GSA awards $8.4M purchase order for handtools, but competition was limited

Contract Overview

Contract Amount: $8,400 ($8.4K)

Contractor: Kaufman Company, Inc.

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-05-13

Contract Duration: 40 days

Daily Burn Rate: $210/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DESK,FIELD

Place of Performance

Location: NORWOOD, NORFOLK County, MASSACHUSETTS, 02062

State: Massachusetts Government Spending

Plain-Language Summary

General Services Administration obligated $8,399.97 to KAUFMAN COMPANY, INC. for work described as: DESK,FIELD Key points: 1. Value for money is difficult to assess due to limited competition. 2. The contract was not competed under the simplified acquisition procedures. 3. Pricing appears to be at market rates, but benchmarking is limited. 4. Performance is expected to be standard for this type of procurement. 5. The contract falls within the manufacturing sector for industrial supplies. 6. The duration of the contract is relatively short at 40 days.

Value Assessment

Rating: fair

The total award amount of $8,399.97 for handtools is modest. Without more detailed line-item information or comparison to similar recent awards, a precise value-for-money assessment is challenging. However, the fixed-price nature of the contract shifts some risk to the contractor. Given the limited competition, it's difficult to definitively state if the pricing is optimal, but it is presumed to be within acceptable market ranges for the specified items.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a sole-source purchase order, meaning it was not competed. The data indicates it was 'NOT COMPETED UNDER SAP,' suggesting it may have bypassed standard competitive processes. The lack of competition means there was no opportunity for multiple vendors to bid, potentially limiting price discovery and the government's ability to secure the best possible terms.

Taxpayer Impact: The absence of competition means taxpayers may not have benefited from the cost savings that could arise from a more robust bidding process.

Public Impact

Federal agencies requiring handtools and saw blades will benefit from this award. The services delivered include the provision of essential tools for various operational needs. The geographic impact is likely nationwide, as the General Services Administration serves federal entities across the country. Workforce implications are minimal, as this is a supply contract rather than a service requiring significant labor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpayment.
Limited transparency into the sole-source justification.
Potential for missed opportunities to engage small businesses.

Positive Signals

Fixed-price contract provides cost certainty.
Awarded by a reputable agency (GSA).
Items procured are standard industrial supplies.

Sector Analysis

This contract falls within the industrial and manufacturing sector, specifically related to the production and distribution of handtools and saw blades (NAICS 332216). The market for these goods is generally competitive, with numerous manufacturers and distributors. The GSA's Federal Acquisition Service often procures such items through various contract vehicles to meet the needs of federal agencies. The value of this specific award is relatively small within the broader context of federal procurement for industrial supplies.

Small Business Impact

The data indicates that small business participation was not a factor in this award (ss: false, sb: false). As this was a sole-source procurement, there was no specific set-aside for small businesses. This means that opportunities for small businesses to compete for or subcontract on this particular award were likely nonexistent, potentially limiting their access to federal contracts.

Oversight & Accountability

Oversight for this purchase order would typically fall under the General Services Administration's internal procurement policies and procedures. As it is a sole-source award, the justification for not competing it would be subject to review. Transparency is limited due to the lack of a competitive bidding process. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

General Services Administration Procurement
Federal Supply Schedule Purchases
Industrial Supplies Procurement
Purchase Orders

Risk Flags

Limited Competition
Sole-Source Award

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $8,399.97 to KAUFMAN COMPANY, INC.. DESK,FIELD

Who is the contractor on this award?

The obligated recipient is KAUFMAN COMPANY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $8,399.97.

What is the period of performance?

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

What is the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT COMPETED UNDER SAP' and awarded as a sole-source purchase order. Without further documentation or context from the General Services Administration (GSA), the specific justification for this sole-source award remains unclear. Typically, sole-source awards are justified under specific circumstances, such as when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. The absence of competition suggests that either these conditions were met, or the procurement process deviated from standard competitive procedures. Further inquiry with the GSA would be necessary to ascertain the precise rationale.

How does the pricing of these handtools compare to similar GSA Schedule contracts?

Benchmarking the pricing for these handtools against similar GSA Schedule contracts is challenging with the provided data alone. The award amount is $8,399.97 for a variety of items, and the specific item details are not listed. GSA Schedules often offer pre-negotiated, competitive pricing. However, since this was a sole-source award and not explicitly stated to be from a GSA Schedule, direct price comparison is difficult. To perform a robust comparison, one would need the specific item numbers, quantities, and unit prices from this award and cross-reference them with current GSA Schedule offerings for comparable tools from different vendors. Without this granular data, we can only infer that the pricing is likely within a reasonable market range, but not necessarily the most competitive available.

What are the potential risks associated with a sole-source award for industrial supplies?

The primary risk associated with a sole-source award for industrial supplies is the potential for the government to pay a higher price than would be achievable through a competitive bidding process. Without competing offers, there is less incentive for the contractor to offer the lowest possible price. Additionally, a sole-source award can limit the government's access to innovative solutions or alternative products that might be offered by other vendors. There's also a risk of reduced vendor performance accountability, as the government has fewer options if the sole-source provider fails to meet expectations. Finally, it can create an uneven playing field, potentially excluding small businesses or new entrants from the market.

What is the historical spending pattern for handtools and saw blades by the General Services Administration?

Historical spending patterns for handtools and saw blades by the General Services Administration (GSA) are likely substantial, given GSA's role in procuring common-use items for federal agencies. GSA often utilizes its Federal Supply Schedules (FSS) to provide these types of goods, which are competitively awarded and available for agencies to order from. While this specific $8.4 million purchase order is a single transaction, GSA's overall spending on tools and hardware through various contract vehicles would encompass millions of dollars annually. Analyzing past GSA spending data, particularly within NAICS code 332216 (Saw Blade and Handtool Manufacturing), would reveal trends in contract types, average award values, and the prevalence of competitive versus sole-source awards. This specific award, being sole-source and relatively small in value, might represent an exception or a specific need rather than a broad trend.

How does the contract duration of 40 days impact the overall value and risk?

A contract duration of 40 days is exceptionally short, indicating a rapid fulfillment requirement for these handtools. This short duration minimizes long-term risks associated with vendor performance, market fluctuations, or obsolescence of the goods. For the government, it means the need is immediate and the delivery window is tight. From a value perspective, such a short timeframe might limit the contractor's ability to optimize production or logistics, potentially influencing pricing, though the sole-source nature complicates this assessment. It suggests this is likely an urgent, spot purchase rather than a sustained supply agreement, reducing the overall financial exposure and the need for extensive oversight over an extended period.

Industry Classification

NAICS: Manufacturing › Cutlery and Handtool Manufacturing › Saw Blade and Handtool Manufacturing

Product/Service Code: MEASURING TOOLS

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: 19 WALKHILL RD, NORWOOD, MA, 02062

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

Financial Breakdown

Contract Ceiling: $8,400

Exercised Options: $8,400

Current Obligation: $8,400

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline