GSA awards $6.9M for saw blades and handtools, with 2 bidders competing for a 90-day firm-fixed-price contract

Contract Overview

Contract Amount: $6,907 ($6.9K)

Contractor: Lawson Products, Inc.

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-07-02

Contract Duration: 90 days

Daily Burn Rate: $77/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PARTSMASTER-PM77340003

Place of Performance

Location: DALLAS, DALLAS County, TEXAS, 75227

State: Texas Government Spending

Plain-Language Summary

General Services Administration obligated $6,907.16 to LAWSON PRODUCTS, INC. for work described as: PARTSMASTER-PM77340003 Key points: 1. Value appears reasonable given the short duration and fixed-price nature. 2. Competition was limited to two bidders, potentially impacting price discovery. 3. Risk indicators are low due to the short contract term and standard supplies. 4. Performance context suggests a need for routine maintenance and operational tools. 5. Sector positioning is within the industrial supplies category for government agencies.

Value Assessment

Rating: good

The contract value of $6.9 million for a 90-day period for saw blades and handtools seems within a reasonable range for bulk government procurement. While specific per-unit cost benchmarks are not provided, the firm-fixed-price structure suggests that the contractor assumed the risk for cost overruns. The limited competition, however, makes a definitive value-for-money assessment challenging without further market data. Compared to similar procurements for industrial tools, this award appears to be in line with expectations for a rapid acquisition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under the Simplified Acquisition Procedures (SAP), which allows for less formal competition than full and open procedures. With only two bidders participating, the level of competition was limited. This suggests that while some price discovery occurred, it may not have reached the optimal level achievable with a larger pool of interested vendors. The GSA likely leveraged existing contract vehicles or market research to solicit these bids.

Taxpayer Impact: Limited competition means taxpayers may not have benefited from the lowest possible prices that a more robust bidding process could have yielded. The government may have paid a premium due to the restricted number of offers.

Public Impact

Federal agencies requiring maintenance and operational tools will benefit from this contract. The services delivered include the provision of saw blades and various handtools. The geographic impact is primarily within Texas (ST='TX', SN='TEXAS'), where the contractor is located, but supplies can be distributed nationwide. Workforce implications are minimal, likely involving logistics and distribution personnel for the supplier.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition could lead to higher prices for taxpayers.
Reliance on a single supplier for specific tool types could pose a future risk if not managed.
The short duration might indicate a gap-filling or urgent need, requiring careful monitoring of future requirements.

Positive Signals

Firm-fixed-price contract shifts cost risk to the contractor.
Short contract duration minimizes long-term financial commitment and allows for re-competition.
Procurement under SAP suggests efficiency and potentially faster delivery of needed supplies.

Sector Analysis

This contract falls within the industrial and commercial machinery and equipment sector, specifically focusing on tools and hardware. The market for these supplies is mature and competitive, with numerous manufacturers and distributors. Government spending in this area is consistent, supporting the operational needs of various federal agencies. Benchmarks for similar procurements often involve bulk purchasing agreements for standardized items, where price and delivery time are key factors.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (SB=false). Lawson Products, Inc. is a large business. There is no explicit information on subcontracting plans for small businesses within this award. The impact on the small business ecosystem is neutral, as it does not appear to involve set-asides or direct subcontracting opportunities for small firms.

Oversight & Accountability

Oversight for this contract is managed by the General Services Administration (GSA), specifically its Federal Acquisition Service. As a purchase order under SAP, it likely falls under standard GSA procurement policies and procedures. Accountability is ensured through the firm-fixed-price agreement and delivery terms. Transparency is facilitated by the public availability of contract awards, though detailed internal justifications for competition levels may not be public.

Related Government Programs

Federal Supply Schedule (FSS) for Industrial Products
Maintenance, Repair, and Operations (MRO) Supplies Procurement
General Services Administration (GSA) Acquisition Programs

Risk Flags

Limited competition may result in suboptimal pricing.
Short contract duration requires careful planning for future needs.
Reliance on specific tool types could pose supply chain risks if not diversified.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $6,907.16 to LAWSON PRODUCTS, INC.. PARTSMASTER-PM77340003

Who is the contractor on this award?

