HHS awards $3.3M contract for NIH security guard services to Cape Fox Facilities Services
Contract Overview
Contract Amount: $3,298,050 ($3.3M)
Contractor: Cape FOX Facilities Services, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2025-07-30
End Date: 2026-03-29
Contract Duration: 242 days
Daily Burn Rate: $13.6K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ROCKY MOUNTAIN LABORATORIES (RML) SECURITY GUARD SERVICES
Place of Performance
Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $3.3 million to CAPE FOX FACILITIES SERVICES, LLC for work described as: ROCKY MOUNTAIN LABORATORIES (RML) SECURITY GUARD SERVICES Key points: 1. Contract value of $3.3M for security guard services. 2. Sole-source award to Cape Fox Facilities Services, LLC. 3. Potential risk associated with limited competition. 4. Services fall under the Security Guards and Patrol Services sector.
Value Assessment
Rating: fair
The contract value of $3.3M for 242 days of service appears high when compared to typical security guard contracts. Benchmarking against similar government contracts for security services is recommended to assess value.
Cost Per Unit: $13,628 (estimated annual cost)
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, indicating a lack of competition. This limits price discovery and may result in a higher cost to taxpayers than if multiple vendors had competed.
Taxpayer Impact: The sole-source nature of this award may lead to a higher cost for taxpayers due to the absence of competitive bidding.
Public Impact
Ensures security at National Institutes of Health facilities. Supports federal agency operations through essential protective services. Potential for increased costs due to lack of competition.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition
- Potential for overpayment due to lack of price competition
- Contract duration is relatively short, requiring potential re-competition soon
Positive Signals
- Provides essential security services
- Contract awarded to a known entity (Cape Fox Facilities Services)
Sector Analysis
This contract falls under the Security Guards and Patrol Services (NAICS 561612) sector. Spending in this sector is consistent across federal agencies for facility protection. Benchmarks for similar contracts are crucial for value assessment.
Small Business Impact
The contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were considered or if opportunities were missed.
Oversight & Accountability
Oversight will be critical to ensure the contractor meets all security requirements and that the pricing remains fair, especially given the sole-source nature of the award. The Department of Health and Human Services and the National Institutes of Health will be responsible for monitoring performance.
Related Government Programs
- Security Guards and Patrol Services
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- Sole-source award
- Lack of competitive pricing
- Potential for cost overruns
- No small business participation noted
Tags
security-guards-and-patrol-services, department-of-health-and-human-services, md, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $3.3 million to CAPE FOX FACILITIES SERVICES, LLC. ROCKY MOUNTAIN LABORATORIES (RML) SECURITY GUARD SERVICES
Who is the contractor on this award?
The obligated recipient is CAPE FOX FACILITIES SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (National Institutes of Health).
What is the total obligated amount?
The obligated amount is $3.3 million.
What is the period of performance?
Start: 2025-07-30. End: 2026-03-29.
What is the justification for the sole-source award, and were alternative competition methods explored?
The justification for the sole-source award is not provided in the data. Typically, sole-source awards are made when only one responsible source can satisfy the agency's needs. Exploring alternative competition methods, such as simplified acquisition procedures or limited competition, could potentially lead to better pricing and value for the taxpayer.
How does the per-unit cost compare to industry benchmarks for similar security guard services?
The provided per-unit cost of $13,628 is an estimated annual cost. A thorough comparison with industry benchmarks for similar security guard services, considering factors like guard qualifications, hours, and specific security needs, is necessary to determine if this represents a fair price or if there is potential for overpayment.
What are the key performance indicators (KPIs) for this contract, and how will performance be measured?
Key performance indicators (KPIs) and performance measurement details are not specified in the provided data. Effective oversight requires clearly defined KPIs related to response times, incident reporting, personnel conduct, and overall security effectiveness. Regular performance reviews against these metrics are essential to ensure contract objectives are met.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Guards and Patrol Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: NIH RML RFQ
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Cape FOX Corporation
Address: 2851 S TONGASS HIGHWAY, KETCHIKAN, AK, 99901
Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $3,298,050
Exercised Options: $3,298,050
Current Obligation: $3,298,050
Actual Outlays: $2,035,478
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2025-07-30
Current End Date: 2026-03-29
Potential End Date: 2026-03-29 00:00:00
Last Modified: 2026-01-16
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