USDA Forest Service awarded $13.3M for mobile food services, with Blagg's Food Service Inc. securing the contract

Contract Overview

Contract Amount: $13,318,165 ($13.3M)

Contractor: Blagg's Food Service, Inc

Awarding Agency: Department of Agriculture

Start Date: 2005-06-15

End Date: 2009-12-31

Contract Duration: 1,660 days

Daily Burn Rate: $8.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 25

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: NATIONAL MOBILE FOOD SERVICES

Place of Performance

Location: BELLA VISTA, SHASTA County, CALIFORNIA, 96008

State: California Government Spending

Plain-Language Summary

Department of Agriculture obligated $13.3 million to BLAGG'S FOOD SERVICE, INC for work described as: NATIONAL MOBILE FOOD SERVICES Key points: 1. The contract value of $13.3 million over approximately 4.5 years suggests a moderate annual spend for catering services. 2. Full and open competition after exclusion of sources indicates a competitive process, though the specific exclusion warrants review. 3. The fixed-price with economic price adjustment structure aims to manage cost fluctuations while providing a baseline price. 4. Performance was in California, suggesting a focus on specific regional needs for food services. 5. The contract's duration of 1660 days (approx. 4.5 years) is typical for service contracts of this nature. 6. The North American Industry Classification System (NAICS) code 722320 for Caterers aligns with the service provided.

Value Assessment

Rating: fair

The total award of $13.3 million over roughly 4.5 years averages to approximately $2.96 million per year. Benchmarking this against similar large-scale catering contracts for federal agencies is challenging without more specific service details (e.g., number of meals, locations, types of events). However, the fixed-price with economic price adjustment suggests an attempt to control costs while allowing for market fluctuations. Further analysis would require comparing unit costs or per-person costs if available.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, specific sources were excluded from the outset. The number of bidders is not explicitly stated in the provided data, but the 'limited' competition level suggests fewer than a truly unrestricted full and open process. This could potentially impact price discovery and the range of innovative solutions considered.

Taxpayer Impact: While the competition was not fully unrestricted, the exclusion of sources was documented, implying a rationale was provided. Taxpayers benefit from a competitive process that aims to secure reasonable pricing, even with specific exclusions.

Public Impact

This contract primarily benefits federal employees and potentially visitors or participants in Forest Service activities requiring catering. The services delivered include mobile food services, likely encompassing meal preparation and delivery in various locations. The geographic impact is specified as California, indicating the services were rendered within this state. Workforce implications would involve employment opportunities for catering staff, cooks, and support personnel managed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'limited' competition level due to source exclusion may have restricted the number of potential bidders and potentially impacted the final price.
The 'fixed price with economic price adjustment' clause introduces a risk of cost increases if economic factors significantly change.
Lack of detailed performance metrics in the provided data makes it difficult to assess the contractor's performance quality comprehensively.

Positive Signals

The contract was awarded through a competitive process, indicating efforts to obtain value for taxpayer money.
The fixed-price element provides a degree of cost certainty for the government, with adjustments only for specified economic factors.
The contract duration suggests a stable, long-term need for these services, allowing for efficient planning and resource allocation by the contractor.

Sector Analysis

The food service industry, particularly catering, is a significant sector supporting various government operations. Federal agencies frequently contract for food services to support remote operations, training, and events. The $13.3 million awarded to Blagg's Food Service, Inc. represents a substantial, though not exceptionally large, contract within this domain. Comparable spending benchmarks would typically be assessed based on the scale of operations, number of individuals served, and geographic coverage, which are not fully detailed here.

Small Business Impact

The provided data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, there are no direct subcontracting implications mandated by small business set-aside requirements. The primary contractor, Blagg's Food Service, Inc., would determine any subcontracting opportunities. The impact on the broader small business ecosystem is minimal unless the prime contractor actively engages small businesses for support services.

Oversight & Accountability

Oversight for this contract would typically fall under the U.S. Forest Service contracting officers and program managers. Accountability measures would be defined in the contract's statement of work and performance standards. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract were suspected or reported.

Related Government Programs

Federal Food Service Contracts
Department of Agriculture Catering Services
Forest Service Logistics Support
Mobile Food Operations Contracts
Government Catering Procurement

Risk Flags

Limited Competition Due to Source Exclusion
Potential for Cost Increases with Economic Price Adjustment
Need for Detailed Performance Monitoring

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $13.3 million to BLAGG'S FOOD SERVICE, INC. NATIONAL MOBILE FOOD SERVICES

Who is the contractor on this award?

The obligated recipient is BLAGG'S FOOD SERVICE, INC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $13.3 million.

What is the period of performance?

Start: 2005-06-15. End: 2009-12-31.

What specific types of mobile food services were provided under this contract?

The contract specifies 'NATIONAL MOBILE FOOD SERVICES' with the NAICS code 722320 for Caterers. This generally implies services related to preparing and serving food at various locations, often in remote or temporary settings. Given the Forest Service context, these services could range from supporting firefighting crews in the field, providing meals at remote ranger stations or training facilities, to catering for special events or public outreach programs. The 'mobile' aspect suggests the contractor utilized portable kitchens, food trucks, or other deployable catering infrastructure to deliver services where permanent facilities might be unavailable or insufficient.

How does the $13.3 million award compare to typical federal catering contracts?

The $13.3 million award over approximately 4.5 years equates to an average annual spend of roughly $2.96 million. This figure places it in the mid-to-large range for federal catering contracts. Smaller contracts might be in the tens or hundreds of thousands, supporting specific events or small facilities. Very large contracts could extend into tens of millions annually, supporting extensive operations like military bases or large federal agency campuses. Without more granular data on the scope (e.g., number of meals, personnel supported), direct comparison is difficult, but it signifies a significant commitment for mobile food services.

What are the implications of 'Full and Open Competition After Exclusion of Sources' for cost and quality?

This contracting method suggests that while the competition was intended to be broad, certain potential bidders were intentionally excluded. The rationale for exclusion is typically based on specific requirements, past performance issues, or other documented reasons. This limited competition could potentially reduce the number of offers received, which might lessen downward pressure on price compared to unrestricted full and open competition. However, if the exclusions were well-justified and the remaining bidders were highly capable, the government could still achieve good value and quality. The key is understanding the basis for the exclusions.

What is the significance of the 'Fixed Price with Economic Price Adjustment' (FPEPA) contract type?

The FPEPA contract type offers a balance between cost certainty and flexibility. The 'Fixed Price' component establishes a baseline cost for the services. However, the 'Economic Price Adjustment' (EPA) clause allows for modifications to the price based on fluctuations in specific economic indicators, such as labor costs, material costs (food ingredients), or fuel prices. This is particularly useful for longer-term contracts where unforeseen economic shifts could otherwise make the fixed price unsustainable for the contractor or lead to costly change orders. For the government, it provides predictability while mitigating risks associated with significant market volatility.

What historical spending patterns exist for national mobile food services within the Forest Service?

Analyzing historical spending patterns for 'National Mobile Food Services' within the Forest Service requires access to historical contract databases (like FPDS). Without that specific data, it's difficult to provide precise figures. However, it's reasonable to assume that the Forest Service, particularly during fire seasons or for remote land management operations, has a recurring need for mobile food services. Spending would likely fluctuate based on operational tempo, budget allocations, and the number of personnel requiring support in the field. Contracts of this nature are often awarded periodically, reflecting ongoing requirements rather than one-off needs.

What risks are associated with Blagg's Food Service, Inc. based on this contract data?

Based solely on the provided data, specific risks associated with Blagg's Food Service, Inc. are not immediately apparent. The contract was awarded through a competitive process, suggesting they met the criteria. However, potential risks in any service contract include performance issues (quality, timeliness), financial stability of the contractor, and adherence to contract terms. The 'limited' competition aspect could also be a risk if it prevented potentially better offers from emerging. A thorough risk assessment would require reviewing past performance evaluations, financial health indicators, and any documented issues from previous government contracts.

Industry Classification

NAICS: Accommodation and Food Services › Special Food Services › Caterers

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCE CONSERVERVAT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: RFP490507

Offers Received: 25

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Address: 21885 STATE HIGHWAY 299 E, BELLA VISTA, CA, 01

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $13,318,165

Exercised Options: $13,318,165

Current Obligation: $13,318,165

Timeline