Treasury's IRS awards $3,330 for 5-day electronic equipment rental to Prolumina LLC

Contract Overview

Contract Amount: $3,330 ($3.3K)

Contractor: Prolumina LLC

Awarding Agency: Department of the Treasury

Start Date: 2026-04-10

End Date: 2026-04-15

Contract Duration: 5 days

Daily Burn Rate: $666/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ELECTRONIC EQUIPMENT RENTAL. PERIOD OF PERFORMANCE IS FROM APRIL 10, 2026 TO APRIL 15, 2026.

Place of Performance

Location: SEATTLE, KING County, WASHINGTON, 98104

State: Washington Government Spending

Plain-Language Summary

Department of the Treasury obligated $3,330 to PROLUMINA LLC for work described as: ELECTRONIC EQUIPMENT RENTAL. PERIOD OF PERFORMANCE IS FROM APRIL 10, 2026 TO APRIL 15, 2026. Key points: 1. Value for money appears questionable given the short duration and high cost per day. 2. Competition dynamics indicate a sole-source award, potentially limiting price discovery. 3. Risk indicators include a very short performance period and a single vendor award. 4. Performance context is limited to a 5-day rental period for electronic equipment. 5. Sector positioning is within administrative and support services for the IRS.

Value Assessment

Rating: questionable

The contract's value is difficult to assess due to the extremely short 5-day rental period. The total award of $3,330 equates to $666 per day, which seems high for electronic equipment rental without further context on the specific equipment. Benchmarking against similar short-term rentals is challenging due to the limited data available.

Cost Per Unit: $666 per day

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. This limits the opportunity for multiple vendors to bid, which can lead to less competitive pricing. The absence of competition means the government did not explore alternative vendors or pricing structures.

Taxpayer Impact: Sole-source awards can result in higher costs for taxpayers as there is no competitive pressure to drive down prices.

Public Impact

The Internal Revenue Service (IRS) is the direct beneficiary of this contract. The service delivered is the rental of electronic equipment for a brief period. The geographic impact is likely localized to the Washington D.C. area where the IRS operates. There are no significant workforce implications associated with this short-term rental.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

High daily rental cost for electronic equipment.
Lack of competitive bidding raises concerns about price reasonableness.
Very short performance period may indicate urgent, unplanned needs or poor planning.

Positive Signals

Awarded to a single vendor, potentially simplifying the procurement process.
Clear identification of the vendor and the service provided.

Sector Analysis

This contract falls under the broader category of professional, scientific, and technical services, specifically related to administrative support. The market for electronic equipment rental is diverse, but this specific award is a small transaction within the vast federal procurement landscape. Comparable spending benchmarks for short-term, specialized equipment rentals are difficult to establish without more detail on the equipment itself.

Small Business Impact

This contract was not set aside for small businesses and was awarded sole-source. There is no indication of subcontracting opportunities for small businesses. The impact on the small business ecosystem is negligible given the nature and size of this award.

Oversight & Accountability

Oversight for this purchase order would typically fall under the Department of the Treasury's internal procurement policies and the IRS's administrative controls. As a sole-source award, it may receive less scrutiny than a competed contract. Transparency is limited due to the lack of public justification for the sole-source nature of the award.

Related Government Programs

General Services Administration (GSA) Federal Supply Schedule (FSS) contracts for equipment rental
IRS administrative support contracts
IT equipment procurement and rental

Risk Flags

Sole-source award without clear justification
High daily rental cost per unit
Extremely short performance period

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $3,330 to PROLUMINA LLC. ELECTRONIC EQUIPMENT RENTAL. PERIOD OF PERFORMANCE IS FROM APRIL 10, 2026 TO APRIL 15, 2026.

Who is the contractor on this award?

The obligated recipient is PROLUMINA LLC.

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Internal Revenue Service).

What is the total obligated amount?

The obligated amount is $3,330.

What is the period of performance?

Start: 2026-04-10. End: 2026-04-15.

What specific electronic equipment was rented, and why was it needed for such a short duration?

The provided data does not specify the exact type of electronic equipment rented. The short 5-day performance period (April 10, 2026, to April 15, 2026) suggests a temporary need, possibly for a specific event, project, or to cover a short-term equipment failure. Without further details from the contracting agency (IRS), it is impossible to determine the precise equipment or the exact reason for the limited duration. This lack of specificity makes it difficult to fully assess the necessity and value of the expenditure.

What is the justification for awarding this contract sole-source to Prolumina LLC?

The data indicates the contract was 'NOT COMPETED,' signifying a sole-source award. Federal procurement regulations allow for sole-source awards under specific circumstances, such as when only one vendor can provide the required goods or services, or in cases of urgent and compelling need where competition is not feasible. However, the provided data does not include the specific justification cited by the Department of the Treasury's IRS for this sole-source award. A thorough review would require access to the justification documentation (e.g., a Justification and Approval document) to understand why competition was deemed impractical or impossible in this instance.

How does the daily rental cost of $666 compare to market rates for similar electronic equipment rentals?

The daily rental cost of $666 for electronic equipment is difficult to benchmark without knowing the specific type of equipment. If this pertains to standard office electronics like laptops or printers, this rate would likely be considered very high. However, if the rental involves specialized, high-end, or mission-critical electronic equipment (e.g., advanced servers, specialized testing apparatus, high-capacity broadcasting gear), the daily rate might be within a reasonable market range. The absence of detailed equipment specifications in the provided data prevents a definitive market comparison.

What is Prolumina LLC's track record with federal contracts, particularly with the IRS?

The provided data identifies Prolumina LLC as the contractor but does not offer details on their past performance or track record with federal agencies, including the IRS. To assess their reliability and experience, one would need to consult federal procurement databases (like SAM.gov or FPDS) for a history of their contract awards, performance evaluations, and any reported issues. Without this historical data, it's challenging to evaluate Prolumina LLC's suitability beyond the basic information of this single award.

What are the potential risks associated with a sole-source award for essential electronic equipment?

Sole-source awards for essential electronic equipment carry several risks. Primarily, the lack of competition can lead to inflated prices, meaning taxpayers may be overpaying for the equipment. It also reduces the government's leverage in negotiating terms and conditions. Furthermore, relying on a single vendor can create supply chain vulnerabilities; if Prolumina LLC fails to deliver or experiences issues, the IRS may have limited recourse or alternative options, potentially disrupting operations. This also bypasses opportunities to discover innovative solutions or better-value offerings from other potential suppliers.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Legal Services › All Other Legal Services

Product/Service Code: QUALITY CONTROL, TEST, INSPECTION › EQUIPMENT AND MATERIALS TESTING

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2408 55TH AVE SW, SEATTLE, WA, 98116

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

Financial Breakdown

Contract Ceiling: $3,330

Exercised Options: $3,330

Current Obligation: $3,330

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline