VA awards $10.1M for guard services, with 4 bidders competing for a firm-fixed-price contract

Contract Overview

Contract Amount: $10,126,006 ($10.1M)

Contractor: Culpepper & Associates Security Services Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2006-05-01

End Date: 2012-03-22

Contract Duration: 2,152 days

Daily Burn Rate: $4.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: GUARD SERVICES

Place of Performance

Location: ATLANTA, COBB County, GEORGIA, 30339

State: Georgia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $10.1 million to CULPEPPER & ASSOCIATES SECURITY SERVICES INC for work described as: GUARD SERVICES Key points: 1. The contract utilized full and open competition, suggesting a competitive pricing environment. 2. The duration of the contract (2152 days) indicates a long-term need for these services. 3. The award was made to Culpepper & Associates Security Services Inc., a single entity. 4. The contract type is firm-fixed-price, which shifts cost risk to the contractor. 5. The North American Industry Classification System (NAICS) code 561612 points to specialized security guard services. 6. The contract was awarded by the Department of Veterans Affairs, indicating a focus on supporting veterans' facilities.

Value Assessment

Rating: good

The total award amount of $10.1 million over approximately 6 years represents a significant investment in security services for the VA. Without specific benchmarks for similar guard services contracts at VA facilities, a direct value-for-money assessment is challenging. However, the firm-fixed-price structure implies that the contractor bears the risk of cost overruns, which can be a positive indicator for the government if managed effectively. The presence of 4 bidders suggests a degree of market interest and potential for competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which typically means that all responsible sources were permitted to submit a bid. The fact that there were 4 bidders indicates a reasonable level of competition for this security guard service requirement. A higher number of bidders generally leads to more competitive pricing and a wider range of solutions, though 4 bidders can still be sufficient to achieve fair market value.

Taxpayer Impact: The competitive bidding process for this contract likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition scenario. The presence of multiple bidders helps ensure that the government is not overpaying for essential security services.

Public Impact

Veterans and VA staff benefit from enhanced security at VA facilities. The contract ensures the provision of security guard services, contributing to a safe and secure environment. The geographic impact is likely concentrated in Georgia (ST: GA, SN: GEORGIA), where the contractor is based. The contract supports jobs within the security services industry, potentially benefiting the local workforce in Georgia.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for over-reliance on a single contractor for an extended period.
Need to ensure performance standards are consistently met throughout the contract duration.
Risk of price creep in future contract renewals if competition diminishes.

Positive Signals

Firm-fixed-price contract shifts cost risk to the contractor.
Full and open competition suggests a robust bidding process.
Award to an established entity may indicate reliability.

Sector Analysis

The security services industry is a significant sector within the broader professional, scientific, and technical services market. Guard services, specifically, are a critical component for government agencies and private organizations requiring physical security. The NAICS code 561612 covers establishments primarily engaged in providing security guards and patrol services. Spending in this sector is driven by the need for protection of assets, personnel, and facilities across various government departments, including the Department of Veterans Affairs.

Small Business Impact

This contract does not appear to have a small business set-aside (SB: false). There is no explicit information provided regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem from this specific contract is likely minimal, unless the prime contractor voluntarily engages small businesses for support services.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of Veterans Affairs. Performance standards and deliverables would be monitored to ensure compliance. Transparency is generally maintained through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Protective Service Contracts
Department of Defense Security Contracts
General Services Administration (GSA) Schedule Contracts for Security Services
Department of Homeland Security Contracts

Risk Flags

Potential for performance issues due to contract length.
Need for ongoing monitoring of contractor performance.
Risk of price escalation in future procurements if market dynamics change.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $10.1 million to CULPEPPER & ASSOCIATES SECURITY SERVICES INC. GUARD SERVICES

Who is the contractor on this award?

The obligated recipient is CULPEPPER & ASSOCIATES SECURITY SERVICES INC.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $10.1 million.

What is the period of performance?

Start: 2006-05-01. End: 2012-03-22.

What is the historical spending pattern for guard services by the Department of Veterans Affairs?

Analyzing the historical spending patterns for guard services by the Department of Veterans Affairs (VA) is crucial for understanding the scale and consistency of this requirement. While this specific contract awarded $10.1 million, the VA likely procures guard services across numerous facilities nationwide. Examining prior years' spending on similar contracts, including the number of awards, average contract values, and dominant contract types (e.g., firm-fixed-price vs. cost-plus), would reveal trends. This analysis helps in budgeting, identifying potential consolidation opportunities, and assessing whether spending has increased or decreased over time, which could be influenced by security needs, facility expansions, or policy changes. Without access to comprehensive historical VA procurement data, a detailed trend analysis is not possible, but such an examination would typically show consistent, significant investment in security services to protect its vast network of healthcare facilities and administrative buildings.

How does the pricing of this contract compare to similar guard services contracts awarded by other federal agencies?

Benchmarking the pricing of this $10.1 million guard services contract against similar awards by other federal agencies is essential for assessing value for money. Factors influencing price include geographic location, specific security requirements (e.g., armed vs. unarmed guards, specialized equipment), contract duration, and the level of competition. For instance, guard services in high-cost-of-living areas or those requiring highly specialized skills would naturally command higher prices. Comparing the per-hour rate or the total contract value relative to the number of guard hours or facility square footage across different agencies can highlight potential discrepancies. If this contract's rates are significantly higher than comparable contracts, it might indicate less competitive pricing, higher operational costs for the contractor in the specific region, or unique service requirements. Conversely, if the rates are competitive or lower, it suggests effective price negotiation and a healthy competitive market.

What is the track record of Culpepper & Associates Security Services Inc. with federal contracts?

Evaluating the track record of Culpepper & Associates Security Services Inc. with federal contracts provides insight into their performance, reliability, and experience. Accessing federal procurement databases (like FPDS or SAM.gov) would allow for a review of their past awards, including the agencies they've served, the types of services provided, contract values, and durations. Key performance indicators such as past performance ratings, any instances of contract disputes, terminations, or awards for excellence would be critical. A history of successful contract completions, positive performance reviews, and adherence to federal regulations suggests a lower risk for this current award. Conversely, a history of issues could signal potential performance risks that warrant closer monitoring by the VA.

What are the key performance indicators (KPIs) used to measure the effectiveness of these guard services?

The effectiveness of guard services is typically measured through a set of Key Performance Indicators (KPIs) outlined in the contract's Performance Work Statement (PWS). Common KPIs for security guard contracts include response times to incidents, adherence to post orders, incident reporting accuracy and timeliness, guard presence and visibility, and the number of security breaches or safety violations. For this VA contract, specific metrics might relate to maintaining a secure environment within healthcare facilities, ensuring access control, and preventing unauthorized entry. The VA would likely monitor these KPIs through regular reports from the contractor, site visits, and potentially through feedback from facility staff and visitors. Failure to meet these KPIs could result in contractual remedies, such as price reductions or even termination.

How has the Department of Veterans Affairs managed competition for guard services over the past five years?

Understanding how the Department of Veterans Affairs (VA) has managed competition for guard services over the past five years involves analyzing the prevalence of different contract award types. This includes tracking the proportion of contracts awarded through full and open competition versus sole-source or limited competition. A trend towards increased full and open competition generally indicates a commitment to maximizing value and leveraging market forces. Conversely, a rise in sole-source awards might suggest challenges in defining requirements, market limitations, or specific circumstances necessitating direct negotiation. Analyzing the number of bidders on competitively awarded contracts would also reveal the level of market interest and the intensity of competition. This information helps assess whether the VA is effectively utilizing competitive strategies to secure cost-effective and high-quality security services across its facilities.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1810 WATER PL STE 180, ATLANTA, GA, 90

Business Categories: Black American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Small Disadvantaged Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $10,126,006

Exercised Options: $10,126,006

Current Obligation: $10,126,006

Contract Characteristics

Cost or Pricing Data: NO

Timeline