GSA awards $261K for steel BBF PED with three drawers, highlighting potential for economic price adjustments

Contract Overview

Contract Amount: $261,219 ($261.2K)

Contractor: W.W. Grainger, Inc.

Awarding Agency: General Services Administration

Start Date: 2026-04-01

End Date: 2026-04-08

Contract Duration: 7 days

Daily Burn Rate: $37.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: STEEL BBF PED; THREE DRAWERS; 18D

Place of Performance

Location: LAKE FOREST, LAKE County, ILLINOIS, 60045

State: Illinois Government Spending

Plain-Language Summary

General Services Administration obligated $261,219.17 to W.W. GRAINGER, INC. for work described as: STEEL BBF PED; THREE DRAWERS; 18D Key points: 1. Value for money assessed through fixed-price with economic price adjustment terms, allowing for cost fluctuations. 2. Competition dynamics indicate a full and open competition, suggesting a robust bidding process. 3. Risk indicators include the potential for price increases due to economic price adjustment clauses. 4. Performance context is limited to a short 7-day duration for this specific call-up order. 5. Sector positioning within the Home Centers industry (NAICS 444110) suggests a focus on general office or facility supplies.

Value Assessment

Rating: fair

The contract value of $261,219.17 for office furniture appears within a reasonable range for bulk purchases, though specific unit costs are not detailed. The inclusion of an economic price adjustment (EPA) clause introduces uncertainty regarding the final cost, as it allows for price increases based on market conditions. Benchmarking against similar GSA Schedule purchases for office furniture would provide a clearer picture of value, but the EPA clause warrants careful monitoring.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but the nature of the competition suggests a competitive environment. This approach is generally expected to yield fair market prices and encourage a range of offerings.

Taxpayer Impact: A full and open competition is favorable for taxpayers as it promotes competitive pricing and reduces the likelihood of inflated costs due to limited vendor options.

Public Impact

Federal agencies requiring office furniture, specifically steel BBF PEDs with three drawers, will benefit from this contract. The services delivered include the provision of specified office furniture items. The geographic impact is noted as Illinois (IL), suggesting this call-up order is for delivery within that state. Workforce implications are minimal, primarily related to the manufacturing and delivery of the furniture.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Economic Price Adjustment (EPA) clause introduces potential for cost overruns if market prices rise significantly.
Short duration of the call-up order (7 days) may limit the ability to fully assess long-term value or performance.
Lack of detailed unit pricing makes it difficult to benchmark value for money effectively.
Limited information on the specific type and quality of the 'STEEL BBF PED' could mask potential issues.

Positive Signals

Awarded through a full and open competition, suggesting a competitive pricing environment.
Procurement through GSA Federal Acquisition Service (FAS) indicates adherence to established government purchasing procedures.
The contract is a BPA Call, implying it leverages an existing Blanket Purchase Agreement, which can streamline procurement.

Sector Analysis

This contract falls within the broader office supply and furniture sector, which is a significant component of government procurement. The NAICS code 444110 (Home Centers) is a broad classification that includes retailers selling building materials and home improvement supplies, but also often encompasses office furniture. W.W. Grainger is a major distributor of industrial supplies, MRO products, and related items, including office furniture, serving a wide range of commercial and government clients. Spending in this category is consistent with the operational needs of federal agencies.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this BPA call (ss: false, sb: false). While W.W. Grainger, Inc. is a large business, the contract does not explicitly mention subcontracting goals for small businesses. Further analysis of the underlying BPA and any associated subcontracting plans would be necessary to determine the full impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service (FAS). As a BPA Call, it leverages an existing BPA, which would have undergone its own review and oversight. Transparency is facilitated through contract databases like FPDS. Accountability measures are inherent in the fixed-price with EPA structure, requiring the contractor to justify price adjustments. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

GSA Schedules Program
Office Furniture Procurement
Blanket Purchase Agreements (BPAs)
Federal Supply Schedule (FSS) Contracts

Risk Flags

Economic Price Adjustment (EPA) clause introduces cost uncertainty.
Short contract duration (7 days) may limit performance assessment.
Lack of detailed unit pricing hinders value-for-money analysis.
NAICS code 444110 (Home Centers) is broad; specific product classification could be more precise.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $261,219.17 to W.W. GRAINGER, INC.. STEEL BBF PED; THREE DRAWERS; 18D

Who is the contractor on this award?

The obligated recipient is W.W. GRAINGER, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $261,219.17.

What is the period of performance?

Start: 2026-04-01. End: 2026-04-08.

What is the specific definition and scope of 'STEEL BBF PED; THREE DRAWERS; 18D' and how does its unit cost compare to similar items?

