GSA awards $45M contract for plastic and bag supplies to CAPP LLC, with a 9-month duration

Contract Overview

Contract Amount: $45,034 ($45.0K)

Contractor: Capp LLC

Awarding Agency: General Services Administration

Start Date: 2026-04-04

End Date: 2026-04-13

Contract Duration: 9 days

Daily Burn Rate: $5.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: BAG,PLASTIC

Place of Performance

Location: CLIFTON HEIGHTS, DELAWARE County, PENNSYLVANIA, 19018

State: Pennsylvania Government Spending

Plain-Language Summary

General Services Administration obligated $45,033.8 to CAPP LLC for work described as: BAG,PLASTIC Key points: 1. The contract value of $45 million for a 9-month period suggests a significant demand for these supplies. 2. The award to CAPP LLC under full and open competition indicates a potentially competitive bidding process. 3. The fixed-price with economic price adjustment (EPA) contract type introduces some risk of cost escalation. 4. The contract's focus on industrial and personal service paper, bags, and plastic products serves a broad range of government needs. 5. The relatively short duration of 9 months may indicate a need for frequent re-evaluation of market prices or specific project requirements.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific details on the types and quantities of bags, plastic, and related supplies. However, a $45 million award for a 9-month period suggests a substantial procurement. The fixed-price with economic price adjustment (EPA) clause introduces a degree of uncertainty regarding the final cost, as it allows for adjustments based on market fluctuations. Further analysis would require comparing the unit prices for specific items against market rates or similar government contracts to determine true value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple vendors were invited to bid. The specific number of bidders is not provided, but this method generally promotes price discovery and allows the government to select the most advantageous offer. The open competition is a positive indicator for achieving competitive pricing and ensuring a wide range of suppliers had the opportunity to participate.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically leads to lower prices and better terms due to the pressure of multiple bidders vying for the contract.

Public Impact

Federal agencies requiring industrial and personal service paper, bags, and plastic products will benefit from this contract. The contract ensures the continuous supply of essential consumables for various government operations. The geographic impact is likely nationwide, supporting federal facilities across different regions. The contract supports the supply chain for essential goods, indirectly impacting the logistics and distribution workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The economic price adjustment (EPA) clause introduces potential for cost overruns if market prices for raw materials increase significantly.
The short contract duration may lead to increased administrative burden for contract renewal or re-competition.
Lack of specific details on product specifications makes it difficult to assess if the most cost-effective solutions were procured.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
The contract ensures the availability of necessary supplies for government operations.
The fixed-price component provides some cost certainty, despite the EPA.

Sector Analysis

This contract falls within the broader category of supplies and materials procurement, specifically focusing on disposable goods like bags and plastics. The market for these items is generally characterized by numerous suppliers, ranging from large manufacturers to specialized distributors. Government contracts for such commodities are common and represent a significant portion of federal spending on operational necessities. Benchmarking would involve comparing the awarded price against other federal or state contracts for similar quantities and types of bags and plastic products.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this contract. This suggests that the primary focus was on full and open competition to achieve the best value. There is no explicit information on subcontracting plans for small businesses. The impact on the small business ecosystem would depend on whether CAPP LLC utilizes small businesses in its supply chain, which is not detailed here.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. Mechanisms likely include contract performance monitoring, invoice review, and adherence to the terms and conditions of the contract. Transparency is generally maintained through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

Office Supplies Procurement
General Services Administration Contracts
Federal Supply Schedule
Procurement of Consumables

Risk Flags

Economic Price Adjustment (EPA) clause introduces cost escalation risk.
Short contract duration may require frequent re-competition or extensions.
Lack of specific performance metrics in summary data.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $45,033.8 to CAPP LLC. BAG,PLASTIC

Who is the contractor on this award?

The obligated recipient is CAPP LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $45,033.8.

What is the period of performance?

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

What is the historical spending pattern for similar plastic and bag supplies by the General Services Administration?

Analyzing historical spending patterns for similar supplies by the GSA is crucial for understanding the context of this $45 million award. While specific data for 'plastic and bag supplies' as a distinct category over multiple years is not provided, the GSA procures a vast array of general supplies through various mechanisms, including Federal Supply Schedules (FSS) and Blanket Purchase Agreements (BPAs). Historically, agencies like GSA have consistently spent billions annually on general supplies and services to support federal operations. To assess this specific contract's value, one would typically look at the average annual spend for similar items over the past 3-5 years, noting any significant increases or decreases that might indicate market shifts, changes in demand, or evolving procurement strategies. A higher-than-average spend might warrant closer scrutiny of the unit prices and justification for the quantity, while a lower spend could indicate successful cost-saving measures or increased competition.

How does the fixed-price with economic price adjustment (EPA) clause impact the risk for taxpayers?

The fixed-price with economic price adjustment (EPA) clause introduces a moderate level of risk for taxpayers. While the base price is fixed, the EPA allows for adjustments to the contract price based on fluctuations in specified economic factors, such as the cost of raw materials or labor. This means that if the cost of producing bags, plastics, or related materials increases due to inflation or supply chain disruptions, the contractor can seek an increase in the contract price. For taxpayers, this translates to potential cost overruns beyond the initially anticipated fixed price. The extent of this risk depends on the specific economic indicators tied to the EPA and the volatility of those markets. Without a clear understanding of these triggers and historical price movements, it's difficult to quantify the exact risk, but it inherently shifts some of the price uncertainty from the contractor to the government (and thus, the taxpayer).

What is CAPP LLC's track record with federal contracts, particularly for similar supplies?

Assessing CAPP LLC's track record is essential for understanding their reliability and performance history. A review of federal contract databases (like FPDS) would reveal the company's past awards, including the types of goods and services procured, contract values, and performance ratings, if available. For this specific contract involving plastic and bag supplies, it would be important to see if CAPP LLC has a history of successfully delivering similar items to government agencies. Key indicators to examine include on-time delivery rates, quality of goods provided, and any history of contract disputes, terminations, or performance issues. A positive track record with comparable contracts would suggest a lower risk of performance issues, while a history of problems might raise concerns about CAPP LLC's capacity to fulfill this $45 million award effectively.

Are there any specific performance metrics or Key Performance Indicators (KPIs) associated with this contract?

The provided data does not explicitly detail the performance metrics or Key Performance Indicators (KPIs) for this contract. However, for a contract of this nature and value, it is highly probable that specific performance standards are included in the contract's statement of work. These typically revolve around aspects such as on-time delivery of supplies, accuracy of orders (correct items and quantities), quality of the products meeting specified standards (e.g., material strength, dimensions), and responsiveness to inquiries or issues. The General Services Administration (GSA) often incorporates performance clauses that allow for remedies or penalties if these KPIs are not met. Without the full contract document, we cannot list the exact KPIs, but their existence is standard practice for ensuring accountability and value for money in federal procurements.

What is the estimated annual value of this contract, considering its 9-month duration?

To estimate the annual value of this contract, we can prorate the total award amount over its 9-month duration. The total award is $45,033.80. Since the contract duration is 9 months, we can calculate the approximate monthly value by dividing the total by 9: $45,033.80 / 9 months = $5,004.87 per month. To annualize this, we multiply the monthly value by 12: $5,004.87/month * 12 months/year = $60,058.44 per year. Therefore, the estimated annual value of this contract, if it were to continue for a full year at the same rate, is approximately $60,058.44. This calculation provides a benchmark for comparing its scale against other annual procurements, though it's important to remember the contract is only for a 9-month period.

Industry Classification

NAICS: Wholesale Trade › Paper and Paper Product Merchant Wholesalers › Industrial and Personal Service Paper Merchant Wholesalers

Product/Service Code: OFFICE SUPPLIES AND DEVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

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

Evaluated Preference: NONE

Contractor Details

Address: 201 MARPLE AVE, CLIFTON HEIGHTS, PA, 19018

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

Financial Breakdown

Contract Ceiling: $45,034

Exercised Options: $45,034

Current Obligation: $45,034

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSEA21A0009

IDV Type: BPA

Timeline