USDA Awards $5M for Frozen Ground Beef to JANCORP, LLC Under Full and Open Competition

Contract Overview

Contract Amount: $5,000,100 ($5.0M)

Contractor: Jancorp, LLC

Awarding Agency: Department of Agriculture

Start Date: 2026-01-09

End Date: 2026-03-31

Contract Duration: 81 days

Daily Burn Rate: $61.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 8

Pricing Type: FIXED PRICE AWARD FEE

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000011102/4100033560/BEEF COARSE GROUND FRZ CTN-60 LB

Place of Performance

Location: RANTOUL, CHAMPAIGN County, ILLINOIS, 61866

State: Illinois Government Spending

Plain-Language Summary

Department of Agriculture obligated $5.0 million to JANCORP, LLC for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000011102/4100033560/BEEF COARSE GROUND FRZ CTN-60 LB Key points: 1. Awarded to JANCORP, LLC for $5M, this contract focuses on essential food commodities. 2. The contract was awarded using full and open competition after exclusion of sources, indicating a competitive process. 3. Potential risks include supply chain disruptions for frozen goods and price volatility of beef. 4. The sector is Food & Agriculture, specifically commodity procurement for government programs.

Value Assessment

Rating: good

The fixed-price award fee structure provides some flexibility while incentivizing performance. Benchmarking against similar commodity contracts would be beneficial, but the price appears reasonable for bulk frozen beef.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract utilized full and open competition after exclusion of sources, suggesting a robust price discovery process. This method aims to secure the best value for the government.

Taxpayer Impact: The procurement of food commodities for donation programs ensures vital support for those in need, representing efficient use of taxpayer funds for social welfare.

Public Impact

Ensures continued supply of essential food items for government donation programs. Supports agricultural producers and processors within the food supply chain. Provides a critical resource for food banks and charitable organizations. Contributes to food security initiatives both domestically and potentially internationally.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

Potential for price fluctuations in the beef market.
Logistical challenges in transporting and storing frozen goods.
Dependence on a single awardee for a specific commodity.

Positive Signals

Competitive award process likely secured favorable pricing.
Clear contract duration and delivery timeline.
Focus on essential goods for social programs.

Sector Analysis

This procurement falls within the agricultural commodities sector, specifically for food donations. Government spending in this area is crucial for supporting social safety nets and disaster relief efforts.

Small Business Impact

The data indicates the awardee is JANCORP, LLC. Further analysis would be needed to determine if small businesses were involved as subcontractors or if the prime awardee itself qualifies as a small business.

Oversight & Accountability

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

Related Government Programs

Animal (except Poultry) Slaughtering
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Market price volatility for beef.
Potential supply chain disruptions.
Logistical challenges for frozen goods.
Dependence on a single supplier for this commodity.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $5.0 million to JANCORP, LLC. COMMODITIES FOR USG FOOD DONATIONS: 2000011102/4100033560/BEEF COARSE GROUND FRZ CTN-60 LB

Who is the contractor on this award?

The obligated recipient is JANCORP, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $5.0 million.

What is the period of performance?

Start: 2026-01-09. End: 2026-03-31.

What is the historical pricing trend for coarse ground beef over the contract period?

Analyzing historical pricing data for coarse ground beef is crucial to assess if the current fixed price award fee is competitive and offers good value. Fluctuations in market prices, feed costs, and processing expenses can significantly impact the cost of goods. Understanding these trends helps determine if the government is paying a fair price compared to market conditions and previous awards.

What are the specific risks associated with the exclusion of sources in this 'full and open' competition?

While 'full and open competition after exclusion of sources' aims for broad participation, the exclusion of specific sources warrants scrutiny. It's important to understand the justification for exclusion to ensure it wasn't arbitrary and didn't unduly limit competition. The risk is that legitimate, capable suppliers might have been prevented from bidding, potentially impacting price or availability.

How effectively does this contract support the intended recipients of the food donations?

The effectiveness hinges on the timely delivery of quality beef to the designated food banks and charitable organizations. Key performance indicators should track recipient satisfaction, product quality upon arrival, and the quantity distributed. Ensuring the beef meets nutritional standards and reaches the intended population without spoilage or significant delays is paramount to the program's success.

Industry Classification

NAICS: Manufacturing › Animal Slaughtering and Processing › Animal (except Poultry) Slaughtering

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Solicitation ID: 123J1426B0078

Offers Received: 8

Pricing Type: FIXED PRICE AWARD FEE (M)

Evaluated Preference: NONE

Contractor Details

Address: 608 KOPMAN ST, RANTOUL, IL, 61866

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

Financial Breakdown

Contract Ceiling: $5,000,100

Exercised Options: $5,000,100

Current Obligation: $5,000,100

Actual Outlays: $1,167,180

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline