State Dept. Awards $17.7M Security Contract to Inter-con Security Systems, Inc. for 4 Years

Contract Overview

Contract Amount: $17,742,285 ($17.7M)

Contractor: Inter-Con Security Systems, Inc.

Awarding Agency: Department of State

Start Date: 2023-01-01

End Date: 2026-12-31

Contract Duration: 1,460 days

Daily Burn Rate: $12.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: GEORGETOWN LOCAL GUARD PROGRAM REFERENCE PR- PR10011239

Plain-Language Summary

Department of State obligated $17.7 million to INTER-CON SECURITY SYSTEMS, INC. for work described as: GEORGETOWN LOCAL GUARD PROGRAM REFERENCE PR- PR10011239 Key points: 1. Contract Value: $17.7 million over 4 years. 2. Competition: Full and open competition was utilized. 3. Risk: Time and Materials pricing could pose a risk if not managed closely. 4. Sector: Security Guards and Patrol Services (NAICS 561612).

Value Assessment

Rating: fair

The contract is a Time and Materials type, which can lead to cost overruns if not carefully monitored. Benchmarking against similar contracts for security services is recommended to ensure fair pricing.

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. This method generally leads to more competitive pricing.

Taxpayer Impact: The use of full and open competition is positive for taxpayers, as it aims to secure the best value through market forces.

Public Impact

Ensures continuous security operations for the Department of State. Supports jobs within the security services industry. Potential for cost fluctuations due to Time and Materials pricing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The security services sector is competitive, with numerous providers. This contract falls under NAICS code 561612, Security Guards and Patrol Services. Spending benchmarks for similar government contracts are essential for evaluating cost-effectiveness.

Small Business Impact

While this contract was awarded under full and open competition, there is no specific indication of small business participation or set-asides. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

The Department of State is responsible for overseeing this contract. Standard oversight mechanisms should be in place to monitor performance and costs, especially given the Time and Materials pricing.

Related Government Programs

Risk Flags

Tags

security-guards-and-patrol-services, department-of-state, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $17.7 million to INTER-CON SECURITY SYSTEMS, INC.. GEORGETOWN LOCAL GUARD PROGRAM REFERENCE PR- PR10011239

Who is the contractor on this award?

The obligated recipient is INTER-CON SECURITY SYSTEMS, INC..

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $17.7 million.

What is the period of performance?

Start: 2023-01-01. End: 2026-12-31.

What is the average hourly rate for security guards under this contract compared to industry averages?

The average hourly rate for security guards under this contract would need to be calculated based on the specific labor categories and rates agreed upon in the Time and Materials structure. Comparing this to industry averages for similar security services, considering location and required skill sets, is crucial for assessing value. Without the detailed rate structure, a precise benchmark is not possible, but general industry data can provide a comparative perspective.

What are the key performance indicators (KPIs) for this contract and how is performance being monitored?

Key performance indicators for security guard contracts typically include response times, incident reporting accuracy, personnel reliability, and adherence to post orders. The Department of State should have established KPIs and a robust monitoring system to track Inter-con Security Systems, Inc.'s performance against these metrics. Regular performance reviews and site inspections are vital to ensure service quality and identify any potential issues early on.

How does the Time and Materials pricing structure mitigate the risk of cost overruns for the government?

Time and Materials (T&M) pricing inherently carries a risk of cost overruns for the government if not managed diligently. Mitigation strategies include establishing clear ceilings on labor hours and material costs, requiring detailed justifications for all hours worked and materials used, and implementing strong oversight to verify the necessity and reasonableness of all charges. Regular audits and performance reviews are essential to control costs within a T&M contract.

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: 19AQMM21R0262

Offers Received: 6

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 210 S DE LACEY AVE, PASADENA, CA, 91105

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $36,204,207

Exercised Options: $30,121,033

Current Obligation: $17,742,285

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2023-01-01

Current End Date: 2026-12-31

Potential End Date: 2027-12-31 00:00:00

Last Modified: 2026-03-27

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