DHS's $105.6M contract for security services in Arizona awarded to Asset Protection & Security Services, L.P

Contract Overview

Contract Amount: $105,649,915 ($105.6M)

Contractor: Asset Protection & Security Services, L.P.

Awarding Agency: Department of Homeland Security

Start Date: 2016-04-28

End Date: 2018-12-21

Contract Duration: 967 days

Daily Burn Rate: $109.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF GUARD SERVICES AND TRANSPORATION FOR FLORENCE SPC, AZ

Place of Performance

Location: CORPUS CHRISTI, NUECES County, TEXAS, 78413

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $105.6 million to ASSET PROTECTION & SECURITY SERVICES, L.P. for work described as: IGF::OT::IGF GUARD SERVICES AND TRANSPORATION FOR FLORENCE SPC, AZ Key points: 1. The contract's value represents a significant investment in facility security and transportation for a critical government agency. 2. Competition dynamics for this contract are crucial for ensuring taxpayer value and service quality. 3. Performance history and contractor reliability are key risk indicators for this long-term security service agreement. 4. The duration of the contract (967 days) suggests a need for stable, ongoing service provision. 5. This contract falls within the broader Facilities Support Services sector, indicating a need for specialized operational support.

Value Assessment

Rating: fair

Benchmarking the value of this contract requires detailed comparison with similar security service contracts awarded by DHS and other federal agencies. Without specific per-unit cost data or a breakdown of services rendered, it is difficult to definitively assess value for money. The firm fixed-price structure suggests that the contractor bears the risk of cost overruns, which can be a positive indicator if the price was competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely solicited. This approach is generally expected to foster competitive pricing and encourage a wider range of service providers to participate. The number of bidders and the specifics of the bidding process would provide further insight into the level of competition achieved.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down prices through market forces and ensures that the government receives the best possible value for its expenditure.

Public Impact

The primary beneficiaries are U.S. Immigration and Customs Enforcement (ICE) and the Department of Homeland Security (DHS), receiving essential security and transportation services. Services delivered include guarding facilities and providing transportation, crucial for maintaining operational security and facilitating movement. The geographic impact is focused on Florence, Arizona, supporting federal operations in that specific region. Workforce implications include job creation for security personnel and drivers employed by the contractor in Texas, where the company is based.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for service quality degradation if contractor resources are stretched thin across multiple contracts.
Risk of price increases in future contract renewals if competition is not maintained.
Dependence on a single contractor for critical security functions could pose a risk if performance issues arise.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process.
Firm fixed-price contract structure shifts cost-overrun risk to the contractor.
Contract duration indicates a stable, long-term need for these services.

Sector Analysis

This contract falls within the Facilities Support Services sector, which encompasses a wide range of services necessary for the operation and maintenance of government facilities. The market for security services is highly competitive, with numerous private sector firms offering specialized guarding and transportation solutions. Comparable spending benchmarks would involve analyzing other large-scale security contracts awarded to private entities by federal agencies for similar operational needs.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. The primary impact on the small business ecosystem would be indirect, through the potential for larger prime contractors to engage small businesses as subcontractors if their own capabilities do not cover all aspects of the contract.

Oversight & Accountability

Oversight for this contract would typically be managed by contracting officers and program managers within U.S. Immigration and Customs Enforcement (ICE). Accountability measures are embedded in the firm fixed-price contract terms, requiring the contractor to deliver specified services. Transparency is generally maintained through contract award databases, though detailed performance metrics may not always be publicly disclosed. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Protective Service Contracts
DHS Transportation Services
Immigration and Customs Enforcement Security Operations
Facilities Management Contracts
Government Security Guard Services

Risk Flags

Long contract duration may lead to price escalation risk if market conditions change.
Dependence on a single contractor for critical security functions.
Potential for service quality degradation if contractor resources are overextended.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $105.6 million to ASSET PROTECTION & SECURITY SERVICES, L.P.. IGF::OT::IGF GUARD SERVICES AND TRANSPORATION FOR FLORENCE SPC, AZ

Who is the contractor on this award?

