TSA awards $20.9M contract for OSH support services to R & K Enterprise Solutions Inc

Contract Overview

Contract Amount: $20,862,702 ($20.9M)

Contractor: R & K Enterprise Solutions Inc

Awarding Agency: Department of Homeland Security

Start Date: 2021-08-15

End Date: 2026-08-14

Contract Duration: 1,825 days

Daily Burn Rate: $11.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OCCUPATIONAL SAFETY AND HEALTH (OSH) SUPPORT SERVICES FOR THE TRANSPORTATION SECURITY ADMINISTRATION (TSA).

Place of Performance

Location: NEWPORT NEWS, NEWPORT NEWS CITY County, VIRGINIA, 23606

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $20.9 million to R & K ENTERPRISE SOLUTIONS INC for work described as: OCCUPATIONAL SAFETY AND HEALTH (OSH) SUPPORT SERVICES FOR THE TRANSPORTATION SECURITY ADMINISTRATION (TSA). Key points: 1. Contract awarded via full and open competition after exclusion of sources, indicating a competitive process with specific justifications. 2. The contract is a firm-fixed-price delivery order, suggesting predictable costs for the government. 3. Performance period spans five years, from August 2021 to August 2026. 4. The primary contractor, R & K Enterprise Solutions Inc., is based in Virginia. 5. The contract falls under Engineering Services (NAICS 541330). 6. This award represents a significant investment in occupational safety and health support for TSA personnel.

Value Assessment

Rating: good

The contract value of approximately $20.9 million over five years suggests a moderate annual spend for specialized occupational safety and health support. Benchmarking against similar contracts for government-wide OSH services would provide a clearer picture of value for money. The firm-fixed-price structure helps control costs, but the specific pricing details and comparison to market rates for these engineering services are not readily available without further analysis.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while the competition was intended to be open, specific sources were excluded, likely due to pre-existing contract vehicles or specific requirements. The number of bidders is not specified, but the 'exclusion of sources' suggests a potentially narrower competitive pool than a truly unrestricted full and open competition.

Taxpayer Impact: While the competition was not fully unrestricted, the 'full and open' aspect suggests an effort to solicit offers from qualified vendors. The exclusion of sources may limit the potential for the lowest possible price, but the rationale behind the exclusion would be key to understanding the impact on taxpayer value.

Public Impact

Benefits TSA personnel by ensuring a safe and healthy working environment. Provides essential occupational safety and health support services. Geographic impact is primarily focused on TSA operations, likely nationwide. Workforce implications include ensuring the well-being and productivity of TSA employees.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in the competition type warrants further investigation to ensure fair market access and optimal pricing.
Lack of detailed performance metrics makes it difficult to assess the effectiveness of the OSH support services.
The specific nature of the 'engineering services' provided is not detailed, limiting understanding of the scope and potential risks.

Positive Signals

Firm-fixed-price contract type provides cost certainty for the government.
The five-year duration allows for consistent support and potential for long-term relationship building.
Award to a single contractor suggests a focused approach to service delivery.

Sector Analysis

Occupational Safety and Health (OSH) services are a critical component of government operations, particularly within agencies like the TSA that manage large workforces and complex environments. The market for OSH support services is diverse, encompassing consulting, training, risk assessment, and compliance monitoring. This contract fits within the broader professional services sector, specifically engineering services, which often include safety and environmental consulting. Comparable spending benchmarks would depend on the specific services rendered, but government-wide spending on OSH support is substantial.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary focus for this specific award, as neither a small business set-aside nor subcontracting goals are indicated. This suggests that the primary contractor, R & K Enterprise Solutions Inc., is likely not a small business, and the contract was not specifically structured to benefit the small business ecosystem. Further analysis would be needed to determine if any subcontracting opportunities exist within the scope of this contract.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Homeland Security and the Transportation Security Administration's contracting and program management offices. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver specified services. Transparency is facilitated by contract award databases, though detailed performance reports and Inspector General oversight specifics are not provided in this data.

Related Government Programs

Occupational Safety and Health Administration (OSHA) services
Department of Homeland Security OSH programs
Transportation Security Administration employee welfare programs
Federal engineering services contracts

Risk Flags

Competition type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' requires scrutiny of the justification for exclusion.
Lack of detailed performance metrics hinders assessment of service effectiveness.
Scope of 'Engineering Services' for OSH support is broad and requires clear definition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $20.9 million to R & K ENTERPRISE SOLUTIONS INC. OCCUPATIONAL SAFETY AND HEALTH (OSH) SUPPORT SERVICES FOR THE TRANSPORTATION SECURITY ADMINISTRATION (TSA).

Who is the contractor on this award?

The obligated recipient is R & K ENTERPRISE SOLUTIONS INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Transportation Security Administration).

What is the total obligated amount?

The obligated amount is $20.9 million.

What is the period of performance?

Start: 2021-08-15. End: 2026-08-14.

What specific occupational safety and health services are being provided under this contract?

The contract is broadly categorized under 'Engineering Services' (NAICS 541330) for Occupational Safety and Health (OSH) Support. While the specific deliverables are not detailed in the provided data, typical services under such contracts can include risk assessments, safety program development and implementation, compliance audits (e.g., OSHA, EPA), industrial hygiene monitoring, safety training development and delivery, incident investigation support, and development of safety protocols and procedures. Given the context of the Transportation Security Administration (TSA), these services likely focus on ensuring the safety of personnel in various operational environments, including airports, screening checkpoints, and administrative facilities, addressing potential hazards specific to transportation security roles.

How does the contract value of $20.9 million compare to similar OSH support contracts within the federal government?

Direct comparison of the $20.9 million contract value for TSA's OSH support services requires access to a broader dataset of similar federal contracts. However, annualizing the contract value ($20.9M / 5 years = ~$4.18M per year) provides a basis for comparison. Government-wide OSH support contracts can range significantly in value depending on the scope, duration, and agency. For large agencies with substantial workforces and complex operational environments like the TSA, an annual spend in the low millions for specialized engineering and safety support is not uncommon. Contracts for broader federal safety programs or those involving extensive industrial hygiene or environmental services could be higher, while smaller, agency-specific needs might be met with lower-value awards. Without specific benchmarks for TSA's unique operational context or comparable agency sizes, it's difficult to definitively label this value as high or low, but it appears to be a substantial investment.

What are the potential risks associated with a firm-fixed-price contract for OSH support services?

Firm-fixed-price (FFP) contracts offer cost certainty to the government, which is a significant advantage. However, potential risks exist. If the scope of work is not precisely defined, the contractor may face unforeseen costs, potentially leading to requests for change orders or reduced quality to maintain profitability. Conversely, if the contractor underestimates costs, they may cut corners on service delivery, impacting the quality and effectiveness of the OSH support. For specialized services like OSH engineering, accurately defining all potential hazards and necessary interventions upfront can be challenging. The government bears the risk of inadequate performance if the contractor prioritizes profit over comprehensive safety solutions. Robust performance monitoring and clear contract terms are crucial to mitigate these risks.

What does the competition type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' imply for the TSA and taxpayers?

This competition type suggests a deliberate decision was made to limit the pool of potential bidders, even within a framework intended to be 'full and open'. The 'exclusion of sources' implies that certain companies or contract vehicles were intentionally not considered. The rationale for this exclusion is critical. It could be due to pre-existing relationships, specific technical requirements that only a subset of vendors can meet, or the use of specific government-wide acquisition contracts (GWACs) or other vehicles. For taxpayers, this could mean potentially less price competition than a truly unrestricted full and open bid, as the number of qualified bidders is reduced. However, if the exclusion was justified by unique capabilities or efficiencies, it might lead to a better-suited contractor and ultimately better service delivery, potentially offsetting a slightly higher price.

What is the track record of R & K Enterprise Solutions Inc. in providing similar OSH support services to the federal government?

Information regarding the specific track record of R & K Enterprise Solutions Inc. in providing Occupational Safety and Health (OSH) support services to the federal government is not detailed in the provided data. To assess their track record, one would need to examine their past performance on similar contracts, including client satisfaction, adherence to schedule and budget, and the quality of services delivered. Databases like the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS) would be essential resources for this analysis. Understanding their experience with engineering services, particularly in safety and compliance, and their history with agencies like the TSA or other transportation-related entities would provide valuable insight into their capability to fulfill this contract effectively.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70T01021R7668N001

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: R & K Enterprise Solutions, Inc

Address: 11830 CANON BLVD, NEWPORT NEWS, VA, 23606

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $20,862,702

Exercised Options: $20,862,702

Current Obligation: $20,862,702

Actual Outlays: $12,815,166

Subaward Activity

Number of Subawards: 6

Total Subaward Amount: $7,278,699

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAD20D1015

IDV Type: IDC

Timeline