GSA Awards $4.5M for Corrugated Boxes to Ponderosa Packaging Corp. Under Full and Open Competition

Contract Overview

Contract Amount: $4,501 ($4.5K)

Contractor: Ponderosa Packaging Corp.

Awarding Agency: General Services Administration

Start Date: 2026-04-06

End Date: 2026-04-27

Contract Duration: 21 days

Daily Burn Rate: $214/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SHIPPING AND STORAGTEM:- SEE ATTACHED DOCUMENTFOR DETAIL.

Place of Performance

Location: MELVILLE, SUFFOLK County, NEW YORK, 11747

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $4,501.2 to PONDEROSA PACKAGING CORP. for work described as: SHIPPING AND STORAGTEM:- SEE ATTACHED DOCUMENTFOR DETAIL. Key points: 1. The contract is for corrugated and solid fiber box manufacturing, a common industrial need. 2. Ponderosa Packaging Corp. is the awardee, with the contract type being a delivery order. 3. The contract was awarded under full and open competition after exclusion of sources. 4. The total award amount is $4.5 million, with a duration of 21 days.

Value Assessment

Rating: fair

The contract value of $4.5 million for a 21-day delivery order seems high for standard corrugated boxes. Benchmarking against similar GSA schedules or other federal contracts for packaging materials is recommended to assess pricing reasonableness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition after exclusion of sources, indicating a competitive process. However, the short duration and specific nature of the requirement might limit the pool of potential bidders, potentially impacting price discovery.

Taxpayer Impact: Taxpayer funds are being used for essential packaging materials. The competitive nature of the award aims to secure fair pricing, but the overall value for the short term warrants scrutiny.

Public Impact

Ensures supply of essential packaging materials for federal agencies. Supports a specific industry sector (manufacturing) through government procurement. The short duration suggests a specific, immediate need rather than a long-term supply agreement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

High per-unit cost potential given short duration and value.
Limited visibility into specific packaging requirements.
Potential for price escalation if demand spikes.

Positive Signals

Awarded under full and open competition.
Supports a domestic manufacturer.
Clear contract type (firm fixed price).

Sector Analysis

The packaging and container manufacturing sector (NAICS 322211) is a mature industry. Federal spending in this area typically supports logistics and operational needs across various agencies. Benchmarks would depend on the specific type and volume of boxes required.

Small Business Impact

The data does not indicate if small businesses were involved in this specific award or if Ponderosa Packaging Corp. is a small business. Further analysis would be needed to determine the impact on small business participation.

Oversight & Accountability

The General Services Administration (GSA) is responsible for this contract. Oversight would involve ensuring delivery timelines are met and the quality of packaging materials meets specifications, as well as reviewing the pricing against market rates.

Related Government Programs

Corrugated and Solid Fiber Box Manufacturing
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

High value for a short contract duration.
Lack of specific details on box type and quantity.
Potential for limited competition despite 'full and open' designation.
Urgency implied by short delivery window could inflate costs.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $4,501.2 to PONDEROSA PACKAGING CORP.. SHIPPING AND STORAGTEM:- SEE ATTACHED DOCUMENTFOR DETAIL.

Who is the contractor on this award?

The obligated recipient is PONDEROSA PACKAGING CORP..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $4,501.2.

What is the period of performance?

Start: 2026-04-06. End: 2026-04-27.

What is the specific type and quantity of corrugated boxes being procured, and how does this justify the $4.5 million award for a 21-day period?

The provided data lacks specifics on the exact type and quantity of corrugated boxes. The $4.5 million award for a mere 21-day period suggests either a very large volume of standard boxes, highly specialized custom boxes, or potentially expedited shipping costs. Without detailed specifications, it's difficult to ascertain the value proposition for taxpayers.

Given the 'after exclusion of sources' clause, what were the specific reasons for excluding other potential sources, and did this exclusion limit competitive pricing?

The phrase 'after exclusion of sources' typically implies that an initial broad solicitation may have occurred, but only specific vendors met certain criteria or were deemed capable of fulfilling the requirement. The exact reasons for exclusion are not detailed here. While competition was 'full and open' among the remaining eligible sources, the exclusion process itself could have inadvertently narrowed the field, potentially impacting the final negotiated price.

How does the firm fixed price for this short-duration contract ensure cost-effectiveness and prevent potential overspending on urgent packaging needs?

A firm fixed price (FFP) contract is designed to shift risk to the contractor, ensuring the government pays a set amount regardless of the contractor's costs. For a short duration, FFP can be effective if the scope is well-defined and the price is competitive. However, if the urgency led to premium pricing or if the volume was underestimated, the fixed price might not represent the most cost-effective solution compared to a longer-term, more strategically sourced contract.

Industry Classification

NAICS: Manufacturing › Converted Paper Product Manufacturing › Corrugated and Solid Fiber Box Manufacturing

Product/Service Code: CONTAINERS/PACKAGING/PACKING SUPPL

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

Address: 260 SPAGNOLI RD, MELVILLE, NY, 11747

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

Financial Breakdown

Contract Ceiling: $4,501

Exercised Options: $4,501

Current Obligation: $4,501

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QSEA23D005G

IDV Type: IDC

Timeline