GSA Awards $3.75M for Tool Boxes, Saw Blades to Norex Group, LLC

Contract Overview

Contract Amount: $3,749 ($3.7K)

Contractor: Norex Group, LLC

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-09-30

Contract Duration: 180 days

Daily Burn Rate: $21/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INSERT,TOOL BOX,POR

Place of Performance

Location: VALENCIA, LOS ANGELES County, CALIFORNIA, 91381

State: California Government Spending

Plain-Language Summary

General Services Administration obligated $3,749.1 to NOREX GROUP, LLC for work described as: INSERT,TOOL BOX,POR Key points: 1. Awarded to Norex Group, LLC for $3.75 million. 2. Contract covers tool boxes and saw blades. 3. Procurement method was 'Competed under SAP'. 4. Duration is 180 days. 5. Fixed price contract type.

Value Assessment

Rating: fair

The award amount of $3.75 million for a 180-day duration suggests a potentially high per-unit cost or a large quantity of items. Without specific unit details, a direct comparison is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves a limited number of offers. This method may not achieve the lowest possible price compared to full and open competition.

Taxpayer Impact: The use of SAP suggests an effort to streamline procurement for smaller dollar amounts, but the $3.75 million value raises questions about whether full and open competition could have yielded better value for taxpayers.

Public Impact

Ensures availability of essential tools for government operations. Supports a specific vendor, Norex Group, LLC. Impacts agencies requiring tool boxes and saw blades. Procurement process efficiency is a consideration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition due to SAP.
Potential for overpayment without detailed unit cost analysis.
Short contract duration may not reflect long-term needs.

Positive Signals

Procurement completed under established procedures.
Clear awardee and contract type.

Sector Analysis

The acquisition falls under the Manufacturing sector, specifically Saw Blade and Handtool Manufacturing (NAICS 332216). Spending benchmarks for this sector vary widely based on product type and volume. This award appears to be for a significant quantity or specialized items.

Small Business Impact

The awardee is Norex Group, LLC. It is unclear from the provided data whether Norex Group, LLC is a small business. Further investigation is needed to determine the impact on small business participation.

Oversight & Accountability

The General Services Administration (GSA) is responsible for this award. Oversight would involve ensuring the terms of the purchase order are met and that the pricing remains fair throughout the contract period.

Related Government Programs

Saw Blade and Handtool Manufacturing
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Potential lack of robust competition.
Questionable use of SAP for a large award.
Lack of detailed itemization for value assessment.
Uncertainty regarding small business participation.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3,749.1 to NOREX GROUP, LLC. INSERT,TOOL BOX,POR

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 $3,749.1.

What is the period of performance?

Start: 2026-04-03. End: 2026-09-30.

What is the specific breakdown of items and their respective unit costs within this $3.75 million award?

The provided data lacks a detailed breakdown of specific items and their unit costs. Understanding the exact quantities and types of tool boxes and saw blades procured is crucial for a thorough value assessment. Without this granular information, it's challenging to benchmark against market prices or determine if the $3.75 million represents a fair deal for the government.

What were the specific criteria for using Simplified Acquisition Procedures (SAP) for an award of this magnitude?

Simplified Acquisition Procedures are typically used for purchases below certain thresholds (e.g., $250,000, though this can vary). An award of $3.75 million significantly exceeds these standard thresholds. The justification for using SAP in this instance requires further scrutiny to ensure compliance with procurement regulations and to confirm that a more competitive process wasn't bypassed inappropriately.

How does the fixed-price contract structure mitigate risks associated with potential cost overruns for these tools?

A Firm Fixed Price (FFP) contract shifts the risk of cost overruns to the contractor, Norex Group, LLC. This structure is generally beneficial for the government as it provides cost certainty. However, the initial price must be fair and reasonable. If the government did not adequately research market prices, the FFP could still result in paying an inflated price, even without cost overruns.

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: $3,749

Exercised Options: $3,749

Current Obligation: $3,749

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline