DHS awards $3.8M for Air Cargo Skid Software to Telesecurity Sciences

Contract Overview

Contract Amount: $3,811,859 ($3.8M)

Contractor: Telesecurity Sciences, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2020-06-15

End Date: 2025-06-14

Contract Duration: 1,825 days

Daily Burn Rate: $2.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST NO FEE

Sector: R&D

Official Description: LRBAA - ATR SOFTWARE FOR EXP DETECTION IN AIR CARGO SKIDS

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20528

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $3.8 million to TELESECURITY SCIENCES, INC. for work described as: LRBAA - ATR SOFTWARE FOR EXP DETECTION IN AIR CARGO SKIDS Key points: 1. Contract awarded for R&D in physical sciences, specifically air cargo security. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract value is $3.81 million over 5 years. 4. The specific North American Industry Classification System (NAICS) code is 541715.

Value Assessment

Rating: fair

The contract is a Cost No Fee type, which can make price assessment challenging as it reimburses costs without a fixed profit margin. Benchmarking against similar R&D contracts is difficult due to the specialized nature of the software.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was used, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing, although the Cost No Fee structure may limit direct price comparisons.

Taxpayer Impact: Taxpayer funds are being used for research and development in a critical security area. The effectiveness of the software in detecting threats will ultimately determine the value for money.

Public Impact

Enhances air cargo security through advanced software. Supports Department of Homeland Security's mission to prevent terrorism. Potential for improved efficiency in cargo screening processes. Investment in technological solutions for national security.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost No Fee contract type can obscure true costs and profit.
R&D contracts are inherently uncertain in outcome and final cost.
Limited information on specific performance metrics or success criteria.

Positive Signals

Full and open competition utilized.
Addresses a critical national security need.
Long-term contract duration allows for development and implementation.

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences sector. Spending in this area is often project-specific and driven by technological advancement needs, making direct spending benchmarks difficult without more context on similar software development projects.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false). Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

The contract is managed by the Department of Homeland Security's Office of Procurement Operations. Oversight will be crucial to ensure the R&D objectives are met efficiently and effectively within the allocated budget, especially given the Cost No Fee structure.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Department of Homeland Security Contracting
Office of Procurement Operations Programs

Risk Flags

Cost No Fee contract type.
R&D contract with inherent uncertainty.
Lack of specific performance metrics in provided data.
No indication of small business participation.
Specialized nature of R&D makes direct cost comparison difficult.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $3.8 million to TELESECURITY SCIENCES, INC.. LRBAA - ATR SOFTWARE FOR EXP DETECTION IN AIR CARGO SKIDS

Who is the contractor on this award?

The obligated recipient is TELESECURITY SCIENCES, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $3.8 million.

What is the period of performance?

Start: 2020-06-15. End: 2025-06-14.

What are the specific performance metrics and expected outcomes for this air cargo detection software?

The specific performance metrics and expected outcomes are not detailed in the provided data. Typically, for R&D contracts, these would include factors like detection accuracy rates, false positive/negative rates, processing speed, and integration capabilities with existing systems. Without these, it's difficult to assess the software's effectiveness and the value derived from the $3.81 million investment.

How will the Cost No Fee structure impact the government's ability to control costs and ensure value for money?

The Cost No Fee (CNF) structure reimburses the contractor for allowable costs but does not include a predetermined profit. While this can be useful for R&D where costs are uncertain, it shifts the cost control burden heavily onto the government's auditing and oversight capabilities. The government must rigorously review and approve all claimed costs to prevent overspending and ensure the final cost reflects reasonable expenditures for the research conducted.

What is the potential long-term impact of this software on air cargo security operations and efficiency?

The potential long-term impact hinges on the software's successful development and deployment. If effective, it could significantly enhance the ability to detect threats in air cargo, thereby improving national security. It might also streamline screening processes, leading to greater operational efficiency and potentially reduced delays. However, the actual impact depends on the technology's performance, its adoption, and its ability to adapt to evolving threats.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › General Science and Technology R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: LRBAA 18-01

Offers Received: 1

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 2500 N BUFFALO DR STE 150, LAS VEGAS, NV, 89128

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

Financial Breakdown

Contract Ceiling: $3,811,859

Exercised Options: $3,811,859

Current Obligation: $3,811,859

Actual Outlays: $2,272,884

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline