DHS Awards $24.1M for Protective Security Officers in San Diego, CA to Paragon Systems Inc
Contract Overview
Contract Amount: $24,095,513 ($24.1M)
Contractor: Paragon Systems Inc
Awarding Agency: Department of Homeland Security
Start Date: 2024-07-01
End Date: 2025-06-30
Contract Duration: 364 days
Daily Burn Rate: $66.2K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: BASE AWARD OF TASK ORDER FOR PROTECTIVE SECURITY OFFICERS (PSO) RECURRING SERVICES IN SAN DIEGO, CA
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92101
Plain-Language Summary
Department of Homeland Security obligated $24.1 million to PARAGON SYSTEMS INC for work described as: BASE AWARD OF TASK ORDER FOR PROTECTIVE SECURITY OFFICERS (PSO) RECURRING SERVICES IN SAN DIEGO, CA Key points: 1. The contract is for recurring protective security officer services. 2. Paragon Systems Inc. is the incumbent contractor. 3. The award is a firm-fixed-price delivery order. 4. The North American Industry Classification System (NAICS) code is 561612 (Security Guards and Patrol Services).
Value Assessment
Rating: good
The award amount of $24.1M for a 1-year period appears reasonable for security services of this nature. Benchmarking against similar contracts for PSO services in major metropolitan areas would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally promotes price discovery and ensures fair market value.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential security services.
Public Impact
Ensures continued security at federal facilities in San Diego. Supports jobs within the private security sector. Provides essential services to a key federal agency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price increases in future contract renewals.
- Dependence on a single contractor for critical security functions.
Positive Signals
- Awarded through full and open competition.
- Firm-fixed-price contract limits cost uncertainty.
- Clear service period and defined scope.
Sector Analysis
The security services sector is a significant area of federal spending, particularly for agencies like DHS. Benchmarks for similar contracts often vary based on location, service level, and contract duration.
Small Business Impact
This award was not set aside for small businesses, and the prime contractor, Paragon Systems Inc., is a large business. There is no information provided on small business subcontracting participation.
Oversight & Accountability
The Office of Procurement Operations within DHS is responsible for this award. Standard oversight procedures for contract performance and financial management are expected to be in place.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- Office of Procurement Operations Programs
Risk Flags
- Potential for contractor performance issues.
- Risk of service disruptions if contractor fails.
- Limited visibility into small business subcontracting.
- Reliance on incumbent contractor.
Tags
security-guards-and-patrol-services, department-of-homeland-security, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $24.1 million to PARAGON SYSTEMS INC. BASE AWARD OF TASK ORDER FOR PROTECTIVE SECURITY OFFICERS (PSO) RECURRING SERVICES IN SAN DIEGO, CA
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 $24.1 million.
What is the period of performance?
Start: 2024-07-01. End: 2025-06-30.
What is the historical performance of Paragon Systems Inc. in providing PSO services to the government?
Assessing Paragon Systems Inc.'s past performance is crucial. Reviewing past contract performance evaluations, any past performance issues, and their track record with similar government contracts can indicate their reliability and ability to meet the requirements of this new award. This information helps gauge the risk associated with the contractor.
How does the awarded price compare to the government's independent government cost estimate (IGCE)?
Comparing the awarded price to the IGCE is a key indicator of value for money. If the awarded price is significantly lower than the IGCE, it suggests strong competition and potentially favorable pricing. Conversely, if it's higher, it may warrant further investigation into the bidding process or the accuracy of the IGCE.
What are the specific performance metrics and service level agreements (SLAs) included in the contract?
The effectiveness of the security services hinges on clearly defined performance metrics and SLAs. These should outline expectations for response times, officer conduct, reporting, and overall security effectiveness. Robust SLAs allow for objective performance evaluation and ensure the government receives the intended level of service.
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, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $24,095,513
Exercised Options: $24,095,513
Current Obligation: $24,095,513
Actual Outlays: $24,051,337
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70RFPW24DW9000002
IDV Type: IDC
Timeline
Start Date: 2024-07-01
Current End Date: 2025-06-30
Potential End Date: 2025-06-30 00:00:00
Last Modified: 2025-06-17
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