DoD's Defense Commissary Agency Spends $15M on Home & Personal Care Resale via Conopco, Inc

Contract Overview

Contract Amount: $14,957,587 ($15.0M)

Contractor: Conopco, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-04-01

End Date: 2009-06-30

Contract Duration: 90 days

Daily Burn Rate: $166.2K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RESALE - HOME & PERSONAL CARE

Place of Performance

Location: CLINTON, MIDDLESEX County, CONNECTICUT, 06413

State: Connecticut Government Spending

Plain-Language Summary

Department of Defense obligated $15.0 million to CONOPCO, INC. for work described as: RESALE - HOME & PERSONAL CARE Key points: 1. Significant spending on essential personal and home care items. 2. Sole-source contract with Conopco, Inc. raises competition concerns. 3. Limited contract duration (90 days) may indicate short-term needs. 4. Spending concentrated in Connecticut. 5. Fixed-price contract offers some cost certainty.

Value Assessment

Rating: fair

The total award of $14.96M for a 90-day delivery order is substantial. Without specific unit pricing or comparison data, it's difficult to assess value definitively, but the scale suggests a significant procurement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not available for competition, indicating a sole-source award to Conopco, Inc. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition for a large dollar amount may result in suboptimal pricing, impacting taxpayer value.

Public Impact

Ensures availability of essential home and personal care products for military personnel and their families. Supports the Defense Commissary Agency's mission to provide groceries at a discount. Potential for higher prices due to sole-source nature impacts military family budgets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
Limited contract duration

Positive Signals

Provides essential goods
Fixed-price contract

Sector Analysis

This procurement falls under wholesale trade of groceries and related products. The spending benchmark for this sector is highly variable based on the specific goods and scale of operation.

Small Business Impact

The data indicates this contract was awarded to Conopco, Inc., a large business. There is no indication of small business participation in this specific award.

Oversight & Accountability

The award was a delivery order under a larger contract, suggesting some level of pre-negotiation and oversight. However, the sole-source nature warrants scrutiny regarding justification and fair pricing.

Related Government Programs

General Line Grocery Merchant Wholesalers
Department of Defense Contracting
Defense Commissary Agency Programs

Risk Flags

Sole-source award lacks competition.
Potential for inflated pricing due to lack of competition.
Limited contract duration may not reflect long-term needs.
No small business participation identified.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.0 million to CONOPCO, INC.. RESALE - HOME & PERSONAL CARE

Who is the contractor on this award?

The obligated recipient is CONOPCO, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Commissary Agency).

What is the total obligated amount?

The obligated amount is $15.0 million.

What is the period of performance?

Start: 2009-04-01. End: 2009-06-30.

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

The justification for a sole-source award is critical for understanding why competition was bypassed. Without this information, it's impossible to determine if the government received the best possible value or if alternative sources were genuinely unavailable or impractical to utilize within the required timeframe.

What is the per-unit cost benchmark for these home and personal care items?

Establishing a per-unit cost benchmark is essential for evaluating the fairness of the price paid. Comparing the unit prices within this contract to market rates or similar government contracts would reveal potential overspending or cost savings, directly impacting taxpayer value.

How effective is the Defense Commissary Agency in leveraging competition for similar product categories?

Assessing the agency's track record with competitive bidding for comparable product categories provides insight into their procurement strategies. A history of successful competitive procurements suggests this sole-source award might be an anomaly, while a pattern of sole-sourcing could indicate systemic issues.

Industry Classification

NAICS: Wholesale Trade › Grocery and Related Product Merchant Wholesalers › General Line Grocery Merchant Wholesalers

Product/Service Code: MISCELLANEOUS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Stichting Administratiekantoor Unilever N.V. (UEI: 386201268)

Address: 1 JOHN ST, CLINTON, CT, 06413

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $14,957,587

Exercised Options: $14,957,587

Current Obligation: $14,957,587

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HDEC0104G2951

IDV Type: IDC

Timeline