DOE Awards $7M for Psychological Services to National Security Psychological Services LLC

Contract Overview

Contract Amount: $7,039,923 ($7.0M)

Contractor: National Security Psychological Services LLC

Awarding Agency: Department of Energy

Start Date: 2023-06-21

End Date: 2026-06-20

Contract Duration: 1,095 days

Daily Burn Rate: $6.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PSYCHOLOGICAL ASSESSMENT SERVICES FOR THE OFFICE OF PERSONNEL AND FACILITY CLEARANCES AND CLASSIFICATION (OPFCC) NA-74.

Place of Performance

Location: ALBUQUERQUE, BERNALILLO County, NEW MEXICO, 87116

State: New Mexico Government Spending

Plain-Language Summary

Department of Energy obligated $7.0 million to NATIONAL SECURITY PSYCHOLOGICAL SERVICES LLC for work described as: PSYCHOLOGICAL ASSESSMENT SERVICES FOR THE OFFICE OF PERSONNEL AND FACILITY CLEARANCES AND CLASSIFICATION (OPFCC) NA-74. Key points: 1. The contract is for psychological assessment services for the Office of Personnel and Facility Clearances and Classification. 2. National Security Psychological Services LLC is the sole awardee. 3. The contract has a fixed price structure, indicating clear cost expectations. 4. The award is for a period of 3 years, with potential for extensions.

Value Assessment

Rating: good

The contract value of $7.04 million over three years appears reasonable for specialized psychological assessment services. Benchmarking against similar contracts for niche services is difficult without more data, but the fixed-price nature suggests a degree of cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting some initial broad competition that was later narrowed. This method can sometimes lead to less competitive pricing if the exclusion criteria are too restrictive.

Taxpayer Impact: Taxpayer funds are being used for essential personnel and facility clearance services, which are critical for national security operations. The fixed-price contract aims to ensure cost predictability.

Public Impact

Ensures the integrity of personnel and facility clearances within the Department of Energy. Supports national security by providing essential psychological evaluations. The services are critical for maintaining a secure and trustworthy workforce.

Waste & Efficiency Indicators

Waste Risk Score: 64 / 10

Warning Flags

  • Limited competition after source exclusion
  • Potential for price escalation if scope expands beyond initial estimates

Positive Signals

  • Fixed-price contract provides cost certainty
  • Services are critical for national security functions
  • Awarded to a specialized firm

Sector Analysis

The Department of Energy requires specialized professional services, including psychological assessments, to support its mission. Spending in this sector is driven by regulatory compliance and national security needs. Benchmarks for such niche services are often proprietary or difficult to ascertain.

Small Business Impact

The contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were solicited or capable of performing this specialized service.

Oversight & Accountability

The contract is managed by the Department of Energy, which has established oversight mechanisms for its procurements. The fixed-price nature of the contract simplifies some aspects of financial oversight.

Related Government Programs

  • Offices of Physicians, Mental Health Specialists
  • Department of Energy Contracting
  • Department of Energy Programs

Risk Flags

  • Limited competition
  • Potential for price creep if scope changes
  • Lack of small business participation
  • Specialized service with limited benchmarks

Tags

offices-of-physicians-mental-health-spec, department-of-energy, nm, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $7.0 million to NATIONAL SECURITY PSYCHOLOGICAL SERVICES LLC. PSYCHOLOGICAL ASSESSMENT SERVICES FOR THE OFFICE OF PERSONNEL AND FACILITY CLEARANCES AND CLASSIFICATION (OPFCC) NA-74.

Who is the contractor on this award?

The obligated recipient is NATIONAL SECURITY PSYCHOLOGICAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $7.0 million.

What is the period of performance?

Start: 2023-06-21. End: 2026-06-20.

What specific criteria led to the exclusion of other sources after the initial full and open competition?

The exclusion of sources likely stemmed from highly specific technical requirements or security clearances necessary for providing psychological assessments within the Department of Energy's sensitive operational environment. These specialized needs might have narrowed the pool of qualified and eligible bidders significantly, impacting the overall competitiveness.

What is the potential risk associated with the limited competition for these critical services?

The primary risk with limited competition is potentially higher costs and reduced innovation compared to a fully open process. If National Security Psychological Services LLC faces unforeseen challenges or cost overruns, the government may have less leverage to negotiate favorable terms, impacting the overall value for taxpayer money.

How effectively does this contract ensure the quality and reliability of psychological assessments for security clearances?

The effectiveness hinges on the rigorous vetting of National Security Psychological Services LLC's qualifications and past performance. The fixed-price contract incentivizes the contractor to deliver services efficiently. However, ongoing monitoring of assessment quality and adherence to standards is crucial to ensure the reliability of security clearance decisions.

Industry Classification

NAICS: Health Care and Social AssistanceOffices of PhysiciansOffices of Physicians, Mental Health Specialists

Product/Service Code: MEDICAL SERVICESSPECIALIZED TECHNICAL/ MEDICAL SUPPORT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 89233123RNA000173

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4801 INDIAN SCHOOL RD NE, ALBUQUERQUE, NM, 87110

Business Categories: Category Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,258,382

Exercised Options: $8,666,713

Current Obligation: $7,039,923

Actual Outlays: $5,706,553

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2023-06-21

Current End Date: 2026-06-20

Potential End Date: 2028-06-20 00:00:00

Last Modified: 2026-01-14

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