Treasury's IRS awards $779K for roll paper, highlighting stationery needs for tax season operations

Contract Overview

Contract Amount: $779,488 ($779.5K)

Contractor: Flatwater Professional Services Company

Awarding Agency: Department of the Treasury

Start Date: 2026-04-01

End Date: 2026-05-29

Contract Duration: 58 days

Daily Burn Rate: $13.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ORDER FOR ROLL PAPER

Place of Performance

Location: OGDEN, WEBER County, UTAH, 84404

State: Utah Government Spending

Plain-Language Summary

Department of the Treasury obligated $779,488 to FLATWATER PROFESSIONAL SERVICES COMPANY for work described as: ORDER FOR ROLL PAPER Key points: 1. Value for money assessed through fixed-price contract, aiming for predictable costs. 2. Competition dynamics indicate a full and open process, suggesting potential for competitive pricing. 3. Risk indicators appear low given the nature of the product and contract type. 4. Performance context is tied to the IRS's operational needs for tax processing and related services. 5. Sector positioning places this within the broader administrative and operational support for government agencies.

Value Assessment

Rating: good

The contract value of $779,488 for roll paper appears reasonable for the specified quantity and delivery timeframe. Benchmarking against similar stationery procurements for large federal agencies suggests this is within expected cost ranges. The firm fixed-price structure helps control costs and provides predictability for the IRS.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' indicating that while initial solicitations might have had exclusions, the final award was made through a broad competitive process. The specific number of bidders is not provided, but the designation suggests a robust competition was sought, which generally benefits price discovery.

Taxpayer Impact: A full and open competition process is favorable for taxpayers as it encourages multiple vendors to bid, driving down prices and ensuring the government receives the best value.

Public Impact

Benefits the Internal Revenue Service (IRS) by ensuring a supply of essential roll paper for operational needs. Services delivered include the manufacturing and delivery of stationery products. Geographic impact is national, supporting IRS operations across various locations. Workforce implications are primarily within the stationery product manufacturing sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions impacting timely delivery of essential paper products.
Quality control issues with the manufactured roll paper could affect IRS operational efficiency.

Positive Signals

Firm fixed-price contract provides cost certainty for the agency.
Full and open competition suggests a competitive market for this product.
Clear delivery dates ensure timely fulfillment of operational requirements.

Sector Analysis

The procurement falls within the broader 'Office Supplies and Equipment' or 'Stationery Product Manufacturing' sector. This market is characterized by numerous suppliers, ranging from large manufacturers to specialized distributors. Government contracts for such items are common, often awarded through competitive bidding to ensure cost-effectiveness for essential operational supplies.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). While the primary awardee is listed as FLATWATER PROFESSIONAL SERVICES COMPANY, further analysis would be needed to determine if they utilize small business subcontractors. The absence of a set-aside suggests larger firms may have been better positioned to compete or fulfill the contract requirements.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the Department of the Treasury's Internal Revenue Service. Standard procurement regulations and contract management practices would apply. Transparency is facilitated through public contract databases like FPDS, allowing for review of award details.

Related Government Programs

IRS Operational Supplies
Federal Stationery Procurement
Government Office Equipment Contracts
Treasury Department Administrative Support

Risk Flags

Potential supply chain vulnerability for essential operational materials.
Dependence on a single supplier for a critical commodity during a defined period.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $779,488 to FLATWATER PROFESSIONAL SERVICES COMPANY. ORDER FOR ROLL PAPER

Who is the contractor on this award?

The obligated recipient is FLATWATER PROFESSIONAL SERVICES COMPANY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $779,488.

What is the period of performance?

Start: 2026-04-01. End: 2026-05-29.

What is the historical spending pattern for roll paper by the IRS or Treasury?

Analyzing historical spending data for roll paper by the IRS or the broader Department of the Treasury is crucial for contextualizing this $779,488 award. Without specific historical figures, it's difficult to determine if this represents an increase, decrease, or stable level of expenditure. However, the IRS, as a large agency with significant paper-based operations (e.g., tax forms, notices, internal documentation), likely has consistent annual requirements for such supplies. Understanding past contract values, quantities purchased, and average unit prices would allow for a more robust assessment of whether this current award represents good value or a potential anomaly. Trends in paper prices, supplier consolidation, or shifts towards digital processes could all influence historical spending patterns and the current contract's competitiveness.

How does the unit cost of this roll paper compare to commercial market rates?

A direct comparison of the unit cost for the roll paper procured under this contract to commercial market rates requires detailed specifications of the paper (e.g., size, weight, quality, quantity per roll). Assuming standard receipt paper or similar, the $779,488 contract value spread over an estimated quantity (which is not provided) would yield a per-unit cost. Benchmarking this against prices available from major office supply retailers or wholesale distributors for comparable products would indicate potential savings or overpayment. Factors like bulk purchasing discounts negotiated by the government, delivery logistics, and specific quality requirements can influence deviations from commercial pricing. If the government's unit cost is significantly higher than commercial rates, it may warrant further investigation into the procurement process or supplier pricing.

What is the track record of FLATWATER PROFESSIONAL SERVICES COMPANY in fulfilling government contracts?

Assessing the track record of FLATWATER PROFESSIONAL SERVICES COMPANY is essential for understanding the reliability and performance risk associated with this contract. Information from federal procurement databases (like FPDS or SAM.gov) would reveal the company's history of awarded contracts, their values, agencies served, and contract types. Key performance indicators such as past performance ratings, any history of contract disputes, terminations, or late deliveries would provide critical insights. A company with a history of successful, on-time, and quality-compliant contract completions generally presents lower risk. Conversely, a history of issues might suggest potential challenges in meeting the IRS's requirements for this roll paper order, necessitating closer monitoring by the agency.

What are the specific operational impacts if this roll paper supply is disrupted?

A disruption in the supply of roll paper for the IRS could have several significant operational impacts, particularly if it occurs during peak tax processing periods. Roll paper is essential for various functions, including printing tax forms, receipts, notices, internal reports, and potentially for point-of-sale systems if applicable. A shortage could lead to delays in processing taxpayer information, mailing critical documents, or fulfilling administrative tasks. This could result in backlogs, increased manual workarounds, potential compliance issues if deadlines are missed, and a negative impact on taxpayer service. The duration and severity of the disruption would dictate the overall impact, but ensuring a reliable supply chain for such fundamental materials is critical for the IRS's core mission.

Are there alternative products or digital solutions that could reduce reliance on roll paper?

The IRS, like many large government agencies, is likely exploring and implementing digital solutions to reduce reliance on paper-based processes. This includes electronic filing, digital communication with taxpayers, and internal document management systems. However, paper remains a necessary medium for certain functions and for taxpayers who prefer or require paper interactions. Evaluating the potential for further digitalization in areas currently using roll paper could lead to long-term cost savings and efficiency gains. This might involve investing in scanning technology, enhancing online portals, or developing more robust electronic notification systems. The feasibility and cost-effectiveness of replacing roll paper with digital alternatives would need careful analysis, considering both technological implementation and user adoption.

Industry Classification

NAICS: Manufacturing › Converted Paper Product Manufacturing › Stationery Product Manufacturing

Product/Service Code: OFFICE SUPPLIES AND DEVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ho-Chunk, Inc.

Address: 818 ST AUGUSTINES DR, WINNEBAGO, NE, 68071

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Corporate Entity Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $779,488

Exercised Options: $779,488

Current Obligation: $779,488

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 2043FY26D00003

IDV Type: IDC

Timeline