DoD awards $36.6M contract for fuel handler apparel to Winston-Salem Industries for the Blind

Contract Overview

Contract Amount: $36,638,243 ($36.6M)

Contractor: Winston-Salem Industries for the Blind Inc

Awarding Agency: Department of Defense

Start Date: 2023-07-18

End Date: 2026-08-31

Contract Duration: 1,140 days

Daily Burn Rate: $32.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FUEL HANDLER SYSTEM COATS & TROUSERS

Place of Performance

Location: WINSTON SALEM, FORSYTH County, NORTH CAROLINA, 27106

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $36.6 million to WINSTON-SALEM INDUSTRIES FOR THE BLIND INC for work described as: FUEL HANDLER SYSTEM COATS & TROUSERS Key points: 1. Contract awarded to a non-profit organization focused on employing individuals with blindness. 2. The contract value represents a significant investment in specialized protective apparel. 3. The award method suggests limited competition, potentially impacting price discovery. 4. Performance is expected over a 3-year period, indicating a need for sustained supply. 5. The apparel category falls under general clothing and textile manufacturing. 6. The fixed-price contract type aims to provide cost certainty for the government.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific per-unit cost data or comparable contract details. However, the total award amount of $36.6 million over approximately three years suggests a substantial procurement for specialized apparel. The fixed-price nature of the contract provides some cost control, but the lack of competitive bidding raises questions about whether the government secured the best possible price. Further analysis would require comparing unit costs to similar government or commercial procurements for specialized workwear.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded using a sole-source justification, indicating that only one responsible source was determined to be capable of meeting the government's needs. This approach bypasses the standard full and open competition process. While it can ensure specialized capabilities are met, it limits the opportunity for multiple vendors to bid, potentially leading to higher prices than if a competitive process had been employed.

Taxpayer Impact: Sole-source awards mean taxpayers may not benefit from the cost savings typically achieved through competitive bidding, as there is no direct price pressure from rival firms.

Public Impact

Military personnel requiring specialized protective clothing for fuel handling operations will be equipped with necessary gear. The contract supports the mission readiness of the Department of Defense by ensuring a supply of critical apparel. The primary beneficiary is the Department of the Army, which will receive the fuel handler coats and trousers. The contract's geographic impact is primarily centered around the manufacturing operations of Winston-Salem Industries for the Blind. This contract directly supports the employment of individuals who are blind or visually impaired within the manufacturing sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition due to sole-source award may result in a higher per-unit cost for taxpayers.
Lack of detailed performance metrics in the provided data makes it difficult to assess the effectiveness of the apparel.
The long-term nature of the contract (over 3 years) could pose a risk if material costs or manufacturing processes change significantly.

Positive Signals

Award to Winston-Salem Industries for the Blind directly supports a social mission of employing individuals with visual impairments.
The firm fixed-price contract type provides budget certainty for the Department of Defense.
The contract ensures a dedicated supply of specialized apparel critical for soldier safety in fuel handling roles.

Sector Analysis

The procurement of specialized apparel like fuel handler coats and trousers falls within the broader 'Cut and Sew Apparel Contractors' industry, a segment of the textile and manufacturing sector. This industry is characterized by its role in producing clothing for various purposes, including military and protective wear. Government contracts for such items are common, often requiring specific material properties, durability, and safety features. Benchmarking spending in this area typically involves comparing unit costs for similar garments across different agencies or over time, considering factors like material complexity and production volume.

Small Business Impact

This contract was awarded to Winston-Salem Industries for the Blind, a non-profit organization, and not directly to a small business. As the contract is sole-source, there is no indication of subcontracting opportunities being specifically set aside for small businesses. The primary impact is on the mission of the awardee rather than the broader small business ecosystem. However, if the awardee procures materials or services, there might be indirect opportunities for small businesses within their supply chain.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army's contracting and program management offices. As a definitive contract, it is subject to standard federal procurement regulations and oversight mechanisms. Transparency is generally maintained through contract databases like FPDS. The specific accountability measures would be detailed within the contract terms and conditions, including quality assurance surveillance plans. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Military Uniforms and Apparel
Protective Clothing
Department of Defense Clothing and Textiles Procurement
Federal Prison Industries (related to non-competitive awards for specific goods)

Risk Flags

Sole-source award may lead to higher costs.
Lack of competitive bidding limits price discovery.
Potential for supply chain disruption if the single provider faces issues.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.6 million to WINSTON-SALEM INDUSTRIES FOR THE BLIND INC. FUEL HANDLER SYSTEM COATS & TROUSERS

Who is the contractor on this award?

