. If we assume an average of, for example, 20 officers working 12-hour shifts, 7 days a week, that's approximately 60,984 officer-hours per month, or 731,808 officer-hours per year. This would place the annual cost around $4.5 million, or roughly $6.15 per officer-hour. Federal security contract rates can vary significantly by region, security level, and contractor, but this figure can be used as a preliminary benchmark against publicly available data for similar services.

What are the key performance indicators (KPIs) used to evaluate the contractor's performance?

The specific Key Performance Indicators (KPIs) for this contract are not detailed in the provided award data. However, typical KPIs for armed security officer services often include metrics such as response times to incidents, adherence to post orders, number of security breaches or incidents, officer punctuality and attendance, successful completion of required training, and overall client satisfaction. The EPA's contracting officer and technical representatives would be responsible for monitoring these KPIs as outlined in the Statement of Work (SOW) and ensuring the contractor meets or exceeds performance standards throughout the contract duration.

What is the track record of Defense Contracting Activity, LLC in performing federal security contracts?

Information regarding the specific track record of Defense Contracting Activity, LLC in performing federal security contracts is not detailed in the provided award data. To assess their track record, one would typically research past performance evaluations, contract history, and any reported issues or successes on federal contract databases such as the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS). This would involve looking at previous awards, their values, the agencies they served, and feedback on their performance quality, timeliness, and adherence to contract terms.

What is the potential risk associated with a firm fixed-price contract for security services?

The primary risk associated with a Firm Fixed-Price (FFP) contract for security services is that unforeseen circumstances or scope creep could lead to the contractor incurring higher costs than anticipated, potentially impacting their profitability or willingness to maintain service quality. Conversely, for the government, the risk is that the fixed price might be higher than necessary if competition was weak or if the contractor underestimated costs and built in a significant contingency. Effective oversight is crucial to ensure the contractor is performing all required duties and not cutting corners to maintain profit margins under the FFP structure.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 68HERC23R0152

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14101 PARKE LONG CT STE P, CHANTILLY, VA, 20151

Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $26,963,900

Exercised Options: $15,980,202

Current Obligation: $13,308,361

Actual Outlays: $10,309,212

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS07F0085Y

IDV Type: FSS

Timeline