USDA awards $70M for fruit, vegetable, and dairy boxes to Pacific Coast Fresh Company

Contract Overview

Contract Amount: $70,179,532 ($70.2M)

Contractor: Pacific Coast Fresh Company

Awarding Agency: Department of Agriculture

Start Date: 2020-05-14

End Date: 2020-09-19

Contract Duration: 128 days

Daily Burn Rate: $548.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 568

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 2000006919/4100020234/COMBINATION BOX,FRESH FRUIT/VEGETABLE BOX,DAIRY PRODUCTS BOX

Place of Performance

Location: PORTLAND, MULTNOMAH County, OREGON, 97232

State: Oregon Government Spending

Plain-Language Summary

Department of Agriculture obligated $70.2 million to PACIFIC COAST FRESH COMPANY for work described as: 2000006919/4100020234/COMBINATION BOX,FRESH FRUIT/VEGETABLE BOX,DAIRY PRODUCTS BOX Key points: 1. Significant contract value awarded to a single vendor. 2. Competition method was full and open, suggesting potential for price discovery. 3. Contract duration is relatively short (approx. 4 months). 4. Focus on food manufacturing and distribution within the agricultural sector.

Value Assessment

Rating: fair

The contract value of $70.2 million for a 4-month period appears high for a food box contract. Benchmarking against similar large-scale food distribution contracts would be necessary to assess true value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is a positive sign for price discovery. However, the large award amount to a single entity warrants scrutiny to ensure competitive pricing was achieved.

Taxpayer Impact: Taxpayer funds are being used for food procurement, likely for distribution programs. The efficiency of this spending depends on the effectiveness of the program it supports.

Public Impact

Ensures availability of fresh produce and dairy products for specific programs. Supports agricultural producers and distributors. Impact on food security and access for beneficiaries of the program.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

High contract value for a short duration.
Potential for price inflation if competition was not robust.
Lack of detail on specific items and quantities within the boxes.

Positive Signals

Awarded through full and open competition.
Supports critical food supply chains.

Sector Analysis

This contract falls within the 'All Other Miscellaneous Food Manufacturing' sector. Spending benchmarks for similar large-scale food box procurements are difficult to establish without more specific details on contents and program goals.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or suppliers. Further investigation would be needed to assess small business participation.

Oversight & Accountability

Oversight would focus on contract performance, delivery schedules, and quality of goods. The Agricultural Marketing Service (AMS) is responsible for managing this contract.

Related Government Programs

All Other Miscellaneous Food Manufacturing
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

High dollar value.
Short contract duration.
Limited detail on specific deliverables.
Potential for vendor lock-in if follow-on contracts are awarded without re-competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $70.2 million to PACIFIC COAST FRESH COMPANY. 2000006919/4100020234/COMBINATION BOX,FRESH FRUIT/VEGETABLE BOX,DAIRY PRODUCTS BOX

Who is the contractor on this award?

The obligated recipient is PACIFIC COAST FRESH COMPANY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $70.2 million.

What is the period of performance?

Start: 2020-05-14. End: 2020-09-19.

What was the specific purpose and beneficiary of these food boxes?

The specific purpose and beneficiary of these food boxes are not detailed in the provided data. Typically, such contracts support federal nutrition assistance programs, disaster relief efforts, or school lunch programs, aiming to provide essential food items to vulnerable populations or during emergencies.

How was the 'full and open competition' process structured to ensure competitive pricing for such a large award?

The 'full and open competition' process likely involved a solicitation (e.g., Request for Proposal) detailing the required goods and services. Bidders would submit proposals, and the contract would be awarded based on factors such as price, technical merit, and past performance. The structure aimed to encourage multiple bids to drive down costs and ensure fair market value.

What are the key performance indicators (KPIs) for this contract to ensure effectiveness and value for money?

Key performance indicators would likely include on-time delivery rates, adherence to product specifications (freshness, quality), accuracy of order fulfillment, and potentially cost-effectiveness metrics. The agency would monitor these KPIs to ensure the contractor meets contractual obligations and provides good value for the taxpayer's investment.

Industry Classification

NAICS: Manufacturing › Other Food Manufacturing › All Other Miscellaneous Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 123J1420R0377/4100020234

Offers Received: 568

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 201 NE 2ND AVE, PORTLAND, OR, 97232

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $70,179,532

Exercised Options: $70,179,532

Current Obligation: $70,179,532

Actual Outlays: $70,165,100

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline