Justice Department awards $18.5K for eyeglasses, with Federal Prison Industries Inc. fulfilling the contract

Contract Overview

Contract Amount: $18,500 ($18.5K)

Contractor: Federal Prison Industries, Inc

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $51/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: GLASSES FOR USP LEE

Place of Performance

Location: LEXINGTON, FAYETTE County, KENTUCKY, 40511

State: Kentucky Government Spending

Plain-Language Summary

Department of Justice obligated $18,500 to FEDERAL PRISON INDUSTRIES, INC for work described as: GLASSES FOR USP LEE Key points: 1. Contract awarded to a government-owned entity, raising questions about market competition and efficiency. 2. Fixed-price contract type suggests cost certainty for the government. 3. Short duration of 364 days limits long-term performance assessment. 4. Awarded under Simplified Acquisition Procedures, indicating a focus on smaller value procurements. 5. Geographic location in Kentucky may influence local economic impact.

Value Assessment

Rating: fair

The contract value of $18,500 is relatively small, making direct comparison to larger contracts difficult. As Federal Prison Industries, Inc. is a government-owned entity, its pricing structure may not reflect typical market dynamics or competitive pressures. Without access to Federal Prison Industries' cost structure or profit margins, a definitive value-for-money assessment is challenging. However, the small award amount suggests it is likely within a reasonable range for the specified goods.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was 'COMPETED UNDER SAP,' which typically implies a process designed for smaller purchases. However, the specific competition details (e.g., number of offers received, whether it was set aside for small businesses or competed broadly) are not provided. Awarding to Federal Prison Industries, Inc. could indicate a specific policy or requirement driving the procurement choice, potentially limiting broader market competition.

Taxpayer Impact: The limited information on competition makes it difficult to ascertain if taxpayers received the best possible price. If the competition was indeed limited, there's a risk that a more competitive process could have yielded cost savings.

Public Impact

Federal Prison System inmates benefit through vocational training and employment opportunities in manufacturing these eyeglasses. The Bureau of Prisons receives necessary optical supplies for its population. The contract's geographic impact is primarily in Kentucky, where the goods are manufactured or supplied. Workforce implications are centered around the inmate labor force within Federal Prison Industries.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the broader medical equipment and supplies manufacturing sector, specifically focusing on optical goods. The North American Industry Classification System (NAICS) code 339113 covers surgical appliance and supplies manufacturing. While the overall market for medical supplies is substantial, this specific award is a small component. Benchmarking against similar, smaller-scale procurements for eyeglasses within federal agencies would be necessary for a more precise comparison.

Small Business Impact

The provided data indicates that small business participation was not a specific set-aside criterion ('sb': false). As the award went to Federal Prison Industries, Inc., there are no direct subcontracting opportunities for small businesses stemming from this specific award. This contract does not appear to directly impact the small business ecosystem, as it is an internal government manufacturing entity.

Oversight & Accountability

Oversight for this contract would fall under the Department of Justice's Bureau of Prisons. As a purchase order, it is subject to standard procurement regulations and internal agency controls. Transparency is limited by the 'COMPETED UNDER SAP' designation, which often involves less public documentation than larger, full-and-open competitions. Inspector General oversight would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Risk Flags

Tags

healthcare, department-of-justice, federal-prison-system, purchase-order, competed-under-sap, firm-fixed-price, small-value-contract, medical-supplies, manufacturing, kentucky

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $18,500 to FEDERAL PRISON INDUSTRIES, INC. GLASSES FOR USP LEE

Who is the contractor on this award?

The obligated recipient is FEDERAL PRISON INDUSTRIES, INC.

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 $18,500.

What is the period of performance?

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

What is the track record of Federal Prison Industries, Inc. in fulfilling similar supply contracts?

Federal Prison Industries, Inc. (FPI) has a long history of manufacturing various goods and providing services to federal agencies, often leveraging inmate labor. Its primary mission is to provide employment and vocational training to federal prisoners. While FPI fulfills a wide range of product needs, specific performance data on its track record for optical supplies like eyeglasses, including on-time delivery rates, quality metrics, and customer satisfaction from agencies, is not readily available in the public domain. Agencies typically manage these contracts through standard performance monitoring, but aggregated public data on FPI's specific success rates across all its product lines is limited.

How does the pricing of these eyeglasses compare to market rates for similar products?

Directly comparing the pricing of eyeglasses supplied by Federal Prison Industries (FPI) to open market rates is challenging without detailed product specifications and FPI's cost structure. FPI operates under a mandate that includes providing employment for inmates, which can influence its cost basis differently than private sector manufacturers driven solely by profit maximization and market competition. The $18,500 award for an unspecified quantity of eyeglasses does not provide a clear per-unit cost. To assess value, one would need to compare the unit price (once determined) against comparable bulk purchase prices from commercial suppliers for items of similar quality and specifications, considering potential differences in manufacturing overhead and labor costs.

What are the primary risks associated with awarding contracts to Federal Prison Industries?

The primary risks associated with awarding contracts to Federal Prison Industries (FPI) often revolve around potential limitations in competition and efficiency. Since FPI is a government-owned entity, the procurement process may not always achieve the same level of price discovery and innovation as a fully competitive market. There's a risk that pricing might not be as competitive as it could be in an open market, although FPI is required to charge fair market prices. Additionally, reliance on a single source, even a government one, can pose risks if FPI faces production issues, quality control problems, or delays, potentially impacting the continuity of supply for essential items like eyeglasses.

How effective is the Bureau of Prisons in managing its supply chain for items like eyeglasses?

The effectiveness of the Bureau of Prisons (BOP) in managing its supply chain for items like eyeglasses is assessed through various mechanisms, including contract performance monitoring, inventory management, and user feedback. The BOP, like other large federal agencies, operates under established procurement regulations and internal controls designed to ensure timely and cost-effective acquisition of necessary goods and services. The award of this specific contract, valued at $18,500 and with a fixed-price structure, suggests a standard approach to acquiring these supplies. However, a comprehensive assessment of the BOP's overall supply chain effectiveness would require analyzing broader data on delivery performance, stock availability, and cost efficiency across its entire range of procured items.

What has been the historical spending pattern for eyeglasses by the Department of Justice?

Historical spending patterns for eyeglasses by the Department of Justice (DOJ) are not explicitly detailed in the provided data. This specific award of $18,500 to Federal Prison Industries, Inc. represents a single transaction. To understand the DOJ's historical spending, one would need to analyze procurement databases over several fiscal years, filtering for contracts related to optical supplies, eyeglasses, and potentially specific NAICS codes like 339113. This analysis would reveal trends in spending volume, the types of contracts awarded (competed vs. sole-source), the primary contractors, and average award values, providing context for the current procurement.

Industry Classification

NAICS: ManufacturingMedical Equipment and Supplies ManufacturingSurgical Appliance and Supplies Manufacturing

Product/Service Code: MEDICAL SERVICESOTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Government of the United States

Address: 3301 LEESTOWN RD, LEXINGTON, KY, 40511

Business Categories: Category Business, Government, U.S. National Government, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $18,500

Exercised Options: $18,500

Current Obligation: $18,500

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2025-10-01

Current End Date: 2026-09-30

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

Last Modified: 2026-04-02

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