DoD awards $4.25M for construction site security in Kentucky, with limited competition

Contract Overview

Contract Amount: $4,248,094 ($4.2M)

Contractor: Seneca Federal Solutions, LLC

Awarding Agency: Department of Defense

Start Date: 2025-09-30

End Date: 2026-09-30

Contract Duration: 365 days

Daily Burn Rate: $11.6K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE CONTRACTOR SHALL PROVIDE CONSTRUCTION SITE SECURITY, MONITORING, AND REPORTING SERVICES TO SUPPORT SECURE CONSTRUCTION PROJECTS IAW THE ICD 705, DEPARTMENT OF DEFENSE (DOD) AND UNITED STATES MARINE CORPS (USMC) POLICIES.

Place of Performance

Location: BARDSTOWN, NELSON County, KENTUCKY, 40004

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $4.2 million to SENECA FEDERAL SOLUTIONS, LLC for work described as: THE CONTRACTOR SHALL PROVIDE CONSTRUCTION SITE SECURITY, MONITORING, AND REPORTING SERVICES TO SUPPORT SECURE CONSTRUCTION PROJECTS IAW THE ICD 705, DEPARTMENT OF DEFENSE (DOD) AND UNITED STATES MARINE CORPS (USMC) POLICIES. Key points: 1. Contract focuses on essential security services for DoD and USMC construction projects. 2. Limited competition suggests potential for higher costs and reduced innovation. 3. Risk indicators include reliance on a single contractor for critical security functions. 4. Performance context is tied to adherence to specific DoD and USMC security policies. 5. Sector positioning is within facilities support services, a critical component of construction projects.

Value Assessment

Rating: fair

The contract value of $4.25 million for 365 days of construction site security appears within a reasonable range for specialized services, especially considering the requirements of DoD and USMC policies (ICD 705). However, without specific benchmarks for similar projects in Kentucky or detailed service breakdowns, a precise value-for-money assessment is challenging. The firm-fixed-price structure provides cost certainty but may not incentivize efficiency if the base price is not competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded under a 'not available for competition' basis, indicating limited or no opportunity for broader bidding. This approach is typically used when specific capabilities, security clearances, or existing relationships are deemed essential and only one or a few sources can meet them. The lack of open competition means that price discovery through market forces is constrained, potentially leading to less favorable pricing for the government.

Taxpayer Impact: Taxpayers may face higher costs due to the absence of robust competition, as the government did not benefit from multiple bids to drive down prices.

Public Impact

The primary beneficiaries are the Department of Defense and the United States Marine Corps, ensuring the security of their construction projects. Services delivered include construction site security, monitoring, and reporting. Geographic impact is focused on Kentucky, where the secure construction projects are located. Workforce implications may involve specialized security personnel employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may result in higher costs for taxpayers.
Lack of open bidding restricts opportunities for other qualified security providers.
Reliance on a single source for critical security functions could pose a risk if performance issues arise.

Positive Signals

Contract ensures adherence to stringent DoD and USMC security policies (ICD 705).
Firm-fixed-price contract provides cost certainty for the duration of the award.
Contractor is tasked with providing essential monitoring and reporting services.

Sector Analysis

The facilities support services sector, particularly construction site security, is a critical but often specialized niche within the broader defense contracting landscape. While specific market size data for construction security in Kentucky is not readily available, the Department of Defense is a significant consumer of such services globally. This contract fits within the broader category of base operations support and construction management, where security is a non-negotiable component, especially for sensitive projects.

Small Business Impact

The contract data indicates that small business participation (ss: false, sb: false) was not a primary consideration or requirement for this specific award. There is no indication of small business set-asides or subcontracting plans being mandated. This means that opportunities for small businesses to participate in providing these specialized security services under this contract are unlikely, potentially limiting their access to this segment of government contracting.

