Smithsonian Institution awards $7.3M for Electronic Security System support to PTSI Managed Services Inc

Contract Overview

Contract Amount: $7,322,418 ($7.3M)

Contractor: Ptsi Managed Services Inc

Awarding Agency: Smithsonian Institution

Start Date: 2022-09-13

End Date: 2026-04-30

Contract Duration: 1,325 days

Daily Burn Rate: $5.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIXED PRICE AWARD FEE

Sector: Other

Official Description: TO NO. '0010422 AGAINST IDIQ '0010183 TO ASSIST THE IN MAINTAINING AND SUPPORTING THE OPS, ITS INTEGRATED, ENTERPRISE ELECTRONIC SECURITY SYSTEM, PHYSICAL SECURITY INFRASTRUCTURE & IT NETWORKING COMP'

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20560

State: District of Columbia Government Spending

Plain-Language Summary

Smithsonian Institution obligated $7.3 million to PTSI MANAGED SERVICES INC for work described as: TO NO. '0010422 AGAINST IDIQ '0010183 TO ASSIST THE IN MAINTAINING AND SUPPORTING THE OPS, ITS INTEGRATED, ENTERPRISE ELECTRONIC SECURITY SYSTEM, PHYSICAL SECURITY INFRASTRUCTURE & IT NETWORKING COMP' Key points: 1. Contract awarded for maintaining and supporting the Smithsonian's integrated, enterprise electronic security system, physical security infrastructure, and IT networking. 2. The contract is a fixed-price award fee type, indicating potential for performance-based incentives. 3. PTSI Managed Services Inc. is the contractor, with the Smithsonian Institution as the agency. 4. The North American Industry Classification System (NAICS) code is 561621 for Security Systems Services (except Locksmiths).

Value Assessment

Rating: fair

The contract value of $7.3M over approximately 3.6 years appears reasonable for comprehensive security system support. Benchmarking against similar contracts for enterprise-level security infrastructure maintenance and IT networking is needed for a definitive assessment.

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 typically leads to more competitive pricing as multiple vendors can bid.

Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers, as it aims to secure the best value through a competitive bidding process.

Public Impact

Ensures the continued security and operational integrity of the Smithsonian's physical and electronic security systems. Supports critical IT networking infrastructure essential for the institution's operations. Potential for improved security posture through ongoing maintenance and support. Impacts the daily operations and safety of visitors and staff at Smithsonian facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics in the provided data.
Potential for cost overruns if award fee structure is not tightly managed.
Dependence on a single contractor for critical security infrastructure.

Positive Signals

Awarded under full and open competition.
Contract includes provisions for award fees, incentivizing performance.
Long-term support contract ensures continuity of essential services.

Sector Analysis

This contract falls within the Security Systems Services sector, specifically NAICS 561621. Spending in this sector is driven by the need for physical and electronic security solutions across government and private entities, with benchmarks varying based on the scale and complexity of the systems managed.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, small businesses were likely not the primary focus of this specific award, though they may participate as subcontractors.

Oversight & Accountability

The Smithsonian Institution is responsible for oversight. The fixed-price award fee structure suggests performance monitoring is in place, but detailed oversight mechanisms are not specified in the provided data.

Related Government Programs

Security Systems Services (except Locksmiths)
Smithsonian Institution Contracting
Smithsonian Institution Programs

Risk Flags

Contract duration is substantial (over 3 years), increasing long-term dependency.
Potential for scope creep if 'supporting' is broadly interpreted.
Reliance on a single vendor for critical security infrastructure.
Lack of specific performance metrics in the award notice.
Award fee mechanism requires diligent government oversight to ensure value.

Frequently Asked Questions

What is this federal contract paying for?

Smithsonian Institution awarded $7.3 million to PTSI MANAGED SERVICES INC. TO NO. '0010422 AGAINST IDIQ '0010183 TO ASSIST THE IN MAINTAINING AND SUPPORTING THE OPS, ITS INTEGRATED, ENTERPRISE ELECTRONIC SECURITY SYSTEM, PHYSICAL SECURITY INFRASTRUCTURE & IT NETWORKING COMP'

Who is the contractor on this award?

The obligated recipient is PTSI MANAGED SERVICES INC.

Which agency awarded this contract?

Awarding agency: Smithsonian Institution (Smithsonian Institution).

What is the total obligated amount?

The obligated amount is $7.3 million.

What is the period of performance?

Start: 2022-09-13. End: 2026-04-30.

What is the specific breakdown of services covered under the 'maintaining and supporting' clause, and how are these services measured for effectiveness?

The provided data lacks specifics on the service breakdown. A detailed statement of work (SOW) would typically outline tasks like system monitoring, preventative maintenance, emergency repairs, software updates, and hardware lifecycle management. Effectiveness is usually measured through Key Performance Indicators (KPIs) such as system uptime, response times to incidents, and successful completion of scheduled maintenance, which are not detailed here.

How does the fixed-price award fee structure mitigate risks associated with potential cost overruns while ensuring high performance?

The fixed-price component establishes a baseline cost, limiting the government's exposure to uncontrolled price increases. The award fee portion allows for additional payment based on the contractor's performance against pre-defined metrics. This incentivizes the contractor to exceed minimum requirements to earn higher fees, while the government retains control over the total potential payout by setting challenging but achievable performance targets.

What is the long-term strategy for ensuring the security and modernization of the electronic security system beyond this contract's duration?

The long-term strategy is not detailed in this award notice. Agencies typically plan for system evolution through periodic technology refresh cycles, potential re-competition of support contracts, or integration of new technologies. The Smithsonian would need to consider future needs, emerging threats, and budget allocations to ensure the system remains effective and up-to-date post-contract.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Systems Services (except Locksmiths)

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Pricing Type: FIXED PRICE AWARD FEE (M)

Evaluated Preference: NONE

Contractor Details

Address: 100 W WALNUT ST, PASADENA, CA, 91124

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

Financial Breakdown

Contract Ceiling: $7,322,418

Exercised Options: $7,322,418

Current Obligation: $7,322,418

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 33330222DF0010183

IDV Type: IDC

Timeline