USDA awards $27.3M for Pacific seafood to DULCICH INC under full and open competition

Contract Overview

Contract Amount: $27,311,074 ($27.3M)

Contractor: Dulcich Inc

Awarding Agency: Department of Agriculture

Start Date: 2023-07-12

End Date: 2024-01-31

Contract Duration: 203 days

Daily Burn Rate: $134.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000009419/4100027989/PACIFIC SALAD SHRIMP 350-500 PKG-20/2 LB,PACIFIC SALAD SHRIMP 250-350 PKG-20/2 LB,PACIFIC ROCKFISH FILLETS FRZ PKG-20/2 LB,PACIFIC WHITING FILLETS FRZ PKG-20/2 LB

Place of Performance

Location: WOODLAND, COWLITZ County, WASHINGTON, 98674

State: Washington Government Spending

Plain-Language Summary

Department of Agriculture obligated $27.3 million to DULCICH INC for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000009419/4100027989/PACIFIC SALAD SHRIMP 350-500 PKG-20/2 LB,PACIFIC SALAD SHRIMP 250-350 PKG-20/2 LB,PACIFIC ROCKFISH FILLETS FRZ PKG-20/2 LB,PACIFIC WHITING FILLETS FRZ PKG-20/2 LB Key points: 1. The contract focuses on seafood products for U.S. food donations. 2. DULCICH INC is the sole awardee for these specific commodities. 3. Risk appears moderate given the firm fixed price and defined period. 4. The sector is agricultural commodities, specifically seafood processing and packaging.

Value Assessment

Rating: good

The award of $27.3 million for seafood products appears reasonable given the quantity and type of goods procured. Benchmarking against similar commodity contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The use of taxpayer funds for food donations is a key government function. Competitive procurement aims to maximize the value of these funds.

Public Impact

Ensures availability of essential food items for donation programs. Supports the agricultural sector, specifically seafood producers and processors. Contributes to food security initiatives within the United States.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price fluctuations in seafood commodities.
Dependence on a single supplier for specific items.

Positive Signals

Supports critical food donation programs.
Procured through a competitive process.
Firm fixed price contract limits cost uncertainty.

Sector Analysis

This contract falls within the agricultural commodities sector, specifically focusing on seafood processing and packaging for government donation programs. Spending benchmarks for similar food procurement contracts would be relevant for comparison.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as both `ss` and `sb` are false. Further analysis would be needed to determine if small businesses had an opportunity to compete or if this is a specialized market.

Oversight & Accountability

The contract was awarded by the Department of Agriculture's Agricultural Marketing Service. Oversight would involve monitoring delivery, quality, and adherence to contract terms.

Related Government Programs

Seafood Product Preparation and Packaging
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Potential for supply chain disruption.
Limited supplier diversity for these specific items.
Market price volatility for seafood commodities.
Ensuring consistent quality of frozen seafood products.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $27.3 million to DULCICH INC. COMMODITIES FOR USG FOOD DONATIONS: 2000009419/4100027989/PACIFIC SALAD SHRIMP 350-500 PKG-20/2 LB,PACIFIC SALAD SHRIMP 250-350 PKG-20/2 LB,PACIFIC ROCKFISH FILLETS FRZ PKG-20/2 LB,PACIFIC WHITING FILLETS FRZ PKG-20/2 LB

Who is the contractor on this award?

The obligated recipient is DULCICH INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $27.3 million.

What is the period of performance?

Start: 2023-07-12. End: 2024-01-31.

What is the historical pricing trend for Pacific Salad Shrimp and Rockfish to assess if the current price is competitive?

Analyzing historical pricing data for Pacific Salad Shrimp and Rockfish over the past 3-5 years would reveal market trends and potential price volatility. Comparing the awarded prices against these historical averages and considering inflation rates would help determine if the current contract represents a fair market value. This analysis is crucial for ensuring taxpayer funds are used efficiently for food donation programs.

What are the risks associated with relying on a single supplier, DULCICH INC, for these specific seafood commodities?

Reliance on a single supplier, DULCICH INC, introduces risks such as potential supply chain disruptions due to unforeseen events (e.g., weather, labor issues, or company-specific problems). This could impact the timely delivery of food donations. Additionally, it may limit future competitive opportunities if the supplier's capacity or pricing becomes less favorable over time.

How effectively does this contract support the intended goals of the U.S. food donation programs?

The contract's effectiveness hinges on the timely and quality delivery of the specified seafood products to support U.S. food donation programs. Assuming DULCICH INC fulfills the contract requirements, it directly contributes to providing nutritious food to those in need. Monitoring recipient feedback and program impact reports would offer a clearer picture of its overall effectiveness.

Industry Classification

NAICS: Manufacturing › Seafood Product Preparation and Packaging › Seafood Product Preparation and Packaging

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: 123J1423B0467

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 16797 SE 130TH AVE, CLACKAMAS, OR, 97015

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

Financial Breakdown

Contract Ceiling: $27,311,074

Exercised Options: $27,311,074

Current Obligation: $27,311,074

Actual Outlays: $27,202,824

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline