Department of State awards $10.9M contract for security services in Bridgetown, Barbados, to G4S Barbados JV

Contract Overview

Contract Amount: $10,898,826 ($10.9M)

Contractor: G4S Barbados JV

Awarding Agency: Department of State

Start Date: 2023-05-01

End Date: 2026-04-30

Contract Duration: 1,095 days

Daily Burn Rate: $10.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: BRIDGETOWN, BARBADOS- LOCAL GUARD PROGRAM REFERENCE PR- PR10281801

Plain-Language Summary

Department of State obligated $10.9 million to G4S BARBADOS JV for work described as: BRIDGETOWN, BARBADOS- LOCAL GUARD PROGRAM REFERENCE PR- PR10281801 Key points: 1. Contract value appears reasonable given the duration and scope of security services required. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The contract is a definitive contract with a time and materials pricing structure, which can introduce cost uncertainty. 4. Services are critical for protecting U.S. personnel and facilities abroad. 5. The contractor, G4S Barbados JV, is a known entity in the security services sector. 6. The contract duration of 1095 days (3 years) provides stability for service delivery.

Value Assessment

Rating: good

The contract value of approximately $10.9 million over three years for security services in Bridgetown, Barbados, seems aligned with industry standards for similar protective services. While a precise per-unit cost benchmark is difficult without detailed service level agreements, the overall award amount suggests a fair market price for comprehensive security coverage. The time and materials pricing, however, warrants close monitoring to ensure costs remain within reasonable bounds and do not escalate unexpectedly.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 3 bidders suggests a moderate level of competition for this requirement. While more bidders could potentially drive prices lower, a competitive process was indeed followed, which is a positive indicator for price discovery and value for taxpayer money.

Taxpayer Impact: The full and open competition process increases the likelihood that the government secured competitive pricing, benefiting taxpayers by avoiding inflated costs associated with less competitive solicitations.

Public Impact

U.S. Embassy personnel and facilities in Bridgetown, Barbados, will benefit from enhanced security. The contract ensures the provision of essential security guard and patrol services. The geographic impact is localized to Bridgetown, Barbados, supporting diplomatic and consular operations. The contract supports local employment in Barbados through the security services provider.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing structure can lead to cost overruns if not managed diligently.
Geographic concentration of services in one location may limit broader application of lessons learned.
Dependence on a single contractor for critical security functions requires robust performance monitoring.

Positive Signals

Awarded under full and open competition, suggesting a fair and transparent process.
Contractor has experience in providing security services.
Long-term contract (3 years) provides service continuity.
Clear service period (May 2023 - April 2026) allows for planning.

Sector Analysis

The security services sector is a significant component of government contracting, particularly for agencies operating abroad. This contract falls within the broader category of protective services, which includes guarding, patrol, and related security functions. The market for these services is competitive, with numerous providers ranging from large multinational corporations to smaller, specialized firms. Benchmarking this contract's value against similar security contracts for U.S. diplomatic missions or federal facilities in comparable regions would provide further context on its cost-effectiveness.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the nature of the services and the likely scale of operations required, it is plausible that larger security firms would be the primary bidders. Further analysis would be needed to determine if any small business participation is mandated or occurs through subcontracting.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Department of State's Bureau of Diplomatic Security and relevant contracting officers. Standard oversight mechanisms would include performance monitoring, invoice review, and adherence to contract terms. Transparency is generally maintained through contract databases, though specific performance metrics and detailed spending breakdowns may not always be publicly available.

Related Government Programs

Department of State Diplomatic Security Services
Embassy Security Contracts
Global Security Services Contracts

Risk Flags

Potential for cost overruns due to Time and Materials pricing structure.
Reliance on a single contractor for critical security functions.
Geographic concentration limits scalability and broader application of lessons learned.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $10.9 million to G4S BARBADOS JV. BRIDGETOWN, BARBADOS- LOCAL GUARD PROGRAM REFERENCE PR- PR10281801

Who is the contractor on this award?

The obligated recipient is G4S BARBADOS JV.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $10.9 million.

What is the period of performance?

Start: 2023-05-01. End: 2026-04-30.

What is the track record of G4S Barbados JV in fulfilling government contracts, particularly for security services?

Information regarding the specific track record of 'G4S Barbados JV' in fulfilling government contracts is not detailed in the provided data. However, G4S is a globally recognized security company with extensive experience in providing security solutions across various sectors, including government and commercial clients. To assess their suitability for this specific contract, a review of their past performance on similar U.S. government contracts, including client satisfaction, adherence to schedules, and quality of service, would be necessary. This would typically involve consulting past performance evaluations and potentially seeking references from previous government agencies they have served.

How does the awarded amount compare to similar security contracts in the Caribbean region?

A direct comparison of the $10.9 million award for 3 years of security services in Bridgetown, Barbados, to similar contracts in the Caribbean requires access to a broader dataset of regional security contract values. Factors such as the specific security requirements (e.g., number of guards, hours of coverage, specialized equipment), the geopolitical risk of the location, and the prevailing labor costs in Barbados would influence the price. Generally, security services for diplomatic missions are comprehensive and command significant budgets due to the critical nature of protecting personnel and assets. Without specific comparable contract data, it's challenging to definitively benchmark this award, but the amount appears substantial, reflecting the importance of the services.

What are the primary risks associated with a Time and Materials (T&M) contract for security services?

The primary risk associated with a Time and Materials (T&M) contract for security services is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for the actual labor hours and materials used, plus a fee. If not carefully managed and monitored, contractors may bill for excessive hours or use more expensive materials than necessary, leading to costs exceeding initial estimates. For security services, this could manifest as extended guard duty times, unnecessary overtime, or the use of premium-priced equipment. Robust oversight, detailed timesheet verification, and clear limitations on billable hours and material costs are crucial to mitigate these risks.

What is the expected effectiveness of the security services provided under this contract in mitigating threats to the U.S. Embassy in Bridgetown?

The expected effectiveness of the security services hinges on the quality of G4S Barbados JV's performance and the specific security protocols implemented. As a definitive contract awarded after full and open competition, it implies that the selected provider met the government's requirements for capability and reliability. The services, including guards and patrol, are designed to deter potential threats, provide immediate response to incidents, and maintain a secure perimeter. The effectiveness will be measured by the contractor's adherence to post orders, the professionalism of their personnel, and their ability to integrate with the Embassy's overall security posture. Continuous performance evaluation by the Department of State is key to ensuring ongoing effectiveness.

How has the Department of State's spending on security services in Barbados trended over the past five years?

Analyzing the historical spending trend of the Department of State on security services specifically in Barbados over the past five years would require access to detailed historical contract data. This contract, valued at approximately $10.9 million over three years, represents a significant investment. Without prior contract information for this specific location, it's difficult to establish a trend. However, global security needs for diplomatic missions are often consistent, suggesting that spending may have been relatively stable, subject to inflation, changes in threat levels, and contract renewals. A comprehensive review of the Federal Procurement Data System (FPDS) or similar databases would be necessary to ascertain past spending patterns.

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: 19AQMM22R0255

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1395 UNIVERSITY BLVD., JUPITER, FL, 33458

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

Financial Breakdown

Contract Ceiling: $20,072,419

Exercised Options: $10,898,826

Current Obligation: $10,898,826

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline