Justice Department's $53K bread and buns contract awarded to East Baking Company for 90 days

Contract Overview

Contract Amount: $53,120 ($53.1K)

Contractor: East Baking Company, Inc.

Awarding Agency: Department of Justice

Start Date: 2026-04-01

End Date: 2026-06-30

Contract Duration: 90 days

Daily Burn Rate: $590/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 33

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WHOLE WHEAT BREAD, FRESH LOAF WHOLE WHEAT HAMBURGER BUNS FRESH EACH WHOLE WHEAT HOT DOG BUNS, FRESH EACH

Place of Performance

Location: HOLYOKE, HAMPDEN County, MASSACHUSETTS, 01040

State: Massachusetts Government Spending

Plain-Language Summary

Department of Justice obligated $53,119.68 to EAST BAKING COMPANY, INC. for work described as: WHOLE WHEAT BREAD, FRESH LOAF WHOLE WHEAT HAMBURGER BUNS FRESH EACH WHOLE WHEAT HOT DOG BUNS, FRESH EACH Key points: 1. The contract value appears modest, suggesting a localized or specific need for baked goods. 2. Competition dynamics are unclear as the contract was competed under SAP (Simplified Acquisition Procedures), which may limit broad market engagement. 3. The firm fixed-price contract type offers cost certainty for the government. 4. Performance duration is short-term, indicating a potential for re-competition or a pilot program. 5. The award to East Baking Company, Inc. suggests a focus on regional suppliers for perishable goods. 6. The absence of small business set-aside flags warrants further investigation into subcontracting opportunities.

Value Assessment

Rating: fair

The total award amount of $53,119.68 for a 90-day period for bread and buns is difficult to benchmark without more specific product details and quantities. However, given the nature of the goods, the price seems within a reasonable range for a government entity. The firm fixed-price structure provides predictability. Further analysis would require understanding the volume of goods procured and comparing per-unit costs to commercial equivalents or other government contracts for similar food items.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), which is generally used for purchases below the simplified acquisition threshold. While this indicates some level of competition, the specific number of bidders or the extent of outreach is not detailed. SAP aims to promote competition but may not achieve the same breadth as full and open competition for larger contracts. The limited information suggests a standard procurement process for this value range.

Taxpayer Impact: Competing under SAP allows for efficient procurement of necessary goods while still seeking competitive pricing, which is beneficial for taxpayer funds on smaller value contracts.

Public Impact

Inmates within the Federal Prison System will benefit from the provision of fresh whole wheat bread and buns. The services delivered include the supply of essential food staples. The geographic impact is likely limited to the facility or facilities served by East Baking Company in Massachusetts. Workforce implications are minimal, primarily affecting the staff at East Baking Company.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed product specifications makes it hard to assess value for money.
Competition under SAP may not have yielded the lowest possible price.
Short contract duration could lead to frequent re-procurement costs.

Positive Signals

Firm fixed-price contract provides budget certainty.
Award to a specific company suggests established supply chain for the region.
Procurement under SAP is a standard procedure for this contract value.

Sector Analysis

The food manufacturing sector, particularly for baked goods, is characterized by numerous small to medium-sized enterprises. Government contracts for food supplies are common across various agencies, including correctional facilities, military bases, and federal institutions. The market size for such goods is substantial, but individual contracts like this one represent a small fraction. Benchmarking this contract's value against similar food service contracts would require detailed quantity and specification data.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). While the contract value is relatively small, there is no explicit information on subcontracting plans. Further review would be needed to determine if East Baking Company is a small business itself and if any subcontracting opportunities were offered or utilized, which could impact the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the Federal Prison System's procurement and contracting division within the Department of Justice. Accountability measures are inherent in the firm fixed-price contract, requiring delivery of specified goods. Transparency is facilitated by contract databases, though detailed performance metrics are not publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Federal Prison System Food Services
Department of Justice Commissary Operations
General Services Administration (GSA) Food Procurement

Risk Flags

Perishability of goods
Short contract duration
Limited competition under SAP
Quality control of food products

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $53,119.68 to EAST BAKING COMPANY, INC.. WHOLE WHEAT BREAD, FRESH LOAF WHOLE WHEAT HAMBURGER BUNS FRESH EACH WHOLE WHEAT HOT DOG BUNS, FRESH EACH

Who is the contractor on this award?

The obligated recipient is EAST BAKING COMPANY, 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 $53,119.68.

What is the period of performance?

Start: 2026-04-01. End: 2026-06-30.

What is the historical spending pattern for bread and buns by the Federal Prison System?

Analyzing historical spending patterns for bread and buns by the Federal Prison System (FPS) requires access to detailed procurement data over multiple fiscal years. Typically, agencies like the FPS procure food items through various contract vehicles, including indefinite-delivery indefinite-quantity (IDIQ) contracts, purchase orders, and other agreements. Spending can fluctuate based on inmate population, dietary guidelines, and the number and type of facilities operated. Without specific historical data for this contract line item or similar food categories, it's challenging to establish a precise trend. However, it is reasonable to assume consistent, albeit variable, spending on staple food items like bread and buns to meet daily nutritional needs for the inmate population. The current contract's value of approximately $53,000 for a 90-day period suggests a localized or specific need, potentially for a single facility or a small group of facilities, rather than a system-wide procurement.

How does the per-unit cost of these baked goods compare to commercial market rates?

A direct comparison of per-unit costs for the baked goods in this contract to commercial market rates is challenging without specific details on the exact types, sizes, and quantities of bread and buns procured. The contract award of $53,119.68 over 90 days for 'WHOLE WHEAT BREAD, FRESH LOAF WHOLE WHEAT HAMBURGER BUNS FRESH EACH WHOLE WHEAT HOT DOG BUNS, FRESH EACH' from East Baking Company, Inc. does not provide unit counts. However, if we were to estimate based on typical commercial wholesale prices for similar items in Massachusetts, a loaf of whole wheat bread might range from $2-$5, and a pack of buns (e.g., 8-12 count) could be $2-$4. Government contracts often aim for competitive pricing, but factors like delivery, specific quality standards, and volume can influence the final per-unit cost. Given the firm fixed-price nature, the government has locked in a price, but its competitiveness against market rates would depend on the negotiated quantities and specific product formulations.

What is East Baking Company, Inc.'s track record with federal contracts?

To assess East Baking Company, Inc.'s track record with federal contracts, a search of federal procurement databases such as SAM.gov (System for Award Management) and FPDS (Federal Procurement Data System) would be necessary. These databases provide information on past awards, contract types, agencies served, and performance history. Without direct access to query these systems for East Baking Company, Inc., it's difficult to provide a specific assessment. However, the award of this purchase order by the Department of Justice's Federal Prison System suggests they have at least met the basic requirements for participating in federal solicitations. A positive track record would typically involve consistent performance, adherence to contract terms, and potentially a history of receiving awards from various federal agencies. Conversely, a negative track record might include past performance issues, contract disputes, or debarment.

What are the potential risks associated with this contract?

Several potential risks are associated with this contract for fresh baked goods. Firstly, the perishability of the product introduces supply chain risks; delays in delivery or spoilage could lead to shortages and impact the intended beneficiaries (inmates). Secondly, the short duration (90 days) creates administrative overhead and potential discontinuity if not managed efficiently, requiring frequent re-solicitation and award processes. Thirdly, while competed under SAP, the level of competition might not have been optimal, potentially leading to a less favorable price than could have been achieved through broader solicitation. Finally, quality control is a continuous risk; ensuring the baked goods consistently meet nutritional and freshness standards requires diligent oversight from the agency.

How does this contract fit into the broader food procurement strategy of the Federal Prison System?

This contract for bread and buns likely represents a localized or specific component of the Federal Prison System's (FPS) broader food procurement strategy. The FPS manages food services for a large inmate population across numerous facilities, necessitating a complex and often decentralized procurement approach. Contracts for staple items like bread and buns are essential for meeting daily nutritional requirements. The strategy typically involves balancing cost-effectiveness, nutritional standards, supply chain reliability, and sometimes supporting regional economies. Awarding this contract to East Baking Company, Inc. under SAP suggests a tactical approach to fulfilling immediate or specific needs, possibly for a particular correctional facility or region within Massachusetts, rather than a large-scale, system-wide contract. This allows for flexibility and responsiveness to local market conditions and supplier capabilities.

Industry Classification

NAICS: Manufacturing › Other Food Manufacturing › All Other Miscellaneous Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 15B11726Q00000008

Offers Received: 33

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 104 WHITING FARMS RD, HOLYOKE, MA, 01040

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

Financial Breakdown

Contract Ceiling: $53,120

Exercised Options: $53,120

Current Obligation: $53,120

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline