State Department Awards $450M for Worldwide Protective Services to Triple Canopy Inc

Contract Overview

Contract Amount: $450,197,125 ($450.2M)

Contractor: Triple Canopy Inc

Awarding Agency: Department of State

Start Date: 2022-02-27

End Date: 2027-02-26

Contract Duration: 1,825 days

Daily Burn Rate: $246.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: Other

Official Description: PROFESSIONAL SERVICES CONTRACT WORLDWIDE PROTECTIVE SERVICES III. TASK ORDER - 04 BAGHDAD MOVEMENT PROTECTIVE SERVICES BUREAU OF DIPLOMATIC SECURITY U.S. DEPARTMENT OF STATE AWARD

Plain-Language Summary

Department of State obligated $450.2 million to TRIPLE CANOPY INC for work described as: PROFESSIONAL SERVICES CONTRACT WORLDWIDE PROTECTIVE SERVICES III. TASK ORDER - 04 BAGHDAD MOVEMENT PROTECTIVE SERVICES BUREAU OF DIPLOMATIC SECURITY U.S. DEPARTMENT OF STATE AWARD Key points: 1. Significant award for security services, indicating ongoing global security needs. 2. Triple Canopy Inc. is a major player in private security contracting. 3. High contract value presents potential for cost overruns and oversight challenges. 4. Services fall under the Security Guards and Patrol Services sector.

Value Assessment

Rating: fair

The contract value of $450M over 5 years suggests a substantial investment. Benchmarking against similar large-scale protective service contracts is difficult without more granular data on service levels and geographic scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is positive for price discovery. However, the large value and specialized nature of the services may limit the number of truly competitive bids.

Taxpayer Impact: Taxpayer funds are being used for essential security operations abroad. The competitive award process aims to ensure reasonable pricing, but the overall cost is significant.

Public Impact

Ensures security for diplomatic personnel and facilities in potentially high-risk environments. Supports U.S. foreign policy objectives by enabling safe diplomatic operations. Creates jobs within the private security sector. Potential for contractor performance issues impacting mission success. Requires ongoing government oversight to ensure service delivery and cost control.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

High contract value
Long duration
Potential for scope creep
Reliance on a single contractor for critical services

Positive Signals

Full and open competition
Fixed price contract type
Experienced contractor

Sector Analysis

This contract falls within the professional services sector, specifically security guards and patrol services. Spending in this area is often driven by geopolitical conditions and the need for physical security at government facilities worldwide.

Small Business Impact

The contract was awarded to Triple Canopy Inc., a large corporation, and there is no indication of small business participation in this specific award. Large federal contracts for specialized services often bypass small businesses due to scale and requirements.

Oversight & Accountability

The Department of State is responsible for oversight. Given the contract's value and duration, robust oversight mechanisms, including performance monitoring and financial audits, are crucial to ensure accountability and prevent waste.

Related Government Programs

Security Guards and Patrol Services
Department of State Contracting
Department of State Programs

Risk Flags

High contract value
Long contract duration
Geopolitical instability in operating regions
Potential for performance failures
Reliance on a single large provider

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $450.2 million to TRIPLE CANOPY INC. PROFESSIONAL SERVICES CONTRACT WORLDWIDE PROTECTIVE SERVICES III. TASK ORDER - 04 BAGHDAD MOVEMENT PROTECTIVE SERVICES BUREAU OF DIPLOMATIC SECURITY U.S. DEPARTMENT OF STATE AWARD

Who is the contractor on this award?

The obligated recipient is TRIPLE CANOPY INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $450.2 million.

What is the period of performance?

Start: 2022-02-27. End: 2027-02-26.

What specific metrics are used to evaluate Triple Canopy's performance in delivering protective services, and how are these metrics tied to contractor compensation?

Performance evaluation likely involves metrics related to incident response times, security breaches prevented, personnel adherence to post orders, and overall compliance with contract requirements. Compensation is tied to meeting these performance standards under the fixed-price structure, with potential for award fees or penalties depending on the specific contract clauses.

What is the process for escalating and resolving security incidents or performance deficiencies identified with Triple Canopy's services in high-risk environments?

Escalation typically involves a tiered approach, starting with on-site contract managers and progressing to higher levels within the Bureau of Diplomatic Security and Triple Canopy's management. Resolution protocols would address immediate security needs, root cause analysis, corrective action plans, and potential contractual remedies if deficiencies persist or pose significant risks.

How does the Department of State ensure that the fixed-price level of effort structure adequately covers all potential operational costs and risks associated with providing protective services in dive

The fixed-price structure is determined based on extensive pre-award analysis of anticipated costs, including labor, equipment, logistics, and risk premiums for specific regions. The Department likely incorporates contingency planning and reserves within the overall budget. However, unforeseen geopolitical events or significant changes in threat levels could necessitate contract modifications or supplemental funding.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Guards and Patrol Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 19AQMM21R0199

Offers Received: 4

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Address: 13530 DULLES TECHNOLOGY DR STE 500, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $1,346,228,288

Exercised Options: $488,453,205

Current Obligation: $450,197,125

Actual Outlays: $142,314,926

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM21D0011

IDV Type: IDC

Timeline