GSA Awards $3.5M for Office Furniture Manufacturing, Highlighting Fixed Price with Economic Adjustment

Contract Overview

Contract Amount: $3,543 ($3.5K)

Contractor: Metro Office Solutions Inc

Awarding Agency: General Services Administration

Start Date: 2026-04-06

End Date: 2026-05-11

Contract Duration: 35 days

Daily Burn Rate: $101/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: FILING CABINET

Place of Performance

Location: BELCAMP, HARFORD County, MARYLAND, 21017

State: Maryland Government Spending

Plain-Language Summary

General Services Administration obligated $3,543.4 to METRO OFFICE SOLUTIONS INC for work described as: FILING CABINET Key points: 1. Contract value of $3.54 million for office furniture manufacturing. 2. Competition method is Full and Open, indicating broad market access. 3. Risk associated with economic price adjustments needs monitoring. 4. Sector focus is on office furniture manufacturing (NAICS 337214).

Value Assessment

Rating: fair

The contract uses a Fixed Price with Economic Price Adjustment (FPEPA) structure. This allows for price changes based on economic factors, which can be beneficial for managing fluctuating material costs but introduces uncertainty compared to firm fixed-price contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under Full and Open Competition, suggesting a robust bidding process. The use of a BPA Call indicates a streamlined approach within an existing framework, potentially leading to efficient price discovery.

Taxpayer Impact: The use of full and open competition aims to secure competitive pricing for taxpayers. However, the economic price adjustment clause introduces a variable that could impact the final cost.

Public Impact

Ensures availability of essential office furniture for federal agencies. Supports domestic manufacturing within the office furniture sector. Potential for price fluctuations due to economic adjustments impacts budget predictability.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Economic Price Adjustment (EPA) clause
No small business participation noted

Positive Signals

Full and Open Competition
Established contract vehicle (BPA Call)

Sector Analysis

This contract falls within the Office Furniture (except Wood) Manufacturing sector (NAICS 337214). Spending in this sector is driven by agency needs for workspace outfitting and replacement, with typical contract values varying based on scope and duration.

Small Business Impact

The data indicates that small businesses were not explicitly involved in this particular award, as the 'sb' field is false. Further analysis would be needed to determine if small businesses had the opportunity to participate or if this contract was awarded to a large business.

Oversight & Accountability

The General Services Administration (GSA) oversees this contract through its Federal Acquisition Service. Oversight would focus on ensuring compliance with contract terms, managing the economic price adjustment, and verifying delivery of goods.

Related Government Programs

Office Furniture (except Wood) Manufacturing
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Economic Price Adjustment clause introduces cost uncertainty.
No explicit small business participation noted.
Contract duration is relatively short (approx. 1 year).
Potential for price increases impacting budget predictability.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3,543.4 to METRO OFFICE SOLUTIONS INC. FILING CABINET

Who is the contractor on this award?

The obligated recipient is METRO OFFICE SOLUTIONS INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3,543.4.

What is the period of performance?

Start: 2026-04-06. End: 2026-05-11.

What is the typical range of economic price adjustments for office furniture contracts?

The typical range for economic price adjustments in office furniture contracts can vary significantly based on the specific economic indicators tied to the clause (e.g., CPI, PPI for specific materials like steel, plastic, foam). Historically, adjustments might range from 1-5% annually, but this can spike during periods of high inflation or supply chain disruptions. Agencies often negotiate caps on these adjustments to mitigate excessive cost increases.

How does the 'BPA Call' mechanism impact price competitiveness compared to a standalone contract?

A BPA Call (Blanket Purchase Agreement Call) leverages an existing BPA, which is typically established through prior competition. This can streamline the ordering process and potentially offer better pricing due to pre-negotiated terms and volume. However, the initial competition for the BPA itself is the primary driver of price competitiveness. A call order might offer administrative efficiencies but doesn't inherently guarantee better pricing than a well-competed standalone contract.

What are the potential risks of the 'FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT' contract type for the government?

The primary risk for the government with FPEPA contracts is the potential for cost increases beyond initial projections due to economic fluctuations. While it protects the contractor from unforeseen cost hikes, it shifts some of that risk to the government. This can lead to budget overruns and reduced purchasing power if economic adjustments are substantial or frequent, impacting the overall value for taxpayer dollars.

Industry Classification

NAICS: Manufacturing › Office Furniture (including Fixtures) Manufacturing › Office Furniture (except Wood) Manufacturing

Product/Service Code: FURNITURE

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: 4692 MILLENNIUM DR, BELCAMP, MD, 21017

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $3,543

Exercised Options: $3,543

Current Obligation: $3,543

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSMA23A08NC

IDV Type: BPA

Timeline