DHS awards $14.6M for Northern NJ PSO services to Paragon Systems Inc. under full and open competition
Contract Overview
Contract Amount: $14,651,140 ($14.7M)
Contractor: Paragon Systems Inc
Awarding Agency: Department of Homeland Security
Start Date: 2023-12-01
End Date: 2024-09-30
Contract Duration: 304 days
Daily Burn Rate: $48.2K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PROTECTIVE SECURITY OFFICER (PSO) SERVICES IN NORTHERN NEW JERSEY
Place of Performance
Location: HERNDON, FAIRFAX County, VIRGINIA, 20171
State: Virginia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $14.7 million to PARAGON SYSTEMS INC for work described as: PROTECTIVE SECURITY OFFICER (PSO) SERVICES IN NORTHERN NEW JERSEY Key points: 1. The contract value is $14.6 million for PSO services in Northern New Jersey. 2. Paragon Systems Inc. is the sole awardee for this delivery order. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The sector is Security Guards and Patrol Services, a critical component of physical security.
Value Assessment
Rating: good
The award amount of $14.6 million for a 10-month period appears reasonable given the scope of protective security services. Benchmarking against similar contracts for PSO services in comparable regions would provide a more precise assessment.
Cost Per Unit: $48,195 (estimated annual cost per officer based on total award and duration)
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives best value.
Taxpayer Impact: The competitive nature of the award is expected to yield a fair price for taxpayers, ensuring efficient use of federal funds for essential security services.
Public Impact
Ensures the physical security of federal facilities and personnel in Northern New Jersey. Supports the Department of Homeland Security's mission to protect the nation. Provides employment opportunities within the security services sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited duration of the contract (10 months) may necessitate future competitive procurements.
- Lack of specific performance metrics in the provided data makes it difficult to assess effectiveness.
- Potential for price increases in subsequent contract renewals.
Positive Signals
- Awarded under full and open competition, promoting market competition.
- Clear identification of the awarding agency (DHS) and contractor (Paragon Systems Inc.).
- Fixed-price contract type helps control costs.
Sector Analysis
The security services sector is vital for government operations, encompassing a wide range of protective measures. Spending in this area is often driven by national security needs and facility protection requirements.
Small Business Impact
The data indicates that small businesses were not the primary awardees for this specific contract, as it was awarded to Paragon Systems Inc. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.
Oversight & Accountability
The Department of Homeland Security, through its Office of Procurement Operations, managed this award. Standard procurement oversight processes should be in place to ensure compliance and performance.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- Office of Procurement Operations Programs
Risk Flags
- Potential for contract consolidation or expansion in future procurements.
- Dependence on a single contractor for critical security services.
- Need for robust performance monitoring to ensure service quality.
- Risk of price escalation in follow-on contracts.
Tags
security-guards-and-patrol-services, department-of-homeland-security, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $14.7 million to PARAGON SYSTEMS INC. PROTECTIVE SECURITY OFFICER (PSO) SERVICES IN NORTHERN NEW JERSEY
Who is the contractor on this award?
The obligated recipient is PARAGON SYSTEMS INC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Office of Procurement Operations).
What is the total obligated amount?
The obligated amount is $14.7 million.
What is the period of performance?
Start: 2023-12-01. End: 2024-09-30.
What is the specific scope of work for these PSO services, and how does it compare to industry standards for similar contracts?
The provided data lacks specific details on the scope of work for the Protective Security Officer (PSO) services. A comprehensive analysis would require reviewing the contract's statement of work to understand the exact duties, locations, and security levels required. Comparing these requirements to industry benchmarks for similar government or private sector contracts would help determine if the scope is standard or unusually demanding, impacting the overall value.
What are the key performance indicators (KPIs) for this contract, and how will Paragon Systems Inc.'s performance be measured?
The provided data does not include information on Key Performance Indicators (KPIs) or the specific methods for measuring Paragon Systems Inc.'s performance. Effective oversight requires clearly defined KPIs related to response times, incident reporting accuracy, officer conduct, and overall security effectiveness. Without this information, assessing the contractor's performance and the true value delivered to the government is challenging.
What is the historical performance record of Paragon Systems Inc. with the Department of Homeland Security or similar agencies for PSO services?
The provided data does not contain information regarding Paragon Systems Inc.'s historical performance. A thorough risk assessment would involve reviewing past contract performance, including any past performance evaluations, awards, or disputes. Understanding their track record with DHS or other federal agencies would provide insights into their reliability, quality of service, and ability to meet contractual obligations effectively.
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
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Securitas AB
Address: 13900 LINCOLN PARK DR STE 300, HERNDON, VA, 20171
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $14,651,140
Exercised Options: $14,651,140
Current Obligation: $14,651,140
Actual Outlays: $14,499,874
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70RFP120DE2000003
IDV Type: IDC
Timeline
Start Date: 2023-12-01
Current End Date: 2024-09-30
Potential End Date: 2024-09-30 00:00:00
Last Modified: 2025-11-28
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