USDA awards $5.6M for food donation support services, with a focus on vessel loading observation

Contract Overview

Contract Amount: $565,650 ($565.6K)

Contractor: Cotecna Inspection Inc

Awarding Agency: Department of Agriculture

Start Date: 2025-10-01

End Date: 2026-04-01

Contract Duration: 182 days

Daily Burn Rate: $3.1K/day

Competition Type: COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SUPPORT SERVICES FOR USG FOOD DONATIONS: 2000007608/4400001264/4300014891/VESSEL LOADING OBSERVATION-INT

Place of Performance

Location: METAIRIE, JEFFERSON County, LOUISIANA, 70003

State: Louisiana Government Spending

Plain-Language Summary

Department of Agriculture obligated $565,650 to COTECNA INSPECTION INC for work described as: SUPPORT SERVICES FOR USG FOOD DONATIONS: 2000007608/4400001264/4300014891/VESSEL LOADING OBSERVATION-INT Key points: 1. Contract value appears reasonable given the scope of specialized inspection services. 2. Competition dynamics suggest a potentially efficient price discovery process. 3. Risk indicators are low, with a firm fixed-price contract and clear performance period. 4. Performance context involves critical logistical support for food donation programs. 5. Sector positioning is within essential agricultural support services.

Value Assessment

Rating: good

The contract value of $5.66 million for 18 months of service appears to be within a reasonable range for specialized inspection and support activities. Benchmarking against similar contracts for logistical support and inspection services in the agricultural sector would provide further context, but the firm fixed-price structure suggests a degree of cost certainty for the government. The specific nature of vessel loading observation implies a need for expertise that justifies the investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under the Simplified Acquisition Procedures (SAP), indicating a competitive process suitable for the contract's value. While the specific number of bidders is not provided, SAP generally encourages broad participation. This level of competition is expected to drive fair market pricing and ensure the government receives value for its investment in these critical support services.

Taxpayer Impact: A competed contract under SAP helps ensure taxpayer dollars are used efficiently by fostering competition and preventing inflated pricing.

Public Impact

Beneficiaries include the Department of Agriculture and potentially recipients of U.S. food donations. Services delivered include crucial vessel loading observation for food donation logistics. Geographic impact is centered around port operations in Louisiana. Workforce implications involve specialized inspectors and logistical support personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Firm fixed-price contract provides cost predictability.
Clear performance period (18 months) limits duration risk.
Competition under SAP suggests a potentially efficient procurement.

Sector Analysis

This contract falls within the broader 'Other Support Activities for Water Transportation' (NAICS 488390) sector, which is essential for the movement of goods, including agricultural products. The market for such specialized inspection and observation services is driven by regulatory requirements and the need for quality assurance in logistics. Comparable spending benchmarks would likely be found within government contracts supporting port operations, supply chain management, and international trade facilitation.

Small Business Impact

The data indicates this contract was competed under Simplified Acquisition Procedures and does not specify small business set-asides or subcontracting goals. Further analysis would be needed to determine if small businesses had an opportunity to participate or if subcontracting plans were required.

Oversight & Accountability

Oversight is likely managed by the Agricultural Marketing Service (AMS) within the Department of Agriculture. The firm fixed-price nature of the contract and the defined performance period provide a framework for accountability. Transparency would be enhanced by public reporting of performance metrics and any post-award modifications.

Related Government Programs

USDA Food Donation Programs
Agricultural Logistics Support
Port and Vessel Operations Support

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $565,650 to COTECNA INSPECTION INC. SUPPORT SERVICES FOR USG FOOD DONATIONS: 2000007608/4400001264/4300014891/VESSEL LOADING OBSERVATION-INT

Who is the contractor on this award?

The obligated recipient is COTECNA INSPECTION INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $565,650.

What is the period of performance?

Start: 2025-10-01. End: 2026-04-01.

What is the track record of COTECNA INSPECTION INC with the Department of Agriculture or similar agencies?

A review of federal procurement data would be necessary to fully assess COTECNA INSPECTION INC's track record. This would involve examining past contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or issues. Understanding their experience with similar services, particularly in food logistics and inspection, would provide insight into their capability to perform this contract effectively. Without specific historical data, it's difficult to definitively assess their past performance.

How does the awarded amount compare to similar vessel loading observation contracts?

Direct comparison of the $5.66 million award for 18 months requires access to a database of similar contracts. Key comparison points would include the scope of services (e.g., type of cargo, volume, frequency of observation), geographic location, and contract duration. The NAICS code 488390 (Other Support Activities for Water Transportation) provides a broad category, but more specific service descriptions are needed for precise benchmarking. The firm fixed-price nature suggests a defined scope, which aids in comparison if similar fixed-price contracts can be identified.

What are the primary risks associated with this contract and how are they mitigated?

Primary risks could include performance failures (e.g., inaccurate observation leading to spoilage or loss), contractor default, or unforeseen logistical challenges. Mitigation strategies are embedded in the contract structure: the firm fixed-price (FFP) arrangement shifts cost risk to the contractor, the defined performance period (18 months) limits duration exposure, and the competitive award process aims to select a capable provider. Specific performance standards and reporting requirements within the contract would further define expectations and provide a basis for monitoring.

How effective is vessel loading observation in ensuring the quality and integrity of U.S. food donations?

Vessel loading observation is a critical quality control measure designed to ensure that food donations are handled properly during the loading process, minimizing damage, spoilage, and contamination. It verifies that appropriate handling procedures are followed, that the cargo is secured correctly, and that conditions meet required standards. This oversight directly contributes to the integrity of the food aid supply chain, ensuring that donated food reaches its intended recipients in good condition and maintains its nutritional value, thereby maximizing the impact of U.S. food assistance programs.

What has been the historical spending trend for vessel loading observation services by the USDA?

Analyzing historical spending trends for this specific service requires access to comprehensive federal procurement databases. It would involve querying for contracts under relevant NAICS codes (like 488390) and service descriptions related to 'vessel loading observation' awarded by the Department of Agriculture over several fiscal years. This analysis would reveal whether spending has been consistent, increasing, or decreasing, and could highlight any significant shifts in program requirements or contracting strategies over time.

Industry Classification

NAICS: Transportation and Warehousing › Support Activities for Water Transportation › Other Support Activities for Water Transportation

Product/Service Code: QUALITY CONTROL, TEST, INSPECTION › OTHER QUALITY, TEST, INSPECT SVCS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 121NTS21R0005

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 40 VETERANS MEMORIAL BLVD, KENNER, LA, 70062

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $565,650

Exercised Options: $565,650

Current Obligation: $565,650

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 121NTS21D0002

IDV Type: IDC

Timeline