GSA awards $81K for hand sanitizer, highlighting potential for better price discovery in a non-competitive environment

Contract Overview

Contract Amount: $81,304 ($81.3K)

Contractor: National Industries for the Blind

Awarding Agency: General Services Administration

Start Date: 2026-04-09

End Date: 2026-04-16

Contract Duration: 7 days

Daily Burn Rate: $11.6K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SANITIZER,HAND

Place of Performance

Location: ALEXANDRIA, ALEXANDRIA CITY County, VIRGINIA, 22305

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $81,303.95 to NATIONAL INDUSTRIES FOR THE BLIND for work described as: SANITIZER,HAND Key points: 1. The contract value is relatively small, suggesting a limited scope of service or product. 2. The award was made on a non-competitive basis, raising questions about potential overpayment. 3. The duration of the contract is very short, indicating a need for immediate supply or a pilot program. 4. The product category, hand sanitizer, is widely available, making the lack of competition notable. 5. The awarding agency, GSA, typically aims for competitive pricing; this award warrants further scrutiny. 6. The fixed-price contract type offers some cost certainty but doesn't mitigate the lack of competition.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging without knowing the specific quantity and type of hand sanitizer procured. However, given the widespread availability and competitive nature of the hand sanitizer market, a non-competitive award for $81,304 raises concerns about whether the government secured the best possible price. Similar contracts for bulk hand sanitizer purchases in the federal space often involve competitive bidding, leading to lower per-unit costs than might be achieved through a sole-source or limited competition award. The short duration further complicates a direct comparison, but the overall value proposition appears questionable due to the procurement method.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a 'NOT AVAILABLE FOR COMPETITION' (NAF) justification, which typically indicates a sole-source or limited competition scenario. The specific reason for this limitation is not provided in the data. Without a competitive process, it is difficult to ascertain the number of potential bidders or the extent of market research conducted. This lack of competition means the government may not have benefited from the full range of pricing and quality options available in the market.

Taxpayer Impact: The absence of competition means taxpayers may have paid a premium for these goods, as the contractor did not face pressure to offer the lowest possible price.

Public Impact

Federal employees and visitors will have access to hand sanitizer, contributing to health and safety protocols. The General Services Administration (GSA) benefits by fulfilling its mandate to provide necessary supplies to federal agencies. The contract supports the National Industries for the Blind, a non-profit organization that employs individuals with blindness. The geographic impact is primarily within Virginia, where the contract is administered or fulfilled.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
The specific justification for sole-source award needs further investigation to ensure it was warranted.
Market research may have been insufficient given the commodity nature of the product.

Positive Signals

The contract supports a non-profit organization (National Industries for the Blind) that provides employment for individuals with blindness.
The contract ensures the availability of essential health supplies for federal facilities.
The fixed-price contract type provides cost predictability for the government.

Sector Analysis

The procurement of hand sanitizer falls under the broader category of medical supplies and general wholesale trade. The market for hand sanitizers is large and diverse, with numerous manufacturers and distributors. Federal agencies, particularly through GSA, procure these items regularly. While this specific award is small, it represents a fraction of the overall federal spending on health and safety supplies. Benchmarking this contract against other federal awards for similar quantities and types of hand sanitizer would be necessary for a comprehensive value assessment, but the non-competitive nature is a key factor.

Small Business Impact

While this contract was awarded to National Industries for the Blind, which is a non-profit organization, it is not explicitly a small business set-aside. The data does not indicate any subcontracting requirements. The impact on the broader small business ecosystem is likely minimal for this specific award, though supporting organizations that employ individuals with disabilities is a positive outcome.

Oversight & Accountability

The General Services Administration (GSA) has established procurement regulations and oversight mechanisms to ensure fair and transparent contracting. However, the 'NOT AVAILABLE FOR COMPETITION' status for this award suggests that standard competitive oversight may have been bypassed. Further review of the justification for this sole-source award and GSA's internal review processes would be necessary to assess the adequacy of oversight and accountability for this specific contract. Transparency is limited by the lack of public detail regarding the NAF justification.

Related Government Programs

GSA Schedule Contracts
Federal Supply Schedule (FSS) Contracts
Procurement of Health and Safety Supplies
Non-Profit Organization Support Contracts

Risk Flags

Non-competitive award for a widely available commodity.
Potential for inflated pricing due to lack of competition.
Insufficient justification for sole-source procurement needs review.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $81,303.95 to NATIONAL INDUSTRIES FOR THE BLIND. SANITIZER,HAND

Who is the contractor on this award?

The obligated recipient is NATIONAL INDUSTRIES FOR THE BLIND.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $81,303.95.

What is the period of performance?

Start: 2026-04-09. End: 2026-04-16.

What is the specific justification for awarding this contract on a non-competitive basis?

The provided data indicates the contract was awarded under 'NOT AVAILABLE FOR COMPETITION' (NAF). This classification typically implies a sole-source award or a limited competition where only one responsible source could be identified or found to meet the government's needs. Common reasons for NAF awards include unique capabilities of a specific contractor, urgent and compelling needs where competition is not feasible, or when a specific statute or regulation mandates a non-competitive award. Without further details from the contracting officer's justification and approval (J&A) document, the precise reason remains unknown. However, for a commodity like hand sanitizer, such a justification would require strong evidence to overcome the presumption of competition.

How does the price of this hand sanitizer compare to commercially available prices or other federal contracts?

Direct price comparison is difficult without knowing the exact product specifications (e.g., volume, formulation, packaging) and the quantity purchased under this $81,304 contract. However, the non-competitive nature of the award raises a red flag. The federal government, particularly through GSA, often leverages bulk purchasing power and competitive bidding to secure favorable pricing. For widely available items like hand sanitizer, competitive contracts typically yield lower per-unit costs. If this contract was awarded without exploring competitive options, it is probable that the government did not achieve the best possible value, and the price may be higher than what could have been obtained through an open solicitation.

What is the track record of National Industries for the Blind in fulfilling federal contracts?

National Industries for the Blind (NIB) is a recognized non-profit organization that holds contracts with the federal government, often through the AbilityOne program, which prioritizes employment for individuals who are blind or have significant disabilities. NIB and its associated agencies have a history of successfully fulfilling government contracts for various supplies and services. While specific performance metrics for this particular hand sanitizer contract are not detailed, NIB's general track record suggests a commitment to its mission and a capacity to deliver. However, the performance on any individual contract should be assessed based on delivery timeliness, quality, and adherence to terms.

What is the typical spending pattern for hand sanitizer by the General Services Administration?

The General Services Administration (GSA) procures a vast array of supplies and services for federal agencies, including health and safety items like hand sanitizer. GSA often utilizes its Federal Supply Schedules (FSS) and other contract vehicles to facilitate these purchases. Spending patterns can fluctuate based on public health needs, agency requirements, and market conditions. Historically, GSA has awarded numerous contracts for cleaning and sanitation supplies. The value and volume of hand sanitizer procurement can surge during public health emergencies, as seen during the COVID-19 pandemic. Without access to GSA's detailed historical spending data, it's challenging to pinpoint a precise average or typical spending amount for hand sanitizer, but it is a recurring procurement category.

What are the risks associated with awarding contracts on a non-competitive basis for common goods?

Awarding contracts on a non-competitive basis for common goods like hand sanitizer carries several risks. The primary risk is financial: the government may pay a higher price than necessary due to the absence of competitive pressure to offer the lowest bid. This can lead to inefficient use of taxpayer funds. Secondly, it can stifle innovation and market responsiveness, as contractors have less incentive to develop cost-saving measures or superior products if they are guaranteed the contract. There's also a risk of reduced quality if the contractor faces no competition. Furthermore, non-competitive awards can create perceptions of favoritism or cronyism, undermining public trust in government procurement processes. Ensuring a robust justification for any non-competitive award is crucial to mitigate these risks.

Industry Classification

NAICS: Wholesale Trade › Machinery, Equipment, and Supplies Merchant Wholesalers › Service Establishment Equipment and Supplies Merchant Wholesalers

Product/Service Code: CLEANING EQPT AND SUPPLIES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3000 POTOMAC AVE, ALEXANDRIA, VA, 22305

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $81,304

Exercised Options: $81,304

Current Obligation: $81,304

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QSWA22D0009

IDV Type: IDC

Timeline