DHS awards $7.78M contract for MSEDS equipment to Leidos, impacting airport security

Contract Overview

Contract Amount: $7,782,168 ($7.8M)

Contractor: Leidos Security Detection & Automation, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2019-09-30

End Date: 2024-09-29

Contract Duration: 1,826 days

Daily Burn Rate: $4.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PURCHASE OF MSEDS EQUIPMENT AND ASSOCIATED SERVICES.

Place of Performance

Location: NEWARK, ALAMEDA County, CALIFORNIA, 94560

State: California Government Spending

Plain-Language Summary

Department of Homeland Security obligated $7.8 million to LEIDOS SECURITY DETECTION & AUTOMATION, INC. for work described as: PURCHASE OF MSEDS EQUIPMENT AND ASSOCIATED SERVICES. Key points: 1. The contract value of $7.78 million is moderate for specialized security equipment. 2. Leidos Security Detection & Automation, Inc. is a significant player in this niche market. 3. Potential risks include technology obsolescence and integration challenges with existing systems. 4. This spending falls within the broader IT and Defense/Security sectors.

Value Assessment

Rating: good

The contract value of $7.78 million for MSEDS equipment and services appears reasonable given the specialized nature of the technology. Benchmarking against similar procurements for advanced security screening systems would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method is expected to yield fair market prices and ensure the government receives the best value.

Taxpayer Impact: Taxpayer funds are being used for critical security infrastructure, aiming to enhance public safety at transportation hubs.

Public Impact

Enhances airport security screening capabilities nationwide. Supports the Transportation Security Administration's mission to protect transportation systems. Potential for improved passenger throughput and detection of threats.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This procurement falls under the Information Technology and Defense/Security sectors, specifically related to advanced detection and navigation systems. Spending benchmarks for similar security equipment vary widely based on technological sophistication and scale.

Small Business Impact

The contract was awarded to Leidos Security Detection & Automation, Inc., a large business. There is no indication of small business participation in this specific award, which could be an area for future consideration.

Oversight & Accountability

The contract is managed by the Department of Homeland Security's Transportation Security Administration. Standard oversight mechanisms for federal contracts, including performance monitoring and financial reporting, are expected to be in place.

Related Government Programs

Risk Flags

Tags

search-detection-navigation-guidance-aer, department-of-homeland-security, ca, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $7.8 million to LEIDOS SECURITY DETECTION & AUTOMATION, INC.. PURCHASE OF MSEDS EQUIPMENT AND ASSOCIATED SERVICES.

Who is the contractor on this award?

The obligated recipient is LEIDOS SECURITY DETECTION & AUTOMATION, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Transportation Security Administration).

What is the total obligated amount?

The obligated amount is $7.8 million.

What is the period of performance?

Start: 2019-09-30. End: 2024-09-29.

What is the expected lifespan and upgrade path for the MSEDS equipment to ensure long-term value?

The expected lifespan and upgrade path for the MSEDS equipment are crucial for assessing long-term value. Without this information, it's difficult to determine if the initial investment will remain effective against evolving threats or become obsolete quickly. Future contracts should clearly define technology refresh cycles and supportability requirements.

How does the performance of this MSEDS equipment compare to other available technologies in terms of threat detection accuracy and false alarm rates?

Comparing the performance of this MSEDS equipment against alternatives is vital for understanding its effectiveness. Data on threat detection accuracy and false alarm rates directly impacts operational efficiency and security outcomes. A thorough post-award analysis or comparative study would illuminate whether this specific technology offers superior capabilities.

What is the total cost of ownership, including maintenance, training, and potential upgrades, over the contract's duration?

The total cost of ownership (TCO) is a critical factor beyond the initial award amount. Understanding the full financial commitment, encompassing ongoing maintenance, necessary training for personnel, and anticipated upgrade costs, provides a more realistic picture of the investment. This comprehensive view is essential for budget planning and demonstrating fiscal responsibility.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: ALARM, SIGNAL, SECURITY DETECTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 70T04019Q9CAP1002

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: ONE RADCLIFF RD, TEWKSBURY, MA, 01876

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $27,282,392

Exercised Options: $7,782,168

Current Obligation: $7,782,168

Actual Outlays: $5,592,404

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $42,235

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2019-09-30

Current End Date: 2024-09-29

Potential End Date: 2024-09-29 02:48:42

Last Modified: 2026-02-04

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