Treasury's $24.5M contract for nonferrous metal rolling awarded to Coins 'N Things, Inc

Contract Overview

Contract Amount: $24,482,942 ($24.5M)

Contractor: Coins 'N Things, Inc.

Awarding Agency: Department of the Treasury

Start Date: 2017-12-29

End Date: 2018-01-19

Contract Duration: 21 days

Daily Burn Rate: $1.2M/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RAW GOLD

Place of Performance

Location: BRIDGEWATER, PLYMOUTH County, MASSACHUSETTS, 02324

State: Massachusetts Government Spending

Plain-Language Summary

Department of the Treasury obligated $24.5 million to COINS 'N THINGS, INC. for work described as: RAW GOLD Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract value of $24.5 million represents a significant investment in specialized metal processing. 3. The short duration of 21 days indicates a focused, potentially urgent requirement. 4. The award to Coins 'N Things, Inc. suggests their capability in meeting specific nonferrous metal requirements. 5. The contract type is Firm Fixed Price, which transfers cost risk to the contractor. 6. The Public Law 116-58 designation may relate to specific statutory requirements or funding sources.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific details on the exact metal types, quantities, and processing requirements. The raw dollar amount of $24.5 million is substantial, but its value-for-money depends heavily on the market rates for the specific services rendered. Comparing it to similar contracts for specialized metal rolling and drawing would provide better context, but such data is not readily available. The firm fixed price structure offers some predictability for the government, but the ultimate value is tied to the contractor's efficiency and material costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally promotes price discovery and allows the government to select the most advantageous offer. The fact that it was competed broadly suggests that the government sought the best available solution in the market for nonferrous metal processing.

Taxpayer Impact: A full and open competition typically benefits taxpayers by fostering a competitive environment that can lead to lower prices and better quality services compared to sole-source or limited competition awards.

Public Impact

The United States Mint is the primary beneficiary, likely requiring specialized metal products for its operations. Services delivered include the rolling, drawing, and extruding of nonferrous metals. The geographic impact is likely concentrated where the contractor operates, with potential downstream effects on supply chains. Workforce implications may include employment opportunities within the specialized metal processing industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed specifications for the metal processing makes it difficult to assess the true value and potential for cost overruns.
The short performance period could indicate a rushed requirement, potentially leading to increased costs or quality compromises if not managed effectively.
Limited information on the contractor's past performance in similar large-scale metal processing contracts.
The specific nonferrous metals and their precise specifications are not detailed, hindering a thorough value assessment.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
Firm Fixed Price contract type shifts cost risk to the contractor.
The contractor, Coins 'N Things, Inc., is presumably capable of fulfilling the specialized metal processing requirements.
The contract supports a critical government function, likely related to coinage or other mint operations.

Sector Analysis

The contract falls within the broader industrial sector of metal manufacturing and processing, specifically focusing on nonferrous metals. This niche involves specialized equipment and expertise for shaping metals like copper, nickel, and their alloys. The market for such services can be competitive, with key players often possessing unique capabilities. The size of this specific contract suggests a significant demand, potentially for high-volume production or specialized alloys required by government entities like the U.S. Mint.

Small Business Impact

The provided data indicates that small business participation was not a specific set-aside (ss: false, sb: false). Therefore, the primary focus of this contract was likely on obtaining the best value from the broader market. There is no explicit information regarding subcontracting plans with small businesses. The impact on the small business ecosystem would be indirect, primarily through the potential for small businesses to be suppliers to the prime contractor, Coins 'N Things, Inc.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and the relevant program officials within the Department of the Treasury and the United States Mint. Accountability measures are inherent in the Firm Fixed Price contract type, which obligates the contractor to deliver specified goods or services at an agreed-upon price. Transparency is facilitated by the contract award being made under full and open competition, with the award details publicly available. Further oversight might be provided by the Treasury Inspector General if specific concerns regarding performance or financial impropriety arise.

