DOJ awards $224K for kosher meat, raising questions on value and competition for perishable food contracts

Contract Overview

Contract Amount: $22,427 ($22.4K)

Contractor: H Schrier & CO Inc

Awarding Agency: Department of Justice

Start Date: 2026-04-01

End Date: 2026-04-30

Contract Duration: 29 days

Daily Burn Rate: $773/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 32

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FCI FAIRTON 3RD QUARTER FY26 SUBSISTENCE. SUBSISTENCE/FROZEN/KOSHER/MEAT.

Place of Performance

Location: BROOKLYN, KINGS County, NEW YORK, 11234

State: New York Government Spending

Plain-Language Summary

Department of Justice obligated $22,426.81 to H SCHRIER & CO INC for work described as: FCI FAIRTON 3RD QUARTER FY26 SUBSISTENCE. SUBSISTENCE/FROZEN/KOSHER/MEAT. Key points: 1. Contract awarded for specialized kosher meat, indicating niche market needs within federal facilities. 2. Short contract duration (29 days) suggests immediate or urgent requirement for subsistence. 3. Limited competition dynamics may impact price discovery for perishable goods. 4. Analysis needed to benchmark pricing against similar specialized food procurements. 5. Potential for higher costs due to specific dietary requirements and limited supplier pool. 6. Oversight of perishable goods procurement is crucial to ensure quality and prevent waste.

Value Assessment

Rating: fair

The contract value of $224,268.81 for a single month of kosher meat appears high for a short-term perishable food supply. Without specific volume data or detailed product specifications, it's difficult to benchmark against similar contracts. However, the specialized nature of kosher meat often commands a premium. Further analysis would require comparing the per-unit cost of specific meat items against market rates for kosher-certified products and similar federal food service contracts to determine if the price reflects fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under Simplified Acquisition Procedures (SAP), which typically involves fewer bidders than full and open competition. While the data indicates 32 offers were received, the specific competition level for this niche product (kosher meat) is unclear. SAP is often used for procurements under the simplified acquisition threshold, suggesting this was likely a smaller, less complex buy. The number of offers suggests some level of interest, but the specialized nature of the product might have limited the pool of qualified bidders.

Taxpayer Impact: For taxpayers, limited competition, even under SAP, can potentially lead to higher prices than if a broader range of suppliers were engaged. However, the efficiency of SAP for smaller procurements can also reduce administrative costs.

Public Impact

Inmates at FCI Fairton will receive kosher meat as part of their subsistence, meeting specific religious dietary requirements. This contract ensures the continuity of essential food services for a specific population within the Bureau of Prisons. The geographic impact is localized to FCI Fairton in New York. The contract supports food suppliers and distributors specializing in kosher-certified products.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for price inflation due to specialized kosher certification requirements.
  • Risk of spoilage and waste with perishable goods if demand forecasting is inaccurate.
  • Limited competition may not yield the best possible price for taxpayers.
  • Short contract duration could lead to frequent re-procurement efforts and administrative overhead.

Positive Signals

  • Contract meets specific dietary needs, ensuring religious accommodation for inmates.
  • Use of SAP suggests an attempt at efficient procurement for a likely smaller-value contract.
  • Multiple offers received indicate some level of market engagement for this specialized product.

Sector Analysis

The federal procurement of subsistence, including specialized food items like kosher meat, falls under the broader category of food services and logistics. The market for kosher food products is a niche within the larger food industry, often characterized by specific supply chains and certification processes. Federal agencies like the Bureau of Prisons procure these goods to meet diverse dietary and religious needs of the population they serve. Comparable spending benchmarks would involve analyzing other contracts for specialized dietary foods within federal correctional facilities or other government institutions.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false) nor does it explicitly mention subcontracting goals for small businesses (sb: false). Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor, H Schrier & Co Inc, utilizes small businesses in its supply chain. Further investigation into the contractor's subcontracting practices would be needed to assess any indirect benefits to small businesses.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Justice's Bureau of Prisons. As a purchase order, it is likely managed through established procurement and financial management systems. Transparency is generally provided through federal procurement databases like FPDS. Accountability measures would include performance monitoring against the contract terms, quality control of the delivered goods, and adherence to payment schedules. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

  • Federal Prison System Food Services
  • Bureau of Prisons Subsistence Procurement
  • Specialized Dietary Food Contracts
  • Department of Justice Procurement

Risk Flags

  • Potential for price non-competitiveness due to specialized product requirements.
  • Risk of spoilage and waste associated with perishable goods.
  • Short contract duration may indicate urgency or lack of long-term planning.
  • Simplified Acquisition Procedures may limit the breadth of competition.

Tags

food-services, subsistence, kosher-food, perishable-goods, department-of-justice, bureau-of-prisons, fci-fairton, new-york, purchase-order, competed-under-sap, firm-fixed-price, small-award-value

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $22,426.81 to H SCHRIER & CO INC. FCI FAIRTON 3RD QUARTER FY26 SUBSISTENCE. SUBSISTENCE/FROZEN/KOSHER/MEAT.

Who is the contractor on this award?

The obligated recipient is H SCHRIER & CO INC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $22,426.81.

What is the period of performance?

Start: 2026-04-01. End: 2026-04-30.

What is the specific volume and type of kosher meat being procured under this contract, and how does the unit price compare to market rates for similar kosher products?

The provided data does not specify the exact volume or detailed breakdown of kosher meat items (e.g., beef, lamb, specific cuts). The total award amount is $224,268.81 for a 29-day period. To assess value, one would need to obtain the detailed product list and quantities from the contract award. Subsequently, market research would involve comparing the per-pound or per-unit cost of these specific kosher meat items against prices offered by kosher butchers, specialty food distributors, and potentially other federal contracts for similar items. Given the specialized nature and certification requirements, kosher meat typically carries a premium over non-kosher equivalents. Without the detailed product specifications, a precise unit cost comparison is not feasible, but the overall award suggests a significant expenditure for a short duration, warranting scrutiny of the unit economics.

How does the pricing of this contract compare to previous kosher meat procurements by the Federal Prison System or other agencies?

Historical pricing data for kosher meat procurements by the Federal Prison System (FPS) or other agencies is not directly available in the provided data. To conduct this comparison, one would need to access historical federal procurement databases (e.g., FPDS) and search for similar contracts using keywords like 'kosher meat,' 'subsistence,' and relevant PSC codes for food items, filtering by agency (e.g., Bureau of Prisons, other federal prisons) and time period. Analyzing the award amounts, quantities, and contract durations from past awards would allow for a benchmark. Factors such as inflation, changes in market supply, and specific contract requirements (e.g., delivery locations, packaging) would need to be considered when comparing historical data to the current award to ensure a fair assessment of value for money.

What are the specific risks associated with procuring perishable goods like kosher meat under short-term contracts, and what mitigation strategies are in place?

Procuring perishable goods like kosher meat under short-term contracts (29 days in this case) presents several risks. Firstly, there's a heightened risk of spoilage and waste if demand forecasting is inaccurate or if delivery schedules are disrupted, leading to financial losses and potential shortages. Secondly, short-term contracts can lead to less favorable pricing as suppliers may factor in the uncertainty and administrative costs of frequent re-procurement. Thirdly, it can limit the ability to establish long-term relationships with suppliers, potentially impacting quality consistency and responsiveness. Mitigation strategies typically include robust inventory management, clear delivery protocols, contingency planning for supply chain disruptions, and potentially using performance-based metrics within the contract. The Bureau of Prisons likely has standard operating procedures for managing perishable food inventory and quality assurance to minimize these risks.

Given the 'limited' competition level, what is the potential impact on the contractor's performance and the overall quality of the goods provided?

A 'limited' competition level, especially under Simplified Acquisition Procedures (SAP), can have a mixed impact on contractor performance and quality. On one hand, fewer bidders might mean the selected contractor faces less direct pressure to constantly innovate or offer the absolute lowest price, potentially leading to complacency. However, if the limited competition still involves multiple qualified bidders who understand the specific requirements (like kosher certification), the chosen contractor will still be motivated to perform well to secure future contracts or maintain a good reputation. The Bureau of Prisons' oversight, including quality inspections and performance evaluations, plays a critical role in ensuring the contractor meets standards regardless of the competition level. If the competition was truly limited to only one or two viable suppliers, the agency's oversight becomes even more crucial to ensure fair pricing and adequate quality.

What is the track record of H Schrier & Co Inc in fulfilling federal contracts, particularly for perishable food items?

Information regarding the specific track record of H Schrier & Co Inc in fulfilling federal contracts, especially for perishable food items, is not detailed in the provided data. To assess their track record, one would need to query federal procurement databases (like FPDS) for past awards to this contractor. This search should focus on contracts with agencies like the Department of Justice, Bureau of Prisons, or other entities requiring food services. Key metrics to examine would include the number of contracts awarded, their value, contract performance history (e.g., any reported issues, terminations, or positive feedback), and the types of goods or services provided. A history of successful, on-time deliveries and quality compliance with similar food contracts would indicate reliability, while a pattern of issues might raise concerns.

How does the $224K award for a single month of subsistence fit into the broader spending patterns for food services within the Federal Prison System?

This $224,268.81 award for a single month of kosher meat at FCI Fairton represents a specific, niche expenditure within the Federal Prison System's (FPS) overall food services budget. The FPS, responsible for feeding tens of thousands of inmates daily, has a substantial budget allocated to subsistence. Awards for general subsistence (staples, non-specialized meats, produce) are typically much larger in value and duration. This particular contract highlights the cost associated with meeting specialized dietary requirements, such as kosher or halal, which often involve higher unit costs and potentially more complex supply chains compared to standard provisions. To understand its place in broader patterns, one would compare this award's value and duration against the total annual food budget for the FPS and analyze the frequency and value of other specialized dietary contracts across the prison system.

Industry Classification

NAICS: ManufacturingOther Food ManufacturingPerishable Prepared Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 15B20426Q00000002

Offers Received: 32

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4901 GLENWOOD RD, BROOKLYN, NY, 11234

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,427

Exercised Options: $22,427

Current Obligation: $22,427

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2026-04-01

Current End Date: 2026-04-30

Potential End Date: 2026-04-30 00:00:00

Last Modified: 2026-04-08

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