OPM Spends $14M on Security Guards for HQ, Awarded to American Security Programs Inc
Contract Overview
Contract Amount: $14,063,799 ($14.1M)
Contractor: American Security Programs Inc
Awarding Agency: Office of Personnel Management
Start Date: 2007-09-01
End Date: 2012-12-29
Contract Duration: 1,946 days
Daily Burn Rate: $7.2K/day
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: TO PROVIDE ARMED SECURITY GUARD SERVICES AT THE OPM/TRB HEADQUARTERS.
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20415
Plain-Language Summary
Office of Personnel Management obligated $14.1 million to AMERICAN SECURITY PROGRAMS INC for work described as: TO PROVIDE ARMED SECURITY GUARD SERVICES AT THE OPM/TRB HEADQUARTERS. Key points: 1. Significant contract value of $14.1 million over five years. 2. Sole-source award raises questions about competition and potential price inflation. 3. Long contract duration (1946 days) may limit flexibility and market responsiveness. 4. Security services sector is essential but can be prone to price volatility.
Value Assessment
Rating: questionable
The $14.1 million contract value for armed security guard services over nearly five years appears high given the lack of competitive bidding. Benchmarking against similar contracts is difficult without more data, but the absence of competition suggests potential overpricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning there was no open competition. This significantly limits price discovery and may have resulted in a higher price than could have been achieved through a competitive process.
Taxpayer Impact: Taxpayers may have paid a premium due to the lack of competition, as the government did not explore potentially lower-cost options from other qualified vendors.
Public Impact
Ensures physical security for a key federal agency's headquarters. Provides employment for security personnel through American Security Programs Inc. Potential for higher costs borne by taxpayers due to sole-source award.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Long contract duration
- Lack of detailed pricing justification
Positive Signals
- Essential service provided
- Established vendor relationship
Sector Analysis
The contract falls within the security services sector, which is critical for government operations. Spending benchmarks for armed security guards can vary widely based on location, threat level, and service requirements. The $14.1M over nearly 5 years suggests a substantial security presence.
Small Business Impact
The contract was awarded to American Security Programs Inc., a private company. There is no indication in the data whether small businesses were involved as subcontractors or if this award impacted small business participation in the security services sector.
Oversight & Accountability
The sole-source nature of this award warrants further oversight to ensure the price paid was fair and reasonable. Accountability rests with the Office of Personnel Management to justify the lack of competition and the final contract price.
Related Government Programs
- Security Guards and Patrol Services
- Office of Personnel Management Contracting
- Office of Personnel Management Programs
Risk Flags
- Sole-source award lacks transparency and competitive pricing.
- Potential for inflated costs due to lack of competition.
- Long contract duration may not reflect current market conditions or needs.
- Limited insight into specific security requirements justifying the cost.
- Absence of small business participation data.
Tags
security-guards-and-patrol-services, office-of-personnel-management, dc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Office of Personnel Management awarded $14.1 million to AMERICAN SECURITY PROGRAMS INC. TO PROVIDE ARMED SECURITY GUARD SERVICES AT THE OPM/TRB HEADQUARTERS.
Who is the contractor on this award?
The obligated recipient is AMERICAN SECURITY PROGRAMS INC.
Which agency awarded this contract?
Awarding agency: Office of Personnel Management (Office of Personnel Management).
What is the total obligated amount?
The obligated amount is $14.1 million.
What is the period of performance?
Start: 2007-09-01. End: 2012-12-29.
Was a thorough market research conducted prior to the sole-source determination to ensure no other capable vendors could provide the service at a better price?
The provided data does not detail the market research conducted. A sole-source justification typically requires demonstrating that only one responsible source is capable of meeting the government's needs. Without this documentation, it's difficult to assess if alternatives were truly non-existent or if competition was simply bypassed.
What specific security requirements justified the high cost and the need for a sole-source provider over nearly five years?
The data indicates armed security guard services were required at OPM/TRB headquarters. However, the specific threat assessment, required guard levels, hours, and specialized skills that would justify the $14.1 million price tag and a sole-source award are not detailed. This information is crucial for evaluating value for money.
How does the per-unit cost of these security guards compare to industry averages for similar government contracts in the DC area?
A precise per-unit cost benchmark cannot be calculated without knowing the number of guards, hours worked, and specific service levels. However, given the sole-source nature and the total value, it is prudent to investigate if the effective hourly rate paid exceeds typical government contract rates for armed guards in the region.
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: 22900 SHAW RD STE 101-4, DULLES, VA, 20166
Business Categories: Category Business, Not Designated a Small Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $14,881,042
Exercised Options: $14,881,042
Current Obligation: $14,063,799
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS07F0622N
IDV Type: FSS
Timeline
Start Date: 2007-09-01
Current End Date: 2012-12-29
Potential End Date: 2012-12-29 00:00:00
Last Modified: 2018-04-19
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