Oversight & Accountability

Oversight for this contract will likely fall under the purview of the contracting officer and relevant Department of the Army and Marine Corps officials responsible for construction projects in Kentucky. Accountability measures will be tied to the contractor's adherence to the firm-fixed-price terms and the specific security requirements outlined in the contract, including ICD 705. Transparency is generally maintained through contract award databases, but detailed operational oversight specifics are typically internal to the agency.

Related Government Programs

Department of Defense Construction Projects
Marine Corps Facilities Management
Construction Site Security Services
Facilities Support Services Contracts

Risk Flags

Limited competition
Potential for higher costs
Reliance on single source

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $4.2 million to SENECA FEDERAL SOLUTIONS, LLC. THE CONTRACTOR SHALL PROVIDE CONSTRUCTION SITE SECURITY, MONITORING, AND REPORTING SERVICES TO SUPPORT SECURE CONSTRUCTION PROJECTS IAW THE ICD 705, DEPARTMENT OF DEFENSE (DOD) AND UNITED STATES MARINE CORPS (USMC) POLICIES.

Who is the contractor on this award?

The obligated recipient is SENECA FEDERAL SOLUTIONS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $4.2 million.

What is the period of performance?

Start: 2025-09-30. End: 2026-09-30.

What is the track record of Seneca Federal Solutions, LLC in providing construction site security services to the DoD or USMC?

Information regarding Seneca Federal Solutions, LLC's specific track record in construction site security for the DoD or USMC is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or commendations related to similar services. Without this, it's difficult to gauge their experience level and reliability for this critical function. Further research into federal procurement databases and contractor performance systems would be necessary to establish a detailed understanding of their past performance.

How does the awarded value compare to similar construction site security contracts for DoD projects?

The awarded value of $4.25 million for 365 days of construction site security is a significant sum, but its competitiveness is difficult to ascertain without direct comparisons. Benchmarking requires data on similar contracts awarded by the DoD or USMC for projects of comparable size, scope, and geographic location, particularly those adhering to ICD 705 standards. Given the 'not available for competition' status, it's plausible that this price reflects specialized requirements or a lack of market alternatives, rather than a highly competitive market rate. A detailed analysis would involve querying databases for comparable firm-fixed-price contracts for security services at DoD construction sites.

What are the primary risks associated with awarding this contract on a limited competition basis?

The primary risks associated with awarding this contract on a limited competition basis include potential overpayment due to the absence of competitive pressure, reduced incentive for the contractor to innovate or offer cost efficiencies, and a lack of transparency in the pricing structure. Furthermore, if Seneca Federal Solutions, LLC underperforms or faces unforeseen challenges, the government's options for recourse or replacement may be limited and costly, given the difficulty in finding and onboarding another qualified contractor quickly. This also limits the government's ability to leverage market dynamics for better service or pricing.

How effective are the ICD 705, DoD, and USMC policies in ensuring the security outcomes of this contract?

The effectiveness of ICD 705, DoD, and USMC policies in ensuring security outcomes is contingent on their specific requirements and the contractor's diligent implementation. ICD 705, for instance, outlines standards for Sensitive Compartmented Information Facilities, suggesting a high level of security is mandated. The contract's success relies on these policies being clearly defined, measurable, and rigorously enforced through government oversight and contractor reporting. While the policies provide a framework, their effectiveness is ultimately determined by the quality of execution by both the contractor and the government's monitoring mechanisms.

What is the historical spending trend for construction site security services by the Department of the Army in Kentucky?

The provided data does not include historical spending trends for construction site security services by the Department of the Army specifically in Kentucky. To analyze this, one would need to access historical contract databases, filtering by agency (Department of the Army), service category (security, facilities support), and geographic location (Kentucky). This would reveal patterns in spending, identify key contractors, and potentially highlight fluctuations in demand or pricing over time, providing context for the current $4.25 million award.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W912DY25RA091

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14200 PARK MEADOW DR STE 125, CHANTILLY, VA, 20151

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Sole Proprietorship, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,248,094

Exercised Options: $4,248,094

Current Obligation: $4,248,094

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline