DOE awards $19.9M for Fort Saint Vrain ISFSI security, with 3 bidders competing

Contract Overview

Contract Amount: $19,886,117 ($19.9M)

Contractor: Protection Strategies Inc

Awarding Agency: Department of Energy

Start Date: 2021-10-01

End Date: 2026-09-30

Contract Duration: 1,825 days

Daily Burn Rate: $10.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: SECURITY SUPPORT SERVICES FOR THE FORT SAINT VRAIN (FSV) INDEPENDENT SPENT FUEL STORAGE INSTALLATION (ISFSI).

Place of Performance

Location: PLATTEVILLE, WELD County, COLORADO, 80651

State: Colorado Government Spending

Plain-Language Summary

Department of Energy obligated $19.9 million to PROTECTION STRATEGIES INC for work described as: SECURITY SUPPORT SERVICES FOR THE FORT SAINT VRAIN (FSV) INDEPENDENT SPENT FUEL STORAGE INSTALLATION (ISFSI). Key points: 1. The contract value represents a significant investment in safeguarding nuclear materials. 2. Competition dynamics suggest potential for price negotiation, though specific savings are not detailed. 3. The contract duration of five years indicates a long-term need for these services. 4. Performance will be crucial given the sensitive nature of the Independent Spent Fuel Storage Installation. 5. This contract falls within the broader category of national security and infrastructure protection.

Value Assessment

Rating: good

The contract's value of approximately $19.9 million over five years averages to about $4 million annually. Benchmarking this against similar security contracts for critical infrastructure requires detailed analysis of scope and service levels. However, the presence of multiple bidders in a full and open competition suggests that pricing was likely subject to market forces, potentially leading to a fair value. Without specific performance metrics or detailed cost breakdowns, a definitive value-for-money assessment is challenging, but the competitive nature provides a positive indicator.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. With three bidders participating, the level of competition appears moderate. This suggests that while there was an opportunity for price discovery, the market for these specialized security services might be somewhat concentrated. The agency likely received a range of proposals, allowing for selection based on both cost and technical merit.

Taxpayer Impact: A competitive process generally benefits taxpayers by driving down prices and encouraging efficiency. The presence of three bidders suggests that the government was not locked into a single provider, which helps ensure a reasonable cost for these essential security services.

Public Impact

The primary beneficiaries are the Department of Energy and the public, through the secure management of spent nuclear fuel. Services delivered include crucial security guard and patrol functions to protect the Fort Saint Vrain ISFSI. The geographic impact is localized to the Fort Saint Vrain facility in Colorado. Workforce implications include the potential for employment of security personnel, likely requiring specialized training and clearances.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The security services sector for critical infrastructure, particularly nuclear facilities, is highly specialized and regulated. This contract falls within the broader government contracting market for security and protective services, which is substantial. The market size for specialized nuclear facility security is likely smaller and more concentrated than general security services due to stringent requirements and clearances. The Department of Energy's spending in this area is consistent with its mandate to manage and secure nuclear materials.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses, and the prime contractor, Protection Strategies Inc., is not explicitly identified as a small business in this context. Therefore, the direct impact on small business set-asides is likely minimal. However, the prime contractor may engage small businesses for subcontracting opportunities, which would need to be assessed through subcontracting reports. The absence of a small business set-aside suggests the primary focus was on specialized capabilities available from larger or more established firms.

Oversight & Accountability

The Department of Energy, as the awarding agency, is responsible for the oversight of this contract. Oversight mechanisms would typically include contract performance monitoring, regular reporting requirements from the contractor, and site inspections. Accountability measures are built into the contract through performance standards and payment terms. Transparency is generally maintained through contract award databases, though specific operational details of security services are often sensitive. Inspector General jurisdiction would apply to any allegations of fraud, waste, or abuse related to the contract.

Related Government Programs

Risk Flags

Tags

department-of-energy, security-guard-services, nuclear-facility-security, independent-spent-fuel-storage-installation, full-and-open-competition, time-and-materials, delivery-order, colorado, critical-infrastructure, national-security, protective-services

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $19.9 million to PROTECTION STRATEGIES INC. SECURITY SUPPORT SERVICES FOR THE FORT SAINT VRAIN (FSV) INDEPENDENT SPENT FUEL STORAGE INSTALLATION (ISFSI).

Who is the contractor on this award?

The obligated recipient is PROTECTION STRATEGIES INC.

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $19.9 million.

What is the period of performance?

Start: 2021-10-01. End: 2026-09-30.

What is the track record of Protection Strategies Inc. in providing security services to federal agencies, particularly for critical infrastructure?

Protection Strategies Inc. (PSI) has a history of providing security services to various federal agencies. A review of federal procurement data indicates PSI has been awarded contracts for security guard services, protective services, and related support across different departments, including the Department of Defense and other civilian agencies. Their experience often involves providing personnel for physical security, access control, and surveillance. For critical infrastructure like an Independent Spent Fuel Storage Installation (ISFSI), PSI's track record would be assessed based on their experience with similar high-security environments, their ability to meet stringent personnel vetting requirements, and their past performance ratings on comparable contracts. Specific details on their performance for nuclear facilities would be crucial for a comprehensive assessment.

How does the annual cost of this contract compare to similar security contracts for nuclear facilities or critical infrastructure?

The annual cost for this contract is approximately $4 million ($19.9M / 5 years). Benchmarking this figure requires comparing it against contracts for similar services at other Independent Spent Fuel Storage Installations (ISFSIs) or comparable critical infrastructure sites, considering factors like the size of the facility, the threat environment, the number of personnel required, and the specific security technologies employed. Without access to detailed cost data for comparable contracts, a precise comparison is difficult. However, the presence of three bidders in a full and open competition suggests that the pricing was likely competitive within the market for specialized nuclear security services. Agencies often use historical data and market research to establish price reasonableness before award.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential lapses in security due to human error or contractor performance issues, cost overruns associated with the time and materials (T&M) pricing structure, and the potential for contractor personnel to lack the necessary clearances or training. Mitigation strategies typically involve rigorous contractor vetting, performance-based contract management with clear metrics and penalties, regular site inspections and audits by the Department of Energy, and strict adherence to security protocols and background checks for all personnel. The T&M structure necessitates close monitoring by the government to ensure efficient use of labor hours and prevent scope creep.

What is the historical spending pattern for security services at the Fort Saint Vrain ISFSI?

Analyzing historical spending for security services at the Fort Saint Vrain ISFSI would involve examining prior contracts awarded for this specific facility. This would reveal trends in contract values, durations, and the contractors utilized. For instance, understanding if previous contracts were also awarded through full and open competition, or if there were periods of sole-source awards, can provide context. Examining year-over-year spending can indicate whether the security needs and associated costs have remained stable, increased, or decreased. This historical data is crucial for assessing the current $19.9 million award in the context of long-term investment and potential budget fluctuations for the facility's security.

How effective are 'time and materials' contracts for ensuring value in security services for critical infrastructure?

Time and Materials (T&M) contracts can be effective for security services when the scope of work is not clearly defined at the outset or is expected to fluctuate. For critical infrastructure like an ISFSI, where unforeseen security needs might arise, a T&M contract offers flexibility. However, T&M contracts carry a higher risk of cost overruns if not managed diligently by the procuring agency. Effective oversight, including detailed tracking of labor hours, rates, and material costs, along with robust reporting requirements, is essential to ensure value for taxpayers. The Department of Energy's ability to closely monitor and control the contractor's effort is paramount to realizing value under this contract type.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesInvestigation and Security ServicesSecurity Guards and Patrol Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 89243221QEM000003

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 9717 COGDILL RD, KNOXVILLE, TN, 37932

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,051,562

Exercised Options: $20,051,562

Current Obligation: $19,886,117

Actual Outlays: $16,866,273

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS07F0442N

IDV Type: FSS

Timeline

Start Date: 2021-10-01

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-04-07

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