HHS Spends $23.1M on Guard Services via Full and Open Competition
Contract Overview
Contract Amount: $23,103,520 ($23.1M)
Contractor: Master Security Company LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2007-09-24
End Date: 2015-07-01
Contract Duration: 2,837 days
Daily Burn Rate: $8.1K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 12
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: GUARD SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20201
Plain-Language Summary
Department of Health and Human Services obligated $23.1 million to MASTER SECURITY COMPANY LLC for work described as: GUARD SERVICES Key points: 1. Total spending of $23.1 million on guard services. 2. Master Security Company LLC is the sole awardee. 3. Contract awarded under full and open competition after exclusion of sources. 4. Services provided in Washington D.C. by the Department of Health and Human Services. 5. Contract type is Firm Fixed Price.
Value Assessment
Rating: fair
The total award amount of $23.1 million over the contract's life appears substantial for guard services. Benchmarking against similar contracts is difficult without more granular data on service levels and duration.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a competitive process was intended. However, the specific exclusion of sources warrants further investigation to understand its impact on price discovery.
Taxpayer Impact: While competition was utilized, the total spend of $23.1 million represents a significant taxpayer investment in security services.
Public Impact
Ensures physical security for HHS facilities in Washington D.C. Supports the operational continuity of a major federal agency. Provides employment opportunities within the security services sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Ambiguity in 'Exclusion of Sources' could mask limited competition.
- Long contract duration (2007-2015) may not reflect current market rates.
- Lack of specific performance metrics makes value assessment difficult.
Positive Signals
- Utilized full and open competition.
- Firm Fixed Price contract provides cost certainty.
- Services are essential for agency operations.
Sector Analysis
The security services sector is highly competitive, with numerous providers offering a range of capabilities. Spending benchmarks vary widely based on the scope, duration, and specific security requirements of government contracts.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract's long duration and the 'exclusion of sources' clause suggest a need for robust oversight to ensure continued fair pricing and effective service delivery. Regular performance reviews and market comparisons are crucial.
Related Government Programs
- Security Guards and Patrol Services
- Department of Health and Human Services Contracting
- Office of the Assistant Secretary for Administration Programs
Risk Flags
- Potential for limited competition due to 'exclusion of sources'.
- Long contract duration may lead to outdated pricing.
- Lack of detailed performance metrics hinders effectiveness assessment.
- No clear indication of small business participation.
Tags
security-guards-and-patrol-services, department-of-health-and-human-services, dc, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $23.1 million to MASTER SECURITY COMPANY LLC. GUARD SERVICES
Who is the contractor on this award?
The obligated recipient is MASTER SECURITY COMPANY LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Office of the Assistant Secretary for Administration).
What is the total obligated amount?
The obligated amount is $23.1 million.
What is the period of performance?
Start: 2007-09-24. End: 2015-07-01.
What was the rationale for excluding specific sources during the full and open competition?
The rationale for excluding specific sources during the full and open competition is not detailed in the provided data. This exclusion could be due to various factors, such as specialized capabilities required, previous performance issues with certain vendors, or specific government mandates. Understanding this rationale is critical for assessing whether the competition was truly maximized and if the government secured the best possible value.
How does the per-unit cost of these guard services compare to industry benchmarks for similar government contracts?
Without specific details on the number of guards, hours worked, and the level of security required (e.g., armed vs. unarmed, specialized equipment), a direct per-unit cost comparison is not feasible. However, a total spend of $23.1 million over approximately eight years suggests a significant investment. A detailed review of the contract's line items against industry standards for comparable federal contracts would be necessary for a thorough benchmark analysis.
What performance metrics were used to evaluate the effectiveness of Master Security Company LLC's services?
The provided data does not include specific performance metrics used to evaluate Master Security Company LLC. Effective oversight typically involves tracking key performance indicators (KPIs) such as response times, incident reporting accuracy, guard presence, and client satisfaction. The absence of this information makes it challenging to definitively assess the effectiveness of the services rendered and the overall value delivered to the Department of Health and Human Services.
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 AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 12
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 10946-DBEAVER DAM RD, COCKEYSVILLE, MD, 21030
Business Categories: Category Business, HUBZone Firm, Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $23,743,648
Exercised Options: $23,196,373
Current Obligation: $23,103,520
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Timeline
Start Date: 2007-09-24
Current End Date: 2015-07-01
Potential End Date: 2015-07-01 00:00:00
Last Modified: 2021-06-10
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