The obligated recipient is ASSET PROTECTION & SECURITY SERVICES, L.P..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $105.6 million.

What is the period of performance?

Start: 2016-04-28. End: 2018-12-21.

What is the historical spending pattern for security and transportation services by U.S. Immigration and Customs Enforcement (ICE) in Arizona?

Analyzing historical spending patterns for ICE in Arizona requires access to detailed procurement data beyond this single contract. However, the award of a $105.6 million contract for security and transportation services suggests a significant and ongoing requirement for these functions in the region. Federal agencies like ICE often have substantial budgets allocated to operational security and logistics. Trends in such spending can be influenced by policy changes, shifts in operational focus (e.g., border security, detention operations), and the overall threat landscape. A comprehensive review would involve examining contract awards over several fiscal years to identify any increases, decreases, or shifts in service providers and contract types.

How does the per-unit cost of security personnel under this contract compare to similar federal contracts?

Determining the per-unit cost of security personnel requires breaking down the total contract value by the number of personnel, hours worked, and specific duties performed. This information is not directly available in the provided data. To perform a meaningful comparison, one would need to access detailed contract line item numbers (CLINs) or task orders that specify staffing levels and rates. Benchmarking against other federal contracts for similar security services, particularly those awarded by agencies like DHS or the General Services Administration (GSA), would be necessary. Factors such as geographic location, required security clearances, and the complexity of the security environment significantly influence per-unit costs, making direct comparisons challenging without granular data.

What is the track record of Asset Protection & Security Services, L.P. in fulfilling federal contracts, particularly those with DHS?

Asset Protection & Security Services, L.P. (APSS) has a history of performing federal contracts, including those with the Department of Homeland Security (DHS). A thorough assessment of their track record would involve reviewing past performance evaluations, any reported contract disputes or terminations, and the overall value and duration of their previous federal awards. Examining their performance on similar security and transportation contracts would be particularly relevant. Publicly available contract databases and performance rating systems (like the Federal Awardee Performance and Integrity Information System -FAPIIS) can provide insights into their reliability, quality of service, and adherence to contract terms. A positive history with DHS suggests a level of familiarity and capability in meeting the agency's requirements.

What are the key performance indicators (KPIs) used to measure the success of this security and transportation contract?

Key Performance Indicators (KPIs) for a contract of this nature typically focus on service delivery, reliability, and adherence to security protocols. For guarding services, KPIs might include response times to incidents, the number of security breaches or unauthorized access incidents, adherence to post orders, and personnel punctuality and appearance. For transportation services, KPIs could involve on-time performance, vehicle maintenance records, safety incident rates, and successful completion of scheduled transports. The firm fixed-price nature of the contract implies that the government expects these services to be delivered at the agreed-upon price, with penalties or remedies for non-performance potentially outlined in the contract's service level agreements (SLAs).

What is the potential risk associated with the long duration (967 days) of this contract for service continuity and price stability?

The 967-day duration (approximately 2.65 years) of this contract presents both opportunities and risks. On the positive side, it offers service continuity and stability for ICE operations, reducing the administrative burden of frequent re-competitions. It also allows the contractor to make investments in personnel and equipment. However, a long duration can also lead to price instability if market rates for labor and materials increase significantly over the contract period, especially under a firm fixed-price agreement where the contractor absorbs such increases. There's also a risk that technology or operational needs might evolve, making the contracted services less optimal by the end of the term. Robust contract management and potential for equitable adjustments (if contractually allowed) are crucial to mitigate these risks.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5502 BURNHAM DR, CORPUS CHRISTI, TX, 78413

Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $105,649,915

Exercised Options: $105,649,915

Current Obligation: $105,649,915

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSCEDM09D00003

IDV Type: IDC

Timeline