USDA awards $24K for refrigerated freight to support food donations, highlighting logistics needs

Contract Overview

Contract Amount: $24,044 ($24.0K)

Contractor: TW Logistics, LLC

Awarding Agency: Department of Agriculture

Start Date: 2026-05-11

End Date: 2026-05-13

Contract Duration: 2 days

Daily Burn Rate: $12.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: SUPPORT SERVICES FOR USG FOOD DONATIONS: /4300014895/FREIGHT REEFER - 45' CONTAINER - CHILLED

Place of Performance

Location: HONOLULU, HONOLULU County, HAWAII, 96819

State: Hawaii Government Spending

Plain-Language Summary

Department of Agriculture obligated $24,044.34 to TW LOGISTICS, LLC for work described as: SUPPORT SERVICES FOR USG FOOD DONATIONS: /4300014895/FREIGHT REEFER - 45' CONTAINER - CHILLED Key points: 1. The contract focuses on specialized refrigerated transport for food donations, a critical but niche service. 2. TW Logistics, LLC secured the award, indicating potential concentration in this specific logistics segment. 3. The short duration and fixed price suggest a well-defined, immediate need with limited price volatility. 4. The service falls under Deep Sea Freight Transportation, a sector vital for global and domestic supply chains.

Value Assessment

Rating: good

The $24,044.34 contract for a single reefer container appears reasonable given the specialized nature of chilled deep-sea freight. Benchmarking is difficult without more data on similar short-term, high-value shipments.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition pool. This method may impact price discovery compared to broader solicitations.

Taxpayer Impact: Taxpayer funds are used efficiently for a specific, time-sensitive need to facilitate food donation logistics.

Public Impact

Ensures perishable food donations reach intended recipients in good condition, reducing waste. Supports critical food security initiatives by enabling the transport of vital supplies. Highlights the government's reliance on specialized logistics providers for humanitarian efforts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to higher costs.
Dependence on a single provider for a critical service.
Short contract duration could indicate potential future needs or uncertainty.

Positive Signals

Supports important food donation programs.
Utilizes specialized, temperature-controlled shipping.
Clear contract terms with a fixed price.

Sector Analysis

This contract falls within the transportation and logistics sector, specifically focusing on specialized cold chain solutions. Spending benchmarks for such niche, short-term freight services are highly variable and depend on route, duration, and commodity.

Small Business Impact

The awardee, TW LOGISTICS, LLC, is not identified as a small business in this data. Further analysis would be needed to determine if small businesses were considered or excluded from this specific limited competition.

Oversight & Accountability

The contract's 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause warrants scrutiny to ensure the exclusion was justified and properly documented. Oversight should confirm the necessity of this limited approach.

Related Government Programs

Deep Sea Freight Transportation
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Potential for higher costs due to limited competition.
Risk of service disruption if TW LOGISTICS, LLC faces issues.
Lack of transparency regarding the exclusion of other sources.
Short contract duration may not reflect long-term needs or pricing.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $24,044.34 to TW LOGISTICS, LLC. SUPPORT SERVICES FOR USG FOOD DONATIONS: /4300014895/FREIGHT REEFER - 45' CONTAINER - CHILLED

Who is the contractor on this award?

The obligated recipient is TW LOGISTICS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Agricultural Marketing Service).

What is the total obligated amount?

The obligated amount is $24,044.34.

What is the period of performance?

Start: 2026-05-11. End: 2026-05-13.

What was the justification for excluding other sources in this 'full and open competition after exclusion of sources' award?

The justification for excluding other sources is crucial for understanding the procurement's integrity. Typically, such exclusions are based on specific technical requirements, urgent needs where only one source can respond, or national security concerns. Without this justification, it's difficult to assess if the limited competition was appropriate or if it potentially inflated the price or limited options for the government.

How does the per-unit cost of this refrigerated container shipment compare to similar government or commercial contracts?

Benchmarking the per-unit cost is challenging due to the unique nature of deep-sea refrigerated freight for specific donation purposes. Commercial rates fluctuate significantly based on route, demand, and container type. A comparative analysis against similar government contracts for short-term, specialized cold chain logistics would be necessary to determine if this $24,044.34 award represents fair market value.

What is the long-term strategy for ensuring reliable and cost-effective refrigerated transport for food donations?

This short-term contract suggests a tactical approach to an immediate need. A long-term strategy should explore options like longer-term agreements, strategic partnerships with logistics providers, or consolidating needs across agencies to achieve economies of scale. Evaluating the effectiveness and cost of this current approach will inform future procurement decisions for sustained food donation support.

Industry Classification

NAICS: Transportation and Warehousing › Deep Sea, Coastal, and Great Lakes Water Transportation › Deep Sea Freight Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ALTERNATIVE SOURCES

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1800 S ANDERSON AVE, COMPTON, CA, 90220

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,044

Exercised Options: $24,044

Current Obligation: $24,044

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline