USDA Awards $48.3M for Food Manufacturing Services to Freedom Fresh, LLC Under Full and Open Competition

Contract Overview

Contract Amount: $48,282,801 ($48.3M)

Contractor: Freedom Fresh, LLC

Awarding Agency: Department of Agriculture

Start Date: 2021-01-19

End Date: 2021-05-31

Contract Duration: 132 days

Daily Burn Rate: $365.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 171

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 2000007490/4100022302/COMBINATION BOX

Place of Performance

Location: MEDLEY, MIAMI-DADE County, FLORIDA, 33178

State: Florida Government Spending

Plain-Language Summary

Department of Agriculture obligated $48.3 million to FREEDOM FRESH, LLC for work described as: 2000007490/4100022302/COMBINATION BOX Key points: 1. Significant contract value of $48.3 million for food manufacturing services. 2. Awarded via full and open competition, suggesting a competitive bidding process. 3. Potential risk associated with the short performance period (approx. 4 months). 4. The sector is 'All Other Miscellaneous Food Manufacturing', indicating a broad scope.

Value Assessment

Rating: good

The contract value of $48.3 million for a short duration (approx. 4 months) suggests a high per-unit or per-month cost. Benchmarking against similar broad food manufacturing contracts would be necessary for a precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which typically leads to better price discovery and value for the government. The existence of multiple bidders would have driven competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair value for the services rendered, minimizing potential overspending.

Public Impact

Ensures continued supply of essential food manufacturing services for the Department of Agriculture. Supports economic activity within the food manufacturing sector. Potential impact on food availability and distribution channels during the contract period.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The 'All Other Miscellaneous Food Manufacturing' sector is broad and can encompass a wide range of activities. Spending benchmarks are difficult to establish without more specific service details, but $48.3 million for a few months indicates a substantial operation.

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 award was made under a delivery order, suggesting it might be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. Oversight would focus on performance delivery and adherence to the firm fixed price.

Related Government Programs

Risk Flags

Tags

all-other-miscellaneous-food-manufacturi, department-of-agriculture, fl, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $48.3 million to FREEDOM FRESH, LLC. 2000007490/4100022302/COMBINATION BOX

Who is the contractor on this award?

The obligated recipient is FREEDOM FRESH, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $48.3 million.

What is the period of performance?

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

What specific food manufacturing services are included under this contract, and how do they align with the agency's mission?

The contract falls under 'All Other Miscellaneous Food Manufacturing,' which is a broad category. Understanding the specific services (e.g., processing, packaging, distribution of specific food types) is crucial to assess their alignment with the Agricultural Marketing Service's mission and ensure the funds are used effectively for intended purposes.

Given the short performance period, what are the risks associated with service continuity and potential price increases upon re-competition?

A short performance period (approx. 4 months) poses a risk to service continuity if not managed proactively. It may also lead to higher prices in subsequent contract awards if the incumbent contractor faces increased costs due to the short duration or if competition is limited in the re-competition phase.

How does the $48.3 million award compare to industry benchmarks for similar food manufacturing services, considering the contract's duration?

Without specific details on the services provided, a direct benchmark is challenging. However, $48.3 million for approximately four months suggests a very high volume or specialized service. Comparing this to average costs for similar scale operations, factoring in firm fixed pricing, is essential to determine if the government secured a competitive rate.

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: 123J1421B0110/4100022302

Offers Received: 171

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11001 NW 124TH ST, MEDLEY, FL, 33178

Business Categories: Category Business, Corporate Entity Tax Exempt, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $48,282,801

Exercised Options: $48,282,801

Current Obligation: $48,282,801

Actual Outlays: $48,282,801

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: 123J1420G0212

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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