Justice Department awards $49K for subsistence, highlighting perishable food needs for federal prisons

Contract Overview

Contract Amount: $49,114 ($49.1K)

Contractor: H Schrier & CO Inc

Awarding Agency: Department of Justice

Start Date: 2026-04-01

End Date: 2026-06-30

Contract Duration: 90 days

Daily Burn Rate: $546/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 24

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 A1 TBD Q3 SUBSISTENCE APR 26

Place of Performance

Location: BROOKLYN, KINGS County, NEW YORK, 11234

State: New York Government Spending

Plain-Language Summary

Department of Justice obligated $49,113.96 to H SCHRIER & CO INC for work described as: FY26 A1 TBD Q3 SUBSISTENCE APR 26 Key points: 1. Contract value is modest, suggesting a focus on specific, short-term needs rather than large-scale procurement. 2. Competition under SAP indicates a streamlined process for smaller value procurements, potentially impacting price competitiveness. 3. The firm fixed-price structure shifts risk to the contractor, ensuring cost certainty for the government. 4. This award falls within the broader category of correctional facility support services. 5. The short duration of the contract points to immediate or seasonal demand for these goods.

Value Assessment

Rating: fair

The contract value of approximately $49,114 for a 90-day period for subsistence supplies appears reasonable for a specific need within a federal prison system. Benchmarking against similar contracts for perishable prepared foods in correctional settings would provide a clearer picture of value for money. However, without more granular data on the specific items and quantities, a definitive assessment of pricing efficiency is challenging. The firm fixed-price nature offers cost predictability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), which is typically used for procurements valued below the threshold for full and open competition. While this indicates some level of competition, the specific number of bidders is not provided. SAP can lead to more efficient processing but may not always yield the same breadth of competition as larger-scale procurements, potentially impacting the lowest achievable price.

Taxpayer Impact: Competition under SAP aims to balance efficiency with fair pricing. For taxpayers, this means the government likely received competitive bids, but the full potential savings from extensive market outreach might be limited compared to larger contract vehicles.

Public Impact

Inmates within the Federal Prison System will benefit from the provision of prepared food supplies. The services delivered include the manufacturing and supply of perishable prepared food. The geographic impact is localized to the facilities served by the Bureau of Prisons in New York. This contract supports the operational needs of correctional institutions, ensuring basic necessities are met.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price fluctuations in perishable goods markets impacting contractor margins or future pricing.
Ensuring consistent quality and safety standards for food supplied to correctional facilities is critical.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Competition under SAP suggests an effort to obtain value for money on this specific procurement.
Short contract duration allows for flexibility in adapting to changing needs or market conditions.

Sector Analysis

The federal government is a significant purchaser of food and subsistence supplies for its various institutions, including correctional facilities. The market for perishable prepared foods is diverse, with many suppliers capable of meeting specific dietary and logistical requirements. This contract, though relatively small in dollar value, represents a component of the broader federal spending on inmate welfare and operational support within the Justice Department's Bureau of Prisons.

Small Business Impact

Information regarding small business set-asides or subcontracting plans is not explicitly detailed for this award. As a competed contract under SAP, there may have been opportunities for small businesses to participate, but the extent of their involvement or any specific set-aside provisions is not clear from the provided data. Further analysis would be needed to determine the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Bureau of Prisons (BOP) within the Department of Justice. Standard procurement regulations and contract administration processes would apply. Transparency is generally maintained through contract award databases, though specific performance monitoring details are typically internal. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Prison System Food Services
Bureau of Prisons Commissary Operations
Department of Justice Procurement

Risk Flags

Perishable goods require strict supply chain management.
Potential for price volatility in food markets.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $49,113.96 to H SCHRIER & CO INC. FY26 A1 TBD Q3 SUBSISTENCE APR 26

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 $49,113.96.

What is the period of performance?

Start: 2026-04-01. End: 2026-06-30.

What is the typical cost range for subsistence supplies for federal correctional facilities of similar size and duration?

Determining the typical cost range for subsistence supplies for federal correctional facilities requires detailed analysis of contract data specific to the Bureau of Prisons (BOP). Factors such as the number of inmates served, the specific types of food items procured (fresh, frozen, shelf-stable), and the geographic location significantly influence costs. Contracts for perishable prepared foods, like the one awarded to H Schrier & Co Inc, are often for shorter durations and may have higher per-unit costs compared to bulk commodity purchases due to preparation and delivery logistics. Without access to a comprehensive database of BOP subsistence contracts, including quantities, itemized costs, and facility details, providing a precise cost range is difficult. However, general market data suggests that food service contracts for correctional institutions can range from tens of thousands to millions of dollars annually, depending on scale.

How does the firm fixed-price (FFP) structure impact the risk and potential cost savings for the government in this contract?

A Firm Fixed-Price (FFP) contract structure, like the one used for this subsistence award, places the primary risk of cost overruns on the contractor (H Schrier & Co Inc). This means the contractor is obligated to complete the work for the agreed-upon price, regardless of their actual costs. For the government, this offers significant cost certainty and predictability, as the final price is known upfront. This structure is generally favored when the scope of work is well-defined and the risks are manageable by the contractor. Potential cost savings for the government arise from the contractor's incentive to manage their own costs efficiently to maximize profit. However, if the contractor underestimated costs or faces unforeseen price increases, they bear the loss, which could potentially lead to less competitive bidding in the future if contractors perceive higher risks.

What are the implications of competing this contract under Simplified Acquisition Procedures (SAP)?

Competing this contract under Simplified Acquisition Procedures (SAP) implies that the procurement value was likely below the statutory threshold for full and open competition (typically $250,000, though this can vary). SAP is designed to streamline the acquisition process for smaller purchases, making it faster and less administratively burdensome. This can lead to quicker delivery of goods and services. While SAP encourages competition, the pool of potential bidders might be smaller than for larger, more formally competed contracts. The specific number of bidders and the method of solicitation (e.g., RFQ, GSA Advantage) under SAP would determine the extent of price discovery. For taxpayers, SAP aims to balance efficiency with achieving fair and reasonable prices, but it may not always yield the absolute lowest price achievable through extensive market research and broad competition.

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

To assess the track record of H Schrier & Co Inc, a review of federal procurement databases such as SAM.gov (System for Award Management) and FPDS (Federal Procurement Data System) would be necessary. These databases contain historical contract award data, including information on past performance, contract values, agencies served, and contract types. Without direct access to this data for H Schrier & Co Inc, it's impossible to definitively state their track record. However, agencies typically consider past performance as a key factor in source selection. If this is a recurring contract, it suggests satisfactory performance on previous awards. If it's a new award, the agency would have evaluated their capabilities and capacity to meet the requirements.

How does the geographic location (New York) influence the cost and logistics of delivering perishable subsistence supplies?

The geographic location of New York for H Schrier & Co Inc can influence both the cost and logistics of delivering perishable subsistence supplies to federal correctional facilities. New York is a major metropolitan area with a robust transportation infrastructure, which can facilitate efficient delivery. However, it also has a higher cost of doing business, including labor, real estate, and transportation fuel costs, compared to less urbanized areas. For perishable goods, proximity to the delivery point is crucial to maintain freshness and minimize spoilage, thereby reducing waste and ensuring quality. The specific location of the federal prison facilities being served within New York would further impact delivery routes, times, and associated transportation costs. The contract's duration (90 days) suggests the need for timely and reliable delivery within this specific timeframe.

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: 24

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: $49,114

Exercised Options: $49,114

Current Obligation: $49,114

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline