GSA awards $2,355 purchase order for specialized fiber optic cable strippers to Rite-Kem, Inc

Contract Overview

Contract Amount: $2,355 ($2.4K)

Contractor: Rite-Kem, Inc.

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-05-13

Contract Duration: 40 days

Daily Burn Rate: $59/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: STRIPPER, FIBER OPTIC, HAND: BLADES: 2 BLADE TYPE: OPPOSED RAZOR SHARP USED TO: STRIP THE OUTER JACKET OF A TFOCA M85045/8A TACTICAL FIBER OPTIC CABLE WITHOUT DAMAGING BUFFER OR GLASS FIBER (PARTIAL DESCRIPTION)

Place of Performance

Location: TUPELO, LEE County, MISSISSIPPI, 38801

State: Mississippi Government Spending

Plain-Language Summary

General Services Administration obligated $2,355 to RITE-KEM, INC. for work described as: STRIPPER, FIBER OPTIC, HAND: BLADES: 2 BLADE TYPE: OPPOSED RAZOR SHARP USED TO: STRIP THE OUTER JACKET OF A TFOCA M85045/8A TACTICAL FIBER OPTIC CABLE WITHOUT DAMAGING BUFFER OR GLASS FIBER (PARTIAL DESCRIPTION) Key points: 1. The contract value of $2,355 is relatively small, suggesting a focus on specific, low-volume equipment. 2. Awarded as a purchase order under simplified acquisition procedures, indicating a streamlined procurement process. 3. The 'NOT COMPETED UNDER SAP' designation suggests potential limitations in the competitive landscape for this specific item. 4. The item's specialized nature for tactical fiber optic cable suggests a critical role in telecommunications or defense infrastructure. 5. The short duration of the contract (40 days) points to an immediate need or a pilot purchase. 6. The firm fixed-price contract type mitigates cost overrun risks for the government.

Value Assessment

Rating: questionable

The awarded amount of $2,355 for a specialized fiber optic cable stripper is difficult to benchmark without more detailed market data. However, the lack of competition and the specific nature of the tool suggest that pricing might not be optimized. The purchase order format for such a specialized item could indicate a lack of readily available alternatives or a need for a very specific solution, potentially leading to a less competitive price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was not competed under Simplified Acquisition Procedures (SAP), and the specific competition details are not provided. This lack of explicit competition information makes it challenging to assess the extent of market engagement. It is unclear if other vendors were solicited or if this was a sole-source or limited competition award.

Taxpayer Impact: When a contract is not fully competed, taxpayers may not benefit from the most competitive pricing, potentially leading to higher costs for specialized equipment.

Public Impact

This purchase likely benefits personnel involved in the maintenance or deployment of tactical fiber optic networks, potentially within defense or telecommunications sectors. The service delivered is the provision of a specialized tool essential for preparing fiber optic cables for use or repair. The geographic impact is localized to the delivery point specified by the General Services Administration (GSA) for this purchase order. Workforce implications are minimal, primarily affecting the supplier's operations and potentially end-users who require this specific tool.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of clear competition data raises concerns about potential overpayment.
The specialized nature of the tool might limit the pool of qualified suppliers, impacting price discovery.
Reliance on a single purchase order for a critical component could pose supply chain risks if not managed proactively.

Positive Signals

The firm fixed-price contract type protects against cost increases.
The GSA's involvement suggests adherence to established procurement standards.
The item's specific function indicates a targeted solution for a defined need.

Sector Analysis

This contract falls within the 'Office Supplies (except Paper) Manufacturing' sector, specifically related to specialized tools for telecommunications infrastructure. The market for such niche tools is often characterized by a limited number of manufacturers or distributors capable of meeting stringent technical specifications. Comparable spending benchmarks are difficult to establish due to the highly specialized nature of the product.

Small Business Impact

There is no indication that this contract was set aside for small businesses, nor is there information on subcontracting requirements. The small value of the purchase order suggests it may not be a significant opportunity for large-scale subcontracting.

Oversight & Accountability

As a purchase order issued by the General Services Administration (GSA), this transaction is subject to GSA's internal oversight and audit procedures. Transparency is limited by the nature of simplified acquisition, but records are maintained within GSA's procurement systems. Inspector General oversight would apply if any fraud or mismanagement were suspected.

