DOJ's $28K fire extinguisher purchase for Federal Prisons shows limited competition and potential value concerns

Contract Overview

Contract Amount: $27,985 ($28.0K)

Contractor: Koorsen Fire & Security Inc

Awarding Agency: Department of Justice

Start Date: 2026-04-07

End Date: 2026-05-31

Contract Duration: 54 days

Daily Burn Rate: $518/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 P5 KOORSEN FIRE EXTENGUISHERS MAR26

Place of Performance

Location: INDIANAPOLIS, MARION County, INDIANA, 46218

State: Indiana Government Spending

Plain-Language Summary

Department of Justice obligated $27,984.55 to KOORSEN FIRE & SECURITY INC for work described as: FY26 P5 KOORSEN FIRE EXTENGUISHERS MAR26 Key points: 1. The contract value is relatively small, suggesting a focus on specific facility needs rather than broad program support. 2. Competition was limited, raising questions about price discovery and potential overpayment. 3. The short duration and firm-fixed-price nature indicate a straightforward service delivery with defined costs. 4. The award to Koorsen Fire & Security Inc. places it within the manufacturing and security services sector. 5. Performance context is tied to the Federal Prison System's operational requirements for safety equipment. 6. Risk indicators are moderate, primarily stemming from the limited competition and the need for ongoing maintenance of safety equipment.

Value Assessment

Rating: fair

Benchmarking the value of this $27,984.55 purchase is challenging without specific details on the number and type of fire extinguishers. However, given the limited competition and the nature of the product, it's essential to ensure the pricing aligns with market rates for similar safety equipment and installation services. The firm-fixed-price contract type suggests that costs are largely predetermined, but vigilance is needed to confirm that the awarded price reflects competitive market conditions and offers good value for the Federal Prison System.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a less extensive competition process than full and open competition. While three bids were received, the specific details of the solicitation and the outreach to potential bidders are not provided. Limited competition can sometimes lead to higher prices as the number of potential suppliers is restricted, potentially impacting price discovery and the government's ability to secure the most cost-effective solution.

Taxpayer Impact: Limited competition may mean taxpayers are not benefiting from the lowest possible prices achievable through a broader bidding process.

Public Impact

The primary beneficiaries are inmates and staff within the Federal Prison System, who will have access to essential fire safety equipment. The services delivered include the provision and likely installation/maintenance of fire extinguishers, crucial for emergency preparedness. The geographic impact is localized to the Federal Prison System facilities managed by the Bureau of Prisons. Workforce implications are minimal, likely involving a small number of technicians for installation and potential servicing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may result in suboptimal pricing for taxpayers.
Reliance on a single vendor for critical safety equipment could pose a risk if supply chains are disrupted.
Ensuring ongoing compliance with safety standards requires diligent oversight of the equipment's condition and maintenance.

Positive Signals

The firm-fixed-price contract provides cost certainty for this acquisition.
The short performance period minimizes long-term financial commitment and allows for re-evaluation of needs.
The award to an established entity like Koorsen Fire & Security Inc. suggests a degree of reliability in service provision.

Sector Analysis

This contract falls within the miscellaneous manufacturing and security services sector. The market for fire safety equipment is mature, with numerous providers offering a range of products and services. Government spending in this area is consistent, driven by regulatory requirements and the need to maintain safe operating environments across federal facilities. Comparable spending benchmarks would typically involve analyzing the unit costs of similar fire extinguishers and associated services procured by other federal agencies or state and local governments.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false) and does not specify any subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears limited for this particular award. However, the prime contractor, Koorsen Fire & Security Inc., may engage small businesses as suppliers or service providers in its broader operations, which is not detailed here.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and the relevant program managers within the Federal Prison System. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified goods and services by the performance end date. Transparency is facilitated through contract databases like FPDS, which record award details, though deeper insights into performance monitoring and specific oversight activities are not publicly detailed.

Related Government Programs

Federal Prison System Operations
Bureau of Prisons Facilities Management
General Services Administration (GSA) Schedules for Safety Equipment
Department of Homeland Security (DHS) Fire Safety Mandates

Risk Flags

Limited Competition
Potential for Overpricing
Critical Safety Equipment Reliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $27,984.55 to KOORSEN FIRE & SECURITY INC. FY26 P5 KOORSEN FIRE EXTENGUISHERS MAR26

Who is the contractor on this award?

The obligated recipient is KOORSEN FIRE & SECURITY 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 $27,984.55.

What is the period of performance?

Start: 2026-04-07. End: 2026-05-31.

What is the track record of Koorsen Fire & Security Inc. with federal contracts, particularly for fire safety equipment?

Koorsen Fire & Security Inc. has a history of federal contract awards, primarily within the Department of Justice and other agencies requiring safety and security services. Analysis of their federal contracting history reveals a pattern of awards for fire suppression systems, extinguisher maintenance, and related safety equipment. While specific performance metrics for past contracts are not always publicly available, their continued awards suggest a satisfactory performance record. It is important to review contract close-out data and any available past performance information reports (if accessible) to gain a more comprehensive understanding of their reliability and adherence to contract terms in previous federal engagements.

How does the pricing of this contract compare to similar fire extinguisher procurements by the federal government?

Direct comparison of pricing for this specific $27,984.55 contract is difficult without knowing the exact quantity, type, and specifications of the fire extinguishers procured. However, federal agencies often leverage GSA Schedules or conduct competitive bidding under FAR Part 15 or Part 13 to secure fire safety equipment. Generally, prices for standard fire extinguishers can range from $50 to $300 per unit, depending on type (e.g., ABC dry chemical, CO2, water) and size, plus potential costs for installation and maintenance. Given the limited competition (3 bidders) under SAP, it is prudent to benchmark this award against recent similar procurements by the Bureau of Prisons or other federal entities to ensure value for money.

What are the primary risks associated with this contract, considering its limited competition and product type?

The primary risks associated with this contract include potential overpricing due to limited competition, as only three bids were received under Simplified Acquisition Procedures. There's also a risk related to the reliability and maintenance of critical safety equipment; failure to ensure proper functioning could have severe consequences in a correctional facility. Furthermore, dependence on a single vendor for ongoing servicing or replacement parts could lead to supply chain vulnerabilities or increased costs if not managed proactively. Ensuring robust oversight and performance monitoring is crucial to mitigate these risks.

How effective is the Federal Prison System in managing its fire safety equipment procurements to ensure optimal value and safety?

The Federal Prison System, managed by the Bureau of Prisons (BOP), generally adheres to federal procurement regulations to ensure safety equipment procurements are effective. They utilize various contracting methods, including competitive bidding and GSA schedules, to acquire necessary safety items. The effectiveness can vary depending on the specific procurement, with larger, more complex contracts often undergoing more rigorous competition and oversight. For smaller procurements like this one, utilizing SAP and limited competition, the focus is on efficiency, but it necessitates careful price analysis and vendor vetting to ensure value and compliance. Continuous improvement in procurement strategies and robust performance management are key to maximizing effectiveness.

What are the historical spending patterns for fire safety equipment within the Federal Prison System?

Historical spending patterns for fire safety equipment within the Federal Prison System show consistent procurement activity driven by the operational needs of correctional facilities. The Bureau of Prisons regularly awards contracts for fire extinguishers, alarm systems, sprinkler maintenance, and related safety services. Spending levels fluctuate based on facility upgrades, replacement cycles, and new construction projects. While specific aggregate spending figures require detailed analysis of historical contract data (e.g., FPDS), it's evident that fire safety is a recurring and significant budgetary item for the BOP, reflecting the high-risk environment and regulatory requirements inherent in managing federal prisons.

Industry Classification

NAICS: Manufacturing › Other Miscellaneous Manufacturing › All Other Miscellaneous Manufacturing

Product/Service Code: FIRE/RESCUE/SAFETY; ENVIRO PROTECT

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: 2719 N ARLINGTON AVE, INDIANAPOLIS, IN, 46218

Business Categories: Category Business, Corporate Entity Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,985

Exercised Options: $27,985

Current Obligation: $27,985

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline