DOJ's $138K UNICOR contract for prison goods awarded without competition, raising value concerns

Contract Overview

Contract Amount: $138,542 ($138.5K)

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: $381/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 UNICOR DESIGNATED COMMERCIAL ITEMS: APPAREL & ACCESSORIES FOOTWEAR, EYEWEAR AND OPTICS, MATTRESSES, AND OFFICE FURNITURE FOR FCI ESTILL REACTIVATION

Place of Performance

Location: ESTILL, HAMPTON County, SOUTH CAROLINA, 29918

State: South Carolina Government Spending

Plain-Language Summary

Department of Justice obligated $138,541.88 to FEDERAL PRISON INDUSTRIES, INC for work described as: FY26 UNICOR DESIGNATED COMMERCIAL ITEMS: APPAREL & ACCESSORIES FOOTWEAR, EYEWEAR AND OPTICS, MATTRESSES, AND OFFICE FURNITURE FOR FCI ESTILL REACTIVATION Key points: 1. Contract awarded to Federal Prison Industries (UNICOR) for essential prison goods. 2. Lack of competition limits potential for cost savings and market-driven pricing. 3. Fixed-price contract structure shifts some risk to the government. 4. Contract duration of one year with potential for extensions. 5. UNICOR's designated commercial item status influences procurement approach. 6. Focus on apparel, footwear, eyewear, mattresses, and office furniture for FCI Estill.

Value Assessment

Rating: questionable

The contract value of $138,541.88 for a one-year period appears reasonable for the specified goods, but the lack of competition makes a true value-for-money assessment difficult. Without competitive bids, it's impossible to benchmark against market rates or determine if the government is receiving the best possible price. UNICOR's mandate to provide goods and services through inmate labor introduces unique cost structures that may not align with typical commercial market pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under Simplified Acquisition Procedures (SAP) and was awarded to Federal Prison Industries, Inc. (UNICOR). UNICOR is a government-owned corporation that manufactures products and provides services through the employment of federal prisoners. Its designated commercial item status often allows for direct award, bypassing traditional competitive processes. This sole-source approach means there were no other bidders considered, limiting price discovery.

Taxpayer Impact: The absence of competition means taxpayers may not benefit from the cost efficiencies that could arise from a competitive bidding process. The government is reliant on UNICOR's pricing structure without the leverage of market alternatives.

Public Impact

Federal inmates at FCI Estill will have access to necessary goods like apparel, footwear, and furniture. The contract supports the operational needs of the Bureau of Prisons at FCI Estill. Provides employment and vocational training opportunities for incarcerated individuals. Ensures the availability of essential items for the correctional facility's population.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the manufacturing sector, specifically focusing on apparel, footwear, and office furniture. UNICOR operates as a unique entity within the federal procurement landscape, mandated to utilize inmate labor. While comparable spending benchmarks for these specific goods exist across various government agencies, UNICOR's operational model presents a distinct cost structure. The market for these items is broad, but UNICOR's role is specialized within federal corrections.

Small Business Impact

This contract does not appear to involve small business set-asides, as it is awarded directly to Federal Prison Industries, Inc. (UNICOR). There is no indication of subcontracting opportunities for small businesses within this specific award. The primary focus is on UNICOR's internal production capabilities, rather than leveraging the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Bureau of Prisons (BOP) and potentially the Department of Justice's Office of the Inspector General, depending on the nature of any concerns. Transparency is limited due to the sole-source nature of the award. Accountability measures would focus on UNICOR's adherence to delivery schedules and product quality standards as outlined in the contract.

Related Government Programs

Risk Flags

Tags

manufacturing, department-of-justice, bureau-of-prisons, federal-prison-industries, unicor, sole-source, firm-fixed-price, correctional-facility-supplies, apparel, footwear, office-furniture, south-carolina

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $138,541.88 to FEDERAL PRISON INDUSTRIES, INC. FY26 UNICOR DESIGNATED COMMERCIAL ITEMS: APPAREL & ACCESSORIES FOOTWEAR, EYEWEAR AND OPTICS, MATTRESSES, AND OFFICE FURNITURE FOR FCI ESTILL REACTIVATION

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 $138,541.88.

What is the period of performance?

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

What is the historical spending pattern for similar goods procured by the Bureau of Prisons?

Historical spending data for similar goods procured by the Bureau of Prisons (BOP) would typically show a mix of competitive and sole-source awards, depending on the item and urgency. For standard items like apparel, footwear, and office furniture, the BOP often seeks competitive bids to ensure best value. However, specific circumstances, such as the reactivation of a facility like FCI Estill, might lead to expedited procurements or reliance on established government suppliers like UNICOR. Analyzing past contracts for these categories would reveal average price points, number of bidders, and contract durations, providing a benchmark against which this current $138,541.88 award could be assessed, particularly if competitive data were available for comparison.

How does the pricing of UNICOR products compare to commercial market rates for similar items?

Directly comparing UNICOR's pricing to commercial market rates can be challenging due to UNICOR's unique operating model, which includes utilizing inmate labor and having a social mission alongside its commercial activities. While UNICOR aims to be cost-competitive, its pricing structure is influenced by factors not present in the commercial sector, such as reduced labor costs but potentially higher overheads related to security and training. Without specific product-for-product comparisons and detailed cost breakdowns, it's difficult to definitively state whether UNICOR's prices are higher or lower than commercial equivalents. However, the absence of competition in this specific award prevents a direct market validation of the price.

What are the specific performance metrics and quality standards for the goods being procured?

The contract specifies the procurement of apparel & accessories, footwear, eyewear and optics, mattresses, and office furniture. While the data provided does not detail the specific performance metrics or quality standards, such contracts typically reference established federal specifications (e.g., Federal Specifications, Military Standards) or industry standards (e.g., ASTM, ANSI) relevant to each product category. The Bureau of Prisons would have requirements for durability, safety, comfort, and functionality appropriate for a correctional environment. Quality assurance provisions would likely be included, allowing for inspection and rejection of non-conforming goods, and performance would be monitored against delivery schedules and product specifications.

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

Federal Prison Industries, Inc. (UNICOR) has a long history of supplying goods and services to federal agencies, including the Bureau of Prisons. Its track record generally involves providing a wide range of products, from textiles and furniture to electronics and services. Performance can vary; while UNICOR fulfills a significant volume of orders, occasional challenges related to production capacity, delivery timelines, or product quality have been noted in various government reports over the years. For this specific contract, the track record would be assessed based on UNICOR's ability to meet the quantity, quality, and delivery requirements for the specified items for FCI Estill Reactivation within the contract period.

What are the potential risks associated with a sole-source award to UNICOR for these essential items?

The primary risk associated with a sole-source award to UNICOR is the potential for paying a higher price than could be achieved through competition. Without competing bids, there is less incentive for UNICOR to offer its most aggressive pricing. Another risk is dependency; if UNICOR faces production issues, supply chain disruptions, or quality control problems, the Bureau of Prisons has limited immediate alternatives for these essential goods, potentially impacting facility operations. Furthermore, the lack of transparency inherent in sole-source awards makes it harder to verify that the government is receiving optimal value for taxpayer dollars.

Industry Classification

NAICS: ManufacturingApparel Accessories and Other Apparel ManufacturingApparel Accessories and Other Apparel Manufacturing

Product/Service Code: FURNITURE

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 15BFA025Q00000134

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: $138,542

Exercised Options: $138,542

Current Obligation: $138,542

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 15BFA025A00000039

IDV Type: BPA

Timeline

Start Date: 2025-10-01

Current End Date: 2026-09-30

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

Last Modified: 2026-04-06

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