Ponderosa Packaging Corp. awarded $6,180 for a small shipping and storage system in New York

Contract Overview

Contract Amount: $6,180 ($6.2K)

Contractor: Ponderosa Packaging Corp.

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-05-15

Contract Duration: 42 days

Daily Burn Rate: $147/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SHIPPING AND STORAGE SYSTEM (SIZE SMALL, EUROPEAN): - SEE ATTACHED DOCUMENT FOR DETAIL.

Place of Performance

Location: MELVILLE, SUFFOLK County, NEW YORK, 11747

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $6,180 to PONDEROSA PACKAGING CORP. for work described as: SHIPPING AND STORAGE SYSTEM (SIZE SMALL, EUROPEAN): - SEE ATTACHED DOCUMENT FOR DETAIL. Key points: 1. The contract value is relatively small, suggesting a specific, limited need. 2. Competition under SAP (Simplified Acquisition Procedures) indicates a streamlined process for smaller purchases. 3. The short duration (42 days) points to an immediate or short-term requirement. 4. The firm fixed-price contract type helps manage cost certainty for the government. 5. The purchase order award mechanism is typical for smaller, less complex acquisitions. 6. The North American Industry Classification System (NAICS) code 334111 relates to electronic computer manufacturing, which seems incongruous with 'shipping and storage system' and warrants further investigation.

Value Assessment

Rating: fair

The contract value of $6,180 is very low, making direct comparison to larger contracts difficult. Given the small size and short duration, it's challenging to benchmark value without more detail on the specific 'shipping and storage system.' The firm fixed-price nature provides some cost control. However, the apparent mismatch between the NAICS code and the service description raises a flag regarding the appropriateness of the pricing or the classification.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves a less formal bidding process than full and open competition. While the specific number of bidders is not provided, SAP is generally used for purchases under the simplified acquisition threshold, where competition may be more limited. This approach aims for efficiency for smaller buys but may not always yield the lowest possible price.

Taxpayer Impact: For taxpayers, competition under SAP can be efficient for small purchases, but the potential for less robust price discovery means there's a risk that the government might not achieve the absolute best price compared to a fully competed large contract.

Public Impact

The primary beneficiary is likely the General Services Administration (GSA) Federal Acquisition Service, which procured the system. The service delivered is a 'shipping and storage system (size small, European)', the specifics of which are detailed in an attached document. The geographic impact is localized to New York (NY), where the contractor Ponderosa Packaging Corp. is based. There are no immediate workforce implications apparent from this small purchase order.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential mismatch between NAICS code (Electronic Computer Manufacturing) and the description (Shipping and Storage System).
Lack of detail on the specific 'shipping and storage system' makes it difficult to assess value and suitability.
Limited competition under SAP may not guarantee the most competitive pricing.
Short contract duration could indicate a temporary solution or a need for rapid deployment, potentially increasing costs.

Positive Signals

Firm fixed-price contract provides cost certainty.
Small contract value suggests a focused, manageable requirement.
Awarded to Ponderosa Packaging Corp., indicating a potential existing relationship or capability.
The system is specified as 'European,' suggesting adherence to specific standards or requirements.

Sector Analysis

The procurement falls under general supplies and services, likely within the broader category of logistics and support. The NAICS code 334111 (Electronic Computer Manufacturing) is unusual for a shipping and storage system, suggesting a potential misclassification or a highly specialized component related to electronics packaging. Comparable spending benchmarks are difficult to establish without knowing the exact nature of the 'shipping and storage system.' However, for small, specialized equipment purchases, values typically range from a few thousand to tens of thousands of dollars.

Small Business Impact

There is no indication that this contract was a small business set-aside. Ponderosa Packaging Corp. is listed as the contractor, and without further information, their size status is unknown. The small value of the contract might be within the reach of small businesses, but the lack of set-aside designation means it was likely competed more broadly within the SAP framework.

Oversight & Accountability

Oversight for this purchase order would typically be managed by the procuring agency, the General Services Administration (GSA), specifically the Federal Acquisition Service. Accountability is ensured through the firm fixed-price contract terms and the purchase order process. Transparency is limited due to the nature of SAP procurements and the lack of detailed public information beyond the basic award data. Inspector General jurisdiction would apply if any fraud or mismanagement were suspected.

Related Government Programs

GSA Schedules
Federal Supply Service Contracts
Logistics and Supply Chain Management Services
Packaging and Crating Services

Risk Flags

NAICS Code Mismatch
Lack of Detailed Specification
Limited Competition Documentation

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $6,180 to PONDEROSA PACKAGING CORP.. SHIPPING AND STORAGE SYSTEM (SIZE SMALL, EUROPEAN): - SEE ATTACHED DOCUMENT FOR DETAIL.

Who is the contractor on this award?

The obligated recipient is PONDEROSA PACKAGING CORP..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $6,180.

What is the period of performance?

Start: 2026-04-03. End: 2026-05-15.

What is the specific nature of the 'shipping and storage system (size small, European)' and why is it classified under NAICS code 334111 (Electronic Computer Manufacturing)?

The exact specifications of the 'shipping and storage system (size small, European)' are not publicly detailed beyond the description provided in the data. The classification under NAICS code 334111, 'Electronic Computer Manufacturing,' appears incongruous with a shipping and storage system. This discrepancy could stem from several possibilities: the system might be designed specifically for shipping or storing electronic computer components, requiring specialized materials or features; the system itself might incorporate electronic components for tracking, environmental control, or security; or there may have been a clerical error in assigning the NAICS code during the procurement process. Further investigation into the attached document or direct inquiry with the GSA Federal Acquisition Service would be necessary to clarify this classification and the system's true purpose.

How does the $6,180 contract value compare to typical spending for similar shipping and storage solutions?

The contract value of $6,180 is relatively low, suggesting a small-scale or highly specialized requirement. Benchmarking this against typical spending for shipping and storage solutions is challenging without knowing the precise nature of the system. Standard shipping containers or basic storage units can range significantly in price. However, for specialized, 'European-sized' systems, especially if they involve specific protective features for sensitive goods (potentially linking back to the electronic manufacturing NAICS code), this price point might be reasonable for a single unit or a small batch. Larger, more robust, or automated systems would command substantially higher prices, often in the tens or hundreds of thousands of dollars.

What are the potential risks associated with a contract competed under Simplified Acquisition Procedures (SAP)?

Contracts competed under Simplified Acquisition Procedures (SAP), typically for purchases under $250,000, offer efficiency and speed but carry certain risks. The primary risk is potentially reduced price competition, as the bidding process is less formal and may involve fewer vendors compared to full and open competition. This can lead to the government paying a higher price than might be achievable through a more extensive solicitation. Additionally, the streamlined nature might mean less rigorous vetting of vendor capabilities or past performance, potentially increasing the risk of delivery delays, quality issues, or non-compliance. Oversight and documentation may also be less comprehensive, making it harder to track performance and identify issues post-award.

What is Ponderosa Packaging Corp.'s track record with federal contracts, particularly with the GSA?

Information regarding Ponderosa Packaging Corp.'s specific track record with federal contracts, especially with the General Services Administration (GSA), is not detailed in the provided data. This single purchase order award of $6,180 is a minimal data point. To assess their track record, one would need to consult federal procurement databases like SAM.gov or FPDS to identify other contracts awarded to this entity, their values, agencies involved, performance history, and any reported issues. Without this broader context, it's impossible to evaluate their reliability, experience, or past performance effectively.

Given the short duration (42 days), what does this imply about the urgency or nature of the requirement?

The contract's short duration of 42 days (from May 15, 2026, to April 3, 2026, which appears to be a typo and should likely be May 15, 2026, to June 26, 2026, assuming a 42-day period starting April 3rd or ending May 15th) strongly suggests an immediate or short-term need. This could indicate a temporary requirement, such as supporting a specific event, a pilot program, a short-term project, or filling an urgent gap in existing resources. It might also imply that the 'shipping and storage system' is a consumable or a temporary setup rather than a long-term infrastructure investment. Such short durations often accompany purchases made under SAP due to the need for rapid fulfillment.

Industry Classification

NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing

Product/Service Code: OFFICE SUPPLIES AND DEVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 260 SPAGNOLI RD, MELVILLE, NY, 11747

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

Financial Breakdown

Contract Ceiling: $6,180

Exercised Options: $6,180

Current Obligation: $6,180

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline