GSA's $9.8M Wrench & Pipe Contract Awarded to Wright Tool Company Under Full and Open Competition

Contract Overview

Contract Amount: $9,825 ($9.8K)

Contractor: Wright Tool Company, LLC

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-04-08

Contract Duration: 5 days

Daily Burn Rate: $2.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 22

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: WRENCH,PIPE:

Place of Performance

Location: WARREN, MACOMB County, MICHIGAN, 48091

State: Michigan Government Spending

Plain-Language Summary

General Services Administration obligated $9,825.26 to WRIGHT TOOL COMPANY, LLC for work described as: WRENCH,PIPE: Key points: 1. The contract is for hardware, specifically wrenches and pipes, valued at $9.8 million. 2. Wright Tool Company, LLC secured the award through full and open competition. 3. The contract type is Fixed Price with Economic Price Adjustment, introducing potential cost fluctuations. 4. The spending is categorized under Hardware Merchant Wholesalers (NAICS 423710).

Value Assessment

Rating: fair

The contract value of $9.8 million for hardware is substantial. Benchmarking against similar GSA hardware procurements would be necessary to fully assess value, but the fixed price with economic adjustment introduces risk.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, aiming to secure fair market prices for the required hardware.

Public Impact

Federal agencies requiring wrenches and pipes can potentially access these supplies through this contract. The economic price adjustment clause may lead to increased costs for taxpayers if market prices rise significantly. The contract duration and call order nature suggest it supports ongoing operational needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Economic Price Adjustment clause introduces cost uncertainty.
Limited information on specific item pricing and potential for overspending.
Contract awarded to a single entity, though competition was open.

Positive Signals

Awarded through full and open competition.
Supports essential hardware needs for federal agencies.
Clear contract end date provides a defined period of performance.

Sector Analysis

This contract falls within the Hardware Merchant Wholesalers sector, a common area for government procurement of essential supplies. Spending benchmarks for this category would typically focus on the volume and type of hardware procured.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded to Wright Tool Company, LLC. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The General Services Administration (GSA) is responsible for overseeing this contract. Standard GSA oversight mechanisms should apply, including performance monitoring and compliance checks.

Related Government Programs

Hardware Merchant Wholesalers
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Economic Price Adjustment (EPA) clause.
Potential for price increases impacting budget.
Lack of specific item-level cost data.
Contract duration of 5 years.
Awarded to a single entity (Wright Tool Company, LLC).

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $9,825.26 to WRIGHT TOOL COMPANY, LLC. WRENCH,PIPE:

Who is the contractor on this award?

The obligated recipient is WRIGHT TOOL COMPANY, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $9,825.26.

What is the period of performance?

Start: 2026-04-03. End: 2026-04-08.

What is the expected price range for individual items under this contract, and how does it compare to market rates?

Without specific itemized pricing, it's difficult to determine the exact price range. However, the 'Fixed Price with Economic Price Adjustment' clause suggests that prices are subject to change based on market fluctuations. A thorough review of the contract's price lists and comparison with similar industry pricing would be necessary to assess value and ensure taxpayer funds are used efficiently.

What are the potential risks associated with the 'Economic Price Adjustment' clause in this contract?

The primary risk of the Economic Price Adjustment (EPA) clause is that it allows for price increases based on market conditions. If the cost of raw materials or manufacturing for wrenches and pipes rises significantly, the government could end up paying more than initially anticipated. This uncertainty makes budget forecasting more challenging and could lead to higher overall spending.

How effectively does this contract meet the government's need for hardware supplies, considering the competition and pricing structure?

The contract appears to meet a need for hardware supplies, awarded through open competition. However, the effectiveness is tempered by the EPA clause, which introduces price volatility. While competition aims for good pricing, the EPA could erode those gains. The true effectiveness will depend on how well the prices track market changes and if the awarded vendor consistently delivers quality products on time.

Industry Classification

NAICS: Wholesale Trade › Hardware, and Plumbing and Heating Equipment and Supplies Merchant Wholesalers › Hardware Merchant Wholesalers

Product/Service Code: HAND TOOLS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 22

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

Evaluated Preference: NONE

Contractor Details

Parent Company: Federal Resources Supply Company LLC

Address: 24680 MOUND RD, WARREN, MI, 48091

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

Financial Breakdown

Contract Ceiling: $9,825

Exercised Options: $9,825

Current Obligation: $9,825

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSHA21A000D

IDV Type: BPA

Timeline