State Department awards $387M for embassy security, extending services through 2026

Contract Overview

Contract Amount: $387,307,851 ($387.3M)

Contractor: Gardaworld Federal Services LLC

Awarding Agency: Department of State

Start Date: 2022-10-17

End Date: 2026-10-16

Contract Duration: 1,460 days

Daily Burn Rate: $265.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: REVISE AWARD TASK ORDER NUMBER FROM 19AQMM22F1759 TO 19AQMM22F3446 AND CORRECT COMPANY DBA NAME. WORLDWIDE PROTECTIVE SERVICES III. TASK ORDER - 05 BAGHDAD EMBASSY SECURITY FORCE BUREAU OF DIPLOMATIC SECURITY U.S. DEPARTMENT OF STATE AWARD

Plain-Language Summary

Department of State obligated $387.3 million to GARDAWORLD FEDERAL SERVICES LLC for work described as: REVISE AWARD TASK ORDER NUMBER FROM 19AQMM22F1759 TO 19AQMM22F3446 AND CORRECT COMPANY DBA NAME. WORLDWIDE PROTECTIVE SERVICES III. TASK ORDER - 05 BAGHDAD EMBASSY SECURITY FORCE BUREAU OF DIPLOMATIC SECURITY U.S. DEPARTMENT OF STATE AWARD Key points: 1. Contract value represents a significant investment in diplomatic security infrastructure. 2. The award is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, suggesting a pre-established framework for services. 3. The duration of the task order (1460 days) indicates a long-term need for these security services. 4. The firm-fixed-price contract type aims to provide cost certainty for the government. 5. The services are critical for maintaining secure operations at U.S. diplomatic facilities. 6. The contract was awarded through full and open competition, implying a robust bidding process.

Value Assessment

Rating: good

The total award amount of $387.3 million over approximately four years suggests a substantial but potentially reasonable cost for comprehensive security services at a major diplomatic mission. Benchmarking against similar large-scale security contracts for embassies or high-security government facilities would be necessary for a definitive value assessment. The firm-fixed-price structure helps control costs, but the overall value is contingent on the effective delivery of services and the absence of significant change orders.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 4 bids suggests a competitive environment, which typically leads to better pricing and service offerings for the government. The specific number of bidders (4) provides a moderate level of competition, allowing for price discovery and selection of a qualified contractor.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that drives down prices and encourages innovation, leading to better value for the significant investment in embassy security.

Public Impact

U.S. diplomatic personnel and facilities abroad are the primary beneficiaries, ensuring their safety and operational continuity. The contract delivers essential security guard and patrol services, crucial for protecting sensitive government assets and information. The services are geographically focused on the U.S. Embassy in Baghdad, Iraq. The contract supports a workforce of security personnel, contributing to employment in the security sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep occurs despite firm-fixed-price structure.
Geopolitical instability in the region could impact service delivery and necessitate additional security measures.
Reliance on a single contractor for critical security functions requires robust performance monitoring.
Ensuring consistent quality of security personnel across the contract duration can be challenging.

Positive Signals

Awarded through full and open competition, indicating a competitive process.
Firm-fixed-price contract type provides cost certainty.
Long-term duration suggests a stable and ongoing requirement, allowing for efficient resource planning.
The contractor, GardaWorld, is a known entity in the security services industry.
The task order is part of a larger IDIQ contract, potentially streamlining future procurements.

Sector Analysis

The security services sector is a large and growing market, driven by increasing global security concerns and the need for protection of critical infrastructure and personnel. This contract falls within the security guards and patrol services sub-sector (NAICS 561612). Spending in this area is often substantial for government agencies operating in high-risk environments, such as diplomatic missions abroad. Comparable spending benchmarks would typically involve analyzing other large-scale security contracts awarded by the Department of State or Department of Defense for similar overseas operations.

Small Business Impact

This contract does not indicate any specific small business set-aside provisions (ss: false, sb: false). Therefore, the primary contractor, GardaWorld Federal Services LLC, is likely a large business. There is no explicit information provided regarding subcontracting plans for small businesses. The absence of set-asides means that opportunities for small businesses would primarily arise if they are part of the supply chain or subcontracting network established by the prime contractor.

Oversight & Accountability

Oversight for this contract would primarily fall under the Bureau of Diplomatic Security within the U.S. Department of State. Accountability measures are typically embedded in the contract terms, including performance standards, reporting requirements, and potential penalties for non-compliance. Transparency is facilitated through contract award databases like FPDS. The Inspector General of the Department of State would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Worldwide Protective Services III IDIQ Contract
Department of State Diplomatic Security Services
Embassy Security Contracts
Overseas Security Guard Services

Risk Flags

Geopolitical Instability
Contractor Performance Risk
Long-Term Service Delivery Challenges

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $387.3 million to GARDAWORLD FEDERAL SERVICES LLC. REVISE AWARD TASK ORDER NUMBER FROM 19AQMM22F1759 TO 19AQMM22F3446 AND CORRECT COMPANY DBA NAME. WORLDWIDE PROTECTIVE SERVICES III. TASK ORDER - 05 BAGHDAD EMBASSY SECURITY FORCE BUREAU OF DIPLOMATIC SECURITY U.S. DEPARTMENT OF STATE AWARD

Who is the contractor on this award?

The obligated recipient is GARDAWORLD FEDERAL SERVICES LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $387.3 million.

What is the period of performance?

Start: 2022-10-17. End: 2026-10-16.

What is the historical spending pattern for security services at the U.S. Embassy in Baghdad?

Analyzing historical spending for security services at the U.S. Embassy in Baghdad requires access to detailed contract data over multiple years. Typically, such high-threat environments necessitate continuous and substantial security investments. Previous contracts would likely show significant expenditures for personnel, equipment, and logistical support. The current award of $387.3 million over approximately four years suggests a sustained level of funding consistent with the ongoing security needs of a major diplomatic mission in a challenging geopolitical region. Without specific historical data, it's difficult to provide precise figures, but it can be inferred that similar large-scale contracts have been in place to ensure the safety and security of personnel and facilities.

How does the per-unit cost of security personnel compare to industry benchmarks for similar high-risk environments?

Determining the precise per-unit cost of security personnel requires detailed breakdowns of the contract, including the number of personnel, their roles, hours worked, and associated overhead. This information is not fully available in the provided data. However, security services in high-risk environments like Baghdad are generally significantly more expensive than in low-risk domestic settings due to factors such as hazard pay, specialized training, logistical support, and higher insurance premiums. If this contract were to be benchmarked, comparisons would be made against other Department of State or Department of Defense contracts for similar security services in comparable overseas locations. A preliminary assessment would consider if the overall cost aligns with the expected premium for operating in such a demanding environment.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

Key Performance Indicators (KPIs) and Service Level Agreements (SLAs) are critical components of any government contract, especially for security services. While not explicitly detailed in the award data, typical KPIs for embassy security would likely include response times to incidents, adherence to post orders, personnel reliability and attendance rates, successful completion of security sweeps, and incident reporting accuracy. SLAs would define the expected standards for these KPIs, often with associated remedies or penalties for non-performance. The Department of State's Bureau of Diplomatic Security would have established specific metrics and oversight mechanisms to ensure GardaWorld Federal Services LLC meets the required security standards to protect personnel and facilities.

What is GardaWorld Federal Services LLC's track record with similar government security contracts, particularly in overseas or high-risk locations?

GardaWorld Federal Services LLC has a significant track record in providing security services to government entities, including the Department of State and Department of Defense. They have been awarded numerous contracts for protective services, base operations support, and security augmentation in various overseas locations, including those considered high-risk. Their experience often involves providing armed and unarmed guards, access control, perimeter security, and emergency response. The fact that they were awarded this substantial task order under a competitive process suggests they have demonstrated the capability, experience, and financial stability required to meet the stringent demands of securing a U.S. embassy in a challenging environment like Baghdad.

What are the potential risks associated with the long duration (1460 days) of this contract?

The long duration of this contract, approximately four years, presents several potential risks. Firstly, the geopolitical landscape and security threats in Baghdad could evolve significantly over this period, potentially requiring adjustments to the scope of services or increasing operational costs, which could strain the firm-fixed-price structure. Secondly, maintaining consistent service quality and personnel performance over an extended period can be challenging, requiring robust contractor management and oversight. Thirdly, there's a risk of contractor complacency or a decline in vigilance due to the long-term nature of the engagement. Finally, technological advancements in security could emerge, making current systems or methods outdated by the contract's end, necessitating potential modifications or future investments.

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: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: BC Partners LLP

Address: 1760 OLD MEADOW RD STE 400, MCLEAN, VA, 22102

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $1,251,206,124

Exercised Options: $472,756,835

Current Obligation: $387,307,851

Actual Outlays: $41,996,737

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM21D0008

IDV Type: IDC

Timeline