The obligated recipient is WINSTON-SALEM INDUSTRIES FOR THE BLIND INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $36.6 million.

What is the period of performance?

Start: 2023-07-18. End: 2026-08-31.

What is the historical spending pattern for fuel handler apparel by the Department of Defense?

Analyzing historical spending for fuel handler apparel by the Department of Defense requires access to detailed procurement data over multiple fiscal years. Typically, such data would reveal trends in contract values, awardees, and contract types. For instance, one might observe if the DoD has historically relied on sole-source providers for specialized items or if competitive bidding has been the norm. Fluctuations in spending could be linked to changes in troop levels, operational tempo, or the introduction of new safety standards. Without specific historical data for this exact item, it's difficult to provide precise figures, but general trends in military apparel procurement suggest consistent, albeit variable, demand driven by operational needs and equipment modernization cycles.

How does the unit cost of these fuel handler coats and trousers compare to similar commercial or military-grade apparel?

A precise comparison of unit costs is not possible with the provided data, as raw unit pricing is absent. However, the total contract value of $36.6 million spread over an estimated duration suggests a significant investment. To benchmark, one would need to identify the quantity of items procured and divide the total award by this quantity to derive an average unit cost. This derived cost could then be compared against publicly available prices for comparable military-grade protective clothing or specialized workwear from commercial vendors. Factors such as material specifications (e.g., flame resistance, chemical protection), durability requirements, and specialized design features would heavily influence this comparison. Sole-source awards often carry a premium compared to competitively bid items.

What are the specific performance requirements and quality standards for these fuel handler coats and trousers?

The provided data does not detail the specific performance requirements or quality standards for the fuel handler coats and trousers. Typically, military specifications (Mil-Specs) would outline these requirements, covering aspects such as material composition, flame resistance, chemical permeability, durability, comfort, and fit. These specifications ensure the apparel provides adequate protection against hazards associated with fuel handling. Quality assurance surveillance plans (QASPs) are usually incorporated into the contract to monitor compliance with these standards throughout the production and delivery process. Without access to the contract's statement of work or associated specifications, a detailed assessment of performance standards is not feasible.

What is the track record of Winston-Salem Industries for the Blind in fulfilling government contracts, particularly for apparel?

Winston-Salem Industries for the Blind (WSIFB) has a long-standing history of fulfilling government contracts, particularly those aimed at employing individuals who are blind or visually impaired. They are a significant participant in the AbilityOne program, which mandates federal agencies purchase products and services from participating non-profit agencies. Their track record generally indicates a capacity to produce a range of goods, including apparel and textiles, meeting government quality standards. While specific performance metrics for past contracts are not detailed here, their continued engagement with federal agencies suggests a generally reliable performance history in meeting contract obligations, especially within their mandated social mission framework.

What are the potential risks associated with a sole-source award for essential military apparel?

The primary risk associated with a sole-source award for essential military apparel is the potential for inflated pricing due to the lack of competition. Without competing bids, the government may pay more than necessary for the goods. Another risk is dependency on a single supplier, which could lead to supply chain disruptions if the sole source encounters production issues, financial difficulties, or fails to meet delivery schedules. Furthermore, a sole-source approach can stifle innovation, as there is less incentive for the supplier to improve product design or manufacturing processes when competition is absent. Ensuring the sole source maintains high-quality standards and efficient operations becomes critical.

Industry Classification

NAICS: Manufacturing › Cut and Sew Apparel Manufacturing › Cut and Sew Apparel Contractors

Product/Service Code: CLOTHING, INDIVIDUAL EQUIPMENT, INSIGNA, AND JEWELRY

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

Address: 7730 N POINT BLVD, WINSTON SALEM, NC, 27106

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $37,830,713

Exercised Options: $36,638,243

Current Obligation: $36,638,243

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline