GSA Awards $7.7M for Abrasive Cloth, Sole Source Contract to LYEV, LLC

Contract Overview

Contract Amount: $7,689 ($7.7K)

Contractor: Lyev, LLC

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-06-02

Contract Duration: 60 days

Daily Burn Rate: $128/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CLOTH,ABRASIVE

Place of Performance

Location: ROSEVILLE, MACOMB County, MICHIGAN, 48066

State: Michigan Government Spending

Plain-Language Summary

General Services Administration obligated $7,688.5 to LYEV, LLC for work described as: CLOTH,ABRASIVE Key points: 1. Contract awarded for abrasive cloth, a common industrial supply. 2. LYEV, LLC is the sole awardee, raising questions about competition. 3. The contract value is $7.7 million over a 60-day period. 4. Federal Acquisition Service is the contracting agency. 5. The procurement method is 'NOT COMPETED UNDER SAP'.

Value Assessment

Rating: questionable

The contract value of $7.7 million for a 60-day period appears high for abrasive cloth. Without a competitive process, it's difficult to assess if this price is reasonable compared to market rates or similar government contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under SAP, indicating a sole-source or limited competition award. This lack of competition limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The absence of competition may result in inflated pricing, directly impacting taxpayer funds negatively.

Public Impact

Taxpayers may be overpaying for essential industrial supplies due to a lack of competitive bidding. The sole-source nature of this award could stifle market competition for similar goods. Transparency in government procurement is reduced when contracts are not openly competed.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • High value for short duration
  • Unclear justification for sole-source

Positive Signals

  • Contract awarded to a specific company
  • Clear end date for service

Sector Analysis

The procurement falls under the manufacturing sector, specifically related to industrial supplies like abrasive cloth. Benchmarks for similar abrasives in government contracts are difficult to ascertain without competitive data, but the value for a 60-day period is notable.

Small Business Impact

There is no indication that small businesses were considered or involved in this sole-source award, potentially missing opportunities for small business participation.

Oversight & Accountability

The 'NOT COMPETED UNDER SAP' designation suggests a potential lack of robust oversight or justification for bypassing standard competitive procedures. Further review of the justification for this sole-source award is warranted.

Related Government Programs

  • Saw Blade and Handtool Manufacturing
  • General Services Administration Contracting
  • Federal Acquisition Service Programs

Risk Flags

  • Sole-source award lacks transparency.
  • Potential for overpayment due to lack of competition.
  • High contract value for a short duration.
  • No clear benefit to small businesses.
  • Questionable value for money.

Tags

saw-blade-and-handtool-manufacturing, general-services-administration, mi, purchase-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $7,688.5 to LYEV, LLC. CLOTH,ABRASIVE

Who is the contractor on this award?

The obligated recipient is LYEV, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $7,688.5.

What is the period of performance?

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

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

The provided data states the contract was 'NOT COMPETED UNDER SAP,' which typically implies a sole-source or limited competition scenario. A formal justification should exist within the contract file, outlining why a competitive process was not feasible or advantageous, such as a unique capability of LYEV, LLC or an urgent need that precluded competition.

How does the per-unit cost of this abrasive cloth compare to market rates or other government contracts?

Without a competitive bidding process, establishing a reliable per-unit cost benchmark is challenging. The $7.7 million award for a 60-day period suggests a high unit price or a very large quantity. A comparison to publicly available market data or similar GSA Schedule contracts for abrasive materials would be necessary to assess value.

What is the potential impact on future procurements if sole-source awards become common for this type of supply?

If sole-source awards become prevalent for common supplies like abrasive cloth, it could reduce competition, potentially leading to higher prices across the board for government agencies. It may also discourage new vendors from entering the government market if they perceive opportunities are limited to existing sole-source relationships.

Industry Classification

NAICS: ManufacturingCutlery and Handtool ManufacturingSaw Blade and Handtool Manufacturing

Product/Service Code: HAND 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: 20815 KRAFT BLVD, ROSEVILLE, MI, 48066

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

Financial Breakdown

Contract Ceiling: $7,689

Exercised Options: $7,689

Current Obligation: $7,689

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline

Start Date: 2026-04-03

Current End Date: 2026-06-02

Potential End Date: 2026-06-02 00:00:00

Last Modified: 2026-04-05

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