USDA awards $657,900 for Puerto Rico chilled freight services to Transnow Inc

Contract Overview

Contract Amount: $6,579 ($6.6K)

Contractor: Transnow Inc.

Awarding Agency: Department of Agriculture

Start Date: 2026-04-13

End Date: 2026-04-15

Contract Duration: 2 days

Daily Burn Rate: $3.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: SUPPORT SERVICES FOR USG FOOD DONATIONS: /4300014898/FREIGHT REEFER - 45' CONTAINER - CHILLED

Place of Performance

Location: CAROLINA, CAROLINA County, PUERTO RICO, 00982

Plain-Language Summary

Department of Agriculture obligated $6,579 to TRANSNOW INC. for work described as: SUPPORT SERVICES FOR USG FOOD DONATIONS: /4300014898/FREIGHT REEFER - 45' CONTAINER - CHILLED Key points: 1. Contract awarded for essential food donation support services. 2. Transnow Inc. secured the contract for deep sea freight transportation. 3. The contract value is $657,900 with a duration of 2 days. 4. Services are for chilled freight in Puerto Rico, indicating a specific logistical need.

Value Assessment

Rating: good

The contract value of $657,900 for a 2-day service period appears reasonable given the specialized nature of chilled, deep-sea freight transportation. Benchmarking against similar short-term, high-value logistics contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition after exclusion of sources, suggesting a competitive bidding process. This method aims to ensure fair pricing and access for qualified vendors.

Taxpayer Impact: The firm fixed price contract ensures cost certainty for taxpayers, with the final price determined through a competitive process.

Public Impact

Ensures timely delivery of essential food donations to Puerto Rico. Supports critical supply chains for food assistance programs. Facilitates the movement of perishable goods, reducing waste.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Short contract duration may limit long-term planning for the vendor.
Geographic focus on Puerto Rico could present unique logistical challenges.

Positive Signals

Supports vital food donation programs.
Utilizes specialized chilled freight services.
Awarded through full and open competition.

Sector Analysis

This contract falls under transportation and logistics services, specifically deep-sea freight for perishable goods. Spending in this sector is crucial for supply chain resilience and disaster relief efforts.

Small Business Impact

No specific information is provided regarding small business participation in this contract award. Further analysis would be needed to determine if small businesses were involved or could have been.

Oversight & Accountability

The contract is managed by the Department of Agriculture's Agricultural Marketing Service, indicating established oversight for food donation logistics. The firm fixed price structure provides clear accountability.

Related Government Programs

Deep Sea Freight Transportation
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Short contract duration
Geographic specificity
Perishable goods logistics
Potential for transit delays

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $6,579 to TRANSNOW INC.. SUPPORT SERVICES FOR USG FOOD DONATIONS: /4300014898/FREIGHT REEFER - 45' CONTAINER - CHILLED

Who is the contractor on this award?

The obligated recipient is TRANSNOW INC..

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Agricultural Marketing Service).

What is the total obligated amount?

The obligated amount is $6,579.

What is the period of performance?

Start: 2026-04-13. End: 2026-04-15.

What is the typical cost per container for similar chilled deep-sea freight services in this region?

Benchmarking the $657,900 contract value against historical data for 45' reefer containers on similar routes to Puerto Rico is essential. Without specific comparative data, it's difficult to definitively assess if this price is optimal. Factors like transit time, specific port handling fees, and fuel surcharges significantly influence per-unit costs in this specialized market.

What are the potential risks associated with a 2-day service window for chilled freight to Puerto Rico?

A tight 2-day window for chilled freight to Puerto Rico presents risks of delays due to weather, port congestion, or vessel issues, potentially compromising the integrity of the food donations. Ensuring contingency plans and robust communication protocols are in place is critical to mitigate spoilage and meet delivery timelines effectively.

How effectively does this contract support the broader mission of USG food donations?

This contract is crucial for the effective distribution of USG food donations, particularly perishable items, to Puerto Rico. By securing specialized chilled freight, it directly addresses the logistical challenges of transporting temperature-sensitive goods, thereby ensuring that donated food reaches intended recipients in good condition and supports food security initiatives.

Industry Classification

NAICS: Transportation and Warehousing › Deep Sea, Coastal, and Great Lakes Water Transportation › Deep Sea Freight Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ALTERNATIVE SOURCES

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1158 NORTH AVE, BEACON, NY, 12508

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,579

Exercised Options: $6,579

Current Obligation: $6,579

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline