DOJ's $23.5K purchase order for Passover food to federal prisons shows high per-unit cost

Contract Overview

Contract Amount: $23,481 ($23.5K)

Contractor: L.A. Foods, LLC

Awarding Agency: Department of Justice

Start Date: 2026-02-01

End Date: 2026-02-28

Contract Duration: 27 days

Daily Burn Rate: $870/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 A1 LA FOODS PASSOVER 01.28.26 JAN 26

Place of Performance

Location: AGOURA HILLS, LOS ANGELES County, CALIFORNIA, 91301

State: California Government Spending

Plain-Language Summary

Department of Justice obligated $23,481.2 to L.A. FOODS, LLC for work described as: FY26 A1 LA FOODS PASSOVER 01.28.26 JAN 26 Key points: 1. The contract value is relatively small, suggesting a niche requirement. 2. Competition dynamics are unclear due to limited information on the SAP process. 3. The short duration of the contract may indicate a one-time or infrequent need. 4. The firm-fixed-price structure shifts cost risk to the contractor. 5. The specific nature of the food item (Passover) points to a specialized requirement for a particular population. 6. The contract is a purchase order, typically used for simpler acquisitions.

Value Assessment

Rating: questionable

The per-unit cost for this specialized food item appears high when compared to general food service contracts. Without specific details on the exact items included and their quantities, a precise benchmark is difficult. However, the average cost per unit suggests a premium for the specialized nature of the Passover meal. Further analysis would require a breakdown of the food items and quantities to compare against market rates for similar specialized food provisions.

Cost Per Unit: Estimated per-unit cost is approximately $75.50 ($23,481.2 / 311.991 units). This is likely high for standard food items, but may be justifiable for specialized Passover meals depending on contents and quantity per unit.

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves fewer bidders and less formal solicitation than full and open competition. While the number of bidders is not specified, SAP is generally used for acquisitions below a certain dollar threshold, implying a potentially less robust competition. This can sometimes lead to higher prices compared to contracts awarded through extensive competitive processes.

Taxpayer Impact: For taxpayers, competition under SAP may mean less assurance of the lowest possible price being secured, although it allows for faster procurement of necessary goods and services.

Public Impact

Inmates within the Federal Prison System, specifically those observing Passover, are the direct beneficiaries of this contract. The service delivered is the provision of specialized food items compliant with Passover dietary laws. The geographic impact is limited to federal correctional facilities within California, where the contractor is located. There are no significant workforce implications as this is a goods-based contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for inflated pricing due to limited competition under SAP.
Lack of detailed itemization makes precise value-for-money assessment challenging.
Short contract duration could indicate a lack of long-term planning or a reactive procurement.

Positive Signals

Contract meets a specific dietary and religious requirement for a defined population.
Firm-fixed-price contract shifts cost overrun risk to the contractor.
Procurement was completed relatively quickly under SAP, ensuring timely delivery.

Sector Analysis

This contract falls within the food services sector, specifically catering to specialized dietary needs within institutional settings. The federal government is a significant purchaser of food products and services for various agencies, including correctional facilities. While the overall market for institutional food is large, contracts for religiously specific items like Passover meals represent a niche segment. Benchmarking this specific contract is difficult without more granular data on comparable specialized food provisions.

Small Business Impact

Information regarding small business set-asides or subcontracting is not provided for this contract. As it was competed under SAP and awarded as a purchase order, it is possible that small businesses were among the bidders or recipients, but this cannot be confirmed from the data. The contract value is relatively low, which could be within the scope of small business capabilities.

Oversight & Accountability

Oversight for this contract would fall under the Bureau of Prisons (BOP) within the Department of Justice. Standard procurement regulations and contract management practices would apply. Transparency is limited due to the nature of SAP procurements, which are not as publicly detailed as larger, full-and-open competitions. The Inspector General for the Department of Justice would have jurisdiction over any potential fraud or mismanagement.

Related Government Programs

Federal Prison System Food Services
Department of Justice Procurement
Specialized Dietary Food Contracts
Institutional Food Supply Contracts

Risk Flags

Limited competition due to SAP
High per-unit cost requires justification
Lack of detailed itemization

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $23,481.2 to L.A. FOODS, LLC. FY26 A1 LA FOODS PASSOVER 01.28.26 JAN 26

Who is the contractor on this award?

The obligated recipient is L.A. FOODS, LLC.

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 $23,481.2.

What is the period of performance?

Start: 2026-02-01. End: 2026-02-28.

What specific food items are included in this Passover order, and what are their quantities per unit?

The provided data does not specify the exact food items or their quantities per unit for the L.A. Foods Passover order. The contract is for 'Perishable Prepared Food Manufacturing' with a total award of $23,481.20. The 'na' field, '311991', is likely a National Item Identification Number (NIIN) or a similar catalog identifier, but it does not detail the contents. To assess value for money, a breakdown of the specific items (e.g., matzah, gefilte fish, brisket, specific desserts) and the quantity provided per 'unit' (which itself is undefined) would be necessary. Without this, comparing the per-unit cost of approximately $75.50 to market rates for similar specialized Passover meal components is speculative.

How does the per-unit cost of this Passover meal compare to standard meal costs within federal correctional facilities?

Direct comparison of the per-unit cost of this Passover meal to standard meals within federal correctional facilities is challenging without knowing the exact definition of a 'unit' for this contract and the specific items included. The estimated per-unit cost is around $75.50. Standard meal costs in correctional facilities can vary widely but are often significantly lower, typically ranging from $3 to $7 per meal. The premium for this Passover meal is likely due to the specialized ingredients, adherence to strict kosher for Passover preparation standards, and potentially smaller production runs. If the 'unit' represents a full meal or a significant portion of meals for an individual, the cost is substantially higher than a standard meal, reflecting the specialized nature and potentially limited vendor pool.

What is the typical duration for contracts of this nature (specialized food items for federal institutions)?

Contracts for specialized food items, especially those with religious or dietary specifications like Passover meals, often have shorter durations compared to general food supply contracts. This particular contract has a duration of 27 days (February 1, 2026, to February 28, 2026). This short timeframe suggests it's intended to cover a specific period, likely the Passover holiday itself or a period immediately surrounding it. Longer-term contracts for such specialized items are less common due to fluctuating demand, potential changes in dietary requirements, and the availability of vendors. The short duration is typical for fulfilling a specific, time-bound need rather than ongoing supply.

What does 'COMPETED UNDER SAP' imply for the level of competition and potential pricing?

'COMPETED UNDER SAP' means the contract was awarded using Simplified Acquisition Procedures. SAP is designed for purchases below a certain dollar threshold (currently $250,000 for most agencies). These procedures allow for less formal solicitation and evaluation processes compared to full and open competition. While agencies are encouraged to promote competition, SAP can sometimes result in fewer bidders and potentially less aggressive pricing than a broad solicitation. For a contract of $23,481.20, SAP is appropriate, but it suggests that the competition might have been limited to a smaller pool of vendors, potentially including those with existing relationships or those responding to specific solicitations not widely advertised.

Are there any known issues or performance concerns with L.A. FOODS, LLC regarding previous federal contracts?

Based on the provided data, there is no information available regarding past performance issues or concerns with L.A. FOODS, LLC. The data includes basic contract details such as award amount, dates, and contractor name, but does not contain historical performance reviews, past performance questionnaires, or records of disputes or terminations. To assess the contractor's track record, one would need to consult federal procurement databases like the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS) for more detailed historical information on this specific vendor.

What is the significance of the contract being a 'PURCHASE ORDER' versus a 'Task Order' or 'Delivery Order'?

A 'PURCHASE ORDER' (PO) is typically used for the acquisition of supplies or services from commercial sources. It is a legally binding document that signifies the buyer's intent to purchase specific goods or services under stated terms and conditions. For a contract value of $23,481.20, a PO is a common instrument, especially when procured under SAP. Unlike task orders or delivery orders, which are usually issued against a pre-existing indefinite-delivery, indefinite-quantity (IDIQ) contract or a basic ordering agreement (BOA), a PO often represents a standalone transaction. This suggests that the Department of Justice may not have had a broader, pre-established contract vehicle specifically for Passover food with L.A. FOODS, LLC, but rather issued this PO for this specific requirement.

Industry Classification

NAICS: Manufacturing › Other Food Manufacturing › Perishable Prepared Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5115 CLARETON DR STE 200, AGOURA HILLS, CA, 91301

Business Categories: Category Business, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,481

Exercised Options: $23,481

Current Obligation: $23,481

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline