DOJ's $15.9M food contract with L.A. Foods, LLC for federal prisons shows competitive sourcing

Contract Overview

Contract Amount: $15,932 ($15.9K)

Contractor: L.A. Foods, LLC

Awarding Agency: Department of Justice

Start Date: 2026-04-01

End Date: 2026-04-30

Contract Duration: 29 days

Daily Burn Rate: $549/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 A1 LA FOODS HALAL QTR 3

Place of Performance

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

State: California Government Spending

Plain-Language Summary

Department of Justice obligated $15,931.84 to L.A. FOODS, LLC for work described as: FY26 A1 LA FOODS HALAL QTR 3 Key points: 1. The contract value appears reasonable for a one-month supply of specialized food items. 2. Competition dynamics indicate a standard procurement process was followed. 3. Risk indicators are low given the short duration and established contractor. 4. Performance context suggests routine supply chain operations for correctional facilities. 5. Sector positioning places this within the broader federal food service and logistics market.

Value Assessment

Rating: good

The contract value of $15.9 million for a single month's supply of Halal food for the Federal Prison System is substantial. Benchmarking against similar contracts for correctional facility food services is challenging without more specific itemization. However, given the specialized nature (Halal) and the volume required for federal prisons, the pricing appears to be within a plausible range, assuming efficient sourcing and distribution by L.A. Foods, LLC.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under Simplified Acquisition Procedures (SAP), suggesting it was likely solicited through publicly available sources or established vendor lists for smaller dollar value procurements. The presence of 3 bidders indicates a degree of competition, which is positive for price discovery. However, the specific details of the solicitation and evaluation process are not provided, making a full assessment of competition level difficult.

Taxpayer Impact: The competitive nature, even under SAP, suggests that taxpayers benefited from multiple offers, likely leading to a more favorable price than a sole-source award.

Public Impact

Inmates within the Federal Prison System will receive Halal-certified food products. The contract supports the dietary and religious requirements of a specific inmate population. Geographic impact is primarily within California, where the contractor is based, and potentially at federal correctional facilities receiving the supplies. Workforce implications include jobs at L.A. Foods, LLC for procurement, logistics, and food preparation/packaging.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions if L.A. Foods, LLC faces unforeseen operational issues.
Ensuring consistent quality and adherence to Halal certification standards requires ongoing monitoring.
Dependence on a single contractor for a critical supply item could pose a risk if alternatives are not readily available.

Positive Signals

The contract is awarded to a specific company, L.A. Foods, LLC, indicating a known entity.
The short duration (one month) limits long-term exposure to potential contractor performance issues.
Competition under SAP suggests a structured procurement process was followed.

Sector Analysis

The federal food service and logistics sector involves significant government spending to support various agencies, including correctional facilities. This contract falls within the broader category of miscellaneous food manufacturing and supply, serving a niche but essential requirement for the Bureau of Prisons. Comparable spending benchmarks are difficult to establish without detailed breakdowns of food items and quantities, but the overall federal expenditure on food services for inmates is substantial.

Small Business Impact

The data indicates this contract was 'COMPETED UNDER SAP' and the 'sb' (small business) flag is false. This suggests that while the procurement method might allow for small business participation, this specific award was not set aside for small businesses, nor was the primary awardee identified as a small business. Further analysis would be needed to determine if subcontracting opportunities were mandated or pursued for small businesses within the supply chain.

Oversight & Accountability

Oversight for this contract would primarily fall under the Bureau of Prisons (BOP) contracting officers and program managers. They are responsible for ensuring compliance with contract terms, quality standards, and delivery schedules. Transparency is facilitated through federal procurement databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

Federal Prison System Food Services
Bureau of Prisons Commissary Operations
Department of Justice Procurement
Halal Food Supply Contracts
Correctional Facility Food Management

Risk Flags

Potential for supply chain disruption
Ensuring consistent Halal certification adherence
Price escalation risk in future renewals

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $15,931.84 to L.A. FOODS, LLC. FY26 A1 LA FOODS HALAL QTR 3

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 $15,931.84.

What is the period of performance?

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

What is the historical spending pattern for Halal food supplies within the Federal Prison System?

Analyzing historical spending patterns for Halal food supplies within the Federal Prison System requires accessing and aggregating data from previous contract awards. This would involve searching procurement databases for contracts specifically for Halal food items awarded to various vendors over multiple fiscal years. Key metrics to examine would include the total annual expenditure, the number of contracts awarded, the average contract value, and the primary contractors. Understanding these trends can reveal fluctuations in demand, changes in pricing, and the evolution of the supplier landscape. For instance, an increasing trend in spending might indicate a growing inmate population requiring Halal meals or a broader policy shift towards accommodating diverse dietary needs. Conversely, a decrease could signal changes in procurement strategies or a reduction in the need for such specialized food items.

How does the per-unit cost of food items in this contract compare to market rates for similar products?

Determining the per-unit cost comparison requires a detailed breakdown of the food items included in the $15.9 million contract and their respective quantities. Without this granular data, a precise per-unit cost benchmark against market rates is not feasible. However, if such a breakdown were available, analysts could compare the unit prices of specific items (e.g., per pound of meat, per case of canned goods) to wholesale or retail market prices for Halal-certified products. Factors such as bulk purchasing discounts, specialized packaging, and expedited delivery requirements for federal facilities could influence these costs. A significant deviation from market rates, after accounting for these factors, might warrant further investigation into the pricing structure and potential value for money.

What is the track record of L.A. Foods, LLC in fulfilling federal contracts, particularly for correctional facilities?

Assessing the track record of L.A. Foods, LLC involves reviewing their past performance on federal contracts, especially those involving food supplies for correctional institutions. This would entail examining contract databases for previous awards to the company, noting the agencies involved, contract values, durations, and any reported performance issues or successes. Key indicators of a strong track record include consistent on-time delivery, adherence to quality specifications (including Halal certification), and a history of positive performance evaluations. Conversely, a history of contract terminations, disputes, or documented performance deficiencies would raise concerns. Understanding their experience with the unique logistical and security demands of federal prisons is crucial for evaluating their reliability in fulfilling this current contract.

What are the potential risks associated with relying on a single contractor for Halal food supplies for federal prisons?

Relying on a single contractor, L.A. Foods, LLC, for Halal food supplies for federal prisons presents several potential risks. Foremost is the risk of supply chain disruption; if the contractor experiences operational issues, natural disasters, or labor disputes, the consistent provision of essential food items could be jeopardized, impacting inmate welfare and facility operations. There's also a risk related to quality control; ensuring that all delivered products consistently meet stringent Halal certification standards and nutritional requirements necessitates robust oversight. Furthermore, a lack of competition for future contract renewals could lead to price escalations, diminishing the value for taxpayers. The government's leverage in negotiating terms or addressing performance issues may also be reduced when dependent on a sole provider.

How does the procurement method (SAP) for this contract influence the overall cost-effectiveness for the government?

Procuring under Simplified Acquisition Procedures (SAP) for contracts valued below the federal micro-purchase threshold (typically $10,000) or for specific categories up to $250,000, is intended to streamline the acquisition process and reduce administrative burden. For this $15.9 million contract, it's noted as 'COMPETED UNDER SAP', which suggests it falls within the higher end of SAP thresholds or that the agency is utilizing SAP flexibilities. While SAP can lead to faster award times and lower transaction costs compared to full and open competition, it may not always yield the lowest possible price due to potentially limited market research or fewer bidders. The cost-effectiveness hinges on whether the competition achieved under SAP was sufficient to drive competitive pricing, balanced against the savings in procurement process costs.

Industry Classification

NAICS: Manufacturing › Other Food Manufacturing › All Other Miscellaneous 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, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,932

Exercised Options: $15,932

Current Obligation: $15,932

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline