FCC awards $2.65M cyber security contract to Argus Secure Technology LLC for over 1.5 years

Contract Overview

Contract Amount: $2,653,932 ($2.7M)

Contractor: Argus Secure Technology LLC

Awarding Agency: Federal Communications Commission

Start Date: 2025-10-09

End Date: 2027-04-08

Contract Duration: 546 days

Daily Burn Rate: $4.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 16

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CYBER SECURITY SERVICES PER AGENCY PROCEDURES.

Place of Performance

Location: VIENNA, FAIRFAX County, VIRGINIA, 22182

State: Virginia Government Spending

Plain-Language Summary

Federal Communications Commission obligated $2.7 million to ARGUS SECURE TECHNOLOGY LLC for work described as: CYBER SECURITY SERVICES PER AGENCY PROCEDURES. Key points: 1. Contract value appears reasonable given the duration and scope of cyber security services. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The contract's fixed-price nature helps mitigate cost overrun risks for the agency. 4. This award falls within the broader category of IT services, specifically cyber security. 5. The duration of the contract (over 1.5 years) allows for sustained security support. 6. The agency's specific procedures for cyber security are likely to be a key driver of service delivery.

Value Assessment

Rating: good

The contract value of $2.65 million over approximately 1.8 years (546 days) for cyber security services is within a reasonable range for federal contracts of this nature. Benchmarking against similar cyber security support contracts awarded by agencies like the FCC or other federal entities would provide a more precise value-for-money assessment. The firm fixed-price structure indicates that the contractor bears the risk of cost overruns, which is generally favorable for the government.

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. This suggests a robust bidding environment, likely resulting in competitive pricing and a wider selection of qualified vendors. The presence of 16 bids (no) indicates significant interest and a healthy level of competition for this cyber security service requirement.

Taxpayer Impact: A competitive bidding process like full and open competition generally benefits taxpayers by driving down prices and ensuring the government receives the best value for its investment in cyber security.

Public Impact

The Federal Communications Commission (FCC) will benefit from enhanced cyber security measures. The contract will deliver essential cyber security services to protect the FCC's IT infrastructure and data. The primary geographic impact is within the FCC's operational locations, likely concentrated in Virginia. The contract supports the IT workforce, potentially including specialized cyber security professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if services are highly specialized and difficult to transition.
Ensuring continuous alignment with evolving cyber threats and FCC-specific security protocols.
Monitoring performance to ensure the contractor meets all contractual obligations and security standards.

Positive Signals

Awarded through full and open competition, indicating a competitive market.
Firm fixed-price contract structure mitigates financial risk for the government.
Contract duration allows for sustained and consistent cyber security support.
The contractor, Argus Secure Technology LLC, is likely experienced in providing these services.

Sector Analysis

Cyber security services represent a critical and growing segment within the broader Information Technology (IT) sector. Federal spending on cyber security has been steadily increasing as agencies face evolving threats. This contract for the FCC fits within this trend, addressing the need for specialized services to protect sensitive government data and infrastructure. Comparable spending benchmarks would involve analyzing other federal cyber security contracts, particularly those for IT support services within regulatory agencies.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless Argus Secure Technology LLC voluntarily engages small businesses for subcontracting opportunities. Further analysis would be needed to determine if any small business participation is planned.

Oversight & Accountability

Oversight for this contract will primarily reside with the Federal Communications Commission's contracting officers and program managers. They will be responsible for monitoring performance, ensuring compliance with the contract terms, and approving payments. The firm fixed-price nature of the contract provides a degree of financial oversight by capping the government's liability. Transparency would be enhanced through public contract databases and reporting requirements.

Related Government Programs

Federal Information Security Management Act (FISMA) Compliance
Cybersecurity and Infrastructure Security Agency (CISA) Initiatives
IT Services for Federal Agencies
Network Security Services
Data Protection Contracts

Risk Flags

Performance Risk: Ensuring the contractor meets all security and service level requirements.
Compliance Risk: Adherence to all relevant federal security standards and regulations.
Transition Risk: Potential challenges in transitioning services if the contract is not renewed or is transferred.

Frequently Asked Questions

What is this federal contract paying for?

Federal Communications Commission awarded $2.7 million to ARGUS SECURE TECHNOLOGY LLC. CYBER SECURITY SERVICES PER AGENCY PROCEDURES.

Who is the contractor on this award?

The obligated recipient is ARGUS SECURE TECHNOLOGY LLC.

Which agency awarded this contract?

Awarding agency: Federal Communications Commission (Federal Communications Commission).

What is the total obligated amount?

The obligated amount is $2.7 million.

What is the period of performance?

Start: 2025-10-09. End: 2027-04-08.

What is the track record of Argus Secure Technology LLC in performing similar federal cyber security contracts?

Assessing the track record of Argus Secure Technology LLC requires examining their past performance on federal contracts, particularly those involving cyber security services. This would involve reviewing contract databases for previous awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any documented issues or successes. A history of successful, on-time, and within-budget performance on similar contracts would indicate a lower risk for this new award. Conversely, a history of performance issues, disputes, or contract terminations would raise concerns about their capability to meet the FCC's requirements effectively.

How does the awarded price compare to market rates for similar cyber security services?

To benchmark the value, the awarded price of approximately $2.65 million over 1.8 years needs to be compared against market rates for comparable cyber security services. This involves researching industry pricing for services such as network monitoring, vulnerability assessments, incident response, and security consulting, considering factors like the level of expertise required, the scope of services, and the duration. Analyzing data from similar federal contracts awarded through competitive processes can also provide a valuable comparison point. If the FCC's contract price is significantly lower than market averages, it could indicate excellent value; if it's higher, it might suggest potential overpricing or a need for closer scrutiny of the service scope and quality.

What are the primary risks associated with this contract and how are they being mitigated?

Key risks for this cyber security contract include potential performance failures (e.g., missed threats, inadequate response), scope creep, and contractor non-compliance with security protocols. Mitigation strategies are embedded in the contract structure and oversight. The firm fixed-price nature shifts financial risk to the contractor. The full and open competition process aims to select a highly capable vendor. The FCC's oversight, including performance monitoring and defined service level agreements, will be crucial for ensuring successful execution and addressing any emerging issues promptly. Clear contract terms and security requirements are fundamental to mitigating compliance risks.

How effective is the FCC's current cyber security posture, and how will this contract contribute to its improvement?

The effectiveness of the FCC's current cyber security posture is not detailed in the provided data. However, the award of this contract signifies a proactive approach to maintaining and potentially enhancing their defenses. This contract is intended to provide specialized cyber security services, which could range from threat detection and prevention to incident response and security policy development. By engaging Argus Secure Technology LLC, the FCC aims to leverage external expertise to bolster its defenses against evolving cyber threats, thereby improving its overall security posture and protecting its critical information assets.

What are the historical spending patterns for cyber security services at the FCC?

Historical spending patterns for cyber security services at the FCC are not provided in the data. To analyze this, one would need to review past contract awards for cyber security and related IT services issued by the FCC over several fiscal years. This analysis would reveal trends in spending levels, the types of services procured, the primary contractors utilized, and the methods of competition. Understanding these patterns can help contextualize the current $2.65 million award, indicating whether it represents an increase, decrease, or stable level of investment in cyber security compared to previous periods.

What is the significance of the North American Industry Classification System (NAICS) code 541519 for this contract?

The NAICS code 541519, 'Other Computer Related Services,' is a broad classification that encompasses a wide range of IT services not specified elsewhere. For this cyber security contract, it indicates that the services provided fall under the umbrella of computer services but are not limited to specific subcategories like custom software development or network management. This code suggests the contract may involve a diverse set of cyber security functions, potentially including consulting, security assessments, managed security services, or specialized technical support that doesn't fit into more narrowly defined categories. It highlights the need to carefully review the contract's statement of work to understand the precise nature of the cyber security services being procured.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - SECURITY AND COMPLIANCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 273FCC25Q0012

Offers Received: 16

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8000 TOWERS CRESCENT DR STE 1385D, VIENNA, VA, 22182

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $23,478,765

Exercised Options: $7,889,445

Current Obligation: $2,653,932

Actual Outlays: $750,484

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA19D0015

IDV Type: FSS

Timeline