DHS awards $30.5M for ground transport and guard services to ISS Action Inc., highlighting security needs

Contract Overview

Contract Amount: $30,483,105 ($30.5M)

Contractor: ISS Action Inc

Awarding Agency: Department of Homeland Security

Start Date: 2024-08-14

End Date: 2025-09-07

Contract Duration: 389 days

Daily Burn Rate: $78.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: GROUND TRANSPORTATION AND GUARD SERVICES

Place of Performance

Location: JAMAICA, QUEENS County, NEW YORK, 11434

State: New York Government Spending

Plain-Language Summary

Department of Homeland Security obligated $30.5 million to ISS ACTION INC for work described as: GROUND TRANSPORTATION AND GUARD SERVICES Key points: 1. Contract value represents a significant investment in essential security and transportation services. 2. Full and open competition suggests a robust market for these specialized services. 3. The contract duration of over a year indicates ongoing operational requirements. 4. Performance will be monitored closely given the critical nature of security and transportation. 5. The award to ISS Action Inc. positions them as a key provider for CBP's New York operations. 6. Time and Materials pricing requires careful oversight to manage costs effectively.

Value Assessment

Rating: good

The contract value of $30.5 million for approximately 13 months of service appears reasonable for specialized ground transportation and guard services. Benchmarking against similar contracts for security and transportation in high-cost areas like New York is crucial. While specific per-unit costs are not provided, the overall value suggests a significant operational need being met. The Time and Materials pricing structure necessitates diligent oversight to ensure cost-effectiveness and prevent scope creep.

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 detailed, but this procurement method generally fosters competitive pricing and encourages a wider range of solutions. The agency likely sought the best value proposition from a competitive field, which should translate into more favorable terms for the government.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down prices through market forces and allows for the selection of the most cost-effective and capable provider.

Public Impact

U.S. Customs and Border Protection (CBP) personnel and assets will benefit from enhanced security and reliable ground transportation. The services delivered are critical for border security operations and the movement of personnel and equipment. The geographic impact is focused on New York (NY), supporting CBP's operational footprint in the region. The contract supports jobs within the security and transportation sectors, likely benefiting local workforces in New York.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost overruns if not closely managed and monitored for scope.
The duration of the contract (389 days) requires sustained vigilance to ensure performance standards are met throughout the period.
Reliance on a single contractor for critical security and transportation services in a specific region could pose a risk if performance falters.

Positive Signals

Awarded through full and open competition, suggesting a competitive process that likely yielded a fair price.
The contract addresses essential operational needs for U.S. Customs and Border Protection, indicating strategic alignment.
The contractor, ISS Action Inc., is being entrusted with significant responsibilities, implying a level of confidence in their capabilities.

Sector Analysis

The security services industry is a substantial market, with guard services and patrol forming a significant segment. This contract falls within the broader professional, scientific, and technical services sector. Comparable spending benchmarks for security and transportation services can vary widely based on location, scope, and security clearance requirements. The $30.5 million award is a notable sum, reflecting the scale and importance of CBP's needs in the New York area.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it indicate specific subcontracting goals for small businesses. The absence of set-aside provisions means that large businesses were eligible and competed for this award. Further analysis would be needed to determine if ISS Action Inc. has a history of subcontracting with small businesses or if there are opportunities for small businesses to participate in the supply chain for these services.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Customs and Border Protection contracting officer and their representatives. Performance standards and deliverables will be outlined in the contract, with regular reviews to ensure compliance. Transparency is facilitated through contract award databases, though detailed performance metrics are typically internal. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Federal Protective Service Contracts
Department of Homeland Security Transportation Services
Border Patrol Support Services
Government Security Guard Contracts
Logistics and Transportation Services

Risk Flags

Time and Materials Pricing
Potential for Cost Overruns
Critical Security Service Reliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $30.5 million to ISS ACTION INC. GROUND TRANSPORTATION AND GUARD SERVICES

Who is the contractor on this award?

The obligated recipient is ISS ACTION INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $30.5 million.

What is the period of performance?

Start: 2024-08-14. End: 2025-09-07.

What is the historical spending pattern for ground transportation and guard services by U.S. Customs and Border Protection in the New York region?

Analyzing historical spending for CBP in New York for similar services is crucial for context. Without specific historical data for this exact service category and region, it's difficult to provide a precise comparison. However, federal agencies like CBP often have recurring needs for security and transportation, especially in high-traffic border and port areas. Spending can fluctuate based on operational tempo, threat levels, and budget allocations. A review of past solicitations and awards for similar services in NY would reveal trends in contract values, durations, and competition levels, helping to assess if the current $30.5 million award is an anomaly or a continuation of established spending patterns.

How does the per-unit cost of security guard services under this contract compare to industry benchmarks in New York?

Determining the precise per-unit cost for security guard services under this Time and Materials contract is challenging without detailed breakdowns of labor rates, hours, and overhead. However, general industry benchmarks for security guards in the New York metropolitan area typically range from $30 to $70+ per hour, depending on the level of security, licensing, and specific duties. Given the $30.5 million award over approximately 13 months, and assuming a significant portion is allocated to guard services, the effective hourly rate needs careful scrutiny. If the contract includes specialized security personnel or supervisory roles, the average hourly cost could be higher. A detailed cost analysis by the agency would have benchmarked these rates against market data.

What are the key performance indicators (KPIs) that will be used to evaluate ISS Action Inc.'s performance?

Key Performance Indicators (KPIs) for a contract involving ground transportation and guard services typically focus on reliability, responsiveness, security effectiveness, and compliance. For guard services, KPIs might include response times to incidents, adherence to post orders, incident reporting accuracy, and personnel punctuality. For ground transportation, KPIs could involve on-time performance for scheduled movements, vehicle availability, safety record (e.g., accident rates), and adherence to routes or schedules. The contract documents would specify these KPIs, along with acceptable performance levels and any associated award or incentive fees, or penalties for non-performance. Regular performance reviews by CBP officials would track these metrics.

What is the track record of ISS Action Inc. in performing similar federal contracts, particularly for DHS or CBP?

ISS Action Inc. has a history of performing federal contracts, including those with the Department of Homeland Security (DHS) and its components like U.S. Customs and Border Protection (CBP). Their past performance is a critical factor considered during the source selection process. A review of their contract history would reveal the types of services provided, contract values, performance ratings, and any past issues or disputes. Agencies typically access past performance information through databases like the Contractor Performance Assessment Reporting System (CPARS). A positive track record with similar agencies and services suggests a lower risk for this new award, indicating they have demonstrated the capability to meet federal requirements.

What are the potential risks associated with a Time and Materials (T&M) contract for security and transportation services?

Time and Materials (T&M) contracts, like the one awarded to ISS Action Inc., carry inherent risks, primarily related to cost control. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can lead to cost overruns if the scope of work expands or if labor hours are not efficiently managed. For CBP, the risk is that the final cost could exceed the initial estimate or budget if not closely monitored. Effective oversight, including detailed tracking of labor hours, material costs, and regular reviews of progress against defined objectives, is essential to mitigate these risks and ensure value for taxpayer money.

Industry Classification

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

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › OTHER TRANSPORT, TRAVEL, RELOCAT SV

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70B03C24Q00000283

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 204 E MCKENZIE ST, PUNTA GORDA, FL, 33950

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $34,399,864

Exercised Options: $30,483,105

Current Obligation: $30,483,105

Actual Outlays: $29,540,566

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70B03C19A00000040

IDV Type: BPA

Timeline