DOJ's $15.8M UNICOR Hygiene Contract Awarded to Federal Prison Industries for FY26
Contract Overview
Contract Amount: $15,874 ($15.9K)
Contractor: Federal Prison Industries, Inc
Awarding Agency: Department of Justice
Start Date: 2026-04-01
End Date: 2026-09-30
Contract Duration: 182 days
Daily Burn Rate: $87/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: FY26 C1 UNICOR FEM HYGIENE QTR 3/4
Place of Performance
Location: LEXINGTON, FAYETTE County, KENTUCKY, 40511
State: Kentucky Government Spending
Plain-Language Summary
Department of Justice obligated $15,874.35 to FEDERAL PRISON INDUSTRIES, INC for work described as: FY26 C1 UNICOR FEM HYGIENE QTR 3/4 Key points: 1. UNICOR, a government-owned entity, secured this contract, raising questions about true market competition. 2. The contract is for sanitary paper products, a common need within correctional facilities. 3. Potential risks include limited price transparency and the inherent lack of competitive pressure. 4. The IT sector is not applicable here; this falls under general supplies/manufacturing.
Value Assessment
Rating: questionable
Pricing is difficult to assess without comparable market data. As a sole-source provider for many items, UNICOR's pricing may not reflect competitive market rates.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded to Federal Prison Industries (UNICOR) under a BPA Call, indicating a sole-source or limited competition scenario. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: Taxpayer funds may be used inefficiently due to the lack of competitive bidding, potentially resulting in higher prices than available on the open market.
Public Impact
Ensures supply of essential hygiene products for federal correctional facilities. Supports the mission of Federal Prison Industries to provide vocational training and employment for inmates. Raises concerns about the use of taxpayer funds when competition is absent.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of true competition
- Potential for inflated pricing
- Limited transparency in cost structure
Positive Signals
- Fulfills essential operational needs
- Supports inmate rehabilitation programs
Sector Analysis
This contract falls under the manufacturing and supply of sanitary paper products, a common requirement for government institutions. Benchmarks are difficult to establish due to UNICOR's unique position.
Small Business Impact
This contract does not appear to involve small businesses, as it is awarded to Federal Prison Industries, a government-owned entity.
Oversight & Accountability
Oversight is crucial to ensure UNICOR's pricing is fair and reasonable, even in a sole-source environment. Transparency in their cost accounting would enhance accountability.
Related Government Programs
- Sanitary Paper Product Manufacturing
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Sole-source award
- Limited price transparency
- Potential for non-competitive pricing
- Lack of market-driven innovation
Tags
sanitary-paper-product-manufacturing, department-of-justice, ky, bpa-call, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $15,874.35 to FEDERAL PRISON INDUSTRIES, INC. FY26 C1 UNICOR FEM HYGIENE QTR 3/4
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 $15,874.35.
What is the period of performance?
Start: 2026-04-01. End: 2026-09-30.
What is the cost-effectiveness of this contract compared to commercial alternatives?
Assessing cost-effectiveness is challenging without direct market comparisons. UNICOR operates with a mandate to employ inmates, which may influence its cost structure. A thorough review of UNICOR's pricing methodology against industry benchmarks, adjusted for inmate labor, is needed to determine true cost-effectiveness.
What are the primary risks associated with awarding contracts to UNICOR?
The primary risks include a lack of competitive pricing, potentially leading to higher costs for the government and taxpayers. There's also a risk of reduced innovation and service quality due to the absence of market pressures. Ensuring fair labor practices and product quality within UNICOR's operations also requires ongoing scrutiny.
How does this contract contribute to the overall effectiveness of the Federal Prison System?
This contract directly supports the operational effectiveness of the Federal Prison System by ensuring a consistent supply of essential hygiene products. It also aligns with the broader mission of UNICOR to provide vocational training and employment opportunities for incarcerated individuals, contributing to rehabilitation efforts.
Industry Classification
NAICS: Manufacturing › Converted Paper Product Manufacturing › Sanitary Paper Product Manufacturing
Product/Service Code: TOILETRIES
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 15BNAS25Q00000041
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: $15,874
Exercised Options: $15,874
Current Obligation: $15,874
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 15BNAS25A00000158
IDV Type: BPA
Timeline
Start Date: 2026-04-01
Current End Date: 2026-09-30
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2026-04-06
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