USDA Awards $2.6M for Bulk Chilled Chicken to Rich Chicks LLC Under Full and Open Competition

Contract Overview

Contract Amount: $2,621,945 ($2.6M)

Contractor: Rich Chicks LLC

Awarding Agency: Department of Agriculture

Start Date: 2026-01-13

End Date: 2026-03-31

Contract Duration: 77 days

Daily Burn Rate: $34.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000011115/4100033576/CHICKEN LARGE CHILLED -BULK

Place of Performance

Location: LUMBER BRIDGE, ROBESON County, NORTH CAROLINA, 28357

State: North Carolina Government Spending

Plain-Language Summary

Department of Agriculture obligated $2.6 million to RICH CHICKS LLC for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000011115/4100033576/CHICKEN LARGE CHILLED -BULK Key points: 1. The contract for chilled chicken is valued at $2.6 million. 2. Rich Chicks LLC secured the award through full and open competition. 3. The contract duration is 77 days, suggesting a short-term need. 4. The sector is Poultry Processing, a standard commodity for food donations.

Value Assessment

Rating: good

The award amount of $2.6 million for 77 days of supply appears reasonable for bulk chilled chicken. Benchmarking against similar USDA food donation contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, allowing multiple vendors to bid. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: The use of full and open competition is expected to yield a cost-effective outcome for taxpayers in procuring these essential food commodities.

Public Impact

Ensures supply of essential protein for food donation programs. Supports domestic poultry producers and processors. Provides a stable source of food for vulnerable populations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Short contract duration may indicate potential for future re-competition or fluctuating needs.
Reliance on a single awardee for a critical commodity.

Positive Signals

Utilized full and open competition, maximizing potential for competitive pricing.
Clear contract award with defined deliverables and timeline.

Sector Analysis

The poultry processing sector is a key component of the food supply chain, particularly for government programs like food donations. Spending in this area is often driven by nutritional needs and agricultural support policies.

Small Business Impact

While the contract was awarded through full and open competition, there is no specific indication of small business participation or set-asides in the provided data. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

The contract is managed by the Department of Agriculture's Agricultural Marketing Service, which has established processes for procurement and oversight of food commodity contracts to ensure compliance and delivery.

Related Government Programs

Poultry Processing
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Short contract duration
Potential for price volatility in subsequent procurements
Limited visibility into small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $2.6 million to RICH CHICKS LLC. COMMODITIES FOR USG FOOD DONATIONS: 2000011115/4100033576/CHICKEN LARGE CHILLED -BULK

Who is the contractor on this award?

The obligated recipient is RICH CHICKS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.6 million.

What is the period of performance?

Start: 2026-01-13. End: 2026-03-31.

What is the historical pricing trend for similar bulk chilled chicken procurements by the USDA?

Historical pricing data for similar bulk chilled chicken procurements by the USDA would be crucial for a comprehensive value assessment. Analyzing past contract awards, quantities, and delivery periods can establish a benchmark. This allows for a determination of whether the current $2.6 million award represents a fair market price or if there are significant deviations that warrant further investigation into market conditions or supplier specific factors.

What are the potential risks associated with the short 77-day contract duration for this essential commodity?

The short 77-day duration presents risks of supply chain disruption if follow-on contracts are not secured promptly or if market prices increase significantly during the interim. It could also lead to increased administrative burden and costs associated with frequent re-procurement. Furthermore, it may limit the ability of suppliers to make long-term production commitments, potentially impacting availability or driving up prices in subsequent solicitations.

How effectively does this procurement contribute to the overall goals of the USDA's food donation programs?

This procurement directly contributes to the USDA's food donation programs by securing a vital protein source. The firm fixed price and full and open competition suggest an efficient acquisition process. However, the effectiveness is ultimately measured by the timely delivery, quality of the chicken, and its successful distribution to intended beneficiaries, ensuring it meets nutritional needs and program objectives.

Industry Classification

NAICS: Manufacturing › Animal Slaughtering and Processing › Poultry Processing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: 123J1426B0091

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Rich Chicks, LLC

Address: 4276 N TRACY BLVD, TRACY, CA, 95304

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,621,945

Exercised Options: $2,621,945

Current Obligation: $2,621,945

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline