DHS Awards $29.9M for LA Protective Security Services to Paragon Systems Inc
Contract Overview
Contract Amount: $29,879,579 ($29.9M)
Contractor: Paragon Systems Inc
Awarding Agency: Department of Homeland Security
Start Date: 2016-10-01
End Date: 2017-09-30
Contract Duration: 364 days
Daily Burn Rate: $82.1K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: LABOR HOURS
Sector: Other
Official Description: IGF::CL,CT::IGF PROTECTIVE SECURITY OFFICER SERVICES IN LOS ANGELES, CA SERVICE AREA
Place of Performance
Location: LOS ANGELES, LOS ANGELES County, CALIFORNIA, 90047
Plain-Language Summary
Department of Homeland Security obligated $29.9 million to PARAGON SYSTEMS INC for work described as: IGF::CL,CT::IGF PROTECTIVE SECURITY OFFICER SERVICES IN LOS ANGELES, CA SERVICE AREA Key points: 1. Contract value of $29.9M for one year of security services. 2. Paragon Systems Inc. is the sole awardee. 3. The contract falls under the Security Guards and Patrol Services NAICS code. 4. Awarded via full and open competition.
Value Assessment
Rating: good
The contract value of $29.9M for one year of service appears reasonable given the scope of protective security services. Benchmarking against similar contracts for large-scale security operations would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple vendors had the opportunity to bid.
Taxpayer Impact: The competitive award process likely resulted in fair market pricing, maximizing the value of taxpayer dollars spent on essential security services.
Public Impact
Ensures continuous security operations at DHS facilities in Los Angeles. Supports federal agency operations by providing essential protective services. Creates jobs within the security services sector in California.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Positive Signals
- Full and open competition utilized.
- Clear service area defined (Los Angeles, CA).
- Established NAICS code for security services.
Sector Analysis
The security services sector is critical for government operations, encompassing a wide range of protective functions. Spending in this sector can vary significantly based on facility size, threat levels, and geographic location.
Small Business Impact
While this specific award went to a larger entity, the security services sector often presents opportunities for small businesses, particularly in subcontracting roles or for smaller, localized contracts.
Oversight & Accountability
The Office of Procurement Operations managed the award. Further oversight would involve monitoring contract performance and ensuring compliance with service level agreements.
Related Government Programs
- Security Guards and Patrol Services
- Department of Homeland Security Contracting
- Office of Procurement Operations Programs
Risk Flags
- Potential for cost creep if scope expands without modification.
- Dependence on a single contractor for critical security functions.
- Need for robust performance monitoring to ensure service quality.
Tags
security-guards-and-patrol-services, department-of-homeland-security, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $29.9 million to PARAGON SYSTEMS INC. IGF::CL,CT::IGF PROTECTIVE SECURITY OFFICER SERVICES IN LOS ANGELES, CA SERVICE AREA
Who is the contractor on this award?
The obligated recipient is PARAGON SYSTEMS INC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Office of Procurement Operations).
What is the total obligated amount?
The obligated amount is $29.9 million.
What is the period of performance?
Start: 2016-10-01. End: 2017-09-30.
What is the historical performance of Paragon Systems Inc. on similar federal contracts?
Assessing Paragon Systems Inc.'s past performance on comparable federal contracts is crucial for understanding their reliability and effectiveness. Reviewing past contract awards, performance evaluations, and any documented issues or commendations would provide insight into their capability to deliver the required security services.
Were there any specific security threats or requirements that justified this contract value?
The contract value of $29.9M suggests a significant scope of work. Understanding the specific security threats, the number of facilities protected, hours of coverage, and specialized security needs would help determine if the investment is commensurate with the risk mitigation and operational requirements.
How does the per-unit cost of security personnel compare to industry benchmarks?
While a specific per-unit cost is not provided, comparing the overall contract value against the number of personnel and hours delivered to industry benchmarks for security guard services in the Los Angeles area is essential. This analysis would reveal potential cost efficiencies or overspending.
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
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: HSHQW9-13-R-00003
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Parent Company: Securitas AB
Address: 13655 DULLES TECHNOLOGY DR STE 100, HERNDON, VA, 20171
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $30,066,670
Exercised Options: $30,066,670
Current Obligation: $29,879,579
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HSHQW913D00003
IDV Type: IDC
Timeline
Start Date: 2016-10-01
Current End Date: 2017-09-30
Potential End Date: 2017-09-30 00:00:00
Last Modified: 2024-01-18
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