Agriculture Department awards $9,223 for rental tanks and gases, supporting mosquito and fly research

Contract Overview

Contract Amount: $9,223 ($9.2K)

Contractor: Airgas USA LLC

Awarding Agency: Department of Agriculture

Start Date: 2024-03-17

End Date: 2025-03-16

Contract Duration: 364 days

Daily Burn Rate: $25/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RENTAL TANKS AND MONTHLY FEES - GASES FOR RESEARCH PER ATTACHED STATEMENT OF WORK (SOW) ACCOUNTS: 1219771 MOSQUITO AND FLY RESEARCH (MFU) - BERNIER 1220148 MOSQUITO AND FLY RESEARCH (MFU) - ALLAN 1222155 MOSQUITO AND FLY RESEARCH (MFU) - ESTEP 1

Place of Performance

Location: GAINESVILLE, ALACHUA County, FLORIDA, 32608

State: Florida Government Spending

Plain-Language Summary

Department of Agriculture obligated $9,223.16 to AIRGAS USA LLC for work described as: RENTAL TANKS AND MONTHLY FEES - GASES FOR RESEARCH PER ATTACHED STATEMENT OF WORK (SOW) ACCOUNTS: 1219771 MOSQUITO AND FLY RESEARCH (MFU) - BERNIER 1220148 MOSQUITO AND FLY RESEARCH (MFU) - ALLAN 1222155 MOSQUITO AND FLY RESEARCH (MFU) - ESTEP 1 Key points: 1. Contract value appears low, suggesting a focused scope or limited duration. 2. Competition dynamics are unclear without further details on the SAP process. 3. Performance risk seems moderate given the nature of gas supply and rental. 4. This contract supports ongoing research activities within the Agricultural Research Service. 5. The industrial gas manufacturing sector is characterized by established players and specialized needs.

Value Assessment

Rating: fair

The contract value of $9,223.16 for a one-year period for rental tanks and gases is relatively small. Benchmarking per-unit costs for industrial gases and tank rentals is difficult without specific product details and quantities. However, the overall value suggests a potentially fair price for the specified services, assuming the scope is limited to the research needs outlined in the SOW. It is not possible to compare to similar contracts without more detailed information on the specific gases and rental terms.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves a less formal solicitation process than full and open competition. The number of bidders is not specified, making it difficult to assess the level of competition. SAP is generally used for purchases below certain dollar thresholds, and while it aims for fair and reasonable pricing, it may not always yield the same price discovery as a broader competition.

Taxpayer Impact: The use of SAP suggests an effort to streamline the procurement process for smaller value contracts. The actual impact on taxpayer value depends on whether adequate competition was achieved within the SAP framework.

Public Impact

Researchers at the Department of Agriculture, specifically those involved in mosquito and fly research, will benefit from the provision of necessary gases and equipment. The services delivered include the rental of tanks and the supply of gases essential for laboratory experiments and research activities. The geographic impact is localized to Florida, where the research accounts are managed. There are no direct workforce implications mentioned, as this contract focuses on material and equipment supply.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency regarding the specific gases and rental terms could obscure potential cost inefficiencies.
The limited scope of SAP competition might not guarantee the absolute best pricing for taxpayers.
Dependence on a single supplier for critical research gases could pose a risk if not managed carefully.

Positive Signals

The contract supports critical scientific research within the Department of Agriculture.
The use of a firm-fixed-price contract provides cost certainty for the government.
The short duration (one year) allows for periodic re-evaluation of needs and pricing.

Sector Analysis

The industrial gas manufacturing sector is a mature industry providing essential gases for a wide range of applications, including scientific research, manufacturing, and healthcare. Companies in this sector often have specialized logistics and safety protocols. Spending in this area within the federal government is typically driven by the operational needs of various research and development agencies. Benchmarking this specific contract is challenging due to its niche application and relatively low value.

Small Business Impact

There is no indication that this contract was set aside for small businesses, nor is there information on subcontracting requirements. The prime contractor, AIRGAS USA LLC, is a large corporation, suggesting that small business participation is unlikely unless mandated through subcontracting opportunities not detailed here.

Oversight & Accountability

Oversight for this contract would fall under the Department of Agriculture's procurement and research divisions. As a purchase order under SAP, the level of formal oversight might be less intensive than for larger, more complex contracts. Accountability is primarily ensured through the terms of the purchase order and the SOW. Transparency is limited by the nature of SAP procurements, with detailed solicitations and award justifications often not publicly available.

Related Government Programs

Agricultural Research Service (ARS) Operations
Federal Research and Development Spending
Industrial Gas Supply Contracts

Risk Flags

Lack of detailed SOW information
Unclear competition details under SAP
Potential for supply chain disruption

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $9,223.16 to AIRGAS USA LLC. RENTAL TANKS AND MONTHLY FEES - GASES FOR RESEARCH PER ATTACHED STATEMENT OF WORK (SOW) ACCOUNTS: 1219771 MOSQUITO AND FLY RESEARCH (MFU) - BERNIER 1220148 MOSQUITO AND FLY RESEARCH (MFU) - ALLAN 1222155 MOSQUITO AND FLY RESEARCH (MFU) - ESTEP 1

Who is the contractor on this award?

The obligated recipient is AIRGAS USA LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $9,223.16.

What is the period of performance?

Start: 2024-03-17. End: 2025-03-16.

What specific gases are being supplied under this contract, and what are their typical market prices?

The provided data does not specify the exact gases being supplied, only that they are for 'RENTAL TANKS AND MONTHLY FEES - GASES FOR RESEARCH'. This lack of specificity makes it impossible to determine typical market prices. Industrial gases can range widely in cost depending on type (e.g., nitrogen, helium, specialty gases), purity, volume, and delivery method. Without knowing the precise requirements of the Mosquito and Fly Research (MFU) accounts, a meaningful price comparison cannot be made. Further inquiry into the attached Statement of Work (SOW) would be necessary to identify the specific gases and their associated quantities and purity levels.

How does the competition level under SAP for this contract compare to typical competition for similar industrial gas supply needs?

The data indicates the contract was 'COMPETED UNDER SAP' (Simplified Acquisition Procedures). SAP is designed for purchases below certain thresholds (e.g., $250,000) and often involves fewer bidders and less formal solicitation processes than full and open competition. While SAP aims for fair and reasonable pricing, it may not always achieve the same level of price discovery as a broader competition. Without knowing the number of bidders or the specific SAP procedures followed, it's difficult to definitively compare the competition level. However, it's generally understood that SAP competition is less robust than full and open competition, potentially leading to higher prices if not managed carefully.

What is the historical spending pattern for rental tanks and gases for mosquito and fly research within the Department of Agriculture?

The provided data does not include historical spending patterns for this specific type of procurement or for the Mosquito and Fly Research (MFU) accounts. To assess historical spending, one would need to access past contract databases (like FPDS or SAM.gov) and search for similar contracts awarded to the Department of Agriculture or the Agricultural Research Service for 'rental tanks', 'gases', and keywords related to 'mosquito research' or 'entomology'. Analyzing trends in contract values, durations, and competition over several fiscal years would be necessary to identify any patterns or significant deviations.

What are the potential risks associated with relying on AIRGAS USA LLC for these critical research gases?

Potential risks associated with relying on AIRGAS USA LLC, or any single supplier, include supply chain disruptions (e.g., manufacturing issues, transportation delays, natural disasters), price increases upon contract renewal, and potential quality control issues. For research, the consistency and purity of gases are critical; any deviation could compromise experimental results. Dependence on one vendor also reduces leverage in price negotiations. However, AIRGAS USA LLC is a major supplier with extensive infrastructure, which may mitigate some risks. The contract's short duration (one year) helps to limit long-term exposure to these risks.

How does the contract duration of 364 days align with the typical needs for ongoing research projects?

A contract duration of 364 days is common for federal procurements, often aligning with fiscal year cycles or allowing for a period of performance before requiring re-competition or modification. For ongoing research projects, such as mosquito and fly research, a one-year contract provides a stable supply for a defined period. It allows researchers to plan their experiments knowing their gas and equipment needs are met. The duration also provides the agency with an opportunity to reassess the project's needs, evaluate the contractor's performance, and determine if continued or modified support is required, potentially through a new solicitation or extension if permissible.

Industry Classification

NAICS: Manufacturing › Basic Chemical Manufacturing › Industrial Gas Manufacturing

Product/Service Code: CONTAINERS/PACKAGING/PACKING SUPPL

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 12405B24Q0098

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2015 VAUGHN RD STE 400, KENNESAW, GA, 30144

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $9,223

Exercised Options: $9,223

Current Obligation: $9,223

Actual Outlays: $9,223

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline