USDA Awards $111.8M Contract to Daylight Foods for Miscellaneous Food Manufacturing

Contract Overview

Contract Amount: $111,798,170 ($111.8M)

Contractor: Daylight Foods, LLC

Awarding Agency: Department of Agriculture

Start Date: 2021-01-19

End Date: 2021-05-31

Contract Duration: 132 days

Daily Burn Rate: $847.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 171

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 2000007490/4100022292/COMBINATION BOX

Place of Performance

Location: UNION CITY, ALAMEDA County, CALIFORNIA, 94587

State: California Government Spending

Plain-Language Summary

Department of Agriculture obligated $111.8 million to DAYLIGHT FOODS, LLC for work described as: 2000007490/4100022292/COMBINATION BOX Key points: 1. Significant contract value awarded to a single vendor. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract is for miscellaneous food manufacturing, a broad category. 4. The award was a delivery order, indicating it's part of a larger contract vehicle.

Value Assessment

Rating: good

The award amount of $111.8 million is substantial. Benchmarking against similar contracts for miscellaneous food manufacturing is difficult without more specific product details, but the value suggests a significant procurement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally promotes competitive pricing and allows all responsible sources to submit offers. This method is expected to yield fair market prices.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer dollars are spent efficiently by fostering a competitive environment for the awarded contract.

Public Impact

Ensures supply of essential food products for government use or distribution. Supports the food manufacturing sector, potentially impacting jobs and related industries. Transparency in procurement through full and open competition benefits the public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The food manufacturing sector is diverse, encompassing a wide range of products. This contract falls under 'All Other Miscellaneous Food Manufacturing,' suggesting a category for products not fitting into more specific NAICS codes. Spending in this sector can vary greatly based on government needs.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract was awarded via a delivery order, implying it is likely part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar framework. Oversight would focus on the performance of this specific delivery order and the underlying contract.

Related Government Programs

Risk Flags

Tags

all-other-miscellaneous-food-manufacturi, department-of-agriculture, ca, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $111.8 million to DAYLIGHT FOODS, LLC. 2000007490/4100022292/COMBINATION BOX

Who is the contractor on this award?

The obligated recipient is DAYLIGHT FOODS, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $111.8 million.

What is the period of performance?

Start: 2021-01-19. End: 2021-05-31.

What specific types of miscellaneous food products are included in this contract?

The provided data categorizes the contract under NAICS code 311999, 'All Other Miscellaneous Food Manufacturing.' This broad classification suggests a variety of food items that do not fit into more specific categories like dairy, meat, or bakery products. Without further details, the exact nature of the products remains unspecified, making a precise value assessment difficult.

What are the potential risks associated with the 'All Other Miscellaneous Food Manufacturing' category?

The primary risk lies in the vagueness of the category itself. This could lead to scope creep, challenges in quality control if product specifications are not rigorously defined, and potential difficulties in benchmarking pricing against comparable items. Ensuring clear specifications and robust quality assurance are crucial for mitigating these risks.

How effectively does 'full and open competition' ensure value for this type of miscellaneous food contract?

Full and open competition is designed to maximize value by encouraging multiple bids. For a broad category like 'miscellaneous food manufacturing,' its effectiveness hinges on how well the solicitation defines the required products and quality standards. If specifications are clear, competition should drive down prices. If vague, it may not fully realize cost savings.

Industry Classification

NAICS: ManufacturingOther Food ManufacturingAll Other Miscellaneous Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 123J1421B0110/4100022292

Offers Received: 171

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 30200 WHIPPLE RD, UNION CITY, CA, 94587

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $111,798,170

Exercised Options: $111,798,170

Current Obligation: $111,798,170

Actual Outlays: $111,356,439

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: 123J1420G0151

IDV Type: BOA

Timeline

Start Date: 2021-01-19

Current End Date: 2021-05-31

Potential End Date: 2021-05-31 00:00:00

Last Modified: 2023-02-21

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