DOJ's Bureau of Prisons awards $658K for perishable food, competed under SAP

Contract Overview

Contract Amount: $65,800 ($65.8K)

Contractor: Loffredo Gardens, Inc

Awarding Agency: Department of Justice

Start Date: 2026-04-01

End Date: 2026-06-30

Contract Duration: 90 days

Daily Burn Rate: $731/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 A1 - QUARTERLY BID REQUEST QTR 3

Place of Performance

Location: DES MOINES, POLK County, IOWA, 50321

State: Iowa Government Spending

Plain-Language Summary

Department of Justice obligated $65,800 to LOFFREDO GARDENS, INC for work described as: FY26 A1 - QUARTERLY BID REQUEST QTR 3 Key points: 1. Spending is for perishable prepared food manufacturing. 2. Contract awarded to LOFFREDO GARDENS, INC. 3. Competition method was 'COMPETED UNDER SAP'. 4. The contract is for a 90-day period in FY26 Q3. 5. The total award is $658,000.

Value Assessment

Rating: fair

The award amount of $658,000 for a 90-day period for perishable food seems reasonable given the nature of the goods. Benchmarking against similar contracts for prepared food services in federal facilities would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was 'COMPETED UNDER SAP' (Simplified Acquisition Procedures), indicating competition among a limited number of sources, likely small businesses. This method aims for efficiency but may not yield the lowest possible price compared to full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential food services for federal inmates. The SAP competition method suggests a balance between cost efficiency and timely procurement.

Public Impact

Ensures food supply for federal inmates. Supports a specific vendor for perishable goods. Procurement process impacts inmate welfare and operational continuity.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition due to SAP.
  • Potential for price increases with perishable goods.
  • Short contract duration may lead to frequent re-solicitations.

Positive Signals

  • Timely procurement of essential food items.
  • Supports small business participation if applicable under SAP.

Sector Analysis

The food services sector for federal correctional facilities is critical for inmate welfare and operational stability. Spending benchmarks vary widely based on inmate population, location, and specific dietary needs. This $658K award represents a quarterly need for a specific facility or region.

Small Business Impact

The use of Simplified Acquisition Procedures (SAP) often implies an intent to engage small businesses. However, without specific details on the number of bidders or their size status, it's unclear if small businesses were significantly involved or benefited from this specific award.

Oversight & Accountability

Oversight would involve monitoring the quality and delivery of perishable food items to ensure they meet contract specifications and inmate dietary requirements. The Bureau of Prisons is responsible for ensuring accountability in this procurement.

Related Government Programs

  • Perishable Prepared Food Manufacturing
  • Department of Justice Contracting
  • Federal Prison System / Bureau of Prisons Programs

Risk Flags

  • Potential for price escalation due to perishable nature.
  • Limited competition may not yield best value.
  • Short contract duration requires frequent procurement cycles.
  • Dependence on a single vendor for a critical supply.

Tags

perishable-prepared-food-manufacturing, department-of-justice, ia, purchase-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $65,800 to LOFFREDO GARDENS, INC. FY26 A1 - QUARTERLY BID REQUEST QTR 3

Who is the contractor on this award?

The obligated recipient is LOFFREDO GARDENS, 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 $65,800.

What is the period of performance?

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

What is the historical cost per inmate for similar food services at this facility or comparable facilities?

Determining the historical cost per inmate for similar food services requires access to detailed financial records and operational data from the Bureau of Prisons. This information is typically not publicly available. However, by comparing the total award to the inmate population served during the contract period, a rough per-inmate cost can be estimated, which can then be benchmarked against industry averages or previous contract data if accessible.

What are the specific risks associated with procuring perishable food items under a firm fixed-price contract?

The primary risk with perishable food items under a firm fixed-price contract is potential price volatility in the market. If the cost of raw ingredients or transportation increases significantly after the contract is awarded, the vendor (LOFFREDO GARDENS, INC.) may face reduced profit margins or even losses. Conversely, if prices decrease, the government might be overpaying. Ensuring robust quality control and delivery schedules is also critical to mitigate spoilage and waste.

How effective is the 'COMPETED UNDER SAP' method in ensuring both competitive pricing and timely delivery for essential services like food?

The 'COMPETED UNDER SAP' method is designed for efficiency and speed in acquiring goods and services below certain dollar thresholds, often favoring small businesses. While it can ensure timely delivery, its effectiveness in achieving the most competitive pricing is debatable compared to full and open competition. The limited number of bidders may result in prices that are fair but not necessarily the lowest achievable.

Industry Classification

NAICS: ManufacturingOther Food ManufacturingPerishable Prepared Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4001 SW 63RD ST, DES MOINES, IA, 50321

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

Financial Breakdown

Contract Ceiling: $65,800

Exercised Options: $65,800

Current Obligation: $65,800

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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