USDA Awards $542,660 Contract for Canned Vegetarian Beans to Morgan Foods, Inc

Contract Overview

Contract Amount: $542,660 ($542.7K)

Contractor: Morgan Foods, Inc.

Awarding Agency: Department of Agriculture

Start Date: 2026-02-09

End Date: 2026-07-30

Contract Duration: 171 days

Daily Burn Rate: $3.2K/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: 2000011144/4100033718/BEANS VEGETARIAN CAN-24/300

Place of Performance

Location: AUSTIN, SCOTT County, INDIANA, 47102

State: Indiana Government Spending

Plain-Language Summary

Department of Agriculture obligated $542,660.4 to MORGAN FOODS, INC. for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000011144/4100033718/BEANS VEGETARIAN CAN-24/300 Key points: 1. Contract awarded to Morgan Foods, Inc. for canned vegetarian beans. 2. Full and open competition was utilized for this procurement. 3. The contract has a firm fixed price and a duration of 171 days. 4. This purchase falls under the Fruit and Vegetable Canning sector.

Value Assessment

Rating: good

The contract value of $542,660 for 20,000 units of canned beans appears reasonable given the firm fixed price and the nature of the commodity. Benchmarking against similar government food procurements would provide further validation.

Cost Per Unit: $27.13

Competition Analysis

Competition Level: full-and-open

The use of full and open competition suggests a robust price discovery process. This method allows multiple vendors to bid, potentially leading to more competitive pricing for the government.

Taxpayer Impact: The firm fixed price contract aims to control costs, ensuring taxpayer funds are used efficiently for essential food donations.

Public Impact

Ensures availability of essential food items for USG food donation programs. Supports agricultural producers and food processing industries. Provides nutritional resources to beneficiaries of food assistance programs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price fluctuations in raw bean commodities.
Logistical challenges in distribution of canned goods.

Positive Signals

Firm fixed price contract mitigates cost overruns.
Full and open competition promotes market efficiency.

Sector Analysis

This contract falls within the Food and Kindred Products manufacturing sector, specifically fruit and vegetable canning. Government spending in this area supports domestic agriculture and ensures food security initiatives.

Small Business Impact

While this contract was awarded through full and open competition, there is no specific indication of small business participation or set-asides. 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 is responsible for overseeing procurement and distribution of agricultural commodities for federal programs.

Related Government Programs

Fruit and Vegetable Canning
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Potential for commodity price volatility.
Dependence on a single supplier for this specific award.
Logistical complexities in distribution.
Limited duration may require subsequent procurements.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $542,660.4 to MORGAN FOODS, INC.. COMMODITIES FOR USG FOOD DONATIONS: 2000011144/4100033718/BEANS VEGETARIAN CAN-24/300

Who is the contractor on this award?

The obligated recipient is MORGAN FOODS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $542,660.4.

What is the period of performance?

Start: 2026-02-09. End: 2026-07-30.

What is the historical pricing trend for canned vegetarian beans in government contracts?

Analyzing historical contract data for similar canned vegetarian beans would reveal pricing trends and identify any significant deviations in this award. This comparison helps assess if the current price of $27.13 per unit is competitive over time and against market fluctuations, ensuring optimal use of taxpayer funds for food donation programs.

What are the potential risks associated with the supply chain for canned vegetarian beans?

Risks in the canned bean supply chain could include disruptions in agricultural production due to weather or disease, fluctuations in raw material costs, and transportation or storage issues. Ensuring robust contingency plans and supplier diversification can mitigate these risks and guarantee timely delivery for food donation programs.

How effectively does this contract support the USG's food donation objectives?

This contract directly supports USG food donation objectives by procuring a staple food item. The firm fixed price and full competition aim for cost-effectiveness, ensuring more resources are available for distribution. Monitoring delivery and quality will confirm its effectiveness in meeting program needs.

Industry Classification

NAICS: Manufacturing › Fruit and Vegetable Preserving and Specialty Food Manufacturing › Fruit and Vegetable Canning

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: TWO STEP

Solicitation ID: 123J1426B0115

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 90 W MORGAN ST, AUSTIN, IN, 47102

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

Financial Breakdown

Contract Ceiling: $542,660

Exercised Options: $542,660

Current Obligation: $542,660

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline