VA awards $3.96M contract for security guard services to Redcon Solutions Group LLC

Contract Overview

Contract Amount: $3,959,974 ($4.0M)

Contractor: Redcon Solutions Group LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-02-01

End Date: 2027-01-31

Contract Duration: 1,095 days

Daily Burn Rate: $3.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SECURITY GUARD (II) SERVICES FOR THE CMJC VAMC

Place of Performance

Location: PHILADELPHIA, PHILADELPHIA County, PENNSYLVANIA, 19104

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $4.0 million to REDCON SOLUTIONS GROUP LLC for work described as: SECURITY GUARD (II) SERVICES FOR THE CMJC VAMC Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is a delivery order under a larger contract vehicle. 3. Services are for security guard functions at the CMJC VAMC. 4. The contract duration is 1095 days, spanning approximately three years. 5. The contract type is Firm Fixed Price, which sets a ceiling on costs. 6. The award was made by the Department of Veterans Affairs. 7. The North American Industry Classification System (NAICS) code is 561612 for Security Guards and Patrol Services.

Value Assessment

Rating: good

The contract value of $3.96 million over three years for security guard services appears reasonable given the scope. Benchmarking against similar contracts for VAMC security services would provide a more precise value-for-money assessment. The firm fixed-price structure helps manage cost predictability for the VA. Without specific details on the number of guards, hours, or specific security requirements, a definitive value assessment is challenging, but the overall amount is within expected ranges for such services.

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 offers. The presence of 3 bidders suggests a moderate level of competition for this specific delivery order. A higher number of bidders would typically lead to more aggressive pricing and potentially better value for the government. However, the fact that it was competed openly is a positive sign for price discovery.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and encourage innovation among contractors, leading to better use of public funds.

Public Impact

Veterans receiving care at the CMJC VAMC will benefit from enhanced security. The contract ensures the provision of essential security guard and patrol services. Services are geographically focused on the CMJC VAMC facility in Pennsylvania. The contract supports jobs within the security services industry. The Department of Veterans Affairs maintains a secure environment for its facilities and personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future contract renewals if competition diminishes.
Reliance on a single contractor for critical security services could pose a risk if performance issues arise.
Ensuring consistent service quality across the contract duration requires robust oversight.

Positive Signals

Awarded through full and open competition, indicating a fair and transparent process.
Firm Fixed Price contract type provides cost certainty for the government.
The contractor, Redcon Solutions Group LLC, is providing essential services to a key federal agency.
The contract duration allows for stable service provision and reduces the frequency of re-competition.

Sector Analysis

The security services industry is a significant sector within the broader professional, scientific, and technical services market. This contract falls under the Security Guards and Patrol Services (NAICS 561612) sub-sector. Spending in this area is driven by the need for physical security across government facilities, commercial properties, and critical infrastructure. Federal spending on security services is substantial, with agencies like the Department of Veterans Affairs consistently requiring these services to protect personnel, assets, and sensitive information.

Small Business Impact

This contract was awarded through full and open competition and does not appear to have a small business set-aside. There is no explicit information provided regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem from this specific award is likely limited unless Redcon Solutions Group LLC voluntarily engages small businesses for subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of Veterans Affairs. Performance monitoring, quality assurance, and invoice review are standard oversight mechanisms. Transparency is facilitated through contract award databases like SAM.gov. While no specific Inspector General jurisdiction is mentioned, the VA Office of Inspector General has broad authority to investigate fraud, waste, and abuse within VA contracts.

Related Government Programs

Department of Veterans Affairs Facility Maintenance Contracts
Federal Security Services Contracts
Government Building Security
VAMC Operations Support

Risk Flags

Contract Performance Risk
Contractor Staffing Stability
Service Quality Consistency

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $4.0 million to REDCON SOLUTIONS GROUP LLC. SECURITY GUARD (II) SERVICES FOR THE CMJC VAMC

Who is the contractor on this award?

The obligated recipient is REDCON SOLUTIONS GROUP LLC.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $4.0 million.

What is the period of performance?

Start: 2024-02-01. End: 2027-01-31.

What is the track record of Redcon Solutions Group LLC in performing similar federal contracts, particularly for the Department of Veterans Affairs?

Information regarding Redcon Solutions Group LLC's specific track record on federal contracts, especially those with the Department of Veterans Affairs, would typically be available through contract performance databases and past performance reviews. A thorough analysis would involve examining their history of on-time delivery, quality of service, adherence to contract terms, and any past disputes or contract terminations. Without access to these specific performance metrics, it is difficult to definitively assess their reliability for this security guard services contract. However, the award itself suggests they met the minimum requirements for consideration in a competitive bidding process.

How does the awarded amount of $3.96 million compare to the average cost of similar security guard services at other VA Medical Centers (VAMCs)?

To benchmark the $3.96 million award, one would compare it against the average cost of security guard services at comparable VAMCs, considering factors like facility size, geographic location (which influences labor costs), and the specific security requirements (e.g., number of posts, hours of coverage, specialized equipment). For instance, if similar VAMCs in the same region with comparable security needs have contracts ranging from $1 million to $1.5 million annually, this $3.96 million contract (averaging $1.32 million per year) would appear to be within a reasonable market range. A detailed comparison would require access to specific contract data for other VAMCs.

What are the primary risk indicators associated with this contract, and how are they being mitigated?

Primary risk indicators for this contract include potential performance deficiencies by the contractor (Redcon Solutions Group LLC), leading to lapses in security at the VAMC. Another risk is cost overruns if the firm fixed-price contract doesn't adequately account for unforeseen operational needs, though this is less likely with FFP. Service disruption due to contractor personnel issues (e.g., staffing shortages, turnover) is also a risk. Mitigation strategies typically involve robust contract oversight by the VA, clear performance standards and metrics in the contract, regular performance reviews, and contingency planning for service continuity. The competitive award process itself helps mitigate the risk of selecting an unqualified vendor.

What is the expected effectiveness of these security guard services in enhancing the safety and security of the CMJC VAMC?

The expected effectiveness of these security guard services hinges on the contractor's ability to provide well-trained, vigilant personnel who can deter unauthorized access, respond to incidents, and maintain a secure environment. The presence of uniformed guards serves as a visible deterrent, while their training should enable them to handle routine security matters and escalate emergencies appropriately. The effectiveness will be directly tied to the quality of personnel deployed, the clarity of their post orders, and the VA's own security protocols and integration with the guard force. Regular performance evaluations will be crucial to ensure the services meet the intended safety and security objectives for the VAMC.

How has federal spending on security guard services for the Department of Veterans Affairs evolved over the past five years?

Federal spending on security guard services for the Department of Veterans Affairs has generally seen a steady or increasing trend over the past five years, driven by the agency's mission to provide comprehensive healthcare and benefits to veterans, which necessitates securing numerous facilities nationwide. Factors contributing to this trend include the expansion of VA healthcare services, increased focus on facility security post-9/11, and the aging infrastructure requiring ongoing maintenance and security upgrades. Specific spending figures would fluctuate based on new contract awards, contract modifications, and the overall budget allocations for facility operations and security across the VA system.

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

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 17218 TOLEDO BLADE BLVD UNIT 9, PORT CHARLOTTE, FL, 33954

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $3,959,974

Exercised Options: $3,959,974

Current Obligation: $3,959,974

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSWA22D0004

IDV Type: FSS

Timeline