Forest Service Awards $50M Fire Retardant Contract to Perimeter Solutions LP for 2026

Contract Overview

Contract Amount: $50,000,000 ($50.0M)

Contractor: Perimeter Solutions LP

Awarding Agency: Department of Agriculture

Start Date: 2026-01-01

End Date: 2026-12-31

Contract Duration: 364 days

Daily Burn Rate: $137.4K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FAM RETARDANT - FULL SERVICE, 2026 IQ-NOCOMMIT

Place of Performance

Location: BOISE, ADA County, IDAHO, 83705

State: Idaho Government Spending

Plain-Language Summary

Department of Agriculture obligated $50.0 million to PERIMETER SOLUTIONS LP for work described as: FAM RETARDANT - FULL SERVICE, 2026 IQ-NOCOMMIT Key points: 1. Contract awarded to a single supplier, raising questions about competition. 2. The $50M value for a one-year contract warrants scrutiny for cost-effectiveness. 3. Reliance on a sole provider for critical fire retardant poses supply chain risk. 4. The chemical manufacturing sector is essential for wildfire suppression efforts.

Value Assessment

Rating: questionable

The contract value of $50M for a single year of service appears high without competitive bidding. Benchmarking against similar, competitively procured retardant services is needed to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. Lack of competition limits price discovery and may lead to inflated costs for taxpayers.

Taxpayer Impact: Taxpayers may be overpaying due to the absence of a competitive bidding process for this essential service.

Public Impact

Ensures availability of critical fire retardant for the upcoming wildfire season. Potential for increased costs impacts the Forest Service's overall budget for fire management. Lack of competition could stifle innovation in fire retardant technology and delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
Potential for overpayment
Supply chain risk

Positive Signals

Ensures critical resource availability
Supports wildfire suppression efforts

Sector Analysis

This contract falls within the chemical manufacturing sector, specifically for fire retardants crucial for national defense against wildfires. Spending benchmarks for similar specialized chemical procurements are difficult to ascertain without competitive data.

Small Business Impact

The data indicates no specific provisions or considerations for small businesses in this sole-source contract award. The focus appears to be on securing the service rather than promoting small business participation.

Oversight & Accountability

Oversight is crucial to ensure the quality and timely delivery of the fire retardant. The lack of competition necessitates rigorous monitoring of performance and costs to ensure accountability.

Related Government Programs

All Other Miscellaneous Chemical Product and Preparation Manufacturing
Department of Agriculture Contracting
Forest Service Programs

Risk Flags

Sole-source award limits price discovery.
Potential for inflated costs due to lack of competition.
Dependency on a single supplier creates supply chain vulnerability.
No clear indication of small business participation.
Contract duration is one year, requiring future procurement actions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $50.0 million to PERIMETER SOLUTIONS LP. FAM RETARDANT - FULL SERVICE, 2026 IQ-NOCOMMIT

Who is the contractor on this award?

The obligated recipient is PERIMETER SOLUTIONS LP.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $50.0 million.

What is the period of performance?

Start: 2026-01-01. End: 2026-12-31.

What is the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of available alternatives. Without a competitive process, it's difficult to verify if these conditions truly exist or if they were the most efficient path to securing the required fire retardant services.

How does the $50M price compare to market rates for similar fire retardant services?

Without competitive bids, it's challenging to establish a precise market rate. A benchmark analysis against historical contracts for similar quantities and service durations, or against publicly available pricing for comparable chemical products, would be necessary to assess if $50M represents fair value.

What are the risks associated with relying on a single supplier for fire retardant?

The primary risks include supply chain disruptions due to the sole provider's operational issues, price increases without competitive pressure, and a lack of incentive for innovation. This dependency could critically impact wildfire response capabilities if the supplier fails to deliver.

Industry Classification

NAICS: Manufacturing › Other Chemical Product and Preparation Manufacturing › All Other Miscellaneous Chemical Product and Preparation Manufacturing

Product/Service Code: CHEMICALS AND CHEMICAL PRODUCTS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 1202SC25R2500

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8000 MARYLAND AVE STE 350, CLAYTON, MO, 63105

Business Categories: Category Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $50,000,000

Exercised Options: $50,000,000

Current Obligation: $50,000,000

Actual Outlays: $30,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 1202SC26T2500

IDV Type: IDC

Timeline