DHS awards $13.3M for armed guard services in OK and TX, raising value and competition questions
Contract Overview
Contract Amount: $13,259,787 ($13.3M)
Contractor: Security Consultants Group Inc
Awarding Agency: Department of Homeland Security
Start Date: 2004-06-01
End Date: 2006-09-30
Contract Duration: 851 days
Daily Burn Rate: $15.6K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ARMED GUARD SERVICES IN OKLAHOMA CITY, TULSA, VERNON, AND WICHITA FALLS IN TEXAS, AND SURROUNDING AREAS.
Place of Performance
Location: OAK RIDGE, ANDERSON County, TENNESSEE, 37830
State: Oklahoma Government Spending
Plain-Language Summary
Department of Homeland Security obligated $13.3 million to SECURITY CONSULTANTS GROUP INC for work described as: ARMED GUARD SERVICES IN OKLAHOMA CITY, TULSA, VERNON, AND WICHITA FALLS IN TEXAS, AND SURROUNDING AREAS. Key points: 1. The contract value of $13.3M for armed guard services appears reasonable for the scope and duration. 2. Competition was noted as 'COMPETITIVE DELIVERY ORDER', suggesting multiple bids were considered. 3. Potential risks include the fixed-price nature which may not fully account for unforeseen cost escalations. 4. The sector is Security Services, a critical area for government operations.
Value Assessment
Rating: good
The contract value of $13.3M over 2 years for armed guard services across multiple locations seems within a reasonable range for the industry. Benchmarking against similar contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded as a 'COMPETITIVE DELIVERY ORDER', indicating some level of competition. However, the specific number of bidders and the extent of price discovery are not detailed, suggesting potential limitations in achieving the most competitive pricing.
Taxpayer Impact: Taxpayer funds are being used for essential security services. The competitive nature, even if limited, aims to ensure reasonable value for money.
Public Impact
Ensures security for critical government functions related to immigration and customs enforcement. Supports jobs in the private security sector within Oklahoma and Texas. Provides a necessary service that contributes to public safety and national security.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition details
- Fixed-price contract risks
Positive Signals
- Competitive award type
- Essential service provision
Sector Analysis
The security services sector is vital for government operations, providing essential protection for facilities and personnel. Spending benchmarks vary widely based on service type, location, and security level required.
Small Business Impact
Analysis of small business participation is not available from the provided data. Further investigation would be needed to determine if small businesses were involved or had opportunities to bid.
Oversight & Accountability
The award was a delivery order under a larger contract, suggesting it has undergone some level of initial oversight. However, the specifics of ongoing performance monitoring and accountability for this particular order are not detailed.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- U.S. Immigration and Customs Enforcement Programs
Risk Flags
- Lack of detailed competition metrics
- Potential for cost overruns in fixed-price contracts
- Limited insight into performance monitoring
- Unclear small business participation
Tags
security-guards-and-patrol-services, department-of-homeland-security, ok, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $13.3 million to SECURITY CONSULTANTS GROUP INC. ARMED GUARD SERVICES IN OKLAHOMA CITY, TULSA, VERNON, AND WICHITA FALLS IN TEXAS, AND SURROUNDING AREAS.
Who is the contractor on this award?
The obligated recipient is SECURITY CONSULTANTS GROUP 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 $13.3 million.
What is the period of performance?
Start: 2004-06-01. End: 2006-09-30.
What was the specific number of bids received for this competitive delivery order, and how did the winning bid compare to others?
The provided data indicates the award was a 'COMPETITIVE DELIVERY ORDER' but does not specify the number of bids received. To fully assess value, understanding the competitive landscape, including the number of offers and the price range of those offers, is crucial. This information would clarify the effectiveness of the competition in driving down costs and ensuring optimal taxpayer value.
What are the specific risks associated with the 'FIRM FIXED PRICE' contract type for armed guard services in this region?
A firm fixed price contract for armed guard services carries the risk that the contractor may incur higher-than-expected costs due to unforeseen circumstances (e.g., increased fuel prices, higher wages required to attract qualified personnel, unexpected security threats). If costs rise significantly, the contractor might cut corners on service quality or seek contract modifications, potentially negating the initial cost savings intended by the fixed price.
How effectively does this contract meet the evolving security needs of U.S. Immigration and Customs Enforcement in the specified regions?
The effectiveness of this contract in meeting evolving security needs depends on the flexibility built into the contract terms and the contractor's responsiveness. While the contract provides a baseline service, its ability to adapt to changing threat levels or operational requirements without significant price adjustments is key. Regular performance reviews and clear communication channels with ICE are essential for ensuring ongoing effectiveness.
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: COMPETITIVE DELIVERY ORDER
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 102 MITCHELL RD STE 100, OAK RIDGE, TN, 03
Business Categories: 8(a) Program Participant, Category Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $14,583,296
Exercised Options: $14,583,296
Current Obligation: $13,259,787
Parent Contract
Parent Award PIID: GS07F0267L
IDV Type: FSS
Timeline
Start Date: 2004-06-01
Current End Date: 2006-09-30
Potential End Date: 2006-09-30 00:00:00
Last Modified: 2009-10-31
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