Related Government Programs

Tactical Fiber Optic Cables
Telecommunications Equipment Procurement
GSA Schedule Purchases
Simplified Acquisition Procedures

Risk Flags

Lack of Competition
Potential for Non-Competitive Pricing
Limited Market Research Indication

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $2,355 to RITE-KEM, INC.. STRIPPER, FIBER OPTIC, HAND: BLADES: 2 BLADE TYPE: OPPOSED RAZOR SHARP USED TO: STRIP THE OUTER JACKET OF A TFOCA M85045/8A TACTICAL FIBER OPTIC CABLE WITHOUT DAMAGING BUFFER OR GLASS FIBER (PARTIAL DESCRIPTION)

Who is the contractor on this award?

The obligated recipient is RITE-KEM, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2,355.

What is the period of performance?

Start: 2026-04-03. End: 2026-05-13.

What is the specific technical requirement for this fiber optic cable stripper, and why is it specialized?

The fiber optic cable stripper is designed to precisely remove the outer jacket of TFOCA M85045/8A tactical fiber optic cables. Its specialization lies in its ability to strip the jacket without damaging the underlying buffer or the delicate glass fiber. This precision is crucial for maintaining the integrity and performance of tactical fiber optic communication lines, which are often deployed in harsh environments and require reliable data transmission. Standard strippers may lack the fine control needed for these specific cable types, potentially leading to signal degradation or cable failure.

What is the typical market price for such specialized fiber optic cable strippers?

Determining a typical market price for this highly specialized fiber optic cable stripper is challenging without access to a broader market analysis or multiple vendor quotes. Specialized tools often command higher prices due to the engineering, materials, and quality control required for their precise function. While $2,355 for a single unit might seem high, it could be within the expected range if it represents a high-precision, durable tool designed for demanding tactical applications. However, the lack of competition in this award prevents a definitive value assessment against market alternatives.

What are the risks associated with awarding a purchase order for specialized equipment without clear competition?

The primary risk associated with awarding a purchase order without clear competition is the potential for paying a non-competitive price, meaning the government might overpay for the item. This lack of competition can also limit the government's access to innovative solutions or alternative suppliers that might offer better value or performance. Furthermore, it raises questions about whether the government fully explored the market to ensure it obtained the best possible deal. For specialized equipment, this risk is amplified if only a few entities can produce the item.

How does the GSA Federal Acquisition Service typically procure specialized tools like this?

The GSA Federal Acquisition Service (FAS) procures a wide range of supplies and services, including specialized tools. For items under the Simplified Acquisition Threshold (SAT), like this $2,355 purchase, GSA often utilizes streamlined procedures. This can include issuing purchase orders directly or through pre-competed GSA Schedules. The 'NOT COMPETED UNDER SAP' notation suggests that while SAP procedures were generally followed, this specific award may have had unique circumstances, such as a limited vendor pool or a specific requirement that precluded broader competition within the SAP framework. GSA aims for efficiency while ensuring fair and reasonable pricing.

What is the significance of the 'NOT COMPETED UNDER SAP' designation for this contract?

The 'NOT COMPETED UNDER SAP' designation is significant because it indicates that the standard competitive procedures typically associated with Simplified Acquisition Procedures (SAP) were not fully applied or were bypassed for this specific award. While SAP is designed for efficiency in procuring goods and services below a certain dollar threshold (currently $250,000), it still generally requires seeking quotes from multiple sources. This designation suggests that either the item was procured through a different, potentially less competitive, method (like a sole-source justification or a specific exception) or that the competition was limited in a way that deviates from the norm for SAP procurements. This raises questions about the extent of market research and vendor solicitation.

Industry Classification

NAICS: Manufacturing › Other Miscellaneous Manufacturing › Office Supplies (except Paper) Manufacturing

Product/Service Code: OFFICE SUPPLIES AND DEVICES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 703 WESTMORELAND DR, TUPELO, MS, 38801

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,355

Exercised Options: $2,355

Current Obligation: $2,355

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline