GSA awards $3,537 contract for contemporary steel credenza, highlighting furniture procurement efficiency

Contract Overview

Contract Amount: $3,537 ($3.5K)

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: $59/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 $3,537.1 to NOREX GROUP, LLC for work described as: CREDENZA CONTEMPORARYSTEEL TWO SECTIONS ANDKNEESPACE 60'' WIDE BLACK Key points: 1. Value-for-money assessment indicates a fair price for specialized office furniture. 2. Competition dynamics suggest a standard procurement process for office supplies. 3. Risk indicators are low, typical for established furniture acquisition. 4. Performance context points to routine delivery of standard office equipment. 5. Sector positioning places this within the broader federal office supply market.

Value Assessment

Rating: fair

The contract price of $3,537.10 for a 60-inch wide black steel credenza appears within a reasonable range for commercial office furniture. Benchmarking against similar federal solicitations for comparable items suggests this price is not excessively high. However, without detailed specifications on materials and construction, a precise value-for-money assessment is challenging. The fixed-price nature of the award provides cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under the Simplified Acquisition Procedures (SAP), indicating a full and open competition for acquisitions below a certain threshold. The presence of two bidders suggests a degree of competition, which is generally positive for price discovery. However, the limited number of bidders might also suggest that the market for this specific item, or the way it was advertised, attracted only a few interested parties.

Taxpayer Impact: For taxpayers, a competed award under SAP generally ensures a competitive price, preventing overpayment for standard office furnishings. The efficiency of SAP also means lower administrative costs associated with the procurement process.

Public Impact

Federal employees in California will benefit from updated office furniture. The service delivered is the provision of a specific piece of office furniture. The geographic impact is localized to a federal facility in California. Workforce implications are minimal, related to the installation of the credenza.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for higher prices due to limited competition if market is niche.
Delivery timelines could be impacted by supply chain issues for specialized items.

Positive Signals

Awarded through a competitive process, ensuring some level of price vetting.
Fixed-price contract provides budget certainty for the agency.
Procurement falls under GSA's established Federal Acquisition Service, indicating adherence to standard procedures.

Sector Analysis

This contract falls within the broader office furniture and equipment sector, a significant segment of federal procurement. The General Services Administration (GSA) manages a vast array of contracts for office furnishings, aiming to provide agencies with cost-effective and compliant solutions. Comparable spending benchmarks for office furniture can vary widely based on item type, quantity, and customization, but this award represents a typical transaction for a single, specialized piece of furniture.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. The award to NOREX GROUP, LLC does not inherently exclude small business participation in their supply chain, but without explicit set-aside provisions or reporting, the direct impact on the small business ecosystem is not quantifiable from this data alone.

Oversight & Accountability

Oversight for this contract is managed by the General Services Administration (GSA) through its Federal Acquisition Service. As a purchase order under the Simplified Acquisition Procedures, it is subject to standard procurement regulations and internal GSA controls. Transparency is maintained through federal procurement databases where contract awards are recorded. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

GSA Office Furniture Procurement
Federal Office Supply Contracts
General Services Administration Acquisition

Risk Flags

Potential for limited competition due to item specificity.
Reliance on GSA schedules may not always yield the lowest price.
Data lacks detailed specifications for precise value benchmarking.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3,537.1 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 $3,537.1.

What is the period of performance?

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

What is the track record of NOREX GROUP, LLC in fulfilling federal contracts, particularly for office furniture?

Information regarding NOREX GROUP, LLC's specific track record for federal contracts, especially for office furniture, is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), the number and value of previous awards, and any history of contract disputes or terminations. Without this external data, it's difficult to gauge their reliability and past success in meeting federal requirements for similar items. Their award of this purchase order suggests they met the basic qualifications for the solicitation.

How does the price of this credenza compare to similar items purchased by other federal agencies?

The price of $3,537.10 for the credenza is difficult to benchmark precisely without detailed specifications and market research data. Federal agencies procure a wide range of office furniture, with prices varying significantly based on material, dimensions, features, and manufacturer. While this price appears reasonable for a specialized steel credenza, a true comparison would involve analyzing recent awards for items with identical or very similar specifications across different agencies and contract vehicles. The fact that it was competed under SAP suggests an effort to achieve a competitive price within the simplified acquisition framework.

What are the primary risks associated with this contract, and how are they mitigated?

The primary risks associated with this contract are relatively low, typical for the procurement of standard office furniture. Potential risks include delivery delays due to supply chain disruptions or contractor performance issues, and the risk that the delivered item may not perfectly meet the agency's aesthetic or functional needs if specifications were not sufficiently detailed. Mitigation strategies include the fixed-price contract, which incentivizes the contractor to deliver on time and within budget. The GSA's oversight and the competitive nature of the award also serve as risk mitigators, as contractors are generally motivated to maintain a good performance record for future opportunities.

How effective is the Simplified Acquisition Procedures (SAP) in ensuring value for money for items like this credenza?

The Simplified Acquisition Procedures (SAP) are designed to streamline the procurement process for acquisitions below certain dollar thresholds (typically $250,000), aiming for efficiency and cost-effectiveness. For items like this credenza, SAP can be effective in achieving value for money by reducing administrative burden and encouraging competition among a broader range of vendors, including small businesses. The requirement for at least two bids under SAP helps in price discovery. However, the effectiveness is contingent on proper market research and solicitation practices to ensure genuine competition and fair pricing.

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 for the federal government, with historical spending patterns reflecting significant investment in equipping federal workspaces. GSA utilizes various contract vehicles, including Multiple Award Schedules (MAS) and other IDIQ contracts, to facilitate furniture purchases. Annual spending on office furniture by GSA can run into hundreds of millions of dollars, covering a vast array of items from basic chairs and desks to specialized storage solutions and executive suites. This specific award represents a small fraction of that overall spending.

Are there any specific performance metrics or deliverables tied to this purchase order beyond the delivery of the credenza?

Based on the provided data, the primary deliverable for this purchase order is the physical delivery of the 'CREDENZA CONTEMPORARYSTEEL TWO SECTIONS ANDKNEESPACE 60'' WIDE BLACK'. The data does not indicate any specific performance metrics beyond successful delivery within the specified timeframe (June 2, 2026). Standard purchase orders typically focus on the timely and correct fulfillment of the item description. Acceptance of the item by the government would likely constitute fulfillment, unless specific installation or quality assurance clauses were included in the underlying contract or solicitation terms.

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: $3,537

Exercised Options: $3,537

Current Obligation: $3,537

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline