USDA awards $4.9M for frozen fruit, including strawberries and apricots, to Wawona Frozen Foods Inc

Contract Overview

Contract Amount: $4,936,051 ($4.9M)

Contractor: Wawona Frozen Foods Inc

Awarding Agency: Department of Agriculture

Start Date: 2023-11-08

End Date: 2024-02-29

Contract Duration: 113 days

Daily Burn Rate: $43.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000009691/4400001754/4100028530/STRAWBERRY SLICES FRZ CTN-30 LB,STRAWBERRY FRZ CUP-96/4.5 OZ,APRICOT FRZ CUP-96/4.5 OZ,MIXED BERRY FRZ CUP-96/4.OZ

Place of Performance

Location: CLOVIS, FRESNO County, CALIFORNIA, 93611

State: California Government Spending

Plain-Language Summary

Department of Agriculture obligated $4.9 million to WAWONA FROZEN FOODS INC for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000009691/4400001754/4100028530/STRAWBERRY SLICES FRZ CTN-30 LB,STRAWBERRY FRZ CUP-96/4.5 OZ,APRICOT FRZ CUP-96/4.5 OZ,MIXED BERRY FRZ CUP-96/4.OZ Key points: 1. Frozen fruit products procured by USDA for food donation programs. 2. Wawona Frozen Foods Inc. is the sole awardee for these specific items. 3. The contract utilizes a firm fixed price structure. 4. Delivery is scheduled to conclude by February 2024.

Value Assessment

Rating: good

The total award amount is $4,936,051.13. Benchmarking against similar frozen fruit contracts is difficult without specific product details and quantities, but the price appears reasonable for bulk food donations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition where initial sources were excluded. This method may impact price discovery compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are used to procure food for donation programs, aiming to support food security initiatives.

Public Impact

Ensures availability of frozen fruit for federal food donation programs. Supports agricultural producers and processors within the frozen fruit sector. Contributes to food assistance efforts for vulnerable populations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises questions about optimal price discovery.
Reliance on a single vendor for specific frozen fruit products.

Positive Signals

Supports critical food donation missions.
Utilizes a firm fixed price contract for cost certainty.

Sector Analysis

This procurement falls under the Frozen Fruit, Juice, and Vegetable Manufacturing sector. Spending in this area is influenced by agricultural output, demand for processed foods, and government food assistance programs.

Small Business Impact

The awardee, Wawona Frozen Foods Inc., is not identified as a small business in the provided data. There is no specific indication of small business participation in this particular contract.

Oversight & Accountability

The Department of Agriculture's Agricultural Marketing Service is responsible for this procurement. Oversight would involve ensuring product quality, timely delivery, and adherence to contract terms.

Related Government Programs

Frozen Fruit, Juice, and Vegetable Manufacturing
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Limited competition may not yield the best price.
Potential for vendor lock-in if specific requirements are narrowly defined.
Lack of transparency regarding source exclusion criteria.
Dependence on a single vendor for critical food donation components.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $4.9 million to WAWONA FROZEN FOODS INC. COMMODITIES FOR USG FOOD DONATIONS: 2000009691/4400001754/4100028530/STRAWBERRY SLICES FRZ CTN-30 LB,STRAWBERRY FRZ CUP-96/4.5 OZ,APRICOT FRZ CUP-96/4.5 OZ,MIXED BERRY FRZ CUP-96/4.OZ

Who is the contractor on this award?

The obligated recipient is WAWONA FROZEN FOODS INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $4.9 million.

What is the period of performance?

Start: 2023-11-08. End: 2024-02-29.

What was the rationale for excluding sources prior to the final competition?

The rationale for excluding sources prior to the final competition is not detailed in the provided data. Typically, such exclusions might stem from specific product requirements, past performance issues, or unique capabilities needed for the donation program. Further investigation into the solicitation documents would be required to understand the precise reasons.

How does the unit cost compare to market rates for similar frozen fruit products?

A precise unit cost comparison is challenging without knowing the exact specifications and quantities of each frozen fruit product (e.g., strawberry slices, apricot cups). However, the total award of $4.9 million for 113 days of delivery suggests a significant volume. A detailed cost analysis of the awarded prices against market benchmarks for bulk frozen fruits would be necessary for a definitive assessment.

What is the long-term impact of this procurement strategy on market competition for frozen fruits?

The long-term impact of this procurement strategy on market competition is unclear. While this specific award was made after excluding sources, the overall strategy of the USDA's food donation program procurement needs to be considered. If such limited competitions become the norm, it could potentially discourage broader market participation or lead to less competitive pricing over time.

Industry Classification

NAICS: Manufacturing › Fruit and Vegetable Preserving and Specialty Food Manufacturing › Frozen Fruit, Juice, and Vegetable Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 123J1423B0322

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 100 W ALLUVIAL AVE, CLOVIS, CA, 93611

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

Financial Breakdown

Contract Ceiling: $4,936,051

Exercised Options: $4,936,051

Current Obligation: $4,936,051

Actual Outlays: $4,901,391

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 123J1423D0038

IDV Type: IDC

Timeline