Census Bureau Spends $39.5M on FF&E for Visually Impaired, Lacking Competition

Contract Overview

Contract Amount: $39,473,467 ($39.5M)

Contractor: Industries for the Blind and Visually Impaired, Inc.

Awarding Agency: Department of Commerce

Start Date: 2021-09-17

End Date: 2025-09-30

Contract Duration: 1,474 days

Daily Burn Rate: $26.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FF&E CENSUS HQ REIMANGED

Place of Performance

Location: MILWAUKEE, MILWAUKEE County, WISCONSIN, 53214

State: Wisconsin Government Spending

Plain-Language Summary

Department of Commerce obligated $39.5 million to INDUSTRIES FOR THE BLIND AND VISUALLY IMPAIRED, INC. for work described as: FF&E CENSUS HQ REIMANGED Key points: 1. Significant expenditure on furniture and fixtures for the Census Bureau. 2. Contract awarded to Industries for the Blind and Visually Impaired, Inc. 3. Lack of competition raises questions about price discovery and value. 4. Long contract duration of nearly 5 years. 5. Sector is Furniture Merchant Wholesalers.

Value Assessment

Rating: questionable

The contract value of $39.5 million for FF&E is substantial. Without competitive bidding, it's difficult to assess if this represents fair market value. The benchmark for similar contracts is unavailable, making a direct comparison impossible.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract is designated as 'NOT AVAILABLE FOR COMPETITION,' implying a limited source. This significantly restricts price discovery and potentially leads to higher costs for taxpayers compared to a fully competitive process.

Taxpayer Impact: The lack of competition may result in the government paying more than necessary for these goods, impacting taxpayer funds.

Public Impact

Taxpayers may be overpaying for furniture and fixtures due to the absence of competitive bidding. The contract supports a specific mission to employ visually impaired individuals, which has social benefits. Transparency in government spending is reduced when competition is limited.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Furniture Merchant Wholesalers. Government spending in this sector can vary widely, but large, non-competitive awards warrant scrutiny to ensure value for money.

Small Business Impact

While the awardee is a non-profit organization focused on employing visually impaired individuals, the lack of broader competition means other small businesses in the furniture wholesale sector were not considered.

Oversight & Accountability

The 'NOT AVAILABLE FOR COMPETITION' designation requires strong justification and oversight to ensure it is used appropriately and not to circumvent competitive processes. The Census Bureau needs to ensure accountability for this expenditure.

Related Government Programs

Risk Flags

Tags

furniture-merchant-wholesalers, department-of-commerce, wi, purchase-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $39.5 million to INDUSTRIES FOR THE BLIND AND VISUALLY IMPAIRED, INC.. FF&E CENSUS HQ REIMANGED

Who is the contractor on this award?

The obligated recipient is INDUSTRIES FOR THE BLIND AND VISUALLY IMPAIRED, INC..

Which agency awarded this contract?

Awarding agency: Department of Commerce (U.S. Census Bureau).

What is the total obligated amount?

The obligated amount is $39.5 million.

What is the period of performance?

Start: 2021-09-17. End: 2025-09-30.

What is the justification for limiting competition on this significant FF&E contract?

The data indicates the contract is with 'INDUSTRIES FOR THE BLIND AND VISUALLY IMPAIRED, INC.' This suggests a potential justification based on specific socio-economic goals or a unique capability. However, without further details, it's unclear if this justification fully accounts for the $39.5 million expenditure and the absence of any competitive process.

How can the government ensure fair pricing without competition for FF&E?

When competition is limited, agencies should employ robust price analysis techniques. This includes comparing proposed prices to historical prices for similar items, using independent government cost estimates, and negotiating aggressively. For this contract, the Census Bureau should have conducted thorough market research to establish a reasonable price baseline.

What is the long-term value proposition of this contract for the Census Bureau?

The long-term value hinges on the quality and suitability of the FF&E provided and the reliability of the supplier. Given the nearly five-year duration, the Census Bureau is committing significant resources. Ensuring the furniture meets operational needs and the contract terms are favorable will be crucial for realizing value.

Industry Classification

NAICS: Wholesale TradeFurniture and Home Furnishing Merchant WholesalersFurniture Merchant Wholesalers

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 445 S CURTIS RD, WEST ALLIS, WI, 53214

Business Categories: AbilityOne Program Participant, 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: $39,480,000

Exercised Options: $39,480,000

Current Obligation: $39,473,467

Actual Outlays: $158,609

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2021-09-17

Current End Date: 2025-09-30

Potential End Date: 2025-09-30 00:00:00

Last Modified: 2025-06-11

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