DOJ Awards UPS $5.19M for FY26 Shipping Services via Full and Open Competition
Contract Overview
Contract Amount: $5,193 ($5.2K)
Contractor: United Parcel Service CO.
Awarding Agency: Department of Justice
Start Date: 2025-10-01
End Date: 2026-04-03
Contract Duration: 184 days
Daily Burn Rate: $28/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: UPS SHIPPING FY26 OCTOBER IAW T&C HTC71123DC025
Place of Performance
Location: LOUISVILLE, JEFFERSON County, KENTUCKY, 40223
State: Kentucky Government Spending
Plain-Language Summary
Department of Justice obligated $5,193.44 to UNITED PARCEL SERVICE CO. for work described as: UPS SHIPPING FY26 OCTOBER IAW T&C HTC71123DC025 Key points: 1. Significant contract value of $5.19 million for essential shipping services. 2. Competition was full and open, indicating a competitive bidding process. 3. Risk appears moderate given the established provider and service type. 4. Sector is couriers and express delivery, a critical logistical function.
Value Assessment
Rating: good
The contract value of $5.19 million for 184 days of service appears reasonable for a large-scale shipping provider like UPS. Benchmarking against similar federal contracts for express delivery services would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally leads to better price discovery and potentially lower costs for the government.
Taxpayer Impact: The use of full and open competition is expected to yield a fair market price, maximizing taxpayer value for the essential shipping services provided.
Public Impact
Ensures timely and reliable delivery of mail and packages for the Department of Justice. Supports the operational needs of the Federal Prison System and Bureau of Prisons. Maintains continuity of essential government functions through established logistics.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price increases in future contract periods.
- Dependence on a single vendor for critical delivery services.
Positive Signals
- Awarded through full and open competition.
- Utilizes a firm fixed-price contract type.
- Established provider with a track record.
Sector Analysis
The couriers and express delivery services sector is vital for government operations, enabling the movement of documents, equipment, and supplies. Federal spending in this area is consistent, with agencies relying on established providers for efficiency and reliability.
Small Business Impact
This contract does not appear to have specific set-asides for small businesses. The award to a large, established provider like UPS suggests that small businesses may not have been primary bidders or recipients for this particular delivery order.
Oversight & Accountability
The contract was awarded under full and open competition, indicating a transparent procurement process. Oversight will be crucial to ensure UPS meets delivery timelines and service level agreements as specified in the contract terms and conditions.
Related Government Programs
- Couriers and Express Delivery Services
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Vendor Lock-in
- Service Disruptions
- Price Escalation
- Performance Shortfalls
Tags
couriers-and-express-delivery-services, department-of-justice, ky, delivery-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $5,193.44 to UNITED PARCEL SERVICE CO.. UPS SHIPPING FY26 OCTOBER IAW T&C HTC71123DC025
Who is the contractor on this award?
The obligated recipient is UNITED PARCEL SERVICE CO..
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 $5,193.44.
What is the period of performance?
Start: 2025-10-01. End: 2026-04-03.
What is the historical cost per package or per pound for UPS services to the DOJ?
Historical cost data per package or per pound for UPS services to the DOJ is not provided in this award notice. To assess value effectively, a detailed analysis of past delivery volumes, service types, and associated costs would be necessary. This would allow for a more granular comparison against the current $5.19 million award.
What are the specific performance metrics and penalties for non-compliance?
The award notice does not detail specific performance metrics or penalties for non-compliance. However, standard contract terms and conditions for delivery services typically include requirements for on-time delivery, package integrity, and tracking. Penalties could range from service credits to contract termination for persistent failures.
How does this contract's pricing compare to similar federal shipping contracts awarded in the last fiscal year?
Without access to a benchmark database of similar federal shipping contracts, a direct price comparison is difficult. However, the $5.19 million award for 184 days of service suggests a significant volume of shipments. A comparative analysis would require examining contracts with comparable agencies, service scopes, and delivery volumes.
Industry Classification
NAICS: Transportation and Warehousing › Couriers and Express Delivery Services › Couriers and Express Delivery Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1400 N HURSTBOURNE PKWY, LOUISVILLE, KY, 40223
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $5,193
Exercised Options: $5,193
Current Obligation: $5,193
Actual Outlays: $32
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HTC71123DC025
IDV Type: IDC
Timeline
Start Date: 2025-10-01
Current End Date: 2026-04-03
Potential End Date: 2026-04-03 00:00:00
Last Modified: 2026-04-03
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