DHS Awards $17.4M for Explosive Detection Systems at 10 Airports, Competition Limited
Contract Overview
Contract Amount: $17,390,980 ($17.4M)
Contractor: Smiths Detection Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2021-09-28
End Date: 2029-09-27
Contract Duration: 2,921 days
Daily Burn Rate: $6.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Transportation
Official Description: THE PURPOSE OF THIS PROCUREMENT IS TO PROVIDE MEDIUM SPEED EXPLOSIVE DETECTION SYSTEMS (MSEDS) (EQUIPMENT AND INSTALLATION) TO TEN (10) AIRPORTS.
Place of Performance
Location: EDGEWOOD, HARFORD County, MARYLAND, 21040
State: Maryland Government Spending
Plain-Language Summary
Department of Homeland Security obligated $17.4 million to SMITHS DETECTION INC. for work described as: THE PURPOSE OF THIS PROCUREMENT IS TO PROVIDE MEDIUM SPEED EXPLOSIVE DETECTION SYSTEMS (MSEDS) (EQUIPMENT AND INSTALLATION) TO TEN (10) AIRPORTS. Key points: 1. Spending focuses on critical airport security infrastructure. 2. Sole source award to Smiths Detection Inc. raises competition concerns. 3. Long contract duration (8 years) may limit future innovation. 4. High value contract for specialized security equipment.
Value Assessment
Rating: fair
The contract value of $17.4 million for 10 airports seems reasonable for specialized detection equipment and installation. However, without specific per-unit cost data or benchmarks for similar systems, a precise value assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under limited competition, specifically a sole-source award to Smiths Detection Inc. This limits price discovery and potentially leads to higher costs than a fully competitive process.
Taxpayer Impact: Taxpayer funds are used for essential security upgrades. The limited competition may result in a less optimal price for the government.
Public Impact
Enhanced security at 10 airports, improving passenger safety. Potential for longer wait times if systems are not efficiently installed. Investment in advanced technology for threat detection.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Long contract duration
- Sole source award
Positive Signals
- Essential security upgrade
- Investment in advanced technology
Sector Analysis
This procurement falls within the Transportation Security Administration's (TSA) mandate for aviation security. Spending on security equipment is a significant part of the agency's budget, with benchmarks varying widely based on technology and scale.
Small Business Impact
The data indicates no specific set-aside for small businesses in this procurement. As a sole-source award to a large contractor, opportunities for small businesses to participate directly appear limited.
Oversight & Accountability
The contract is managed by the Department of Homeland Security (DHS) through the TSA. Oversight would focus on ensuring timely installation, system functionality, and adherence to contract terms.
Related Government Programs
- Irradiation Apparatus Manufacturing
- Department of Homeland Security Contracting
- Transportation Security Administration Programs
Risk Flags
- Sole-source award limits competition and price negotiation.
- Long contract duration may not reflect technological advancements.
- Lack of transparency on specific unit costs hinders value assessment.
- Potential for vendor lock-in due to specialized equipment.
Tags
irradiation-apparatus-manufacturing, department-of-homeland-security, md, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $17.4 million to SMITHS DETECTION INC.. THE PURPOSE OF THIS PROCUREMENT IS TO PROVIDE MEDIUM SPEED EXPLOSIVE DETECTION SYSTEMS (MSEDS) (EQUIPMENT AND INSTALLATION) TO TEN (10) AIRPORTS.
Who is the contractor on this award?
The obligated recipient is SMITHS DETECTION 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 $17.4 million.
What is the period of performance?
Start: 2021-09-28. End: 2029-09-27.
What is the justification for the sole-source award, and were alternative solutions considered?
The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one vendor can meet the requirements. The TSA would need to provide documentation detailing why Smiths Detection Inc. was the only viable option and what market research was conducted to confirm this exclusivity.
How does the per-unit cost of these MSEDS compare to similar systems procured by other agencies or internationally?
Benchmarking the per-unit cost is crucial for assessing value. Without access to specific unit pricing and comparative data from other procurements, it's difficult to determine if $1.74 million per airport is competitive. A thorough analysis would require comparing specifications, capabilities, and total lifecycle costs against similar systems.
What are the performance metrics and testing protocols to ensure the effectiveness of the installed MSEDS?
Effectiveness is paramount for security equipment. The contract should outline clear performance metrics, including detection rates, false alarm rates, and operational uptime. Rigorous testing and validation protocols, potentially involving independent verification, are necessary to ensure the systems meet the required security standards.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Irradiation Apparatus Manufacturing
Product/Service Code: ALARM, SIGNAL, SECURITY DETECTION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 70T04021Q7672N003
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2202 LAKESIDE BLVD, EDGEWOOD, MD, 21040
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $30,867,518
Exercised Options: $24,621,302
Current Obligation: $17,390,980
Actual Outlays: $6,473,860
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2021-09-28
Current End Date: 2029-09-27
Potential End Date: 2029-09-27 02:50:59
Last Modified: 2025-05-22
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