GSA awards $4,150 for aluminum foil, highlighting potential for price adjustments in fixed-price contracts

Contract Overview

Contract Amount: $4,150 ($4.1K)

Contractor: Western Plastics, Inc.

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-04-13

Contract Duration: 10 days

Daily Burn Rate: $415/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 999

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: ALUMINUM FOIL 0.0010'' T, 18'' W, 1000' L

Place of Performance

Location: CALHOUN, GORDON County, GEORGIA, 30701

State: Georgia Government Spending

Plain-Language Summary

General Services Administration obligated $4,149.6 to WESTERN PLASTICS, INC. for work described as: ALUMINUM FOIL 0.0010'' T, 18'' W, 1000' L Key points: 1. The contract value of $4,150 for aluminum foil appears to be for a relatively small quantity, suggesting a specific, limited need. 2. The fixed-price contract with economic price adjustment (EPA) indicates a mechanism to account for potential fluctuations in raw material costs. 3. Competition was full and open, suggesting a competitive bidding process that should theoretically lead to a fair market price. 4. The short duration of 10 days for delivery suggests an urgent or immediate requirement for the specified aluminum foil. 5. The contract is a delivery order, implying it is part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar vehicle. 6. The North American Industry Classification System (NAICS) code 331315 points to the manufacturing of aluminum sheet, plate, and foil. 7. The contract's small dollar value may not be indicative of broader trends in aluminum foil procurement but rather a specific operational need.

Value Assessment

Rating: fair

The contract value of $4,150 for 1000 linear feet of aluminum foil at a specified width and thickness is difficult to benchmark without more detailed specifications and market data. The unit price of approximately $4.15 per linear foot is a key metric. However, the presence of an economic price adjustment clause introduces variability, making a direct comparison to fixed-price contracts challenging. The value appears reasonable for a small, specialized order, but without broader market context or comparison to similar GSA solicitations, a definitive value-for-money assessment is limited.

Cost Per Unit: Approximately $4.15 per linear foot, subject to economic price adjustments.

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This method is generally preferred as it maximizes the potential for competitive pricing and innovation. The number of bidders is not specified, but the 'full and open' designation suggests a robust bidding environment. This level of competition is expected to drive down costs and ensure the government receives fair market value for the aluminum foil procured.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to lower prices and better quality goods and services.

Public Impact

The primary beneficiaries are likely government agencies or facilities requiring specific types of aluminum foil for operational or maintenance purposes. The service delivered is the provision of 1000 linear feet of specialized aluminum foil. The geographic impact is localized to where the foil is delivered, likely within the continental United States given the agency and contract type. There are no significant workforce implications associated with this specific, small-value contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Economic price adjustment clause introduces potential for cost overruns if raw material prices increase significantly.
Limited contract value may indicate a niche requirement, making it difficult to assess broader market competitiveness.
Short delivery order duration could imply rushed procurement, potentially leading to less optimal pricing if not managed carefully.

Positive Signals

Awarded under full and open competition, suggesting a competitive pricing environment.
Fixed-price contract structure provides some cost certainty, despite the EPA clause.
Delivery order mechanism implies efficient use of existing contract vehicles.

Sector Analysis

The aluminum foil manufacturing sector (NAICS 331315) is part of the broader nonferrous metal manufacturing industry. This industry is sensitive to global commodity prices, energy costs, and demand from various sectors including packaging, construction, and automotive. Federal procurement of such materials, even in small quantities, contributes to overall market activity. Benchmarking this specific purchase against broader industry spending is challenging due to its small scale, but it reflects the government's need for specialized materials.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of subcontracting requirements. The small dollar value of this specific award suggests it is unlikely to have a significant impact on the broader small business ecosystem within the aluminum manufacturing sector.

Oversight & Accountability

Oversight for this contract would fall under the General Services Administration's Federal Acquisition Service. Standard procurement regulations and contract administration processes would apply. Transparency is maintained through contract databases like FPDS. Inspector General oversight would be applicable if any fraud, waste, or abuse were suspected, but is unlikely for a contract of this size and nature.

Related Government Programs

GSA Schedule Contracts
Federal Supply Schedules
Materials and Supplies Procurement
Manufacturing Sector Contracts

Risk Flags

Economic Price Adjustment Clause
Short Delivery Window

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $4,149.6 to WESTERN PLASTICS, INC.. ALUMINUM FOIL 0.0010'' T, 18'' W, 1000' L

Who is the contractor on this award?

The obligated recipient is WESTERN PLASTICS, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $4,149.6.

What is the period of performance?

Start: 2026-04-03. End: 2026-04-13.

What is the typical price range for aluminum foil of similar specifications procured by the government or in the commercial market?

Determining a precise typical price range for aluminum foil with specifications like 0.0010'' thickness, 18'' width, and 1000' length is challenging without more granular market data. Commercial prices can vary significantly based on volume, supplier, geographic location, and specific alloy composition. For bulk industrial purchases, prices might be lower per linear foot than for smaller orders. The inclusion of an Economic Price Adjustment (EPA) clause in this contract further complicates direct price comparison, as the final cost is subject to change based on market indices for raw materials. However, a rough estimate for industrial-grade aluminum foil could range from $2 to $10 per linear foot, depending heavily on the factors mentioned. The awarded price of approximately $4.15 per linear foot falls within this broad potential range, but a definitive assessment requires access to specific market benchmarks and the terms of the EPA.

How does the Economic Price Adjustment (EPA) clause typically function for materials like aluminum foil?

An Economic Price Adjustment (EPA) clause in a fixed-price contract allows for an increase or decrease in the contract price based on specified economic factors, most commonly fluctuations in the cost of labor or materials. For aluminum foil, an EPA would likely be tied to an index representing the price of aluminum or related raw materials. For example, the contract might stipulate that if the price of aluminum, as reported by a specific index (e.g., London Metal Exchange price for aluminum), increases by a certain percentage, the contract price per unit will be adjusted upwards by a corresponding percentage, up to a pre-defined cap. Conversely, if the index decreases, the price would be adjusted downwards. This mechanism aims to protect both the contractor from unforeseen cost increases and the government from paying inflated prices if market conditions improve. The specific index, base price, adjustment formula, and ceiling are critical details defined within the contract's EPA clause.

What is the significance of the contract being a 'Delivery Order'?

A 'Delivery Order' typically signifies that this specific purchase is being made under a pre-existing contract, often an Indefinite Delivery/Indefinite Quantity (IDIQ) contract or a Federal Supply Schedule (FSS) contract. IDIQ contracts allow agencies to order supplies or services from a contractor up to a specified maximum quantity or dollar amount over a set period. FSS contracts are pre-competed agreements that list products and services available for purchase by government agencies at pre-negotiated prices. Therefore, this delivery order for aluminum foil indicates that the terms, conditions, and pricing (or pricing structure) were likely established during a prior, broader competition for the parent contract. This approach streamlines procurement for recurring needs and allows for rapid acquisition of specific items.

What are the potential risks associated with a short delivery period (10 days)?

A short delivery period of 10 days for specialized materials like aluminum foil can introduce several risks. Firstly, it may necessitate expedited production or shipping, potentially incurring higher costs for the contractor, which could be passed on to the government, especially if the contract includes provisions for expedited services. Secondly, it limits the time available for thorough quality inspection and verification before delivery, potentially increasing the risk of receiving non-conforming material. Thirdly, it can put pressure on the contractor's supply chain and production schedule, increasing the likelihood of delays or fulfillment issues if unforeseen problems arise. While full and open competition aims to mitigate pricing risks, a tight deadline can sometimes reduce the effectiveness of competition by limiting the pool of capable suppliers or encouraging suppliers to bid higher to account for the risk.

How does the NAICS code 331315 relate to the procurement of aluminum foil?

The North American Industry Classification System (NAICS) code 331315 specifically identifies establishments primarily engaged in manufacturing aluminum sheet, plate, and foil. This code is crucial for understanding the industrial sector from which the government is sourcing the aluminum foil. By using this code, procurement analysts can identify potential suppliers, understand the market structure, and benchmark pricing against industry standards. It confirms that the contract is for a manufactured product within the aluminum processing industry, rather than a distributor or reseller, unless the reseller is also classified under this manufacturing code for their specific operations. This classification helps ensure that the procurement process targets appropriate industry segments.

Industry Classification

NAICS: Manufacturing › Alumina and Aluminum Production and Processing › Aluminum Sheet, Plate, and Foil Manufacturing

Product/Service Code: CONTAINERS/PACKAGING/PACKING SUPPL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QSMD20R0001

Offers Received: 999

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Parent Company: Western Plastics Inc.

Address: 2399 HWY 41 S SW, CALHOUN, GA, 30701

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: $4,150

Exercised Options: $4,150

Current Obligation: $4,150

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSEA19D001G

IDV Type: FSS

Timeline