DOJ's $127K milk contract for Federal Prison System awarded to M & B Products, Inc

Contract Overview

Contract Amount: $127,429 ($127.4K)

Contractor: M & B Products, Inc.

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2025-12-31

Contract Duration: 91 days

Daily Burn Rate: $1.4K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 27

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DAIRY, MILK, PASTEURIZED, NONFAT, SKIM, OR FAT FREE, NO FLAVOR. (CID A-A-20338A, GROUP I, TYPE D, FLAVOR 5 - NO FLAVOR, PACKAGING SIZE C OR D, AGRICULTURAL PRACTICE (1). 1/2 PINT CONTAINERS.

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33637

State: Florida Government Spending

Plain-Language Summary

Department of Justice obligated $127,429.44 to M & B PRODUCTS, INC. for work described as: DAIRY, MILK, PASTEURIZED, NONFAT, SKIM, OR FAT FREE, NO FLAVOR. (CID A-A-20338A, GROUP I, TYPE D, FLAVOR 5 - NO FLAVOR, PACKAGING SIZE C OR D, AGRICULTURAL PRACTICE (1). 1/2 PINT CONTAINERS. Key points: 1. Value for money assessed through firm fixed price contract for essential dairy products. 2. Competition dynamics indicate a competed award under Simplified Acquisition Procedures. 3. Risk indicators include standard supply chain considerations for perishable goods. 4. Performance context is within the Federal Prison System's need for inmate sustenance. 5. Sector positioning is within the food manufacturing and distribution industry supporting government operations.

Value Assessment

Rating: good

The contract value of $127,429.44 for fluid milk manufacturing appears reasonable given the duration and quantity implied by the 27 purchase orders. Benchmarking against similar contracts for dairy products within correctional facilities would provide a more precise value assessment. The firm fixed price structure helps manage cost certainty for the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), suggesting a competitive process for awards below the threshold for full and open competition. While the exact number of bidders is not specified, SAP generally encourages multiple offers, leading to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: Competition under SAP helps ensure taxpayer funds are used efficiently by fostering a market-driven price for essential goods like milk.

Public Impact

Inmates within the Federal Prison System in Florida will benefit from the supply of pasteurized nonfat milk. The service delivered is the provision of essential dairy products for daily consumption. Geographic impact is focused on facilities within Florida. Workforce implications include employment at M & B Products, Inc. and potentially their suppliers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions affecting perishable goods.
Ensuring consistent quality and freshness of milk products over the contract period.

Positive Signals

Firm fixed price contract provides cost predictability.
Award to an established company suggests operational capacity.
Competition under SAP likely resulted in a fair market price.

Sector Analysis

This contract falls within the broader food manufacturing and distribution sector, specifically focusing on dairy products. The market for supplying correctional facilities is a niche but significant segment, often characterized by requirements for bulk purchasing and consistent delivery. Comparable spending benchmarks would involve analyzing other federal or state correctional system contracts for similar food items.

Small Business Impact

There is no indication of a small business set-aside for this contract, nor are there explicit subcontracting requirements mentioned. The award to M & B Products, Inc. does not preclude them from utilizing small businesses in their supply chain, but it is not a mandated component of this specific award.

Oversight & Accountability

Oversight is managed by the Department of Justice's Federal Prison System. Accountability measures are embedded in the purchase order terms, including delivery schedules and product specifications. Transparency is facilitated through federal contract databases where this award is recorded. Inspector General jurisdiction would apply in cases of fraud or significant mismanagement.

Related Government Programs

Federal Prison System Food Services
Department of Justice Commissary Operations
Dairy Product Procurement Contracts

Risk Flags

Supply Chain Vulnerability
Perishability of Goods
Timeliness of Delivery

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $127,429.44 to M & B PRODUCTS, INC.. DAIRY, MILK, PASTEURIZED, NONFAT, SKIM, OR FAT FREE, NO FLAVOR. (CID A-A-20338A, GROUP I, TYPE D, FLAVOR 5 - NO FLAVOR, PACKAGING SIZE C OR D, AGRICULTURAL PRACTICE (1). 1/2 PINT CONTAINERS.

Who is the contractor on this award?

The obligated recipient is M & B PRODUCTS, 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 $127,429.44.

What is the period of performance?

Start: 2025-10-01. End: 2025-12-31.

What is the historical spending pattern for dairy products by the Federal Prison System?

Analyzing historical spending for dairy products by the Federal Prison System requires access to detailed procurement data over multiple fiscal years. Typically, such spending would fluctuate based on inmate population, dietary guidelines, and prevailing market prices for dairy. Contracts for fluid milk, cheese, and other dairy items are common to meet nutritional requirements. A review of past solicitations and awards would reveal trends in contract values, awarded vendors, and the types of dairy products procured. For instance, shifts in packaging requirements (e.g., from bulk to individual servings) or changes in nutritional standards could influence spending patterns. Without specific historical data, it's difficult to provide precise figures, but it's reasonable to assume consistent, substantial spending on dairy to support inmate nutrition.

How does the unit price of this milk contract compare to commercial market rates?

Comparing the unit price of milk in this contract to commercial market rates is challenging without knowing the exact volume and specific product details (e.g., fat content, packaging). However, federal contracts often leverage bulk purchasing power, which can lead to lower unit prices than retail. Conversely, the logistical complexities and specific requirements of government procurement can sometimes increase costs. For a 1/2 pint container of skim or fat-free milk, commercial prices can range significantly. If this contract averages out to a price substantially below typical wholesale or institutional pricing, it suggests good value. If it's higher, further investigation into the specific needs and logistical challenges faced by the Federal Prison System would be warranted.

What is M & B Products, Inc.'s track record with federal contracts, particularly for food supplies?

M & B Products, Inc. has a history of receiving federal contracts, including those related to food supplies. A review of their contract history within federal procurement databases would reveal the types of goods and services they have provided, the agencies they have served, and their performance ratings, if available. Their ability to secure this current contract with the Department of Justice's Federal Prison System suggests a satisfactory performance record or at least compliance with procurement regulations. Further due diligence would involve examining past performance evaluations and any reported issues or disputes on previous federal awards to assess their reliability and experience in meeting government requirements.

What are the primary risks associated with supplying perishable goods like milk to correctional facilities?

The primary risks associated with supplying perishable goods like milk to correctional facilities revolve around maintaining the cold chain and ensuring timely delivery. Disruptions in transportation, refrigeration failures at the facility, or unexpected surges in demand could lead to spoilage and shortages. Furthermore, meeting the stringent quality and safety standards required for food served to inmates is critical; any lapse could have public health implications and lead to contract penalties. The short shelf-life of milk also necessitates precise inventory management to minimize waste. For the contractor, managing these logistical challenges while adhering to delivery schedules and product specifications represents a significant operational risk.

How does the duration and value of this contract align with typical federal procurements for similar items?

This contract, valued at approximately $127,429.44 and spanning 91 days (from October 1, 2025, to December 31, 2025), falls into the category of a smaller, short-term procurement, likely utilizing Simplified Acquisition Procedures (SAP). Typical federal procurements for essential food items like milk can vary widely in duration and value. Longer-term, larger-volume contracts might extend for one to five years with significantly higher total values, often awarded through more extensive competitive processes. Shorter durations like this one are common for immediate needs, specific project phases, or when market prices are volatile, allowing for more frequent re-competition. The value is consistent with procurements for specific facilities or regions rather than system-wide contracts.

Industry Classification

NAICS: Manufacturing › Dairy Product Manufacturing › Fluid Milk Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 1200038

Offers Received: 27

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8601 HARNEY RD, TAMPA, FL, 33637

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

Financial Breakdown

Contract Ceiling: $127,429

Exercised Options: $127,429

Current Obligation: $127,429

Actual Outlays: $127,917

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline