DHS's $20.7M security guard contract with Knight Protective Service, Inc. awarded in 2006, ended in 2008

Contract Overview

Contract Amount: $20,717,458 ($20.7M)

Contractor: Knight Protective Service, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2006-08-25

End Date: 2008-03-31

Contract Duration: 584 days

Daily Burn Rate: $35.5K/day

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SECURITY GUARD SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20002

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $20.7 million to KNIGHT PROTECTIVE SERVICE, INC. for work described as: SECURITY GUARD SERVICES Key points: 1. The contract value of $20.7 million over its period of performance suggests a significant investment in security services. 2. Knight Protective Service, Inc. was the sole provider for this contract, raising questions about competition and potential price efficiencies. 3. The fixed price contract type offers some cost certainty, but the absence of competition could limit opportunities for cost savings. 4. Performance context is limited without specific metrics on guard effectiveness or incident response rates. 5. This contract falls within the broader category of security services, a critical sector for government operations. 6. The contract was awarded to a single firm, indicating a potential lack of market engagement or a specific need met by this contractor.

Value Assessment

Rating: fair

Benchmarking this contract's value is challenging without comparable data for similar security guard services during the 2006-2008 period. The total award of $20.7 million over approximately two years suggests a substantial expenditure. However, the lack of competition means it's difficult to assess if the pricing was truly competitive or represented the best value for the government. Without performance metrics or a comparison to market rates for similar services at the time, a definitive value-for-money assessment is limited.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a sole-source procurement, meaning only one vendor, Knight Protective Service, Inc., was solicited. The reasons for this sole-source determination are not provided in the data. A sole-source award typically indicates that the agency believed only one contractor could meet the specific requirements, or it may have resulted from a lack of market research or a pre-existing relationship. This limited competition means there was no opportunity for multiple vendors to bid, potentially impacting price discovery and the government's ability to secure the most cost-effective solution.

Taxpayer Impact: Sole-source awards can potentially lead to higher costs for taxpayers as there is no competitive pressure to drive down prices. It also limits the opportunity for other qualified businesses to secure government contracts.

Public Impact

The primary beneficiaries of this contract were U.S. Immigration and Customs Enforcement (ICE) personnel and facilities, ensuring their security. The services delivered included security guard and patrol functions, crucial for maintaining order and safety. The geographic impact was concentrated in the District of Columbia, where the contract was performed. The contract supported jobs within the security services industry, specifically for Knight Protective Service, Inc. employees.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potential value for money.
Lack of performance data makes it difficult to assess the effectiveness of the security services provided.
Contract duration of approximately two years is relatively short, potentially leading to frequent re-procurement cycles.

Positive Signals

Contract was awarded as a Firm Fixed Price, providing cost certainty for the government.
The contract was performed in the District of Columbia, potentially supporting local employment.
The contract was for essential security guard services, addressing a critical government need.

Sector Analysis

The security guard services sector is a substantial part of the broader government contracting landscape, encompassing a wide range of protective services. Federal spending in this area is consistently high due to the need for physical security at federal facilities nationwide. This contract, valued at over $20 million, represents a significant, albeit localized, investment within this sector. Comparable spending benchmarks would typically involve analyzing other large-scale security contracts awarded by agencies like DHS or other federal entities for similar services and durations.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it provide information on subcontracting opportunities for small businesses. As a sole-source award to a single firm, it is less likely to have included specific provisions for small business participation unless Knight Protective Service, Inc. itself is a small business or has a robust small business subcontracting plan. The absence of set-aside language suggests that the primary focus was on meeting the specific security requirements, potentially overlooking opportunities to foster small business growth within this contract.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve contract officers, contracting specialists, and potentially program managers within U.S. Immigration and Customs Enforcement. The firm fixed-price nature of the contract provides a degree of financial oversight by establishing a ceiling cost. However, without specific details on performance monitoring, quality assurance surveillance plans, or the involvement of an Inspector General's office for this particular award, a comprehensive assessment of oversight and accountability is limited. Transparency is also constrained by the sole-source nature and the lack of publicly available performance data.

Related Government Programs

Department of Homeland Security - General Operations
U.S. Immigration and Customs Enforcement - Security Operations
Federal Protective Service Contracts
Security Guard Services - Federal Agencies
District of Columbia Government Contracts

Risk Flags

Sole-source award may indicate limited competition and potentially higher costs.
Lack of performance data hinders assessment of service effectiveness.
Contract awarded prior to significant regulatory changes in federal contracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $20.7 million to KNIGHT PROTECTIVE SERVICE, INC.. SECURITY GUARD SERVICES

Who is the contractor on this award?

The obligated recipient is KNIGHT PROTECTIVE SERVICE, INC..

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 $20.7 million.

What is the period of performance?

Start: 2006-08-25. End: 2008-03-31.

What was the specific justification for awarding this contract as sole-source to Knight Protective Service, Inc.?

The provided data does not include the specific justification for the sole-source award to Knight Protective Service, Inc. Typically, sole-source procurements are justified under specific circumstances outlined in federal acquisition regulations, such as when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. Without further documentation or agency records, it is impossible to determine the precise rationale behind this decision. This lack of transparency in the procurement process raises questions about whether the government explored all available options to ensure competitive pricing and maximize value for taxpayer dollars.

How did the performance of Knight Protective Service, Inc. on this contract compare to industry standards or other similar contracts?

The provided data does not contain performance metrics or evaluation reports for Knight Protective Service, Inc.'s work on this contract. Therefore, a direct comparison to industry standards or other similar contracts is not possible. Assessing performance would typically involve reviewing contract close-out reports, customer satisfaction surveys, incident response times, and adherence to security protocols. In the absence of such information, it is difficult to ascertain the effectiveness and quality of the security services provided. This data gap limits our ability to understand the contractor's track record and the overall success of the security measures implemented under this award.

What was the average annual spending on security guard services by U.S. Immigration and Customs Enforcement (ICE) during the period of this contract (2006-2008)?

The provided data focuses on a single contract awarded to Knight Protective Service, Inc. and does not offer a comprehensive overview of ICE's total spending on security guard services during the 2006-2008 period. To determine average annual spending, one would need to aggregate data from all security guard contracts awarded by ICE within that timeframe. This would involve accessing historical contract databases and analyzing spending across multiple vendors and contract types. Without this broader dataset, it's impossible to place the $20.7 million award in the context of ICE's overall security budget or compare it to their typical expenditure patterns for such services.

Were there any reported issues or concerns regarding the service delivery or contractor performance during the contract's execution?

The provided data summary does not include any information regarding reported issues, concerns, or performance problems related to Knight Protective Service, Inc.'s delivery of security guard services under this contract. Contract performance issues are typically documented in contract files, performance evaluations, or through official correspondence between the contracting officer and the contractor. The absence of such information in the summary suggests either that there were no significant issues, or that this level of detail is not captured in the abbreviated data provided. Further investigation into agency records would be necessary to confirm the absence of performance-related concerns.

What is the typical cost range for security guard services in the District of Columbia for a contract of this size and scope during the mid-2000s?

Determining the typical cost range for security guard services in the District of Columbia for a contract of this size and scope during the mid-2000s requires access to historical market data and pricing benchmarks, which are not provided in the current data summary. Factors influencing cost include the number of guards required, hours of service, level of security clearance, specific duties, and the prevailing wage rates in the D.C. area at that time. Given that this was a sole-source award, it is difficult to use the contract's total value of $20.7 million as a direct benchmark without knowing the exact service levels and duration. A comprehensive market analysis would be needed to establish a reliable cost range for comparison.

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

Contractor Details

Address: 6411 IVY LN STE 320, GREENBELT, MD, 20770

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $25,439,742

Exercised Options: $20,717,458

Current Obligation: $20,717,458

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS07F0266K

IDV Type: FSS

Timeline