DOJ's $23K copier lease for USP Canaan awarded to Xerox, highlighting firm fixed-price terms

Contract Overview

Contract Amount: $23,322 ($23.3K)

Contractor: Xerox Corporation

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $64/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COPIER LEASES FOR USP CANAAN - 60 MONTH LEASE

Place of Performance

Location: DALLAS, DALLAS County, TEXAS, 75266

State: Texas Government Spending

Plain-Language Summary

Department of Justice obligated $23,321.76 to XEROX CORPORATION for work described as: COPIER LEASES FOR USP CANAAN - 60 MONTH LEASE Key points: 1. The contract value of $23,321.76 for a 364-day copier lease appears reasonable for the duration and service. 2. Full and open competition was utilized, suggesting a competitive bidding process that should yield fair market pricing. 3. The firm fixed-price contract type mitigates cost overrun risks for the government. 4. This lease falls under the 'Photographic and Photocopying Equipment Manufacturing' NAICS code, indicating a specific equipment procurement. 5. The contract is a delivery order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a pre-negotiated agreement. 6. The lease duration of 364 days is standard for such equipment procurements, allowing for regular refresh cycles.

Value Assessment

Rating: good

The total contract value of $23,321.76 for a 364-day copier lease is modest. Benchmarking against similar federal copier leases suggests this price is within expected ranges, especially considering the inclusion of maintenance and support services often bundled with such agreements. The firm fixed-price structure further enhances value by preventing unexpected cost increases.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This method typically fosters a competitive environment, driving down prices and encouraging innovation among bidders. The specific number of bidders is not provided, but the use of this procurement method is a positive signal for price discovery.

Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring that the government secures goods and services at the most competitive prices available in the market.

Public Impact

The Bureau of Prisons benefits from this contract by securing essential office equipment for its operations at USP Canaan. The service delivered is the provision of copier equipment, likely including maintenance and support, crucial for administrative functions. The geographic impact is localized to USP Canaan in Texas, supporting its day-to-day administrative and operational needs. Workforce implications are minimal, primarily affecting administrative staff who will utilize the equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders limits a full assessment of competitive intensity.
The exact specifications of the copier model and its capabilities are not detailed, making direct feature-based comparisons difficult.
Potential for vendor lock-in if future needs arise and this vendor is again the primary option.

Positive Signals

Awarded under full and open competition, suggesting a robust bidding process.
Firm fixed-price contract type provides cost certainty for the government.
The lease duration is standard, allowing for timely equipment upgrades.
Xerox Corporation is a well-established provider of office equipment, suggesting reliability.

Sector Analysis

The market for office equipment, including copiers and printers, is mature and highly competitive, dominated by several large manufacturers and numerous resellers. Federal agencies procure these goods and services through various contract vehicles, often leveraging GSA schedules or full and open competition for specific needs. Spending in this category is consistent across government, supporting essential administrative functions. This contract represents a typical procurement within this sector, focused on leasing rather than outright purchase.

Small Business Impact

There is no indication that this contract included a small business set-aside. Given the nature of copier leasing, it is unlikely that significant subcontracting opportunities for small businesses would arise directly from this specific delivery order, unless the primary contractor utilizes small businesses for maintenance or supply chain components.

Oversight & Accountability

The contract is a delivery order, likely managed under a broader IDIQ contract or a pre-existing framework agreement, which would have its own oversight mechanisms. The firm fixed-price nature simplifies oversight by fixing the cost. Transparency is generally maintained through contract award databases like FPDS. The Bureau of Prisons, as the end-user agency, would be responsible for monitoring performance and ensuring compliance with lease terms.

Related Government Programs

GSA Schedule 75 - Office, Entertainment, Publication, and Training Supplies, Equipment and Services
General Services Administration (GSA) Multiple Award Schedules
Indefinite-Delivery/Indefinite-Quantity (IDIQ) Contracts

Risk Flags

Limited bidder information
Short lease term may indicate specific, non-standard need or higher per-unit cost

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $23,321.76 to XEROX CORPORATION. COPIER LEASES FOR USP CANAAN - 60 MONTH LEASE

Who is the contractor on this award?

The obligated recipient is XEROX CORPORATION.

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 $23,321.76.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the typical lifespan and refresh cycle for government-leased copier equipment?

The typical lifespan and refresh cycle for government-leased copier equipment often aligns with the lease terms themselves, which commonly range from 36 to 60 months. Agencies often opt for leases to ensure they have access to newer technology and to avoid the long-term maintenance burdens and obsolescence risks associated with outright ownership. A 364-day lease, as seen in this case, is shorter than typical, suggesting a specific short-term need or a trial period before a longer-term commitment. This shorter cycle allows agencies to benefit from updated features, improved energy efficiency, and reduced repair costs associated with newer models, while avoiding the capital expenditure of purchasing equipment that may become outdated.

How does the firm fixed-price contract type benefit the Bureau of Prisons in this copier lease?

The firm fixed-price (FFP) contract type provides significant benefits to the Bureau of Prisons (BOP) for this copier lease by offering cost certainty and predictability. Under an FFP agreement, the price is set and not subject to adjustment based on the contractor's cost experience. This means the BOP knows exactly how much the lease will cost over its term, eliminating the risk of unexpected cost increases due to inflation, material price fluctuations, or other unforeseen expenses incurred by Xerox Corporation. This predictability is crucial for budgeting and financial planning within the agency, allowing for more accurate allocation of funds and reducing the administrative burden associated with monitoring and approving cost adjustments.

What are the potential risks associated with a short-term (364-day) copier lease compared to a longer-term lease?

A short-term copier lease, such as the 364-day term in this contract, presents several potential risks compared to longer-term agreements. Firstly, the per-unit cost might be higher on a pro-rata basis, as contractors often offer better pricing for longer commitments to secure revenue streams. Secondly, the administrative effort and cost associated with initiating and closing out a lease, including installation and de-installation, are incurred regardless of the term, making short-term leases less efficient from a process perspective. Thirdly, frequent equipment turnover can lead to disruptions in service or workflow if transitions are not managed smoothly. Finally, a short term might not allow sufficient time to fully leverage the equipment's capabilities or to establish a stable working relationship with the provider for ongoing support.

What does the NAICS code 'Photographic and Photocopying Equipment Manufacturing' imply for this contract?

The North American Industry Classification System (NAICS) code '333316 - Photographic and Photocopying Equipment Manufacturing' indicates that the primary business activity of the contractor, Xerox Corporation in this instance, is related to the manufacturing of such equipment. While this contract is for a lease, the NAICS code suggests that the equipment being provided originates from a manufacturer within this sector. This classification helps in understanding the industry context and potentially benchmarking the lease against other procurements involving similar types of equipment. It implies that the leased items are specialized devices for image capture and reproduction, rather than general office furniture or IT hardware.

How does the 'Delivery Order' contract type function within the federal procurement landscape?

A 'Delivery Order' is a type of contract that is issued under an existing indefinite-delivery/indefinite-quantity (IDIQ) contract, a blanket purchase agreement (BPA), or a basic ordering agreement (BOA). It specifies the exact quantity of supplies or services to be delivered and the delivery date. In this case, the contract for copier leases is a delivery order, meaning it is likely a specific task or call placed against a larger, pre-established contract vehicle. This approach allows agencies to procure goods and services efficiently without needing to conduct a full, separate procurement for each individual need. The terms and conditions, including pricing and competition requirements, are typically established at the IDIQ or BPA level.

Industry Classification

NAICS: Manufacturing › Commercial and Service Industry Machinery Manufacturing › Photographic and Photocopying Equipment Manufacturing

Product/Service Code: SPECIAL INDUSTRY MACHINERY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1800 M ST NW STE 500N, WASHINGTON, DC, 20036

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

Financial Breakdown

Contract Ceiling: $23,322

Exercised Options: $23,322

Current Obligation: $23,322

Actual Outlays: $5,830

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS03F137DA

IDV Type: FSS

Timeline