Leidos Security Detection & Automation Inc. contract for EDS and Linescan equipment maintenance valued at $17.6M

Contract Overview

Contract Amount: $17,648,396 ($17.6M)

Contractor: Leidos Security Detection & Automation, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2005-06-01

End Date: 2012-10-09

Contract Duration: 2,687 days

Daily Burn Rate: $6.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PREVENTIVE AND CORRECTIVE MAINTENANCE FOR EDS AND LINESCAN EQUIPMENT

Place of Performance

Location: SAINT PETERSBURG, PINELLAS County, FLORIDA, 33702

State: Florida Government Spending

Plain-Language Summary

Department of Homeland Security obligated $17.6 million to LEIDOS SECURITY DETECTION & AUTOMATION, INC. for work described as: PREVENTIVE AND CORRECTIVE MAINTENANCE FOR EDS AND LINESCAN EQUIPMENT Key points: 1. Contract awarded for preventive and corrective maintenance of EDS and Linescan equipment. 2. The contract duration spans over 7 years, indicating a long-term need for these services. 3. Awarded by the Department of Homeland Security, specifically the Transportation Security Administration. 4. The contract was not competed, raising questions about potential cost savings through competition. 5. The firm fixed-price contract type suggests a defined scope and predictable costs. 6. The contract was awarded in 2005 and completed in 2012, reflecting historical spending.

Value Assessment

Rating: fair

The contract value of $17.6 million over approximately 7 years for specialized equipment maintenance appears reasonable given the duration and the nature of the services. However, without comparable contract data for similar maintenance services or specific details on the scope of work, a precise value-for-money assessment is challenging. The lack of competition limits the ability to benchmark pricing against market alternatives, potentially impacting the overall value realized by the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This approach bypasses the standard competitive bidding process, which typically fosters price discovery and potentially lower costs. The reasons for a sole-source award are not detailed, but it could be due to specialized knowledge, unique capabilities of the contractor, or urgency. The lack of competition means that the government did not benefit from multiple offers to drive down prices.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive pressure. Without a competitive process, there is less assurance that the pricing reflects the best possible value achievable in the market.

Public Impact

The Transportation Security Administration benefits from the continued operational readiness of its Explosives Detection Systems (EDS) and Linescan equipment. This contract ensures the reliable functioning of critical security screening technology at airports and other transportation hubs. The services provided contribute to national security by maintaining the effectiveness of threat detection systems. The contract supports specialized technical roles in maintaining advanced security equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to the maintenance and support of specialized security equipment. The market for such services is often characterized by a limited number of highly specialized firms capable of meeting stringent government requirements. Comparable spending benchmarks are difficult to establish without more specific details on the equipment and service level agreements, but maintenance of critical infrastructure and technology is a significant area of federal expenditure.

Small Business Impact

There is no indication that this contract involved small business set-asides or subcontracting opportunities. The sole-source nature of the award and the specialized technical requirements suggest that the primary contractor, Leidos Security Detection & Automation, Inc., likely performed the majority of the work directly. This limits the direct impact on the small business ecosystem for this specific contract.

Oversight & Accountability

Oversight for this contract would have been managed by the Department of Homeland Security and the Transportation Security Administration. As a completed contract, final oversight would have involved contract closeout procedures. Transparency is limited due to the sole-source nature and the lack of publicly available detailed performance reports. Inspector General jurisdiction would apply to any investigations of fraud, waste, or abuse related to the contract.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-homeland-security, transportation-security-administration, firm-fixed-price, sole-source, equipment-maintenance, security-technology, florida, historical-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $17.6 million to LEIDOS SECURITY DETECTION & AUTOMATION, INC.. PREVENTIVE AND CORRECTIVE MAINTENANCE FOR EDS AND LINESCAN EQUIPMENT

Who is the contractor on this award?

The obligated recipient is LEIDOS SECURITY DETECTION & AUTOMATION, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Transportation Security Administration).

What is the total obligated amount?

The obligated amount is $17.6 million.

What is the period of performance?

Start: 2005-06-01. End: 2012-10-09.

What was the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT COMPETED,' which is synonymous with a sole-source award. Specific justifications for sole-source procurements typically include factors such as the urgency of the requirement, the unavailability of other sources, or the existence of unique capabilities possessed by only one contractor. Without further documentation from the awarding agency (DHS/TSA), the precise reason for bypassing the competitive process remains unknown. Such justifications are usually detailed in a Justification and Approval (J&A) document, which is often made public but not included in the provided data snippet.

How does the per-year cost of this contract compare to industry benchmarks for similar maintenance services?

The total contract value was approximately $17.6 million over a duration of 2687 days, which is roughly 7.36 years. This averages to about $2.39 million per year. Benchmarking this against industry standards for preventive and corrective maintenance of specialized security equipment like EDS and Linescan is challenging without specific details on the scope of services, number of units maintained, response times, and required expertise. Generally, maintenance contracts for critical, high-technology systems can be substantial. However, the lack of competition for this contract makes it difficult to ascertain if the annual cost was competitive or represented a premium.

What was the track record of Leidos Security Detection & Automation, Inc. with the government prior to or during this contract?

Leidos Security Detection & Automation, Inc. (and its predecessors/related entities) has a significant history of contracting with the U.S. government, particularly within the defense and security sectors. Prior to and during this specific contract (2005-2012), the company, often operating under different names or divisions, was a known provider of technology and services to agencies like DHS and TSA. Their track record generally involves complex systems integration, technology development, and support services. Specific performance details for this particular contract are not publicly detailed in the provided data, but their continued presence in the federal contracting space suggests a generally accepted level of performance, though specific contract outcomes can vary.

What were the key performance indicators (KPIs) or service level agreements (SLAs) associated with this maintenance contract?

The provided data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, maintenance contracts for critical equipment like EDS and Linescan would include SLAs related to response times for corrective maintenance, uptime guarantees for the equipment, preventive maintenance schedules, and quality standards for repairs. The effectiveness of the contract would be measured against these metrics. Without access to the contract's statement of work or performance reports, a detailed assessment of the contractor's performance against specific, measurable goals is not possible.

How has federal spending on EDS and Linescan equipment maintenance evolved since this contract concluded?

Federal spending on EDS and Linescan equipment maintenance has likely evolved significantly since this contract concluded in 2012. Post-9/11 security mandates and subsequent technological advancements have driven continuous investment in screening technologies. Agencies like TSA continually update and replace older equipment, leading to new maintenance contracts, often with evolving service requirements and potentially different contracting vehicles. While specific aggregate spending figures require detailed analysis of federal procurement data, it's reasonable to assume that spending in this category remains substantial, driven by ongoing security needs and technological upgrades. Competition dynamics may also have shifted with market maturation.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: QUALITY CONTROL, TEST, INSPECTIONOTHER QUALITY, TEST, INSPECT SVCS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: ACCOUNTS PAYABLE, SAINT PETERSBURG, FL, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $246,688,276

Exercised Options: $17,648,396

Current Obligation: $17,648,396

Parent Contract

Parent Award PIID: HSTS0405DDEP009

IDV Type: IDC

Timeline

Start Date: 2005-06-01

Current End Date: 2012-10-09

Potential End Date: 2012-10-09 00:00:00

Last Modified: 2013-10-14

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