The obligated recipient is LAWSON PRODUCTS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $6,907.16.

What is the period of performance?

Start: 2026-04-03. End: 2026-07-02.

What is the track record of Lawson Products, Inc. as a federal contractor?

Lawson Products, Inc. has a history of receiving federal contracts, primarily through the General Services Administration (GSA) and other agencies. Their awards typically involve industrial supplies, tools, and maintenance equipment. Analyzing their past performance data, including on-time delivery rates, quality of goods, and responsiveness to federal requirements, would provide a clearer picture of their reliability. While specific details of past issues or commendations are not provided in this summary, a review of their contract history on federal procurement databases would reveal patterns of performance and any significant deviations from contractual obligations. Their consistent presence suggests a capability to meet government demands, but a deeper dive into specific contract close-outs and performance evaluations is necessary for a comprehensive assessment.

How does the $6.9 million value compare to similar federal procurements for saw blades and handtools?

Direct comparison of the $6.9 million value is difficult without specific details on the quantity, type, and quality of saw blades and handtools procured. However, considering this is for a 90-day period, it represents a significant expenditure for a short timeframe, suggesting either a large quantity purchase or the inclusion of specialized, high-value tools. Federal agencies often procure such items through various channels, including GSA Schedules, Indefinite Delivery/Indefinite Quantity (IDIQ) contracts, and direct purchase orders. The value should be benchmarked against the average price per unit for comparable items purchased by agencies of similar size and mission. The limited competition (2 bidders) also complicates a direct value assessment, as it may not reflect the lowest achievable market price.

What are the primary risks associated with this specific contract award?

The primary risks associated with this contract are related to the limited competition and the short duration. Limited competition (only two bidders) increases the risk that the government did not secure the most favorable pricing, potentially leading to overspending. The short 90-day duration, while minimizing long-term financial exposure, might indicate an urgent or temporary need. If this is a recurring need, the government risks becoming dependent on a limited supplier pool or facing price increases upon re-competition. Additionally, as with any supply contract, there's a risk of delivery delays or quality issues, although the firm-fixed-price structure mitigates financial risk for the government in such cases. The specific nature of the tools and their criticality to agency operations would further define operational risks.

How effective is the Simplified Acquisition Procedures (SAP) in ensuring fair pricing for this type of procurement?

Simplified Acquisition Procedures (SAP) are designed for procurements under the simplified acquisition threshold (SAT), aiming for efficiency and speed. While SAP can be effective in acquiring common goods and services quickly, its effectiveness in ensuring fair pricing is contingent on the level of competition generated. For procurements like this one, which involved only two bidders, the price discovery mechanism might be less robust than under full and open competition. SAP allows for various methods of soliciting quotes, and the agency's diligence in reaching out to potential sources significantly impacts fairness. If the agency actively sought multiple quotes from qualified vendors, even within the SAP framework, fair pricing is more likely. However, with only two offers, there's an inherent risk that prices could be higher than if more vendors had competed.

What are the historical spending patterns for saw blades and handtools by the General Services Administration?

The General Services Administration (GSA) consistently spends significant amounts on industrial supplies, including saw blades and handtools, to support federal agencies. Historical spending patterns reveal a steady demand for these items, often fulfilled through GSA's Federal Supply Schedules (FSS) and direct purchase programs. GSA aims to leverage its purchasing power to obtain competitive pricing. Analyzing past spending data would show trends in contract values, average prices paid for specific items, and the distribution of awards among different contractors and contract types. This specific $6.9 million award for a 90-day period appears to be a substantial, potentially bulk, purchase rather than routine replenishment, suggesting a specific project or surge in demand.

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: 4695 CLOVER HAVEN ST, DALLAS, TX, 75227

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,907

Exercised Options: $6,907

Current Obligation: $6,907

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline