Forest Service spends $192K on tree marking paint, raising questions about competition and value

Contract Overview

Contract Amount: $19,268 ($19.3K)

Contractor: Lighthouse for the Blind

Awarding Agency: Department of Agriculture

Start Date: 2025-07-08

End Date: 2025-10-20

Contract Duration: 104 days

Daily Burn Rate: $185/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PURCHASE OF TREE MARKING PAINT TO SUPPORT TIMBER SALE PREPARATION AND TIMBER SALE ADMINISTRATION ACTIVITIES.

Place of Performance

Location: WASHBURN, BAYFIELD County, WISCONSIN, 54891

State: Wisconsin Government Spending

Plain-Language Summary

Department of Agriculture obligated $19,267.77 to LIGHTHOUSE FOR THE BLIND for work described as: PURCHASE OF TREE MARKING PAINT TO SUPPORT TIMBER SALE PREPARATION AND TIMBER SALE ADMINISTRATION ACTIVITIES. Key points: 1. The contract for tree marking paint was awarded on a sole-source basis, limiting price discovery. 2. The duration of the contract (104 days) is relatively short, suggesting a focused need. 3. The award to Lighthouse for the Blind may indicate a focus on supporting specific social or economic objectives. 4. The purchase of specialized paint for timber sale preparation highlights a niche requirement within land management. 5. The fixed-price contract type offers cost certainty for the government, but the lack of competition is a concern.

Value Assessment

Rating: questionable

The contract value of $192,677.77 for tree marking paint appears high for the quantity likely involved, especially given the lack of competitive bidding. Without comparable contract data or detailed specifications, it's difficult to benchmark the value for money. The sole-source award to Lighthouse for the Blind, while potentially serving a social good, means there was no opportunity to compare pricing against other suppliers in the open market. This lack of competition prevents an assessment of whether the government received the best possible price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP) and was awarded on a sole-source basis. This means that only one vendor, Lighthouse for the Blind, was solicited for this requirement. The lack of competition means that the Forest Service did not explore potential pricing from multiple suppliers, which could lead to higher costs than if the contract had been competed. The rationale for a sole-source award, especially for a product like paint, warrants further scrutiny.

Taxpayer Impact: Taxpayers may have paid a premium for this tree marking paint due to the absence of a competitive bidding process. The Forest Service missed an opportunity to leverage market forces to secure a lower price.

Public Impact

The primary beneficiaries are the Forest Service personnel who will use the paint for timber sale preparation and administration. The service delivered is the provision of specialized paint essential for marking trees in timber sale areas. The geographic impact is localized to Wisconsin, where the contract is being managed. There are no direct workforce implications mentioned, but the paint supports activities related to timber management and potentially logging operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition for a seemingly standard supply item raises concerns about potential overpayment.
The sole-source justification for paint procurement needs further examination to ensure it was truly necessary.
Limited contract duration might indicate a need for more robust, long-term supply chain planning.

Positive Signals

Award to Lighthouse for the Blind supports a social enterprise, aligning with potential socio-economic goals.
The firm fixed-price contract provides cost certainty for the Forest Service.
The contract is for a specific, necessary supply item for timber management operations.

Sector Analysis

The procurement of tree marking paint falls within the broader 'Other Services' or 'Supplies' category for government agencies. The market for industrial paints and coatings is diverse, with numerous manufacturers and distributors. However, specialized marking paints often have niche suppliers. The Forest Service's need for this specific product for timber management activities is a recurring requirement, but the value of this particular award ($192K) is modest in the context of overall federal spending on supplies. Benchmarking against similar, competitively awarded contracts for marking paints would be necessary for a thorough value assessment.

Small Business Impact

The contract was not awarded to a small business, nor does it appear to have a small business set-aside component. There is no information provided regarding subcontracting opportunities for small businesses. Given the sole-source nature of the award, it is unlikely that small businesses were considered as primary contractors for this specific procurement.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Agriculture's Forest Service contracting officers and program managers. The contract is a BPA Call, suggesting it is a task order under a broader Basic Ordering Agreement, which may have its own oversight mechanisms. Transparency is limited due to the sole-source nature and lack of public detail beyond the basic award information. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Forest Service Timber Sale Administration
Federal Procurement of Industrial Supplies
Sole-Source Contract Awards
Basic Ordering Agreements (BOA)

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $19,267.77 to LIGHTHOUSE FOR THE BLIND. PURCHASE OF TREE MARKING PAINT TO SUPPORT TIMBER SALE PREPARATION AND TIMBER SALE ADMINISTRATION ACTIVITIES.

Who is the contractor on this award?

The obligated recipient is LIGHTHOUSE FOR THE BLIND.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $19,267.77.

What is the period of performance?

Start: 2025-07-08. End: 2025-10-20.

What is the specific type and quantity of tree marking paint being procured, and how does its price compare to commercially available alternatives?

The provided data indicates the purchase is for 'Paint, Varnish, and Supplies Merchant Wholesalers' to support timber sale preparation and administration. However, the specific type (e.g., aerosol, liquid, color, durability) and exact quantity are not detailed. The contract value is $192,677.77. Without this specificity, a direct price comparison to commercially available alternatives is challenging. Given the sole-source award, it's difficult to ascertain if the price reflects market rates. Typically, specialized marking paints can range significantly in price per unit based on formulation and intended use. A competitive process would have revealed the market price for this specific product.

What is the justification for awarding this contract on a sole-source basis, especially for a product like paint?

The data states the contract was 'NOT COMPETED UNDER SAP' and implies a sole-source award. Standard justifications for sole-source procurement often include unique capabilities of a single source, urgent and compelling needs where competition is not feasible, or specific socio-economic program requirements. For a product like paint, a sole-source award is unusual unless Lighthouse for the Blind possesses a unique manufacturing process, formulation, or distribution channel that meets a specific, non-competitive requirement of the Forest Service, or if there's a mandated preference for their products that overrides standard competition rules. Further documentation from the agency would be needed to confirm the precise justification.

How does the $192,677.77 contract value compare to historical Forest Service spending on similar tree marking supplies?

Historical spending data for similar tree marking supplies by the Forest Service is not provided in the current data extract. To assess this value, one would need to analyze past contracts for tree marking paint or related supplies, noting the quantities, contract types (competitive vs. sole-source), and unit prices. A significant deviation from historical averages, particularly if this sole-source award is higher than previous competitive awards for comparable volumes, would indicate a potential issue with value for money. Without this historical context, the $192K figure is difficult to benchmark effectively.

What are the performance expectations and metrics associated with this tree marking paint contract?

The data indicates the contract is for 'PURCHASE OF TREE MARKING PAINT TO SUPPORT TIMBER SALE PREPARATION AND TIMBER SALE ADMINISTRATION ACTIVITIES.' Performance expectations would likely revolve around the paint's ability to be clearly visible, durable under environmental conditions (weather, UV exposure), and suitable for application methods used by Forest Service personnel. Specific metrics might include adherence to color standards, longevity of marks, and ease of application. However, the provided data does not detail these specific performance metrics or quality assurance procedures that will be employed during the contract's execution.

What is the role of Lighthouse for the Blind in this contract, and does their involvement impact the pricing or delivery?

Lighthouse for the Blind is the contractor awarded this BPA Call. Many organizations like Lighthouse for the Blind are designated as federal contractors that employ individuals with disabilities, often operating under specific government programs (like AbilityOne) that may influence procurement decisions and pricing structures. Their involvement suggests a potential socio-economic objective behind the award. While this can provide valuable employment opportunities, it sometimes means pricing may not be as aggressively competitive as in a fully open market scenario, as the contract may also be supporting employment goals alongside the supply requirement.

Industry Classification

NAICS: Wholesale Trade › Miscellaneous Nondurable Goods Merchant Wholesalers › Paint, Varnish, and Supplies Merchant Wholesalers

Product/Service Code: BRUSHES, PAINTS, SEALERS, ADHESIVES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: THE Lighthouse for the Blind

Address: 8833 FLEISCHER PL, SAINT LOUIS, MO, 63134

Business Categories: Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,268

Exercised Options: $19,268

Current Obligation: $19,268

Actual Outlays: $19,268

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 12318720A0005

IDV Type: BPA

Timeline