DHS Awards $23.7M Contract for Protective Security Officers in California to Paragon Systems Inc
Contract Overview
Contract Amount: $23,689,173 ($23.7M)
Contractor: Paragon Systems Inc
Awarding Agency: Department of Homeland Security
Start Date: 2025-10-01
End Date: 2026-06-30
Contract Duration: 272 days
Daily Burn Rate: $87.1K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PROTECTIVE SECURITY OFFICER (PSO) RECURRING SERVICES FOR SAN DIEGO, CALIFORNIA
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92101
Plain-Language Summary
Department of Homeland Security obligated $23.7 million to PARAGON SYSTEMS INC for work described as: PROTECTIVE SECURITY OFFICER (PSO) RECURRING SERVICES FOR SAN DIEGO, CALIFORNIA Key points: 1. The contract is for recurring PSO services in San Diego, California. 2. Paragon Systems Inc. is the incumbent contractor. 3. The contract was awarded under full and open competition. 4. The total value is $23.7 million over a 272-day period. 5. The NAICS code 561612 covers Security Guards and Patrol Services.
Value Assessment
Rating: good
The contract value of $23.7 million for 272 days suggests a daily rate of approximately $87,000. This appears reasonable for specialized security services, especially considering the need for trained personnel and operational overhead.
Cost Per Unit: $87,093 per day (estimated)
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: Taxpayers benefit from competitive pricing achieved through an open bidding process, ensuring funds are used efficiently for essential security services.
Public Impact
Ensures continued security presence at federal facilities in San Diego. Supports the Department of Homeland Security's mission to protect critical infrastructure. Provides employment opportunities for security personnel in California.
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.
- Clear definition of services and duration.
- Incumbent contractor may offer efficiencies.
Sector Analysis
The Security Guards and Patrol Services sector (NAICS 561612) is competitive, with numerous providers. Federal contracts in this space often involve significant value due to the critical nature of security operations.
Small Business Impact
While this contract was awarded through full and open competition, there is no specific indication of small business participation in this particular award. Future solicitations could explore subcontracting opportunities for small businesses.
Oversight & Accountability
The Department of Homeland Security's Office of Procurement Operations managed this award. Oversight will be crucial to ensure service delivery meets contractual requirements and performance standards.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- Office of Procurement Operations Programs
Risk Flags
- Potential for service disruption if contractor fails to perform.
- Risk of cost overruns if scope creep occurs.
- Reliance on incumbent may limit innovation.
- Need for continuous monitoring of service quality.
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 $23.7 million to PARAGON SYSTEMS INC. PROTECTIVE SECURITY OFFICER (PSO) RECURRING SERVICES FOR SAN DIEGO, CALIFORNIA
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 $23.7 million.
What is the period of performance?
Start: 2025-10-01. End: 2026-06-30.
What is the historical performance of Paragon Systems Inc. in fulfilling similar security contracts?
Assessing Paragon Systems Inc.'s past performance on similar contracts is crucial for understanding their reliability and effectiveness. Reviewing past performance evaluations, any documented issues or commendations, and their track record with government agencies can provide insights into their ability to meet the requirements of this new contract. This historical data helps predict future performance and mitigate potential risks.
How does the daily rate compare to industry benchmarks for similar protective security services in the San Diego region?
Comparing the estimated daily rate of $87,093 to industry benchmarks for protective security officers in San Diego is essential for value assessment. Factors like the number of officers, required certifications, hours of service, and specific security protocols influence costs. Benchmarking helps determine if the awarded price is competitive and reflects fair market value, preventing potential overspending.
What measures are in place to ensure the quality and effectiveness of the security services provided under this contract?
Ensuring the quality and effectiveness of PSO services requires robust oversight mechanisms. This includes clearly defined performance standards, regular performance reviews, and established procedures for addressing any deficiencies. The contract should outline key performance indicators (KPIs) and the government's right to inspect and approve services, ensuring taxpayer funds are used for high-quality, effective security.
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: $23,689,173
Exercised Options: $23,689,173
Current Obligation: $23,689,173
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70RFPW24DW9000002
IDV Type: IDC
Timeline
Start Date: 2025-10-01
Current End Date: 2026-06-30
Potential End Date: 2026-06-30 00:00:00
Last Modified: 2026-03-24
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