DHS awards $11.4M for armed protective security services in Pennsylvania, with Kerberos International Inc. as the contractor

Contract Overview

Contract Amount: $11,439,694 ($11.4M)

Contractor: Kerberos International, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-10-01

End Date: 2025-07-31

Contract Duration: 303 days

Daily Burn Rate: $37.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ARMED 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 $11.4 million to KERBEROS INTERNATIONAL, INC. for work described as: ARMED PROTECTIVE SECURITY OFFICER (PSO) SERVICES THROUGHOUT THE STATE OF PENNSYLVANIA Key points: 1. Contract value of $11.4M for approximately 10 months of service. 2. Services are for armed protective security officers in Pennsylvania. 3. Contract awarded to Kerberos International, Inc. 4. Procurement method was full and open competition after exclusion of sources. 5. The contract is a delivery order under a larger contract. 6. Fixed-price contract type suggests predictable costs for the government.

Value Assessment

Rating: good

The contract value of $11.4 million for approximately 10 months of armed protective security services appears reasonable given the scope. Benchmarking against similar contracts for security services across different states and agencies is necessary for a definitive value assessment. The firm-fixed-price structure helps control costs for the government, but the specific per-hour rates or officer costs would be needed for a detailed price analysis.

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.' This indicates that while the competition was generally open, specific sources may have been excluded for particular reasons, which warrants further investigation. The number of bidders is not provided, but the 'full and open' nature suggests a competitive process was intended, which typically leads to better price discovery.

Taxpayer Impact: A competitive process, even with exclusions, generally benefits taxpayers by encouraging multiple vendors to offer their best pricing and service levels to secure the contract.

Public Impact

Provides essential security services to protect federal assets and personnel within Pennsylvania. Ensures the safety and security of government facilities and operations in the state. Supports the mission of the Department of Homeland Security. Creates employment opportunities for armed protective security officers in Pennsylvania.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency regarding the exclusion of specific sources in the 'full and open competition after exclusion of sources' award.
Absence of detailed performance metrics or past performance data for Kerberos International, Inc. in the provided data.
The duration of the contract (approx. 10 months) may indicate a need for interim services or a potential for follow-on contracts, requiring ongoing monitoring.

Positive Signals

Awarded through a competitive process, suggesting potential for cost savings and quality service.
Firm-fixed-price contract type provides cost certainty for the government.
The contract addresses a critical need for security services for a federal agency.

Sector Analysis

The security services sector is a significant component of government contracting, encompassing a wide range of protective and investigative services. This contract falls within the 'Security Guards and Patrol Services' NAICS code (561612). Spending in this sector is consistently high across federal agencies, driven by the need to protect sensitive facilities, personnel, and information. Benchmarks for similar security contracts can vary widely based on geographic location, service complexity (e.g., armed vs. unarmed, specialized equipment), and contract duration.

Small Business Impact

The provided data indicates that small business participation (ss and sb fields) is false for this contract. This suggests that the prime contract was not set aside for small businesses, nor does it appear to have specific subcontracting goals for small businesses explicitly stated in this data. Further review of the full contract would be needed to determine if any subcontracting opportunities exist or were mandated.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Homeland Security's contracting officers and program managers. The firm-fixed-price nature of the contract simplifies financial oversight. Performance monitoring would be crucial to ensure the security services meet the required standards. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Federal Protective Service Contracts
Department of Homeland Security Security Services
State-Specific Security Guard Contracts
Armed Security Personnel Contracts

Risk Flags

Potential lack of robust competition due to source exclusion.
Need for detailed performance monitoring to ensure service quality.
Contract duration may indicate a need for further procurement actions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $11.4 million to KERBEROS INTERNATIONAL, INC.. ARMED 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 $11.4 million.

What is the period of performance?

Start: 2024-10-01. End: 2025-07-31.

What is the specific reason for the exclusion of sources in this 'full and open competition after exclusion of sources' award?

The designation 'full and open competition after exclusion of sources' implies that while the solicitation was broadly advertised, certain potential offerors were intentionally excluded from bidding. The specific reasons for such exclusions are typically documented in the contract file and can include factors like past performance issues, failure to meet pre-qualification criteria, or specific agency requirements that only a subset of potential contractors could meet. Without access to the detailed contract award documentation, the precise rationale for excluding other sources remains unknown. This exclusion could potentially limit the competitive landscape and impact the final price and service offerings.

How does the $11.4 million contract value compare to similar armed protective security officer services contracts awarded by DHS or other federal agencies?

Benchmarking the $11.4 million contract value requires comparing it against contracts for similar armed protective security officer (PSO) services, considering factors like geographic scope, duration, number of officers required, and specific security requirements. Contracts for PSO services can range significantly. For instance, a 10-month contract for a single facility might be in the low millions, while a statewide contract covering multiple high-security locations could easily reach tens of millions. To provide a precise comparison, data on the average cost per officer hour, the total number of officer hours, and the specific threat level of the protected sites would be necessary. Given the duration of approximately 10 months, the value appears to be within a plausible range for statewide coverage, but a detailed analysis against peer contracts is needed for a definitive assessment of value for money.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

The provided data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for armed protective security services, KPIs would include metrics such as response times to incidents, adherence to post orders, officer punctuality and attendance, incident reporting accuracy, and compliance with training requirements. SLAs would define the expected standards for these metrics, often with associated remedies or penalties for non-performance. The Department of Homeland Security would have established these specific requirements within the contract's statement of work to ensure the effectiveness and reliability of the security services provided by Kerberos International, Inc.

What is the track record of Kerberos International, Inc. in providing similar security services to federal agencies?

Information regarding the specific track record of Kerberos International, Inc. in providing similar armed protective security services to federal agencies is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance evaluations on federal contracts, including any awards, past performance questionnaires (PPQs), and any documented instances of performance issues or contract disputes. Federal agencies typically rely heavily on past performance data during the source selection process to gauge a contractor's reliability, capability, and overall suitability for undertaking new contracts. Without this specific historical data, it is difficult to fully evaluate the contractor's suitability for this role.

What is the historical spending trend for armed protective security services by the Department of Homeland Security?

Historical spending trends for armed protective security services by the Department of Homeland Security (DHS) are generally substantial, reflecting the agency's broad mandate to protect national security and public safety. DHS, through its various components like Customs and Border Protection (CBP), Immigration and Customs Enforcement (ICE), and the Federal Protective Service (FPS), requires extensive security services across numerous facilities and operational areas nationwide. Annual spending in this category can fluctuate based on evolving security needs, new facility requirements, and the competitive landscape of security service providers. Analyzing DHS's budget allocations and contract awards over several fiscal years would reveal patterns in spending, identify key service providers, and highlight any shifts in the types or scale of security services procured.

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: $11,439,694

Exercised Options: $11,439,694

Current Obligation: $11,439,694

Actual Outlays: $9,129,515

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70RFP323DE3000002

IDV Type: IDC

Timeline