DHS awards $2.4M for courier services in Florida, with 2 bids received

Contract Overview

Contract Amount: $24,480 ($24.5K)

Contractor: Homeland Security and Management Solutions, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-01-29

End Date: 2026-09-15

Contract Duration: 960 days

Daily Burn Rate: $26/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: NEW COURIER SERVICES FOR OPLA ORLANDO

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32801

State: Florida Government Spending

Plain-Language Summary

Department of Homeland Security obligated $24,480 to HOMELAND SECURITY AND MANAGEMENT SOLUTIONS, INC. for work described as: NEW COURIER SERVICES FOR OPLA ORLANDO Key points: 1. Value for money appears reasonable given the fixed-price nature of the contract. 2. Competition dynamics indicate a moderately competitive environment with two bidders. 3. Risk indicators are low, with a firm fixed-price contract type and established service dates. 4. Performance context is for essential courier services supporting immigration and customs operations. 5. Sector positioning is within the logistics and delivery services industry, supporting government functions.

Value Assessment

Rating: good

The contract value of $2.45 million for courier services over approximately 2.6 years appears to be within a reasonable range for such services. Benchmarking against similar federal contracts for courier and delivery services would provide a more precise value-for-money assessment. The firm fixed-price structure helps control costs for the government, shifting some of the financial risk to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under the Simplified Acquisition Procedures (SAP), suggesting it was accessible to a broad range of vendors. With two bids received, the competition level indicates a moderate interest from the market. While not a large number of bidders, it suggests that multiple firms were aware of and capable of fulfilling the requirement, contributing to price discovery.

Taxpayer Impact: The moderate competition likely resulted in a fair market price for the government, avoiding potential overpayment that could occur with a sole-source award.

Public Impact

U.S. Immigration and Customs Enforcement (ICE) benefits from reliable and timely delivery of sensitive documents and packages. Essential courier and delivery services are provided to support the operational needs of ICE in Florida. The geographic impact is concentrated within Florida, ensuring localized support for federal agencies. Workforce implications are primarily for the contractor's delivery personnel and administrative staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Firm fixed-price contract type helps manage cost certainty.
Clear start and end dates for service delivery.
Awarded to a single contractor for defined service period.

Sector Analysis

This contract falls within the broader logistics and transportation sector, specifically focusing on courier and express delivery services. The market for these services is highly competitive, with numerous private sector providers. Government contracts for such services are common, supporting the movement of documents, equipment, and other materials across various agencies and locations. The size of this contract is modest within the overall federal spending landscape for logistics.

Small Business Impact

Information regarding small business set-asides or subcontracting plans was not explicitly provided in the data. However, the contract was competed under SAP, which can include provisions for small business participation. Further analysis would be needed to determine if small businesses were involved either as prime contractors or subcontractors.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Immigration and Customs Enforcement contracting officer and program managers. Accountability is ensured through the firm fixed-price contract terms and performance expectations. Transparency is facilitated by the public availability of contract award data, though detailed performance metrics are not publicly disclosed.

Related Government Programs

Federal Express Services
United Parcel Service Contracts
Logistics and Transportation Services
Government Courier Contracts

Risk Flags

Moderate competition level may limit price optimization.
Contractor's past performance history requires verification.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $24,480 to HOMELAND SECURITY AND MANAGEMENT SOLUTIONS, INC.. NEW COURIER SERVICES FOR OPLA ORLANDO

Who is the contractor on this award?

The obligated recipient is HOMELAND SECURITY AND MANAGEMENT SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $24,480.

What is the period of performance?

Start: 2024-01-29. End: 2026-09-15.

What is the historical spending by DHS on courier services in Florida?

Historical spending data for Department of Homeland Security (DHS) courier services specifically within Florida is not directly available from the provided contract details. However, the current award of approximately $2.45 million over roughly 2.6 years suggests an average annual spend of around $940,000 for these services in the region. To understand historical patterns, one would need to analyze past contract awards for similar services by DHS or its component agencies (like ICE) within Florida over several fiscal years. This would involve searching federal procurement databases for keywords related to 'courier services,' 'delivery services,' and 'Florida' and aggregating the awarded amounts to identify trends, fluctuations, and the typical scale of such procurements.

How does the number of bidders (2) compare to similar federal courier service contracts?

Receiving two bids for a federal contract competed under Simplified Acquisition Procedures (SAP) is not uncommon, but it suggests a moderately competitive landscape. For contracts in this value range ($2.45 million), a higher number of bidders (e.g., 3-5 or more) might be expected in a truly robustly competitive market, potentially leading to more aggressive pricing. However, the specific nature of the requirement, geographic limitations, or the contractor pool for specialized courier services could influence the number of interested parties. Comparing this to a broader dataset of federal courier contracts awarded under SAP would reveal if two bidders is typical, low, or high for this service category and value.

What are the potential risks associated with a firm fixed-price contract for courier services?

The primary risk with a firm fixed-price (FFP) contract for courier services lies with the contractor. If the contractor underestimates costs, experiences unexpected price increases for fuel or labor, or faces operational inefficiencies, their profit margin will be reduced, or they could incur a loss. For the government, the main risk is that the fixed price might not reflect the absolute lowest possible cost if competition had been more intense or if market conditions change unfavorably for the contractor during the contract period. However, FFP contracts are generally favored for their cost certainty for the government, as the price is set upfront and is not subject to upward adjustment based on the contractor's cost experience.

What is the track record of HOMELAND SECURITY AND MANAGEMENT SOLUTIONS, INC. with federal contracts?

Information regarding the specific track record of HOMELAND SECURITY AND MANAGEMENT SOLUTIONS, INC. with federal contracts is not provided in the given data. A comprehensive assessment would require accessing federal procurement databases (like SAM.gov or FPDS) to review their past performance, contract history, types of services provided, award values, and any reported performance issues or successes. Understanding their experience with similar courier or logistics contracts, their past performance ratings, and their financial stability would be crucial for evaluating their reliability as a contractor for this DHS requirement.

How does the contract duration (960 days) impact the overall value proposition?

The contract duration of 960 days (approximately 2.6 years) is a significant factor in the overall value proposition. A longer duration allows for greater continuity of service, reducing the administrative burden and potential disruption associated with frequent re-procurement. It also provides the contractor with a more stable revenue stream, potentially enabling them to invest in resources and personnel more effectively. For the government, a longer term can sometimes lead to better pricing if the contractor offers discounts for commitment. However, it also means a longer commitment to a specific price, which could be disadvantageous if market rates decrease significantly during the contract period.

Industry Classification

NAICS: Transportation and Warehousing › Couriers and Express Delivery Services › Couriers and Express Delivery Services

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 324 MAIN ST UNIT 1143, LAUREL, MD, 20707

Business Categories: American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $65,880

Exercised Options: $24,480

Current Obligation: $24,480

Actual Outlays: $12,240

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline