DOL Awards $2.89M for Armed Guard Services to Diversified Protection Corp
Contract Overview
Contract Amount: $2,890,446 ($2.9M)
Contractor: Diversified Protection Corp
Awarding Agency: Department of Homeland Security
Start Date: 2026-08-01
End Date: 2026-09-30
Contract Duration: 60 days
Daily Burn Rate: $48.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ARMED GUARD II SERVICES AT THE DEPARTMENT OF LABOR HEADQUARTERS IN WASHINGTON DC
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001
Plain-Language Summary
Department of Homeland Security obligated $2.9 million to DIVERSIFIED PROTECTION CORP for work described as: ARMED GUARD II SERVICES AT THE DEPARTMENT OF LABOR HEADQUARTERS IN WASHINGTON DC Key points: 1. Contract awarded to Diversified Protection Corp for armed guard services. 2. The contract is for services at the Department of Labor headquarters. 3. The total award amount is $2,890,446.04. 4. Services are for security guards and patrol, NAICS 561612. 5. The contract duration is 60 days.
Value Assessment
Rating: good
The award amount of $2.89M for a 60-day period appears high for security guard services. Benchmarking against similar contracts for armed guard services in the DC area is recommended to assess value.
Cost Per Unit: $48,174 (per day)
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially more favorable pricing for the government.
Taxpayer Impact: Taxpayer funds are being used for essential security services, with competition aiming to ensure efficient use of these funds.
Public Impact
Ensures security at the Department of Labor headquarters. Supports federal agency operations by maintaining a safe environment. Provides employment for security personnel.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- High per-day cost for security services.
- Short contract duration may indicate a temporary need or a gap-filling measure.
Positive Signals
- Awarded under full and open competition.
- Clear statement of work for security guard services.
Sector Analysis
Security guard services fall under the broader professional, scientific, and technical services sector. Benchmarks for similar contracts are crucial given the high daily rate.
Small Business Impact
The contract was not set aside for small businesses and was awarded to Diversified Protection Corp, which may or may not be an SMB. Further analysis is needed to determine the impact on small business participation.
Oversight & Accountability
The Department of Homeland Security, Office of Procurement Operations, managed this award. Oversight is critical to ensure service delivery meets requirements and costs remain justified.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- Office of Procurement Operations Programs
Risk Flags
- High per-day cost.
- Short contract duration.
- Potential for service disruption.
- Security risks associated with guard performance.
Tags
security-guards-and-patrol-services, department-of-homeland-security, dc, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $2.9 million to DIVERSIFIED PROTECTION CORP. ARMED GUARD II SERVICES AT THE DEPARTMENT OF LABOR HEADQUARTERS IN WASHINGTON DC
Who is the contractor on this award?
The obligated recipient is DIVERSIFIED PROTECTION CORP.
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 $2.9 million.
What is the period of performance?
Start: 2026-08-01. End: 2026-09-30.
What is the justification for the high per-day cost of armed guard services?
The high per-day cost of $48,174 warrants further investigation. Factors such as the number of guards required, specific security clearances, specialized equipment, and the high-risk environment of a federal building could contribute. However, a detailed breakdown of costs and comparison with industry standards for similar services in Washington D.C. is necessary to validate this rate.
What are the specific risks associated with this contract?
Key risks include potential overpayment due to the high per-day cost, service disruptions if the contractor fails to meet performance standards, and security breaches if guard performance is inadequate. The short duration also poses a risk if the need for these services extends beyond the current contract period, requiring a new, potentially rushed procurement.
How effective is the full and open competition in ensuring value for money?
Full and open competition is generally effective in promoting value for money by encouraging multiple bids and driving down prices. However, the effectiveness in this specific case depends on the clarity of the solicitation, the responsiveness of potential bidders, and the government's ability to evaluate proposals accurately. The high award cost suggests that further scrutiny of the evaluation and pricing is warranted.
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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 70RFP225QEC000032
Offers Received: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 109 RIVER LANDING DR STE 300, DANIEL ISLAND, SC, 29492
Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $94,846,103
Exercised Options: $2,890,446
Current Obligation: $2,890,446
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70RFP224DEC000004
IDV Type: IDC
Timeline
Start Date: 2026-08-01
Current End Date: 2026-09-30
Potential End Date: 2031-07-31 00:00:00
Last Modified: 2026-04-06
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