DoD's $17.7M contract for security guards at MNF-NW awarded to miscellaneous foreign awardees

Contract Overview

Contract Amount: $17,681,368 ($17.7M)

Contractor: Miscellaneous Foreign Awardees

Awarding Agency: Department of Defense

Start Date: 2005-12-21

End Date: 2008-06-29

Contract Duration: 921 days

Daily Burn Rate: $19.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: {PIIN: W91GFB06C4027} SECURITY GUARDS AT MNF-NW FROM 01 JAN - 31 DEC 06

Plain-Language Summary

Department of Defense obligated $17.7 million to MISCELLANEOUS FOREIGN AWARDEES for work described as: {PIIN: W91GFB06C4027} SECURITY GUARDS AT MNF-NW FROM 01 JAN - 31 DEC 06 Key points: 1. The contract value represents a significant investment in base security services. 2. Award to 'miscellaneous foreign awardees' suggests a potentially less common procurement path. 3. The firm-fixed-price contract type aims to control costs for the government. 4. The contract duration of over two years indicates a sustained need for these services. 5. The absence of small business set-aside flags potential missed opportunities for smaller enterprises. 6. The specific nature of 'security guards' points to critical operational support.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific details on the scope of services and the number of personnel provided. The firm-fixed-price structure is generally favorable for cost control. However, the award to 'miscellaneous foreign awardees' raises questions about whether the most competitive pricing was achieved compared to domestic or more specialized security firms. Further analysis would require understanding the specific security requirements and the prevailing market rates for similar services in the region.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were theoretically allowed to participate. However, the specific details regarding the number of bids received and the evaluation process are not provided. The award to 'miscellaneous foreign awardees' might suggest that the pool of eligible and responsive bidders was limited, potentially impacting the breadth of price discovery.

Taxpayer Impact: Full and open competition is generally beneficial for taxpayers as it encourages a wider range of offers, potentially leading to lower prices. However, if the competition was not robust in practice, taxpayers may not have received the best possible value.

Public Impact

The primary beneficiaries are the Department of Defense and its personnel at MNF-NW, who receive essential security services. The services delivered include the provision of security guards to maintain order and protect facilities. The geographic impact is localized to the Multinational Force Northwest (MNF-NW) base. Workforce implications include the employment of security personnel, potentially including foreign nationals depending on the awardee's structure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency regarding the specific foreign awardees and their qualifications.
Potential for higher administrative overhead or logistical complexities when dealing with foreign entities.
Uncertainty about the depth of competition achieved despite 'full and open' designation.

Positive Signals

Firm-fixed-price contract type helps manage cost certainty for the government.
Awarding to meet a specific need for security at a critical base.
The contract was subject to full and open competition, theoretically allowing for broad market participation.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative management and general management consulting services, though the core service is security provision. The market for security services is substantial, with government contracts forming a significant portion. This award represents spending on essential base support functions, which are common across various defense and federal agencies.

Small Business Impact

The contract data indicates that this was not a small business set-aside, and the awardee is listed as 'MISCELLANEOUS FOREIGN AWARDEES,' suggesting no direct subcontracting opportunities for U.S. small businesses were mandated or are evident from this data. This could mean that the primary contract did not include specific provisions for small business participation.

Oversight & Accountability

Oversight would typically be managed by the contracting officer and the Department of the Army. Accountability measures are inherent in the firm-fixed-price contract, requiring the contractor to deliver specified services. Transparency is limited by the available data; further details on performance and oversight would likely reside within agency records.

Related Government Programs

Base Operations Support Services
Security and Protection Services
Department of Defense Contracts
Foreign Military Sales Support

Risk Flags

Awardee Type Uncertainty
Limited Competition Transparency
Potential for Higher Risk with Foreign Awardees

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.7 million to MISCELLANEOUS FOREIGN AWARDEES. {PIIN: W91GFB06C4027} SECURITY GUARDS AT MNF-NW FROM 01 JAN - 31 DEC 06

Who is the contractor on this award?

The obligated recipient is MISCELLANEOUS FOREIGN AWARDEES.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $17.7 million.

What is the period of performance?

Start: 2005-12-21. End: 2008-06-29.

What specific security services were required under this contract?

The contract PIIN W91GFB06C4027, with the description 'SECURITY GUARDS AT MNF-NW FROM 01 JAN - 31 DEC 06,' indicates that the primary service procured was the provision of security guards. This typically encompasses functions such as access control, perimeter security, patrols, and potentially response to security incidents within the Multinational Force Northwest (MNF-NW) area of operations. The exact number of guards, their posts, hours of duty, and specific security protocols would have been detailed in the contract's statement of work, which is not provided in the summary data.

How does the $17.7 million contract value compare to similar security guard contracts?

Comparing the $17.7 million value requires context on the duration, scope, and location. This contract spanned approximately 2.5 years (December 21, 2005, to June 29, 2008), covering security guards for MNF-NW. This averages to roughly $7 million per year. Without knowing the number of guards, their posts, or the specific security level required at MNF-NW, a direct comparison is difficult. However, large-scale security contracts for military bases or significant government facilities can range from several million to tens or even hundreds of millions of dollars annually, depending on the complexity and scale of operations.

What are the potential risks associated with awarding security contracts to 'miscellaneous foreign awardees'?

Awarding security contracts to 'miscellaneous foreign awardees' can introduce several risks. These may include challenges in vetting the contractor's reliability and past performance, potential difficulties in enforcing contract terms or addressing performance issues due to jurisdictional complexities, and concerns about the security clearance processes for personnel operating in sensitive environments. Furthermore, there might be less transparency in pricing and operational standards compared to domestic contractors. Ensuring compliance with U.S. security standards and labor laws can also be more complex.

What does the 'FULL AND OPEN COMPETITION' designation imply for this contract's value?

The 'FULL AND OPEN COMPETITION' designation implies that the contract was solicited with the intent of allowing all responsible sources to submit offers. In theory, this maximizes the potential for competition, which should drive down prices and encourage innovative solutions, ultimately benefiting taxpayers. However, the actual level of competition achieved depends on the number of bids received and the responsiveness of bidders. If only a few bids were submitted, or if the 'miscellaneous foreign awardees' represented a limited pool, the full benefits of open competition might not have been realized, potentially impacting the final price and value obtained.

What is the significance of the 'FIRM FIXED PRICE' contract type for this security guard service?

The 'FIRM FIXED PRICE' (FFP) contract type is generally considered advantageous for the government when the scope of work is well-defined and unlikely to change significantly. For security guard services, where the number of posts, hours, and basic duties are usually predictable, FFP provides cost certainty. The contractor assumes the risk of cost overruns, and the government pays a set price. This structure incentivizes the contractor to manage costs efficiently to maximize profit. It simplifies financial administration and reduces the government's exposure to unexpected price increases.

How does this contract fit into the broader spending on administrative management and general management consulting services?

While classified under NAICS code 541611 (Administrative Management and General Management Consulting Services), the core service here is security guard provision, which is a distinct operational function. The broader category of 541611 encompasses a wide range of advisory and assistance services. Spending within this NAICS code can be substantial, covering strategic planning, organizational analysis, and process improvement. This specific contract represents a portion of government spending on essential support services rather than typical management consulting, highlighting how broad NAICS codes can sometimes encompass diverse service types.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: MISCELLANEOUS

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: 2011 CRYSTAL DR STE 911, ARLINGTON, VA, 08

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $17,681,368

Exercised Options: $17,681,368

Current Obligation: $17,681,368

Contract Characteristics

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline