General Services Administration awards $7,074 purchase order for contemporary steel credenzas

Contract Overview

Contract Amount: $7,074 ($7.1K)

Contractor: Norex Group, LLC

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-06-02

Contract Duration: 60 days

Daily Burn Rate: $118/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CREDENZA CONTEMPORARYSTEEL TWO SECTIONS ANDKNEESPACE 60'' WIDE BLACK

Place of Performance

Location: VALENCIA, LOS ANGELES County, CALIFORNIA, 91381

State: California Government Spending

Plain-Language Summary

General Services Administration obligated $7,074.2 to NOREX GROUP, LLC for work described as: CREDENZA CONTEMPORARYSTEEL TWO SECTIONS ANDKNEESPACE 60'' WIDE BLACK Key points: 1. Value for money appears fair given the unit price for specialized office furniture. 2. Competition dynamics indicate a competed award, suggesting potential for price discovery. 3. Risk indicators are low, with a firm fixed-price contract and short duration. 4. Performance context is a standard purchase order for office furnishings. 5. Sector positioning is within the general office supply and furniture market.

Value Assessment

Rating: fair

The awarded price of $7,074 for two credenzas seems within a reasonable range for commercial office furniture of this type. Benchmarking against similar GSA schedule contracts or commercial catalogs for contemporary steel credenzas of this size and configuration would provide a more precise value assessment. Without direct comparable data, the price appears acceptable for a specialized item.

Cost Per Unit: Approximately $3,537 per unit.

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), which typically allows for broader competition among vendors. While the specific number of bids is not detailed, SAP aims to ensure fair and open competition for purchases below certain thresholds. This process generally leads to competitive pricing and a wider selection of qualified offerors.

Taxpayer Impact: For taxpayers, a competed award under SAP suggests that the government likely received competitive pricing, maximizing the value of the appropriated funds for these office furnishings.

Public Impact

Federal employees in California will benefit from updated office furniture. The services delivered include the provision of two contemporary steel credenzas. The geographic impact is localized to a federal facility in California. Workforce implications are minimal, primarily related to the delivery and installation of furniture.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for long-term furniture obsolescence if not durable.
Dependence on a single vendor for potential future needs or replacements.

Positive Signals

Awarded to a known entity (NOREX GROUP, LLC).
Firm Fixed Price contract limits cost overrun risk.
Short contract duration minimizes long-term commitment.

Sector Analysis

This contract falls within the broader office furniture and supplies sector, which is a significant component of the commercial products market. Federal agencies, particularly through the General Services Administration (GSA), are consistent buyers in this sector. Spending benchmarks for office furniture can vary widely based on customization, material, and quantity, but this purchase represents a modest investment for specialized equipment.

Small Business Impact

Information regarding small business set-asides or subcontracting plans is not explicitly provided for this award. As the award was competed under SAP, it's possible that small businesses had the opportunity to bid. Further analysis would be needed to determine if any small business goals were incorporated or met through subcontracting.

Oversight & Accountability

The General Services Administration (GSA) generally has robust oversight mechanisms for its procurement processes, including purchase orders. Accountability is maintained through contract terms and conditions, and transparency is facilitated by public contract databases. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

GSA Office Furniture Procurement
Federal Workspace Modernization
Government Purchase Orders

Risk Flags

Potential for price non-competitiveness if SAP was not fully leveraged.
Risk of delivery delays impacting agency operations.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $7,074.2 to NOREX GROUP, LLC. CREDENZA CONTEMPORARYSTEEL TWO SECTIONS ANDKNEESPACE 60'' WIDE BLACK

Who is the contractor on this award?

The obligated recipient is NOREX GROUP, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $7,074.2.

What is the period of performance?

Start: 2026-04-03. End: 2026-06-02.

What is the track record of NOREX GROUP, LLC with federal contracts?

A review of federal procurement data indicates that NOREX GROUP, LLC has received multiple federal contracts and purchase orders. The nature and value of these awards would need to be examined to assess their performance history, including on-time delivery, quality of goods, and adherence to contract terms. Understanding their past performance on similar furniture contracts would provide insight into their reliability for this specific award. Without specific performance metrics from past contracts, it is difficult to definitively assess their track record beyond their presence in the federal marketplace.

How does the price compare to similar GSA Schedule contracts for credenzas?

To benchmark the value effectively, a direct comparison with similar credenzas listed on GSA Schedules would be necessary. Factors such as material (steel), dimensions (60'' wide), features (two sections, kneespace), and finish (black) are critical. The price of approximately $3,537 per unit suggests a mid-to-high range for standard office credenzas, potentially reflecting specialized design, durability, or specific GSA Schedule pricing agreements. A detailed market analysis of comparable GSA Schedule items is required for a definitive value assessment.

What are the primary risks associated with this type of purchase order?

The primary risks associated with this purchase order are relatively low due to its nature. Potential risks include delivery delays, receipt of non-conforming goods (i.e., furniture not meeting specifications), or potential issues with installation if included. The firm fixed-price contract mitigates financial risk for the government, as the cost is predetermined. The short duration (60 days) also limits the exposure period. Risks related to contractor performance are managed through standard contract clauses and the potential for future contract awards being contingent on satisfactory performance.

How effective is the Simplified Acquisition Procedures (SAP) in ensuring competitive pricing for office furniture?

Simplified Acquisition Procedures (SAP) are designed to streamline the procurement process for purchases below certain thresholds, encouraging broader competition and efficient price discovery. For office furniture, SAP allows agencies to solicit quotes from multiple vendors, potentially leading to competitive pricing. However, the effectiveness can depend on the specific market conditions for the furniture item, the number of vendors actively participating in SAP solicitations, and the agency's diligence in seeking competitive quotes. While SAP generally promotes competition, the actual level of price competitiveness is influenced by market dynamics and vendor engagement.

What is the historical spending pattern for office furniture by the General Services Administration?

The General Services Administration (GSA) is a major procurer of office furniture, consistently spending significant amounts annually to furnish federal facilities across the country. Historical spending patterns reveal a steady demand for a wide range of furniture, from basic workstations to specialized executive pieces. GSA utilizes various contracting vehicles, including GSA Schedules and direct purchase orders, to meet these needs. Spending levels can fluctuate based on agency requirements, budget allocations, and initiatives like workspace modernization or relocation projects. This specific purchase order represents a small fraction of GSA's overall furniture expenditure.

Industry Classification

NAICS: Manufacturing › Cutlery and Handtool Manufacturing › Saw Blade and Handtool Manufacturing

Product/Service Code: HAND TOOLS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 26839 PEPPERTREE DR, VALENCIA, CA, 91381

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $7,074

Exercised Options: $7,074

Current Obligation: $7,074

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline