Homeland Security awards $2.38M for PSO services in Pennsylvania, with Kerberos International Inc. as contractor

Contract Overview

Contract Amount: $2,380,944 ($2.4M)

Contractor: Kerberos International, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-08-01

End Date: 2024-09-30

Contract Duration: 60 days

Daily Burn Rate: $39.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

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

Place of Performance

Location: TEMPLE, BELL County, TEXAS, 76502

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $2.4 million to KERBEROS INTERNATIONAL, INC. for work described as: PROTECTIVE SECURITY OFFICER (PSO) SERVICES THROUGHOUT THE STATE OF PENNSYLVANIA Key points: 1. Contract value appears reasonable for the scope of services and duration. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. No specific risk indicators are immediately apparent from the provided data. 4. Performance context is limited to security guard services. 5. This contract falls within the broader security services sector.

Value Assessment

Rating: good

The contract value of approximately $2.38 million for a 60-day period for Protective Security Officer (PSO) services across Pennsylvania seems within a reasonable range for such specialized security operations. Benchmarking against similar contracts for PSO services in other states or for longer durations would provide a more precise value-for-money assessment. However, given the limited duration, the pricing appears competitive, especially considering the need for trained personnel and operational overhead.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while the competition was broad, specific sources may have been excluded based on predefined criteria. The number of bidders is not specified, but the 'full and open' nature suggests multiple entities had the opportunity to compete, which generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: A competitive bidding process helps ensure that taxpayer funds are used efficiently by driving down costs through market forces. The government likely received competitive offers, leading to a more favorable price than a sole-source or limited competition award.

Public Impact

The primary beneficiaries are federal agencies requiring protective security services within the state of Pennsylvania. The services delivered include the provision of Protective Security Officers (PSOs). The geographic impact is statewide within Pennsylvania. Workforce implications include the potential employment of security personnel in Pennsylvania.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Awarded under full and open competition, indicating a robust bidding process.
Contract type is Firm Fixed Price, which provides cost certainty.
Contract duration is relatively short (60 days), allowing for reassessment of needs.

Sector Analysis

The security services industry is a significant sector within the broader government contracting landscape. This contract for Protective Security Officers (PSOs) falls under the 'Security Guards and Patrol Services' category. The market for these services is competitive, with numerous firms offering trained personnel for various security needs. Federal spending in this area is consistent, driven by the need to protect government facilities and personnel.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside criterion for this contract. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside requirement. However, the prime contractor may still engage small businesses as subcontractors, though this is not mandated by the contract terms.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Homeland Security's contracting and program management offices. Accountability measures are inherent in the Firm Fixed Price contract type, requiring the contractor to deliver specified services within the agreed-upon cost. Transparency is generally maintained through contract databases, though specific performance metrics and oversight reports may not be publicly available.

Related Government Programs

Federal Protective Service Contracts
Security Guard Services
Department of Homeland Security Procurement

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $2.4 million to KERBEROS INTERNATIONAL, INC.. PROTECTIVE SECURITY OFFICER (PSO) SERVICES THROUGHOUT THE STATE OF PENNSYLVANIA

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 $2.4 million.

What is the period of performance?

Start: 2024-08-01. End: 2024-09-30.

What is the track record of Kerberos International, Inc. with federal contracts, particularly in security services?

Kerberos International, Inc. has a history of federal contracting, primarily within the security and protective services domain. While specific details on their performance across all contracts require deeper analysis of contract databases and performance reports, their presence as a contractor for the Department of Homeland Security suggests they meet certain qualifications and have experience in delivering government-required services. A comprehensive review would involve examining past performance evaluations, any past disputes or contract terminations, and the volume and value of their previous federal awards to assess their reliability and expertise in fulfilling security contracts.

How does the awarded price compare to market rates for similar PSO services in Pennsylvania?

Directly comparing the awarded price of approximately $2.38 million for a 60-day period to specific market rates for PSO services in Pennsylvania is challenging without granular data on the number of officers, their skill levels, hours worked, and specific security requirements. However, the contract's Firm Fixed Price (FFP) nature suggests that the contractor has factored in all anticipated costs, including labor, benefits, overhead, and profit, into their bid. The 'full and open competition' aspect implies that multiple bids were received, and the award was likely made to the most competitive offer. A detailed market analysis would involve obtaining quotes from several private security firms in Pennsylvania for comparable services to establish a benchmark.

What are the potential risks associated with this contract, given its scope and duration?

Given the relatively short duration of 60 days and the Firm Fixed Price (FFP) contract type, the primary risks are related to service delivery and contractor performance. Potential risks include the contractor's ability to rapidly mobilize qualified personnel to meet the demand across Pennsylvania, maintain consistent service quality, and adhere to all security protocols and government directives. If the contractor underperforms or fails to meet requirements, the government may face disruptions in security coverage, necessitating urgent re-procurement or contingency measures. However, the short term also mitigates long-term risks associated with contractor performance or changing requirements.

What is the historical spending pattern for Protective Security Officer (PSO) services by the Department of Homeland Security?

The Department of Homeland Security (DHS) consistently spends significant amounts on Protective Security Officer (PSO) services across various components and geographic locations. Historical data indicates a substantial and ongoing requirement for these services to ensure the safety and security of federal facilities, personnel, and critical infrastructure. Spending patterns can fluctuate based on evolving threat assessments, changes in facility security requirements, and the expiration or renewal of existing contracts. Analyzing DHS's historical obligations for PSO services would reveal trends in contract values, durations, and the types of services procured, providing context for the current award.

What does the 'after exclusion of sources' clause in the competition type imply for the bidding process?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause indicates that while the competition was intended to be broad, certain potential sources were deliberately excluded from bidding. This exclusion is typically based on specific, justifiable reasons outlined in federal acquisition regulations, such as national security concerns, past performance issues, or the need for specialized capabilities that only a limited number of entities possess. While it aims for broad competition, the exclusion of sources can potentially limit the number of bidders and may influence the final price and innovation compared to a truly unrestricted full and open competition.

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

Solicitation ID: 70RFP322RE3000003

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: $2,380,944

Exercised Options: $2,380,944

Current Obligation: $2,380,944

Actual Outlays: $2,115,900

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70RFP323DE3000002

IDV Type: IDC

Timeline