HHS awards $9.07M for office furniture to Kimball International Inc. over 5 years

Contract Overview

Contract Amount: $9,073,721 ($9.1M)

Contractor: Kimball International Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2017-09-25

End Date: 2022-09-24

Contract Duration: 1,825 days

Daily Burn Rate: $5.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF BRFSS PHONE SAMPLING

Place of Performance

Location: MEDIA, DELAWARE County, PENNSYLVANIA, 19063

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $9.1 million to KIMBALL INTERNATIONAL INC for work described as: IGF::OT::IGF BRFSS PHONE SAMPLING Key points: 1. Contract awarded via full and open competition, suggesting market availability. 2. FIRM FIXED PRICE contract type provides cost certainty for the government. 3. The contract duration of 5 years may pose a risk if needs change. 4. Spending is within the Office Furniture sector, with a benchmark of $4,972 per unit.

Value Assessment

Rating: good

The per-unit cost of $4,972 appears reasonable for office furniture, especially considering the contract's duration and potential for bulk purchasing. Benchmarking against similar government contracts for office furniture would provide further validation.

Cost Per Unit: $4,972

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: The competitive bidding process likely resulted in a fair price, minimizing unnecessary taxpayer expenditure for office furniture.

Public Impact

Ensures federal agencies have necessary office furnishings. Supports a private sector company through government contracts. Potential for long-term supply chain stability for office furniture.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration may exceed actual needs.
  • Potential for price increases in subsequent years if not locked in.
  • Reliance on a single vendor for a significant period.

Positive Signals

  • Full and open competition ensures market access.
  • Firm fixed price provides budget predictability.
  • Long-term contract can streamline procurement for agencies.

Sector Analysis

This contract falls within the Office Furniture (except Wood) Manufacturing sector. Government spending in this area is typically driven by agency needs for workstations, seating, and storage solutions. Benchmarks vary based on item type and quantity.

Small Business Impact

The data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract was awarded via a delivery order, suggesting it may be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. Oversight would focus on delivery timelines, quality of goods, and adherence to contract terms.

Related Government Programs

  • Office Furniture (except Wood) Manufacturing
  • Department of Health and Human Services Contracting
  • Centers for Disease Control and Prevention Programs

Risk Flags

  • Long contract duration (5 years).
  • Potential for price increases over time.
  • Lack of detail on specific items procured.
  • Unknown small business participation.

Tags

office-furniture-except-wood-manufacturi, department-of-health-and-human-services, pa, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $9.1 million to KIMBALL INTERNATIONAL INC. IGF::OT::IGF BRFSS PHONE SAMPLING

Who is the contractor on this award?

The obligated recipient is KIMBALL INTERNATIONAL INC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).

What is the total obligated amount?

The obligated amount is $9.1 million.

What is the period of performance?

Start: 2017-09-25. End: 2022-09-24.

What is the specific breakdown of furniture items and quantities covered by this contract?

The provided data does not detail the specific furniture items or quantities. A breakdown would be crucial for a precise value assessment, allowing comparison of unit costs for different types of furniture like desks, chairs, and filing cabinets against market rates and other government contracts.

What is the risk associated with the 5-year duration of this contract?

A 5-year duration carries the risk of obsolescence of furniture designs, changes in agency needs, or potential for price escalation if not adequately managed. It also limits opportunities for other vendors to compete for this business over the contract period.

How does the $4,972 per-unit cost compare to similar government furniture procurements?

Without specific item details, a direct comparison is difficult. However, $4,972 as an average per-unit cost for office furniture could be high if it includes basic items but reasonable if it encompasses high-end, ergonomic, or specialized pieces. Benchmarking against contracts with similar item descriptions is essential.

Industry Classification

NAICS: ManufacturingOffice Furniture (including Fixtures) ManufacturingOffice Furniture (except Wood) Manufacturing

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 2017Q66700

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Kimball International, Inc.

Address: 1600 ROYAL ST, JASPER, IN, 47549

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $9,073,848

Exercised Options: $9,073,848

Current Obligation: $9,073,721

Actual Outlays: $2,585,606

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS29F0177G

IDV Type: FSS

Timeline

Start Date: 2017-09-25

Current End Date: 2022-09-24

Potential End Date: 2022-09-24 00:00:00

Last Modified: 2025-12-04

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