USDA Awards $3.39M for Canned Fruit to Pacific Coast Producers Under Full and Open Competition

Contract Overview

Contract Amount: $3,388,391 ($3.4M)

Contractor: Pacific Coast Producers

Awarding Agency: Department of Agriculture

Start Date: 2026-01-08

End Date: 2026-03-31

Contract Duration: 82 days

Daily Burn Rate: $41.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000011125/4400002435/4100033547/MIXED FRUIT CAN-24/300,PEACHES CLING SLICES CAN-24/300

Place of Performance

Location: OROVILLE, BUTTE County, CALIFORNIA, 95965

State: California Government Spending

Plain-Language Summary

Department of Agriculture obligated $3.4 million to PACIFIC COAST PRODUCERS for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000011125/4400002435/4100033547/MIXED FRUIT CAN-24/300,PEACHES CLING SLICES CAN-24/300 Key points: 1. The contract focuses on canned mixed fruit and peaches, essential for food donation programs. 2. Pacific Coast Producers, a California-based company, is the awardee. 3. The contract utilizes a fixed-price structure with economic price adjustments. 4. Competition was conducted under 'Full and Open Competition After Exclusion of Sources', indicating a specific but open process.

Value Assessment

Rating: good

The award amount of $3.39M for canned fruit appears reasonable given the quantity and type of goods. Benchmarking against similar government procurements for canned goods would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The procurement method 'Full and Open Competition After Exclusion of Sources' suggests that while some sources may have been initially excluded, the remaining pool was open to full competition. This method aims to ensure fair pricing through competitive bidding.

Taxpayer Impact: The use of taxpayer funds for food donations is a direct investment in social welfare programs. Ensuring competitive pricing maximizes the impact of these funds.

Public Impact

Ensures availability of essential food items for federal nutrition assistance programs. Supports domestic agriculture and food processing industries. Provides a stable supply chain for critical food commodities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price volatility due to economic price adjustment clause.
Reliance on a single awardee for a specific set of commodities.

Positive Signals

Supports domestic food production and processing.
Utilizes a competitive bidding process to ensure value.
Addresses critical needs in federal food donation programs.

Sector Analysis

The procurement falls within the broader food and beverage manufacturing sector. Government spending in this area often supports agricultural supply chains and ensures the availability of staple goods for various programs.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or if the prime contractor is a small business. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The contract is managed by the Department of Agriculture's Agricultural Marketing Service, which is responsible for overseeing commodity purchases for federal programs. Standard oversight procedures should apply.

Related Government Programs

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

Risk Flags

Potential for price increases due to EPA.
Limited visibility into small business participation.
Dependence on specific commodity types.
Effectiveness of 'Exclusion of Sources' on competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $3.4 million to PACIFIC COAST PRODUCERS. COMMODITIES FOR USG FOOD DONATIONS: 2000011125/4400002435/4100033547/MIXED FRUIT CAN-24/300,PEACHES CLING SLICES CAN-24/300

Who is the contractor on this award?

The obligated recipient is PACIFIC COAST PRODUCERS.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3.4 million.

What is the period of performance?

Start: 2026-01-08. End: 2026-03-31.

What is the specific impact of the 'Exclusion of Sources' in the competition method on the final price?

The 'Exclusion of Sources' clause implies that certain potential bidders were not considered. While the remaining pool was open to full competition, the exclusion might have limited the number of competitive bids received, potentially impacting the final price discovery. A review of the justification for exclusion and the number of bids received would clarify this.

How will the 'Economic Price Adjustment' clause affect the final cost to taxpayers?

The Economic Price Adjustment (EPA) clause allows for adjustments to the contract price based on fluctuations in specified economic factors, such as raw material costs or labor. This can protect the contractor from unforeseen cost increases but also exposes taxpayers to potential price hikes if those factors rise significantly during the contract period.

What is the long-term strategy for ensuring a consistent and cost-effective supply of these commodities beyond this contract?

This contract covers a specific period. The long-term strategy would involve ongoing market analysis, potential multi-year agreements with price stability mechanisms, or diversifying suppliers to ensure consistent availability and manage costs effectively for federal food donation programs.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 123J1425B0359

Offers Received: 6

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Address: 631 N CLUFF AVE, LODI, CA, 95240

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

Financial Breakdown

Contract Ceiling: $3,388,391

Exercised Options: $3,388,391

Current Obligation: $3,388,391

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 123J1425D0037

IDV Type: IDC

Timeline