DOJ's Federal Prison System Awards UPS $19.5K Contract for Inmate Property Shipments Through 2025

Contract Overview

Contract Amount: $19,501 ($19.5K)

Contractor: United Parcel Service CO.

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $54/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: UPS INMATE PROPERTY SHIPMENTS F6 TO PAY INVOICES OCT 25, THROUGH DEC 2025, FCC BUTNER.

Place of Performance

Location: LOUISVILLE, JEFFERSON County, KENTUCKY, 40223

State: Kentucky Government Spending

Plain-Language Summary

Department of Justice obligated $19,501.06 to UNITED PARCEL SERVICE CO. for work described as: UPS INMATE PROPERTY SHIPMENTS F6 TO PAY INVOICES OCT 25, THROUGH DEC 2025, FCC BUTNER. Key points: 1. The contract focuses on inmate property shipments, a niche but essential service for correctional facilities. 2. UPS is a major player in the logistics industry, suggesting potential for competitive pricing. 3. The primary risk involves potential delivery delays or issues impacting inmate services. 4. This falls under the 'Other' sector due to its specific correctional facility application.

Value Assessment

Rating: good

The $19,501.06 price for 364 days of service appears reasonable given UPS's established rates for similar delivery services. Benchmarking against other government contracts for correctional facility logistics would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition after exclusion of sources, indicating a competitive bidding process. This method generally leads to better price discovery and value for the government.

Taxpayer Impact: The relatively low value of this contract suggests a minimal direct taxpayer impact, with savings likely realized through efficient inmate services.

Public Impact

Ensures inmates can receive essential personal property, contributing to their well-being and rehabilitation. Supports the operational efficiency of FCC Butner by managing the logistics of inmate belongings. Provides a reliable shipping channel, reducing administrative burden on correctional staff.

Waste & Efficiency Indicators

Waste Risk Score: 54 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract serves a specific need within the correctional system, distinct from broader government logistics. Benchmarking would ideally compare it to similar inmate property shipment contracts within the Federal Prison System.

Small Business Impact

The data does not indicate any specific provisions or considerations for small business participation in this contract.

Oversight & Accountability

The contract is managed by the Department of Justice, Federal Prison System, which has established oversight mechanisms for delivery orders. Accountability is maintained through performance monitoring and payment verification.

Related Government Programs

Risk Flags

Tags

couriers-and-express-delivery-services, department-of-justice, ky, delivery-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $19,501.06 to UNITED PARCEL SERVICE CO.. UPS INMATE PROPERTY SHIPMENTS F6 TO PAY INVOICES OCT 25, THROUGH DEC 2025, FCC BUTNER.

Who is the contractor on this award?

The obligated recipient is UNITED PARCEL SERVICE CO..

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $19,501.06.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the cost per shipment, and how does it compare to industry averages for similar services?

The total contract value is $19,501.06 over 364 days. Without the number of shipments, a per-shipment cost cannot be calculated. However, given UPS's standard rates, this likely reflects a negotiated price based on expected volume and service level agreements for correctional facility logistics.

What are the contingency plans if UPS experiences significant service disruptions?

Contingency plans are not detailed in the provided data. Typically, government contracts include clauses for service failures, potentially involving penalties or the right to seek alternative solutions. The agency should have internal protocols for addressing such disruptions.

How does this contract contribute to the overall effectiveness of inmate rehabilitation programs?

By ensuring timely and reliable delivery of personal property, this contract indirectly supports inmate well-being and morale, which are often considered factors in rehabilitation. It allows inmates to maintain connections with the outside world and possess necessary personal items.

Industry Classification

NAICS: Transportation and WarehousingCouriers and Express Delivery ServicesCouriers and Express Delivery Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1400 N HURSTBOURNE PKWY, LOUISVILLE, KY, 40223

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

Financial Breakdown

Contract Ceiling: $19,501

Exercised Options: $19,501

Current Obligation: $19,501

Actual Outlays: $7,790

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HTC71123DC025

IDV Type: IDC

Timeline

Start Date: 2025-10-01

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-04-08

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