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Department of Homeland Security Awarded a Contract to PARAGON SYSTEMS INC for $23,767,543.20
Signed on
6/28/2024, 12:00 AM
PARAGON SYSTEMS INC Government Contract #70RFPW24FRW900029
PARAGON SYSTEMS INC was awarded a contract with the United States Government for $23,767,543.20. The contract was awarded by the agency office FPS WEST CCG, which is a division with the Office of Procurement Operations within the Department of Homeland Security.
Summary of Award
The awarded contract under review is a delivery order administered by the Department of Homeland Security (DHS) through its Office of Procurement Operations, with Paragon Systems Inc serving as the recipient. The contract focuses on recurring services for Protective Security Officers (PSO) in San Diego, California, aiming to enhance the region's security infrastructure.
**Contract Overview**
The contract, identified by the ID "70RFPW24FRW900029," has a total obligation value of $23,767,543.20, with an equal base and all-option value. The agreement commenced on July 1, 2024, and will extend until June 30, 2025, indicating it is an annual contract with options for renewal or expansion depending on future needs and evaluations. It reflects a firm-fixed-price model, ensuring cost predictability for the government.
**Agency and Recipient Details**
The Department of Homeland Security, specifically the Office of Procurement Operations, oversees this contract. The work is aimed at supporting the activities of the Federal Protective Service (FPS). FPS’s mission involves protecting federal facilities and ensuring the safety of their occupants, explaining the focus on security services.
Paragon Systems Inc, headquartered in Herndon, Virginia, operates under the wider umbrella of its parent company, Securitas AB, which is a foreign-owned entity not incorporated in the U.S. This background emphasizes Paragon’s strong presence in the security industry, capable of handling varied protective services. Paragon specializes in security guards and patrol services, fittingly aligning with the contract’s requirements for protective security officers.
**Financial Dynamics and Transactions**
The contract details highlight several transaction activities vital for understanding the financial flow. The largest transaction occurred at the contract's inception, recorded on June 28, 2024, with a substantial payment of $6,096,399.43. This initial outlay likely represents setup costs necessary for operational readiness in the first phase.
Subsequent transactions illustrate the contract's financial adjustments, reflective of ongoing operations or amendments. For example, on September 5, 2024, a transaction amounting to $353,715.90 was recorded, emphasizing continued financial commitments to execute the service effectively.
A notable aspect of the contract is its complexity and dynamic nature, evinced by the transaction on January 14, 2025, which showed a negative amount of $30,345.60. This reversal might indicate a repayment or adjustment related to overcompensation or a re-negotiation of terms for services provided.
Further transactions show continued financial activity with positive outlays, such as $115,313.28 on January 10, 2025, and $80,921.60 on February 7, 2025. These transactions suggest routine payments corresponding to the completion of contractual obligations or milestones.
**Recipient and Business Analysis**
Paragon Systems Inc’s role within this contract is crucial, leveraging its expertise in deploying security personnel and maintaining effective operational standards. The provision of housekeeping-guard services aligns with their primary business focus, as captured under the North American Industry Classification System (NAICS) code 561612. This code is indicative of their specialization in administrative and support services within security.
Their parent company, Securitas AB, is a notable player in the international security arena, enhancing Paragon’s capability with resources, strategic direction, and oversight, thereby ensuring adherence to the stringent service requisites of DHS.
**Conclusion**
In sum, this contract signifies the government's proactive measures to secure its assets by investing in reputable service providers like Paragon Systems Inc. By choosing a firm-fixed-price model, DHS ensures financial predictability and cost management while keeping San Diego federal facilities secure through the provision of specialized protective security officers. Paragon, backed by Securitas AB, brings international expertise, robust operational capabilities, and a security-focused infrastructure to the table, essential for executing this high-stakes contract.
The transaction patterns reflect efficient financial administration required to support the ongoing delivery of services, indicating potential areas of adjustment and continuity. The involvement of an established entity such as Paragon Systems Inc underscores DHS's commitment to achieving an elevated security benchmark for federal establishments within the designated area.
Contract Details
Agency Details
Recipient Details
Comments
Award Transactions
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $0.00 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
This payment could indicate a change to the existing contract.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $80,921.60 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $-30,345.60 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
This payment could indicate a change to the existing contract.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $115,313.28 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $353,715.90 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $6,096,399.43 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $248,343.96 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $79,625.59 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $0.00 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
This payment could indicate a change to the existing contract.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $80,921.60 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $-30,345.60 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
This payment could indicate a change to the existing contract.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $115,313.28 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $17,151,538.59 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $353,715.90 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $6,096,399.43 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $0.00 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
This payment could indicate a change to the existing contract.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $248,343.96 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $79,625.59 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $0.00 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
This payment could indicate a change to the existing contract.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $80,921.60 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $-30,345.60 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
This payment could indicate a change to the existing contract.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $115,313.28 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $17,151,538.59 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $353,715.90 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.
Office of the Under Secretary for Management, a sub agency of Department of Homeland Security, issued a payment of $6,096,399.43 to PARAGON SYSTEMS INC. The payment included a Subsidy Cost of $0.00.