Related Government Programs

U.S. Mint Coinage Production
Precious Metals Processing Contracts
Government Metal Supply Contracts
Industrial Manufacturing Services

Risk Flags

Lack of detailed specifications
Short performance period
Limited contractor performance data available
Potential for price volatility in nonferrous metals market

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $24.5 million to COINS 'N THINGS, INC.. RAW GOLD

Who is the contractor on this award?

The obligated recipient is COINS 'N THINGS, INC..

Which agency awarded this contract?

Awarding agency: Department of the Treasury (United States Mint).

What is the total obligated amount?

The obligated amount is $24.5 million.

What is the period of performance?

Start: 2017-12-29. End: 2018-01-19.

What specific types of nonferrous metals were processed under this contract, and what were their precise specifications?

The provided data indicates the contract was for 'Nonferrous Metal (except Copper and Aluminum) Rolling, Drawing, and Extruding.' However, the specific types of nonferrous metals (e.g., nickel, zinc, tin, precious metals) and their exact specifications (e.g., purity, dimensions, tolerances) are not detailed in the summary data. This information is crucial for a thorough assessment of the contract's value and the contractor's performance. Without these specifics, it's difficult to benchmark the pricing against market rates for particular alloys or forms. The United States Mint typically works with metals for coinage, which could include alloys of copper, nickel, zinc, and potentially precious metals, depending on the denomination and year.

How does the $24.5 million contract value compare to historical spending for similar metal processing services by the U.S. Mint?

Comparing the $24.5 million contract value to historical spending requires access to historical contract data for the U.S. Mint's metal processing needs. The provided data does not include this historical context. However, the value suggests a significant procurement, potentially for a large batch of coinage blanks or specialized metal stock. The U.S. Mint procures vast quantities of metals annually. Analyzing past contracts for similar rolling, drawing, and extruding services, especially those awarded under competitive bidding, would be necessary to determine if this $24.5 million represents an increase, decrease, or stable level of spending for comparable requirements. The short duration (21 days) might imply a specific, perhaps urgent, need rather than a long-term supply agreement.

What was the competitive landscape for this contract, and how many bids were received?

The contract was awarded under 'FULL AND OPEN COMPETITION,' which signifies that the solicitation was made available to all interested and responsible sources. While this indicates a broad opportunity for vendors to bid, the specific number of bids received is not provided in the summary data. A robust competition typically involves multiple bidders, which helps ensure fair pricing and encourages the government to select the offer that provides the best overall value. If only a few bids were received, or if the bids varied significantly in price, it might warrant further investigation into the market's competitiveness for these specialized metal processing services.

What is the track record of Coins 'N Things, Inc. in fulfilling government contracts, particularly for metal processing?

The provided data identifies Coins 'N Things, Inc. as the contractor but does not offer details on their specific track record or past performance on government contracts. To assess their reliability and capability for this $24.5 million award, a review of their contract history, including performance evaluations, past issues, and the types of contracts previously awarded to them, would be necessary. Their experience with similar large-scale metal rolling, drawing, and extruding projects for government agencies would be particularly relevant. Without this information, it's difficult to gauge their suitability beyond the fact that they were selected through a competitive process.

What are the potential risks associated with this contract, given its value and the nature of the services?

Potential risks include the quality and consistency of the processed metals, especially if precise tolerances are required for coinage. Given the Firm Fixed Price nature, the contractor bears the risk of cost overruns, but this could lead to pressure to cut corners on quality if not adequately monitored. The short performance period (21 days) presents a risk of delays or rushed work impacting quality. Furthermore, reliance on a single contractor for a significant amount of specialized metal processing could pose supply chain risks if the contractor faces operational disruptions. The specific nonferrous metals involved might also carry inherent risks related to material sourcing, price volatility, or handling requirements.

Industry Classification

NAICS: Manufacturing › Nonferrous Metal (except Aluminum) Production and Processing › Nonferrous Metal (except Copper and Aluminum) Rolling, Drawing, and Extruding

Product/Service Code: ORES, MINERALS AND PRIMARY PRODUCTS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 350 BEDFORD ST STE 2, BRIDGEWATER, MA, 02324

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,482,942

Exercised Options: $24,482,942

Current Obligation: $24,482,942

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: TMHQ10C0044

IDV Type: IDC

Timeline