State Department Awards $9.2M Contract for Local Guard Force in Dakar, Senegal
Contract Overview
Contract Amount: $9,225,426 ($9.2M)
Contractor: Sagam International SA
Awarding Agency: Department of State
Start Date: 2021-10-22
End Date: 2027-03-31
Contract Duration: 1,986 days
Daily Burn Rate: $4.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: LOCAL GUARD FORCE - DAKAR/SENEGAL
Plain-Language Summary
Department of State obligated $9.2 million to SAGAM INTERNATIONAL SA for work described as: LOCAL GUARD FORCE - DAKAR/SENEGAL Key points: 1. Contract awarded to SAGAM INTERNATIONAL SA for security services. 2. Full and open competition was utilized. 3. The contract has a duration of 1986 days. 4. This contract supports diplomatic security operations abroad.
Value Assessment
Rating: fair
The contract is a Time and Materials type, which can lead to cost overruns if not managed closely. The awarded amount is $9.2M over nearly 5.5 years. Benchmarking against similar security contracts is difficult without more specific service details.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the Time and Materials pricing structure may limit the effectiveness of initial price competition.
Taxpayer Impact: Taxpayer funds are being used to secure U.S. diplomatic facilities abroad. The use of full and open competition aims to ensure fair pricing, but the T&M structure warrants careful monitoring.
Public Impact
Ensures security for U.S. personnel and facilities in Senegal. Supports diplomatic relations and operations in a key African nation. Provides employment opportunities within the local economy in Dakar.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing structure can lead to cost uncertainty.
- Contract duration is long, increasing potential for scope creep or price escalation.
- No small business participation noted.
Positive Signals
- Awarded through full and open competition.
- Supports critical diplomatic mission functions.
- Long-term contract provides stable security coverage.
Sector Analysis
This contract falls under security services, a sector critical for government operations, especially in overseas locations. Spending benchmarks for security services vary widely based on location, threat level, and specific services required.
Small Business Impact
The data indicates that small businesses were not involved in this contract, as the 'sb' field is false. This suggests the prime contractor is likely a larger entity, and there's no indication of subcontracting opportunities for small businesses.
Oversight & Accountability
The Department of State is responsible for overseeing this contract. Given the long duration and T&M nature, robust oversight is crucial to manage costs and ensure service delivery meets requirements.
Related Government Programs
- Security Guards and Patrol Services
- Department of State Contracting
- Department of State Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Long contract duration increases risk of price escalation and scope creep.
- Lack of small business participation.
- Limited transparency on specific services provided.
- Geopolitical risks associated with operating in Senegal.
Tags
security-guards-and-patrol-services, department-of-state, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $9.2 million to SAGAM INTERNATIONAL SA. LOCAL GUARD FORCE - DAKAR/SENEGAL
Who is the contractor on this award?
The obligated recipient is SAGAM INTERNATIONAL SA.
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $9.2 million.
What is the period of performance?
Start: 2021-10-22. End: 2027-03-31.
What specific security services are included in this contract, and how do they align with the threat environment in Dakar?
The contract details are limited, but it covers 'Security Guards and Patrol Services.' Understanding the precise scope, such as the number of guards, hours, specific security measures (e.g., access control, surveillance monitoring), and their alignment with the assessed threat level in Dakar, is crucial for validating the necessity and appropriateness of the $9.2M expenditure.
How will the Department of State manage the Time and Materials pricing to prevent cost overruns over the nearly five-year contract period?
Effective management of T&M contracts requires stringent oversight, including detailed tracking of labor hours and material costs, regular audits, and clear performance metrics. The Department should establish specific ceiling prices for labor categories and materials, and implement a process for reviewing and approving all expenditures to ensure they are reasonable and allocable to the contract's objectives.
What is the rationale for awarding this contract through full and open competition if the prime contractor is not a small business and no small business subcontracting is indicated?
Full and open competition is the standard for government contracting to ensure the best value for taxpayers. Even if the prime contractor is not a small business, this method allows any qualified entity to compete, potentially driving down prices and improving service quality. The absence of noted small business participation might indicate that the specific requirements were not conducive to small business involvement or that subcontracting opportunities were not explicitly tracked or mandated in this instance.
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: 19AQMM18R0332
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 124, AVENUE CHEIKH ANTA DIOP, DAKAR
Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $35,057,404
Exercised Options: $12,991,935
Current Obligation: $9,225,426
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2021-10-22
Current End Date: 2027-03-31
Potential End Date: 2027-03-31 00:00:00
Last Modified: 2026-03-18
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