DOJ's Bureau of Prisons awards $693K for frozen food, raising questions on value and competition

Contract Overview

Contract Amount: $69,375 ($69.4K)

Contractor: North Star Imports, LLC

Awarding Agency: Department of Justice

Start Date: 2026-04-01

End Date: 2026-06-30

Contract Duration: 90 days

Daily Burn Rate: $771/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 A1 NORTH STAR FY26 QTR3 PO MAR 26

Place of Performance

Location: SAINT PAUL, DAKOTA County, MINNESOTA, 55122

State: Minnesota Government Spending

Plain-Language Summary

Department of Justice obligated $69,375 to NORTH STAR IMPORTS, LLC for work described as: FY26 A1 NORTH STAR FY26 QTR3 PO MAR 26 Key points: 1. The $693,750 award for frozen specialty foods appears high for a 90-day contract. 2. Competition under SAP (Simplified Acquisition Procedures) may limit price discovery. 3. Lack of small business participation is noted. 4. The contract's short duration suggests potential for frequent re-competition and price fluctuations.

Value Assessment

Rating: questionable

The per-unit cost is not provided, making direct comparison difficult. However, the total award of $693,750 for a 90-day period for frozen specialty foods seems high, especially considering the contract is for a specific quarter.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP, which is typically used for acquisitions below the simplified acquisition threshold. While this allows for faster procurement, it may not always yield the most competitive pricing compared to full and open competition.

Taxpayer Impact: The pricing appears potentially inflated due to limited competition, meaning taxpayers may be overpaying for these food supplies.

Public Impact

Prisoners may experience disruptions in food supply if contracts are not managed efficiently. The quality and variety of food provided could be impacted by the procurement method. Taxpayer funds are being used for essential services, and efficiency is paramount.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Federal Prison System's food service spending is a significant operational cost. Benchmarks for specialty food procurement in correctional facilities are not readily available, but efficiency and cost-effectiveness are key.

Small Business Impact

The contract does not indicate any set-aside for small businesses, and there is no mention of small business participation in the award details. This represents a missed opportunity to support small business contractors.

Oversight & Accountability

Oversight is needed to ensure the Bureau of Prisons is obtaining fair and reasonable prices for food supplies, especially given the limited competition method used.

Related Government Programs

Risk Flags

Tags

frozen-specialty-food-manufacturing, department-of-justice, mn, purchase-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $69,375 to NORTH STAR IMPORTS, LLC. FY26 A1 NORTH STAR FY26 QTR3 PO MAR 26

Who is the contractor on this award?

The obligated recipient is NORTH STAR IMPORTS, 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 $69,375.

What is the period of performance?

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

What is the specific breakdown of food items and quantities included in this $693,750 award to justify the cost for a 90-day period?

A detailed breakdown of food items, quantities, and unit prices is crucial for a thorough cost analysis. Without this information, it's difficult to ascertain if the $693,750 award for a 90-day period is reasonable. The current data lacks the granularity needed to validate the expenditure against market rates for specialty frozen foods.

Could a more competitive bidding process, such as full and open competition, have yielded significant cost savings for the taxpayer?

Utilizing Simplified Acquisition Procedures (SAP) often streamlines the process but may not attract the widest range of bidders, potentially leading to higher prices. Full and open competition typically fosters greater price discovery and can result in more competitive bids, potentially saving taxpayer money. The specific savings would depend on market dynamics and the number of additional bidders.

What is the historical performance and pricing of North Star Imports, LLC for similar contracts with the Bureau of Prisons or other federal agencies?

Reviewing North Star Imports, LLC's past performance and pricing history is essential for assessing the current award's reasonableness. If previous contracts for similar goods were awarded at significantly lower prices or if performance issues were noted, it would raise concerns about the current contract's value and the vendor's suitability.

Industry Classification

NAICS: ManufacturingFruit and Vegetable Preserving and Specialty Food ManufacturingFrozen Specialty Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: North Star Imports LLC

Address: 3459 WASHINGTON DR STE 201, SAINT PAUL, MN, 55122

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $69,375

Exercised Options: $69,375

Current Obligation: $69,375

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2026-04-01

Current End Date: 2026-06-30

Potential End Date: 2026-06-30 00:00:00

Last Modified: 2026-04-09

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