Forest Service Awards $74.4M Contract for Fire Retardant Services to Perimeter Solutions LP

Contract Overview

Contract Amount: $74,363,039 ($74.4M)

Contractor: Perimeter Solutions LP

Awarding Agency: Department of Agriculture

Start Date: 2025-01-01

End Date: 2025-12-31

Contract Duration: 364 days

Daily Burn Rate: $204.3K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FAM RETARDANT - FULL SERVICE, 2025 IQ-NOCOMMIT

Place of Performance

Location: BOISE, ADA County, IDAHO, 83705

State: Idaho Government Spending

Plain-Language Summary

Department of Agriculture obligated $74.4 million to PERIMETER SOLUTIONS LP for work described as: FAM RETARDANT - FULL SERVICE, 2025 IQ-NOCOMMIT Key points: 1. Contract awarded for essential fire retardant services, crucial for wildfire suppression. 2. Sole-source award raises questions about price discovery and potential cost savings. 3. High contract value indicates significant reliance on this specific service. 4. Limited competition may impact innovation and long-term cost-effectiveness.

Value Assessment

Rating: fair

The contract value of $74.4M for a one-year period appears substantial. Without benchmark data for similar full-service fire retardant contracts, it's difficult to definitively assess pricing. The lack of competition suggests potential for overpricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded sole-source, meaning no other vendors were considered. This significantly limits price discovery and competitive pressure, potentially leading to higher costs for taxpayers.

Taxpayer Impact: The sole-source nature of this award means taxpayers may not be receiving the best possible price due to the absence of competitive bidding.

Public Impact

Ensures availability of critical fire retardant resources for the upcoming wildfire season. Supports the operational readiness of the Forest Service in combating wildfires. Potential for increased costs to taxpayers due to lack of competition. Limited transparency in the procurement process.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
High contract value

Positive Signals

Ensures critical service delivery
Supports wildfire suppression efforts

Sector Analysis

The Forest Service operates in the public safety and environmental management sector, with significant spending on wildfire suppression. This contract for fire retardant is a key component of their operational budget, with spending benchmarks often driven by seasonal needs and resource availability.

Small Business Impact

The contract was not awarded to a small business. There is no indication of subcontracting opportunities for small businesses within this sole-source award.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the price is fair and reasonable. Further oversight is needed to understand why competition was not pursued.

Related Government Programs

All Other Miscellaneous Chemical Product and Preparation Manufacturing
Department of Agriculture Contracting
Forest Service Programs

Risk Flags

Sole-source award limits competition.
Potential for inflated pricing due to lack of competitive pressure.
Limited transparency in the procurement process.
No clear indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $74.4 million to PERIMETER SOLUTIONS LP. FAM RETARDANT - FULL SERVICE, 2025 IQ-NOCOMMIT

Who is the contractor on this award?

The obligated recipient is PERIMETER SOLUTIONS LP.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $74.4 million.

What is the period of performance?

Start: 2025-01-01. End: 2025-12-31.

What is the justification for the sole-source award, and were alternative competitive strategies considered?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of viable alternatives. Without specific documentation, it's unclear if the Forest Service explored other competitive avenues or if Perimeter Solutions LP possesses exclusive qualifications. Understanding this rationale is crucial for assessing the procurement's fairness and potential cost implications for taxpayers.

How does the $74.4M contract value compare to historical spending on similar fire retardant services, and what is the projected cost savings from competitive bidding?

Benchmarking this $74.4M contract against historical data for comparable fire retardant services is essential for evaluating its value. A competitive bidding process would likely yield significant cost savings compared to a sole-source award. Quantifying these potential savings requires detailed analysis of past contract prices and market rates for similar services.

What are the performance metrics and oversight mechanisms in place to ensure the effectiveness and value of the fire retardant services provided?

Effective oversight requires clearly defined performance metrics tied to the quality, timeliness, and quantity of fire retardant delivered. The Forest Service must have robust mechanisms to monitor contractor performance against these metrics and ensure accountability. Regular reviews and reporting are crucial to confirm that taxpayer funds are being used efficiently and that the services meet critical operational needs.

Industry Classification

NAICS: Manufacturing › Other Chemical Product and Preparation Manufacturing › All Other Miscellaneous Chemical Product and Preparation Manufacturing

Product/Service Code: CHEMICALS AND CHEMICAL PRODUCTS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 1202SC24R2500

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8000 MARYLAND AVE, SAINT LOUIS, MO, 63105

Business Categories: Category Business, Foreign-Owned and U.S.-Incorporated Business, Partnership or Limited Liability Partnership, Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $74,363,039

Exercised Options: $74,363,039

Current Obligation: $74,363,039

Actual Outlays: $74,363,039

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 1202SC24T2500

IDV Type: IDC

Timeline