USDA's $88K frozen vegetable contract awarded to Inn Foods Inc. for domestic food donations

Contract Overview

Contract Amount: $88,391 ($88.4K)

Contractor: INN Foods Inc

Awarding Agency: Department of Agriculture

Start Date: 2026-04-02

End Date: 2026-07-31

Contract Duration: 120 days

Daily Burn Rate: $737/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 13

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000011244/4400002433/4100033928/CARROTS DICED FRZ CTN-12/2 LB,PEAS GREEN FRZ CTN-12/2.5 LB

Place of Performance

Location: LAKE ODESSA, IONIA County, MICHIGAN, 48849

State: Michigan Government Spending

Plain-Language Summary

Department of Agriculture obligated $88,390.5 to INN FOODS INC for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000011244/4400002433/4100033928/CARROTS DICED FRZ CTN-12/2 LB,PEAS GREEN FRZ CTN-12/2.5 LB Key points: 1. Value for money appears reasonable given the nature of commodity procurement for donation programs. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration is relatively short, indicating a need for timely delivery. 4. Performance context is tied to the Agricultural Marketing Service's role in food assistance. 5. Sector positioning is within food manufacturing and distribution for government programs.

Value Assessment

Rating: good

The contract value of $88,390.50 for frozen diced carrots and green peas seems appropriate for the quantity and type of goods procured for food donation. Benchmarking against similar commodity contracts for federal food assistance programs would provide a more precise value assessment, but the price appears in line with standard procurement costs for such items. The firm fixed-price structure helps manage cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 10 bidders suggests a healthy level of competition for this procurement. A competitive process like this generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The use of full and open competition ensures that taxpayer dollars are used efficiently by leveraging market forces to secure the best possible prices for essential food commodities.

Public Impact

Beneficiaries include individuals and families receiving food assistance through domestic donation programs. Services delivered include the provision of frozen diced carrots and green peas. Geographic impact is primarily within the United States, supporting domestic food security initiatives. Workforce implications are related to the food manufacturing and logistics sectors involved in fulfilling the contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions impacting timely delivery of perishable goods.
Ensuring consistent quality and nutritional value of frozen vegetables across all lots.

Positive Signals

Award to a single contractor simplifies management and oversight.
Firm fixed-price contract provides cost predictability.
Short contract duration ensures goods are procured closer to their need date.

Sector Analysis

The contract falls within the broader food manufacturing and distribution sector, specifically focusing on frozen fruits, juices, and vegetables. This sector is crucial for supplying various government programs, including food assistance and military rations. Comparable spending benchmarks would involve analyzing other USDA procurements for similar commodities or other agencies' food supply contracts.

Small Business Impact

The data indicates that small business participation was not a specific set-aside requirement for this contract, nor is there information suggesting significant subcontracting opportunities for small businesses. The primary contractor, Inn Foods Inc., is not explicitly identified as a small business in the provided data. Further analysis would be needed to determine the overall impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would likely be managed by the Agricultural Marketing Service (AMS) within the USDA. Accountability measures are embedded in the contract terms, including delivery schedules and product specifications. Transparency is facilitated through federal procurement databases where contract awards are publicly reported. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

USDA Food Donation Programs
National School Lunch Program
Commodity Supplemental Food Program
Emergency Food Assistance Program

Risk Flags

Potential for supply chain disruptions
Quality control of perishable goods

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $88,390.5 to INN FOODS INC. COMMODITIES FOR USG FOOD DONATIONS: 2000011244/4400002433/4100033928/CARROTS DICED FRZ CTN-12/2 LB,PEAS GREEN FRZ CTN-12/2.5 LB

Who is the contractor on this award?

The obligated recipient is INN 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 $88,390.5.

What is the period of performance?

Start: 2026-04-02. End: 2026-07-31.

What is the track record of Inn Foods Inc. in fulfilling federal contracts, particularly for food commodities?

Information regarding Inn Foods Inc.'s specific track record with federal contracts is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, any history of contract disputes or terminations, and the volume and type of previous federal awards. Analyzing their performance on similar commodity procurements, especially for government food donation or assistance programs, would be crucial to understanding their reliability and capability. Without this historical data, it's difficult to definitively assess their past performance in meeting federal requirements.

How does the unit price of these frozen vegetables compare to market rates for similar products?

The provided data does not include specific unit pricing details (e.g., price per pound) for the frozen diced carrots and green peas. To compare with market rates, one would need to calculate the effective unit cost based on the total award amount and the quantities of each item. This calculated unit cost could then be benchmarked against wholesale prices for similar frozen vegetables in the relevant geographic region or against prices paid by other large institutional buyers. Such a comparison would help determine if the government secured a competitive price through the bidding process.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks for this contract include potential supply chain disruptions affecting the timely delivery of perishable frozen goods, and ensuring consistent quality and nutritional value across all delivered lots. Mitigation strategies are inherent in the contract structure: the firm fixed-price nature caps financial risk for the government, while the defined delivery period (April 2 to July 31, 2026) sets clear expectations. The Agricultural Marketing Service likely has quality assurance protocols in place to inspect the delivered products, and the competitive bidding process aims to select a reliable supplier. Contingency planning for unforeseen logistical challenges would also be a standard mitigation practice.

How effective is the Agricultural Marketing Service in managing commodity procurement contracts for food donations?

The effectiveness of the Agricultural Marketing Service (AMS) in managing commodity procurement contracts for food donations can be assessed by examining several factors. These include the efficiency of their procurement processes, the success rate in obtaining high-quality goods at competitive prices, and the timely distribution of these commodities to intended recipients. Historical data on program outcomes, recipient satisfaction, and audit reports from the USDA's Office of Inspector General would provide insights into AMS's performance. The current contract's full and open competition and the number of bidders suggest a functional procurement system, but a broader analysis of AMS's overall program management is needed for a complete effectiveness assessment.

What are the historical spending patterns for frozen vegetables procured by the USDA for donation programs?

Analyzing historical spending patterns for frozen vegetables by the USDA for donation programs would involve examining procurement data over several fiscal years. This would reveal trends in contract values, quantities purchased, types of vegetables procured, and the primary contractors. Understanding these patterns helps in identifying fluctuations in demand, price variations, and the consistency of program funding. It also allows for benchmarking current contract values against historical averages to assess whether current spending is within expected ranges or indicates significant deviations that warrant further investigation.

Industry Classification

NAICS: Manufacturing › Fruit and Vegetable Preserving and Specialty Food Manufacturing › Frozen Fruit, Juice, and Vegetable Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 123J1425B0350

Offers Received: 13

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 310 WALKER ST, WATSONVILLE, CA, 95076

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

Financial Breakdown

Contract Ceiling: $88,391

Exercised Options: $88,391

Current Obligation: $88,391

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 123J1425D0052

IDV Type: IDC

Timeline