DOJ's $74M Food Contract Awarded to Shaver Foods LLC for Federal Prisons
Contract Overview
Contract Amount: $74,023 ($74.0K)
Contractor: Shaver Foods LLC
Awarding Agency: Department of Justice
Start Date: 2026-03-20
End Date: 2026-06-30
Contract Duration: 102 days
Daily Burn Rate: $726/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 23
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: FY26 QTR 3
Place of Performance
Location: FAYETTEVILLE, WASHINGTON County, ARKANSAS, 72701
State: Arkansas Government Spending
Plain-Language Summary
Department of Justice obligated $74,022.74 to SHAVER FOODS LLC for work described as: FY26 QTR 3 Key points: 1. Significant contract value of $74 million for miscellaneous food manufacturing. 2. Awarded under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller procurements. 3. Potential risk related to the limited scope of 'All Other Miscellaneous Food Manufacturing'. 4. Sector context points to essential goods for correctional facilities.
Value Assessment
Rating: fair
The contract value of $74 million is substantial for miscellaneous food manufacturing. Benchmarking is difficult without specific product details, but the award suggests a competitive price was achieved under SAP.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders. While competed, the specific competition method and price discovery impact are not fully detailed.
Taxpayer Impact: Taxpayer funds are being used for essential food supplies for the Federal Prison System. The use of SAP may indicate efficiency but requires scrutiny to ensure best value.
Public Impact
Ensures food supply for federal inmates, a critical operational need. Supports a specific vendor, Shaver Foods LLC, in the food manufacturing sector. The contract's duration and value impact the federal budget for correctional services. Potential for price fluctuations in food commodities affecting long-term costs.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific product details for 'Miscellaneous Food Manufacturing'.
- SAP competition may limit broad market price discovery.
- Potential for supply chain disruptions affecting food delivery.
Positive Signals
- Contract awarded to a specific vendor, indicating a need met.
- Firm Fixed Price contract provides cost certainty.
- Awarded under a competed procedure, suggesting some level of market engagement.
Sector Analysis
This contract falls within the food manufacturing and supply sector, crucial for government operations, particularly correctional facilities. Spending benchmarks for such specific 'miscellaneous' food items are hard to establish without further detail.
Small Business Impact
The data indicates this contract was awarded to Shaver Foods LLC. There is no explicit information provided regarding small business participation or subcontracting in this award.
Oversight & Accountability
Oversight would involve monitoring contract performance, delivery schedules, and product quality to ensure compliance with the terms and conditions of the purchase order. The Department of Justice's Federal Prison System is responsible for this oversight.
Related Government Programs
- All Other Miscellaneous Food Manufacturing
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Lack of specific product detail.
- Potential for limited competition under SAP.
- Dependence on a single vendor for a broad category.
- Difficulty in benchmarking 'miscellaneous' food items.
- Potential supply chain vulnerabilities.
Tags
all-other-miscellaneous-food-manufacturi, department-of-justice, ar, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $74,022.74 to SHAVER FOODS LLC. FY26 QTR 3
Who is the contractor on this award?
The obligated recipient is SHAVER FOODS LLC.
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 $74,022.74.
What is the period of performance?
Start: 2026-03-20. End: 2026-06-30.
What specific types of 'miscellaneous food' are included in this contract, and how does their pricing compare to market rates?
The contract specifies 'All Other Miscellaneous Food Manufacturing' without granular detail. A thorough review would require access to the detailed product list and specifications to compare pricing against industry benchmarks and similar government contracts. Without this, assessing true value for money is challenging.
What are the potential risks associated with relying on a single vendor for a broad category of 'miscellaneous food' under SAP?
Relying on one vendor for a diverse category like 'miscellaneous food' carries risks of limited product availability, potential quality control issues, and reduced leverage in price negotiations if market conditions change. SAP competition, while efficient, may not have explored the full breadth of the market for these specific items.
How effectively does this contract meet the diverse dietary needs of the federal prison population?
The effectiveness hinges on the specific items procured under 'miscellaneous food manufacturing'. While the contract ensures a supply, it's unclear if it adequately addresses specialized dietary requirements, nutritional standards, or variety needed for inmate well-being. Further analysis of the product list is necessary.
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: 15B11926Q00000006
Offers Received: 23
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1419 S BEECHWOOD AVE, FAYETTEVILLE, AR, 72701
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $74,023
Exercised Options: $74,023
Current Obligation: $74,023
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2026-03-20
Current End Date: 2026-06-30
Potential End Date: 2026-06-30 00:00:00
Last Modified: 2026-04-06
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