DHS Awards $6.7M for Protective Security Officers in Tennessee to Kerberos International

Contract Overview

Contract Amount: $6,687,098 ($6.7M)

Contractor: Kerberos International, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-10-01

End Date: 2029-01-31

Contract Duration: 1,583 days

Daily Burn Rate: $4.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PROTECTIVE SECURITY OFFICER SERVICES (PSO) THROUGHOUT THE STATE OF TENNESSEE

Place of Performance

Location: MEMPHIS, SHELBY County, TENNESSEE, 38118

State: Tennessee Government Spending

Plain-Language Summary

Department of Homeland Security obligated $6.7 million to KERBEROS INTERNATIONAL, INC. for work described as: PROTECTIVE SECURITY OFFICER SERVICES (PSO) THROUGHOUT THE STATE OF TENNESSEE Key points: 1. Contract awarded to Kerberos International, Inc. for PSO services in Tennessee. 2. Total contract value is $6,687,098.15 over approximately 4 years. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. The sector is Security Guards and Patrol Services, a niche within broader security services. 5. The contract type is Firm Fixed Price, indicating predictable costs.

Value Assessment

Rating: good

The contract value of $6.7M over nearly 4 years for security services in Tennessee appears reasonable. Benchmarking against similar contracts for protective security officers in other states or for comparable scope would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'Full and Open Competition After Exclusion of Sources' suggests that while the competition was intended to be open, specific sources were excluded, potentially limiting the competitive pool and impacting price discovery.

Taxpayer Impact: The firm fixed price contract type helps control costs for taxpayers, but the limited competition might have led to a higher price than if a broader competition had been pursued.

Public Impact

Ensures security presence across various facilities in Tennessee. Supports the Department of Homeland Security's operational needs. Provides employment opportunities within the security services sector. Contributes to public safety and asset protection within the state.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition due to source exclusion.
Potential for price inflation due to limited competition.

Positive Signals

Firm Fixed Price contract type for cost certainty.
Long-term contract provides stability for service provision.

Sector Analysis

This contract falls under the Security Guards and Patrol Services sector. Spending in this sector is driven by the need for physical security across government facilities and critical infrastructure. Benchmarks vary widely based on location, scope, and security clearance requirements.

Small Business Impact

The data indicates that neither small business set-aside nor small business participation was explicitly noted for this contract. Further investigation would be needed to determine if small businesses had an opportunity to participate or subcontract.

Oversight & Accountability

The contract was awarded by the Department of Homeland Security's Office of Procurement Operations, suggesting established procurement processes. Oversight would focus on service delivery, performance metrics, and adherence to contract terms.

Related Government Programs

Security Guards and Patrol Services
Department of Homeland Security Contracting
Office of Procurement Operations Programs

Risk Flags

Limited competition may have inflated costs.
Lack of explicit small business participation noted.
Potential for price variance if service scope changes.
Dependence on a single contractor for critical security functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $6.7 million to KERBEROS INTERNATIONAL, INC.. PROTECTIVE SECURITY OFFICER SERVICES (PSO) THROUGHOUT THE STATE OF TENNESSEE

Who is the contractor on this award?

The obligated recipient is KERBEROS INTERNATIONAL, 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 $6.7 million.

What is the period of performance?

Start: 2024-10-01. End: 2029-01-31.

What was the rationale for excluding specific sources in the 'Full and Open Competition After Exclusion of Sources' method, and how did this impact the final price?

The rationale for excluding specific sources typically involves factors like specialized capabilities, past performance, or specific security requirements that only a limited number of vendors can meet. This exclusion can reduce the number of bidders, potentially leading to less aggressive pricing compared to a truly open competition. Understanding the specific reasons for exclusion is crucial to assessing whether the final price reflects fair market value or if it was influenced by a constrained bidding environment.

How does the per-unit cost of these Protective Security Officer services compare to similar contracts awarded by DHS or other federal agencies in comparable geographic regions?

Benchmarking the per-unit cost against similar contracts is essential for evaluating value for money. If this contract's rates are significantly higher than comparable contracts, it could indicate potential overpricing or unique service requirements. Conversely, if rates are lower, it might suggest favorable negotiation or a highly competitive bidding process, despite the exclusion of some sources.

What performance metrics are in place to ensure the effectiveness of the Protective Security Officer services provided by Kerberos International, Inc.?

Effective oversight requires clearly defined performance metrics and service level agreements (SLAs). These metrics should cover aspects like officer punctuality, adherence to post orders, incident reporting accuracy, and overall security posture. Regular performance reviews and feedback mechanisms are crucial to ensure the contractor is meeting or exceeding expectations and that taxpayer funds are being used effectively to achieve the intended security outcomes.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Kerberos International Inc.

Address: 2109 BIRDCREEK TER, TEMPLE, TX, 76502

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, 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: $6,687,098

Exercised Options: $6,687,098

Current Obligation: $6,687,098

Actual Outlays: $6,029,360

Contract Characteristics

Commercial Item: PRODUCTS OR SERVICES PURSUANT TO FAR 12.102(F)

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70RFP123DE4000003

IDV Type: IDC

Timeline