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

State: California Government Spending

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

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

Risk Flags

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 ServicesInvestigation and Security ServicesSecurity Guards and Patrol Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING 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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