The designation 'STEEL BBF PED; THREE DRAWERS; 18D' likely refers to a specific model of steel filing cabinet, possibly a 'Box, Box, File' (BBF) configuration with three drawers and an 18-inch depth. Without a manufacturer's part number or more detailed specifications, a precise comparison is difficult. However, the total award of $261,219.17 for a 7-day call-up order suggests a significant quantity or high-value units. If this were for a single unit, it would be exceptionally high. Assuming it's for multiple units, the average price per unit would need to be calculated by dividing the total award by the number of units. Benchmarking against GSA Advantage! or other federal supply schedules for similar steel filing cabinets would reveal if the implied unit price is competitive. The presence of an Economic Price Adjustment (EPA) clause further complicates direct cost comparison, as the final price is not fixed.

How does the Economic Price Adjustment (EPA) clause typically function in GSA contracts, and what are the potential implications for this specific award?

An Economic Price Adjustment (EPA) clause in a GSA contract allows for upward or downward price revisions based on specified economic factors, such as changes in the Consumer Price Index (CPI) or specific commodity indices. For this contract, the EPA clause means that W.W. Grainger, Inc. can request an increase in the price of the STEEL BBF PED if the costs associated with producing or acquiring it rise. The specific index or formula for adjustment would be detailed in the contract's terms and conditions. The primary implication for the government is the risk of paying more than initially anticipated if market conditions are unfavorable. Conversely, if costs decrease, the price could be adjusted downward. This clause is often used for longer-term contracts or those involving materials with volatile pricing, but its inclusion in a short 7-day call-up order is less common and warrants scrutiny to understand the justification.

What is W.W. Grainger, Inc.'s track record with GSA contracts, particularly for office furniture or similar supplies?

W.W. Grainger, Inc. is a frequent and significant contractor with the General Services Administration (GSA), holding numerous GSA Schedule contracts and fulfilling a large volume of orders across various categories, including industrial supplies, maintenance, repair, and operations (MRO) products, and office equipment. Their extensive experience with government procurement suggests a strong understanding of federal acquisition regulations and processes. Historically, Grainger has demonstrated a capacity to meet demand and manage complex supply chains for government agencies. While specific performance metrics for every contract are not publicly detailed, their continued presence and success in winning GSA contracts indicate a generally positive track record in terms of delivery and compliance. However, the specifics of this particular BPA call, including unit pricing and the rationale for the EPA clause, would require deeper investigation.

Given the 'FULL AND OPEN COMPETITION' designation, how many bids were likely received, and what does this imply for price competitiveness?

A 'FULL AND OPEN COMPETITION' designation means that the solicitation was made available to all responsible sources, and any responsible source was permitted to submit a bid. While the exact number of bids received is not provided in this data snippet, this designation strongly implies that multiple bids were likely submitted. The government typically aims for a competitive environment under this category. The presence of multiple bidders generally leads to more competitive pricing as companies vie for the contract award. It suggests that the price negotiated is more likely to reflect fair market value, as opposed to a sole-source or limited competition scenario where pricing power might be concentrated with the vendor.

What are the potential risks associated with a 7-day contract duration for office furniture, especially with an EPA clause?

A 7-day duration for a contract award, particularly for physical goods like office furniture, is exceptionally short and likely represents the period for a specific call-up order against a larger Blanket Purchase Agreement (BPA). The primary risk is that this short timeframe may not be sufficient for thorough quality inspection or to fully realize the intended value. If the furniture needs to be manufactured or shipped, a 7-day window could lead to rushed processes or expedited shipping costs, potentially negating savings. Furthermore, coupling this short duration with an Economic Price Adjustment (EPA) clause is unusual. The EPA clause is typically intended to hedge against long-term market volatility. Its application over just 7 days seems unlikely to trigger significant price fluctuations unless there was an immediate, drastic market event. The risk here might be more procedural – ensuring the EPA calculation, if triggered, is correctly applied within such a compressed timeframe.

How does this contract fit into the broader spending patterns for office furniture and equipment within the General Services Administration?

This contract, valued at approximately $261,000 for a specific type of office furniture (STEEL BBF PED), represents a small fraction of the overall GSA spending on office supplies and equipment. GSA manages billions of dollars in procurement annually through its Schedules program, which includes a vast array of office furniture, technology, and administrative supplies. Spending on filing cabinets and related office furniture is a consistent requirement across federal agencies. While this specific award is modest, it aligns with the ongoing need for functional workspace furnishings. Analyzing this contract in the context of total GSA spending on NAICS 444110 or related furniture categories would show it as a routine procurement, likely part of a larger strategy to equip federal facilities efficiently through established contract vehicles like BPAs.

Industry Classification

NAICS: Retail Trade › Building Material and Supplies Dealers › Home Centers

Product/Service Code: HAND TOOLS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Address: 100, GRAINGER PARKWAY, LAKE FOREST, IL, 60045

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

Financial Breakdown

Contract Ceiling: $261,219

Exercised Options: $261,219

Current Obligation: $261,219

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSCC21A0001

IDV Type: BPA

Timeline