DOJ's $83.8K food manufacturing purchase order to Shaver Foods LLC awarded under SAP

Contract Overview

Contract Amount: $83,851 ($83.9K)

Contractor: Shaver Foods LLC

Awarding Agency: Department of Justice

Start Date: 2026-04-17

End Date: 2026-04-17

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FY26 A1 - QUARTERLY BID REQUEST QTR 3

Place of Performance

Location: FAYETTEVILLE, WASHINGTON County, ARKANSAS, 72701

State: Arkansas Government Spending

Plain-Language Summary

Department of Justice obligated $83,851.48 to SHAVER FOODS LLC for work described as: FY26 A1 - QUARTERLY BID REQUEST QTR 3 Key points: 1. Value for money appears fair given the relatively small contract size and fixed-price nature. 2. Competition dynamics indicate a limited competition environment, potentially impacting price discovery. 3. Risk indicators are low due to the short duration and straightforward nature of the purchase. 4. Performance context is within the Federal Prison System's need for food manufacturing. 5. Sector positioning is within the miscellaneous food manufacturing sub-sector.

Value Assessment

Rating: fair

The contract value of $83,851.48 for food manufacturing is relatively modest. Without specific benchmarks for 'All Other Miscellaneous Food Manufacturing' within the Federal Prison System, a direct value-for-money assessment is challenging. However, the firm fixed-price contract type suggests that the contractor bears the risk of cost overruns, which is a positive sign for the government. The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves smaller dollar amounts and may not achieve the same level of price competition as larger, more complex procurements.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which generally allows for a broader range of competition than sole-source but is less extensive than full and open competition. The data indicates 3 bidders participated, suggesting some level of competition, but the specific details of the solicitation and the number of interested parties are not provided. This level of competition is typical for procurements under the SAP threshold and aims to balance efficiency with reasonable price discovery.

Taxpayer Impact: A limited competition environment for this purchase order means taxpayers may not be benefiting from the absolute lowest possible price that could be achieved through a more robust bidding process. However, the use of SAP is intended to streamline the acquisition process for smaller purchases, potentially saving administrative costs.

Public Impact

The primary beneficiaries are inmates within the Federal Prison System, who will receive food products manufactured under this contract. The services delivered involve the manufacturing of miscellaneous food items, supporting the operational needs of correctional facilities. The geographic impact is primarily within Arkansas, where the contractor Shaver Foods LLC is located, and potentially extends to federal prisons served by these products. Workforce implications include employment at Shaver Foods LLC for the manufacturing of these food products.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to suboptimal pricing for taxpayers.
Lack of detailed performance metrics makes it difficult to assess the quality and timeliness of food manufacturing.
Reliance on SAP for procurements of this size might not always yield the best value compared to more competitive methods.

Positive Signals

Firm fixed-price contract shifts cost overrun risk to the contractor.
Three bidders participated, indicating some level of market interest and competition.
The contract is for a short duration, minimizing long-term commitment and associated risks.

Sector Analysis

The miscellaneous food manufacturing sector encompasses a wide range of producers creating various food items. Federal agencies, particularly those managing large institutions like correctional facilities, are significant consumers of food products. Spending in this sector by the Federal Prison System is driven by the need to provide sustenance to a large population. Benchmarks for this specific sub-sector are not readily available, but overall federal food procurement represents a substantial market.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false) and the contractor is not identified as a small business (sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this particular award. The procurement was conducted under SAP, which does not inherently favor or disfavor small businesses without specific set-aside provisions.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Justice's internal procurement and financial management systems. As a purchase order awarded under SAP, it is subject to standard federal acquisition regulations and agency-specific policies. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Prison System Food Services
Department of Justice Commissary Operations
Miscellaneous Food Manufacturing Contracts
Federal Food Procurement

Risk Flags

Limited Competition
Potential for Price Inflation
Lack of Detailed Performance Metrics

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $83,851.48 to SHAVER FOODS LLC. FY26 A1 - QUARTERLY BID REQUEST 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 $83,851.48.

What is the period of performance?

Start: 2026-04-17. End: 2026-04-17.

What is the track record of Shaver Foods LLC in performing federal contracts?

Information regarding Shaver Foods LLC's specific track record with federal contracts is not detailed in the provided data. The data only indicates this specific purchase order (PO) awarded on 2026-04-17. To assess their track record, one would need to consult historical contract databases (like FPDS) for previous awards, performance evaluations (e.g., CPARS), and any past issues or successes. Without this historical context, it's difficult to gauge their reliability and past performance in fulfilling government requirements. The current award is for a short duration and a specific type of product, suggesting a potentially focused operational capability.

How does the price of this food manufacturing contract compare to similar federal procurements?

A direct price comparison for this $83,851.48 food manufacturing contract is challenging without access to a detailed benchmark database for 'All Other Miscellaneous Food Manufacturing' within the Federal Prison System. Contracts awarded under Simplified Acquisition Procedures (SAP) are generally for smaller dollar values and may not undergo the same rigorous price analysis as larger contracts. The firm fixed-price nature is a positive indicator, as it places cost risk on the contractor. However, the limited competition (3 bidders) suggests that the price might not be as competitive as it could be under a full and open solicitation. Further analysis would require identifying comparable contracts for similar food items procured by the Bureau of Prisons or other federal agencies.

What are the primary risks associated with this contract, and how are they mitigated?

The primary risks associated with this contract are related to potential quality issues with the manufactured food products, delivery delays, and suboptimal pricing due to limited competition. Mitigation strategies include the firm fixed-price contract type, which incentivizes the contractor to manage costs and deliver within budget. The short duration of the contract (ending on 2026-04-17) limits the government's exposure to long-term performance issues. Additionally, the Federal Prison System likely has internal quality control measures and inspection processes for incoming goods. The limited competition, while a risk for price, is a standard practice under SAP for smaller procurements, balancing efficiency with some level of market engagement.

How effective is the Simplified Acquisition Procedure (SAP) in ensuring value for money for this type of procurement?

The effectiveness of SAP in ensuring value for money for this $83,851.48 food manufacturing contract is debatable. SAP is designed to streamline the procurement process for purchases below certain thresholds, reducing administrative burden and lead times, which can contribute to overall efficiency and cost savings. However, it typically involves less robust competition than full and open solicitations. With only three bidders, the price discovery mechanism might be less effective, potentially leading to a higher price than could be achieved through broader competition. While the firm fixed-price contract mitigates some financial risk, the value for money is ultimately a balance between acquisition efficiency and the competitiveness of the price obtained.

What is the historical spending pattern for miscellaneous food manufacturing by the Federal Prison System?

The provided data does not include historical spending patterns for miscellaneous food manufacturing by the Federal Prison System. To analyze this, one would need to access historical contract data, filtering by the agency (Bureau of Prisons), product service code (if applicable), and contract type (e.g., purchase orders, contracts for food manufacturing). Examining past spending would reveal trends in contract values, number of awards, types of contractors used, and average prices paid. This analysis could help determine if this $83,851.48 award is consistent with historical levels or represents an outlier, and whether spending has increased or decreased over time.

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: 15B41926Q00000002

Offers Received: 3

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: $83,851

Exercised Options: $83,851

Current Obligation: $83,851

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline