DoD's $16.8M Office & Food Service Supplies Contract Awarded to LC Industries Inc
Contract Overview
Contract Amount: $16,838,130 ($16.8M)
Contractor: LC Industries Inc
Awarding Agency: Department of Defense
Start Date: 2009-10-01
End Date: 2011-05-27
Contract Duration: 603 days
Daily Burn Rate: $27.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: OFFICE AND FOOD SERVICE SUPPLIES
Place of Performance
Location: OCEANSIDE, SAN DIEGO County, CALIFORNIA, 92051
Plain-Language Summary
Department of Defense obligated $16.8 million to LC INDUSTRIES INC for work described as: OFFICE AND FOOD SERVICE SUPPLIES Key points: 1. The contract value is $16.8 million for office and food service supplies. 2. LC Industries Inc. was the sole awardee under full and open competition. 3. The contract duration was 603 days. 4. The spending falls under the Stationery and Office Supplies Merchant Wholesalers sector.
Value Assessment
Rating: fair
The contract value of $16.8 million over approximately two years suggests a moderate spending level. Benchmarking against similar contracts for office and food service supplies would be necessary to determine if this represents competitive pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a broad solicitation for bids. This method generally promotes price discovery and competitive pricing, though specific bid details are not provided.
Taxpayer Impact: Taxpayer funds were used for the procurement of essential office and food service supplies, with the expectation of receiving competitive pricing due to the procurement method.
Public Impact
Ensures availability of essential office and food service supplies for Department of Defense personnel. Supports a large business, LC Industries Inc., through a significant contract award. The procurement process aimed for competitive pricing through full and open competition.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific per-unit cost data for detailed value assessment.
- Limited insight into the competitive landscape beyond the awardee.
- Contract duration of 603 days may not align with evolving supply needs.
Positive Signals
- Awarded under full and open competition, suggesting potential for competitive pricing.
- Clear identification of the goods procured (office and food service supplies).
Sector Analysis
The procurement falls under the Stationery and Office Supplies Merchant Wholesalers sector. Spending benchmarks for this sector would typically involve analyzing the volume and type of supplies procured by government agencies.
Small Business Impact
The contract was awarded to LC Industries Inc., a large business. There is no indication in the provided data that small businesses were specifically involved or subcontracted.
Oversight & Accountability
The contract was subject to standard federal procurement oversight. Further review would be needed to assess specific oversight mechanisms and accountability measures implemented during its execution.
Related Government Programs
- Stationery and Office Supplies Merchant Wholesalers
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Lack of detailed cost breakdown.
- Limited information on competitive bid analysis.
- No specific performance metrics provided.
- Potential for price volatility in office and food supplies.
Tags
stationery-and-office-supplies-merchant-, department-of-defense, ca, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $16.8 million to LC INDUSTRIES INC. OFFICE AND FOOD SERVICE SUPPLIES
Who is the contractor on this award?
The obligated recipient is LC INDUSTRIES INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $16.8 million.
What is the period of performance?
Start: 2009-10-01. End: 2011-05-27.
What was the average per-unit cost for key office and food service supplies under this contract?
The provided data does not include specific per-unit cost breakdowns for individual items. To determine this, a detailed analysis of the contract's line-item pricing or historical purchasing data would be required. Without this, assessing the value for money on specific items is not possible.
What were the primary risks associated with this procurement, and how were they mitigated?
Potential risks could include supply chain disruptions, quality control issues, or price fluctuations. Given the 'full and open competition' award, the primary mitigation was likely the competitive bidding process itself. However, specific risk mitigation strategies outlined in the contract are not detailed in the provided summary.
How effectively did the 'full and open competition' process ensure optimal value for taxpayer dollars?
While 'full and open competition' is designed to foster competitive pricing, its effectiveness in ensuring optimal value depends on the number and quality of bids received, as well as the specific pricing negotiated. Without comparative bid data or post-award performance metrics, it's difficult to definitively assess the value achieved beyond the procedural compliance.
Industry Classification
NAICS: Wholesale Trade › Paper and Paper Product Merchant Wholesalers › Stationery and Office Supplies Merchant Wholesalers
Product/Service Code: OFFICE SUPPLIES AND DEVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: M0068108R0002
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4500 EMPEROR BLVD, DURHAM, NC, 04
Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $16,838,130
Exercised Options: $16,838,130
Current Obligation: $16,838,130
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: M0068108D0012
IDV Type: IDC
Timeline
Start Date: 2009-10-01
Current End Date: 2011-05-27
Potential End Date: 2011-05-27 00:00:00
Last Modified: 2011-08-16
More Contracts from LC Industries Inc
- Office and Food Service Supplies — $13.3M (Department of Defense)
- Steel Mobile BF PED; 2 Drawers; 18D — $940.8K (General Services Administration)
- Ignition WK Mid-Bck Pneu SYN Tilt BCK AD — $684.1K (General Services Administration)
- 837 Cases of Gloves of 5 MIL Nitrile Gloves for Screening Operations to TSA AT Phoenix Skyharbor International Airport (PHX) — $99.8K (Department of Homeland Security)
- 830 Cases of Gloves of 5 MIL Nitrile Gloves for Screening Operations to TSA AT John F Kennedy International Airport(jfk) — $99.0K (Department of Homeland Security)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)