DoD Awards $34.5M Physical Security Contract to Koniag Professional Services, LLC
Contract Overview
Contract Amount: $34,492,080 ($34.5M)
Contractor: Koniag Professional Services, LLC
Awarding Agency: Department of Defense
Start Date: 2023-11-17
End Date: 2026-11-16
Contract Duration: 1,095 days
Daily Burn Rate: $31.5K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: PHYSICAL SECURITY SUPPORT SERVICES
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $34.5 million to KONIAG PROFESSIONAL SERVICES, LLC for work described as: PHYSICAL SECURITY SUPPORT SERVICES Key points: 1. Contract value of $34.5 million over 3 years. 2. Sole-source award indicates limited competition. 3. Potential risk associated with single-vendor reliance. 4. Services fall under security and protective services sector.
Value Assessment
Rating: fair
The contract is a firm-fixed-price definitive contract. Without comparable contract data or a detailed breakdown of services, assessing the pricing against similar contracts is difficult. The provided benchmark of $31,500 per year may offer some context but lacks detailed justification.
Cost Per Unit: $31,500/year (benchmark)
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning it was not open to full and open competition. This approach can limit price discovery and potentially lead to higher costs for taxpayers if robust justification for the sole-source award is not present.
Taxpayer Impact: The sole-source nature of this award warrants scrutiny to ensure taxpayer funds are used efficiently and that the pricing reflects fair market value.
Public Impact
Ensures physical security for a key defense research agency. Supports national security by protecting sensitive facilities. Potential for job creation within the security services industry.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competitive pricing.
- Lack of detailed cost breakdown hinders value assessment.
- Contract duration of 3 years may not be optimal for evolving security needs.
Positive Signals
- Provides essential physical security services.
- Firm-fixed-price contract offers cost certainty.
- Long-term contract ensures service continuity.
Sector Analysis
This contract falls within the security and protective services sector, specifically NAICS code 561612 (Security Guards and Patrol Services). Spending in this sector is critical for government facility protection, and benchmarks vary widely based on service scope and location.
Small Business Impact
The contract was awarded to Koniag Professional Services, LLC, a single entity. There is no indication of subcontracting opportunities for small businesses within the provided data, which could be a missed opportunity for small business participation.
Oversight & Accountability
Oversight of this sole-source contract is crucial to ensure Koniag Professional Services, LLC is meeting all performance requirements and that the pricing remains fair throughout the contract term. Regular performance reviews and cost audits would be advisable.
Related Government Programs
- Security Guards and Patrol Services
- Department of Defense Contracting
- Defense Advanced Research Projects Agency Programs
Risk Flags
- Sole-source award limits competition.
- Lack of detailed cost breakdown.
- Potential for price creep over contract duration.
- Dependence on a single contractor for critical security functions.
Tags
security-guards-and-patrol-services, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $34.5 million to KONIAG PROFESSIONAL SERVICES, LLC. PHYSICAL SECURITY SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is KONIAG PROFESSIONAL SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Advanced Research Projects Agency).
What is the total obligated amount?
The obligated amount is $34.5 million.
What is the period of performance?
Start: 2023-11-17. End: 2026-11-16.
What is the justification for the sole-source award, and how does it ensure fair and reasonable pricing?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of other responsible sources. For this contract, understanding the specific rationale is key. Agencies must demonstrate that the chosen contractor is the only viable option and that the negotiated price is fair and reasonable through market research or cost analysis, ensuring taxpayer value is maximized despite limited competition.
How does the $31,500 annual benchmark compare to similar physical security contracts in the defense sector?
Without more specific details on the scope of services, geographic location, and security levels required, a direct comparison of the $31,500 annual benchmark is challenging. Generally, physical security contracts for defense agencies can range significantly based on the complexity and sensitivity of the facilities. A thorough benchmark analysis would require comparing guard hours, required certifications, and threat levels to similar government contracts.
What are the key performance indicators (KPIs) for this contract, and how will they be monitored to ensure effectiveness?
Key performance indicators for physical security contracts typically include response times, incident reporting accuracy, personnel reliability, and adherence to post orders. The Defense Advanced Research Projects Agency (DARPA) should have established clear KPIs and a robust monitoring system, likely involving regular performance evaluations and site visits, to ensure Koniag Professional Services, LLC effectively meets its security obligations and protects sensitive assets.
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
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3800 CENTERPOINT DRIVE, ANCHORAGE, AK, 99503
Business Categories: 8(a) Program Participant, 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: $65,929,506
Exercised Options: $37,993,528
Current Obligation: $34,492,080
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2023-11-17
Current End Date: 2026-11-16
Potential End Date: 2028-11-16 00:00:00
Last Modified: 2025-12-09
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