State Department's $18.8M contract for local guard services awarded to Weiser Security Services, Inc

Contract Overview

Contract Amount: $18,792,297 ($18.8M)

Contractor: Weiser Security Services, Inc.

Awarding Agency: Department of State

Start Date: 2008-03-20

End Date: 2011-03-20

Contract Duration: 1,095 days

Daily Burn Rate: $17.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LOCAL GUARD SERVICES FOR LONDON AND EDINBURGH

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70151

State: Louisiana Government Spending

Plain-Language Summary

Department of State obligated $18.8 million to WEISER SECURITY SERVICES, INC. for work described as: LOCAL GUARD SERVICES FOR LONDON AND EDINBURGH Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1095 days (3 years) indicates a medium-term need for security services. 3. The firm-fixed-price contract type helps manage cost certainty for the government. 4. The North American Industry Classification System (NAICS) code 561612 points to specialized security guard services. 5. The award was made to a single contractor, Weiser Security Services, Inc. 6. The contract was issued as a purchase order, a common method for acquiring goods and services.

Value Assessment

Rating: fair

Benchmarking the value of this specific contract is challenging without detailed service level agreements and performance metrics. However, the total value of approximately $18.8 million over three years suggests an average annual cost of around $6.3 million for security guard services across London and Edinburgh. This figure needs to be compared against the specific security requirements, number of personnel, and operational hours to assess true value for money. Without more granular data on the scope of services, it's difficult to definitively benchmark pricing against similar contracts or market rates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. The presence of 6 bids suggests a reasonable level of competition for these security services. A higher number of bidders generally leads to better price discovery and potentially lower costs for the government. The fact that six companies vied for this contract implies that the market for such services is sufficiently robust to attract multiple interested parties.

Taxpayer Impact: The full and open competition process, with multiple bidders, likely resulted in a more competitive price for taxpayers compared to a sole-source or limited competition scenario. This ensures that taxpayer funds are used more efficiently by leveraging market forces.

Public Impact

The primary beneficiaries are the U.S. Department of State personnel and facilities in London and Edinburgh, ensuring their safety and security. The contract delivers essential security guard and patrol services, crucial for diplomatic missions and government operations abroad. The geographic impact is focused on the diplomatic missions located in London, United Kingdom, and Edinburgh, United Kingdom. The contract supports the employment of security personnel, contributing to the local workforce in the areas where services are rendered.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for over-reliance on a single vendor for critical security functions.
Geographic concentration of services in specific international locations may limit scalability for broader needs.
Contract duration might not align with rapidly evolving security threats, requiring potential modifications or new procurements.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm-fixed-price structure provides cost predictability for the government.
The contract specifies security guard and patrol services, addressing a clear governmental need.

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 sub-sector (NAICS 561612). The global market for private security is substantial, driven by increasing concerns about safety and security across various sectors, including government, corporate, and residential. This specific contract represents a portion of the U.S. government's spending on security for its diplomatic facilities abroad, a critical component of its foreign policy and operations.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). As a result, small businesses may not have directly benefited from this award. However, the prime contractor, Weiser Security Services, Inc., may engage small businesses as subcontractors, depending on their own subcontracting plans and the nature of the services required. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses.

Oversight & Accountability

The Department of State is responsible for the oversight of this contract. As a federal contract, it is subject to various oversight mechanisms, including contract performance reviews, audits, and potentially reviews by the Government Accountability Office (GAO) or the Department of State's Office of Inspector General (OIG). Transparency is generally maintained through contract databases like FPDS, which provide details on contract awards, values, and contractors. The effectiveness of oversight depends on the diligence of the contracting officers and the robustness of the agency's internal controls.

Related Government Programs

Department of State Diplomatic Security Service
Overseas Security Operations
Embassy and Consulate Security Contracts
Protective Services Contracts

Risk Flags

Contract awarded to a single entity, requiring careful monitoring of performance.
Geographic concentration may limit flexibility for broader security needs.
Dependence on contractor personnel necessitates robust vetting and training oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $18.8 million to WEISER SECURITY SERVICES, INC.. LOCAL GUARD SERVICES FOR LONDON AND EDINBURGH

Who is the contractor on this award?

The obligated recipient is WEISER SECURITY SERVICES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $18.8 million.

What is the period of performance?

Start: 2008-03-20. End: 2011-03-20.

What is the track record of Weiser Security Services, Inc. with the federal government, particularly in providing similar security services?

Weiser Security Services, Inc. has a history of federal contracting, though specific details on their performance for the Department of State or similar agencies require deeper investigation into contract databases and performance reviews. Analyzing past contracts, including their duration, value, and any reported issues or commendations, would provide insight into their reliability and capability. Federal procurement data often reveals patterns of successful contract completions or instances of disputes, which are crucial for assessing a contractor's track record. Without access to specific performance evaluations for this contract or others, a definitive assessment of their track record remains incomplete.

How does the per-unit cost of security personnel under this contract compare to industry benchmarks for similar services in London and Edinburgh?

Determining the precise per-unit cost requires breaking down the total contract value by the number of personnel, hours worked, and specific roles (e.g., guard, supervisor). The total contract value of approximately $18.8 million over three years averages to about $6.3 million annually. If we assume a significant number of guards working full-time, the hourly rate would need to be benchmarked against prevailing wages and overhead costs for security personnel in high-cost-of-living cities like London and Edinburgh. Industry benchmarks for security services in these specific locations, considering factors like licensing, training, and benefits, are essential for a valid comparison. Without these granular details, a direct per-unit cost comparison is speculative.

What are the key performance indicators (KPIs) used to measure the effectiveness of Weiser Security Services, Inc. under this contract?

Key Performance Indicators (KPIs) for security guard contracts typically include metrics such as response times to incidents, adherence to post orders, incident reporting accuracy, personnel attendance and punctuality, and the absence of security breaches or safety violations. For this specific Department of State contract, KPIs would likely be tailored to the unique security requirements of diplomatic facilities. Performance would be monitored through regular reports, site inspections, and feedback from the government's contracting officer's representative (COR). Failure to meet these KPIs could result in contractual remedies, including financial penalties or termination.

What is the historical spending trend for local guard services by the Department of State in these specific geographic locations?

Analyzing historical spending trends for local guard services by the Department of State in London and Edinburgh would involve reviewing procurement data for previous contract periods. This includes identifying previous awardees, contract values, and durations. A trend analysis would reveal whether spending has been consistent, increasing, or decreasing, and whether the same contractors have been repeatedly awarded these services. Such an analysis helps in understanding the long-term commitment to these services and provides context for the current contract's value. Without access to specific historical data for these locations, it's difficult to establish a clear spending trend.

Were there any significant risks identified during the procurement process for this contract, and how were they mitigated?

Potential risks in procuring security services include contractor performance failures, security breaches, cost overruns, and inadequate personnel qualifications. For this 'full and open competition' contract, risks would have been assessed during the evaluation of proposals. Mitigation strategies typically involve stringent evaluation criteria, clear performance standards in the contract, robust oversight by the COR, and contingency planning. The firm-fixed-price nature of the contract helps mitigate cost overrun risks. However, the specific risks identified and their mitigation strategies during the procurement phase are not detailed in the provided summary data.

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: SEALED BID

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1900 CANAL ST, NEW ORLEANS, LA, 70112

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

Financial Breakdown

Contract Ceiling: $46,765,669

Exercised Options: $18,792,297

Current Obligation: $18,792,297

Contract Characteristics

Commercial Item: SERVICES PURSUANT TO FAR 12.102(G)

Timeline