Homeland Security awards $12.9M for armed guard services, with MVM, Inc. as the sole contractor

Contract Overview

Contract Amount: $12,943,499 ($12.9M)

Contractor: MVM, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2009-03-09

End Date: 2009-09-30

Contract Duration: 205 days

Daily Burn Rate: $63.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ARMED GUARD SERVICES.

Place of Performance

Location: DES MOINES, POLK County, IOWA, 50309

State: Iowa Government Spending

Plain-Language Summary

Department of Homeland Security obligated $12.9 million to MVM, INC. for work described as: ARMED GUARD SERVICES. Key points: 1. The contract value of $12.9 million for armed guard services represents a significant investment in physical security. 2. MVM, Inc. secured this contract, indicating their competitive standing in the security services sector. 3. The contract duration of 205 days suggests a focused, short-term need for these services. 4. The fixed-price nature of the contract aims to control costs and provide budget certainty. 5. The North American Industry Classification System (NAICS) code 561612 points to a specialized security service requirement.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific service details and duration. However, the total award of $12.9 million for approximately 7 months of armed guard services suggests a substantial per-diem or per-hour rate. Comparing this to industry standards for armed security personnel, which can vary widely based on location, threat level, and required qualifications, indicates a potentially moderate to high cost. Further analysis would require understanding the number of personnel, hours worked, and specific security protocols mandated.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. The fact that MVM, Inc. was selected indicates they offered the best value proposition among the bidders. The level of competition, while not explicitly detailed in terms of the number of bids received, is generally positive for price discovery and ensuring a competitive market.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more cost-effective solutions and better service quality.

Public Impact

The primary beneficiaries of this contract are federal agencies requiring armed security personnel to protect facilities and personnel. The services delivered include armed guard services, ensuring a physical security presence. The geographic impact is specified as Iowa (SN: IOWA), indicating the operational area for these services. The contract supports employment for armed security professionals within the specified region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics makes it difficult to assess the effectiveness of the security provided.
The relatively short contract duration might indicate a temporary surge in security needs or a pilot program, requiring further investigation into the long-term strategy.
Limited information on the specific threat environment in Iowa during the contract period makes it hard to gauge the necessity and scale of armed guard deployment.

Positive Signals

Awarded under full and open competition, suggesting a robust bidding process.
The contract is firm fixed price, which provides cost certainty for the government.
MVM, Inc. is a known entity in the security services sector, potentially bringing established expertise.

Sector Analysis

The security services industry is a significant sector within the broader professional services market. Armed guard services fall under the security and investigation services sub-sector, which is driven by demand for physical security, asset protection, and personnel safety. Government contracts represent a substantial portion of this market. Benchmarks for similar contracts would typically consider the number of guards, hours, geographic spread, and required security clearances. The NAICS code 561612 specifically covers establishments primarily engaged in providing security guards and patrol services.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem for this specific award appears minimal. However, larger prime contractors like MVM, Inc. may engage small businesses for ancillary services, though this is not explicitly stated.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Homeland Security's contracting and program management offices. As a firm fixed-price contract, the primary accountability measure is the delivery of the contracted services as specified. Transparency is generally maintained through contract award databases. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Protective Service Contracts
Department of Homeland Security Security Services
Armed Guard Services Contracts
Security Guard and Patrol Services

Risk Flags

Contract Duration
Performance Metrics Unclear
Specific Threat Justification Missing

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $12.9 million to MVM, INC.. ARMED GUARD SERVICES.

Who is the contractor on this award?

The obligated recipient is MVM, 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 $12.9 million.

What is the period of performance?

Start: 2009-03-09. End: 2009-09-30.

What was the specific threat assessment or operational need that necessitated the deployment of armed guards in Iowa for this contract?

The provided data does not detail the specific threat assessment or operational need that led to this contract award. Typically, such requirements stem from an analysis of potential risks to government facilities, personnel, or critical infrastructure. Factors could include intelligence reports, previous security incidents, or the nature of the facility being protected. Without this context, it is difficult to fully evaluate the necessity and scale of the armed guard deployment. Further investigation into the contracting agency's internal documentation or public statements related to security posture in Iowa during 2009 would be required to ascertain the precise drivers for this contract.

How does the per-day or per-hour cost of MVM, Inc.'s armed guard services compare to market rates for similar services in Iowa during 2009?

To accurately compare the per-unit cost, we would need to know the number of guards deployed, the total hours worked, and the contract's total value ($12.9 million) over its duration (205 days). Assuming a standard 8-hour shift and a consistent number of guards, we could derive an approximate hourly rate. However, without these specifics, a direct comparison is speculative. General market rates for armed guards in 2009 varied significantly based on experience, certifications, and the specific security environment. If this contract's derived rate falls within or below the typical range for comparable services in Iowa, it would suggest reasonable value. Conversely, a rate significantly above the market average might warrant further scrutiny into the necessity of premium pricing.

What is MVM, Inc.'s track record with federal contracts, particularly for armed guard services, prior to and following this award?

MVM, Inc. has a history of securing federal contracts, including those for security services. Prior to this $12.9 million award in 2009, the company likely had experience with government procurements, which would have informed their bidding strategy and demonstrated their capability. Following this contract, their continued participation in the federal contracting space would indicate successful performance and client satisfaction. A review of contract databases would reveal the volume and nature of their subsequent awards, providing insight into their overall performance and reliability as a federal contractor. Positive performance on contracts like this often leads to future opportunities.

What were the key performance indicators (KPIs) for this contract, and how did MVM, Inc. perform against them?

The provided data does not specify the key performance indicators (KPIs) established for this armed guard services contract. Typically, KPIs for such services might include response times to incidents, adherence to post orders, personnel punctuality, incident reporting accuracy, and overall effectiveness in deterring unauthorized access or activity. Without knowing these specific metrics and MVM, Inc.'s performance against them, it is impossible to definitively assess the contractor's success in meeting the government's requirements. Contract performance reports, if publicly available, would offer this crucial information.

How does the total spending on security guard services by the Department of Homeland Security compare to this specific contract award?

This contract award of $12.9 million represents a portion of the Department of Homeland Security's (DHS) overall spending on security guard services. DHS, being a large agency responsible for national security and border protection, allocates substantial resources to physical security across its various components. To contextualize this award, one would need to examine DHS's total budget for security services over the relevant fiscal years. If $12.9 million constitutes a small fraction of DHS's total security spending, it suggests this was a targeted procurement. Conversely, if it represents a significant portion, it might indicate a major security initiative or a substantial reliance on external security providers for a particular function or region.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Guards and Patrol Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1593 SPRING HILL RD STE 700, VIENNA, VA, 11

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $12,943,499

Exercised Options: $12,943,499

Current Obligation: $12,943,499

Parent Contract

Parent Award PIID: HSCEC608D00001

IDV Type: IDC

Timeline