GSA's $63,840 polyester sash purchase shows potential for cost savings through competitive bidding

Contract Overview

Contract Amount: $63,840 ($63.8K)

Contractor: W.W. Grainger, Inc.

Awarding Agency: General Services Administration

Start Date: 2026-04-07

End Date: 2026-04-14

Contract Duration: 7 days

Daily Burn Rate: $9.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: BRUSH,3 ,ANGLE SASH,POLYESTER,2 15/16 L

Place of Performance

Location: LAKE FOREST, LAKE County, ILLINOIS, 60045

State: Illinois Government Spending

Plain-Language Summary

General Services Administration obligated $63,840.02 to W.W. GRAINGER, INC. for work described as: BRUSH,3 ,ANGLE SASH,POLYESTER,2 15/16 L Key points: 1. The contract was awarded through full and open competition, suggesting a competitive pricing environment. 2. The short duration of the contract (7 days) may limit long-term price trend analysis. 3. The use of a BPA Call indicates a pre-negotiated agreement, potentially streamlining procurement. 4. The fixed-price with economic price adjustment clause introduces some risk of cost escalation. 5. The product category (Home Centers) is broad, and specific market benchmarks are needed for precise value assessment. 6. The contractor, W.W. GRAINGER, INC., is a large, established supplier, implying reliability but potentially less aggressive pricing than smaller firms.

Value Assessment

Rating: good

The contract value of $63,840 for a 7-day period for polyester sashes appears reasonable given the fixed-price with economic price adjustment structure. Benchmarking against similar GSA Schedule purchases for industrial supplies would provide a clearer picture of value for money. The absence of detailed specifications makes a precise per-unit cost comparison difficult without further data, but the overall award amount for a short-term need suggests a managed expenditure.

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 offers. This method typically fosters a competitive environment, driving down prices and encouraging innovation. The specific number of bidders is not provided, but the open competition suggests multiple entities likely vied for this BPA Call.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it maximizes the potential for obtaining the best value through a wide range of offers and competitive pricing.

Public Impact

Federal agencies requiring polyester sashes for operational or maintenance needs will benefit from this contract. The services delivered include the provision of specific industrial supplies. The geographic impact is focused on Illinois, as indicated by the 'ST: IL' and 'SN: ILLINOIS' fields. Workforce implications are minimal, primarily related to the logistics and delivery of the purchased goods.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Economic price adjustment clause introduces potential for cost overruns beyond initial projections.
Limited contract duration may not capture long-term market price trends effectively.
Lack of detailed product specifications hinders in-depth value analysis.

Positive Signals

Awarded through full and open competition, maximizing potential for competitive pricing.
Utilizes a BPA Call, suggesting an efficient procurement process for an existing agreement.
Contractor is a well-established supplier, indicating a degree of reliability in fulfillment.

Sector Analysis

This contract falls within the broader industrial supplies and home centers sector. The market for such items is typically characterized by a mix of large distributors and specialized manufacturers. Spending in this category is often driven by facilities maintenance, operational support, and minor construction or repair activities across various federal agencies. Benchmarking against GSA Schedule pricing for similar items would place this expenditure in context.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (SS: false, SB: false). While W.W. GRAINGER, INC. is a large business, there is no information provided on subcontracting plans to small businesses. The impact on the small business ecosystem is neutral to potentially negative if larger contracts are consistently awarded without specific small business utilization goals.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the General Services Administration's Federal Acquisition Service. Accountability is managed through contract terms and conditions, performance monitoring, and the potential for future contract awards. Transparency is facilitated by public contract databases, though detailed performance metrics are not always readily available.

Related Government Programs

GSA Multiple Award Schedule (MAS)
Industrial Supplies Procurement
Facilities Maintenance Contracts

Risk Flags

Economic Price Adjustment Clause
Short Contract Duration
Limited Specification Detail

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $63,840.02 to W.W. GRAINGER, INC.. BRUSH,3 ,ANGLE SASH,POLYESTER,2 15/16 L

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 $63,840.02.

What is the period of performance?

Start: 2026-04-07. End: 2026-04-14.

What is the typical profit margin for W.W. GRAINGER, INC. on GSA Schedule contracts for industrial supplies?

Determining the precise profit margin for W.W. GRAINGER, INC. on this specific GSA Schedule contract is challenging without access to their internal cost accounting and the detailed pricing structure of the BPA Call. However, industry averages for distributors of industrial supplies can range from 15% to 30% gross profit margin, depending on the product category, volume, and competition. GSA Schedule contracts often operate on negotiated markups over base costs, and the economic price adjustment clause can influence the final realized margin. Further analysis would require comparing the awarded prices to W.W. GRAINGER's publicly reported financial data and industry benchmarks for similar product categories.

How does the price of these polyester sashes compare to the average market price for similar items?

A direct comparison of the price for these polyester sashes to the average market price is difficult without specific product specifications (e.g., dimensions, material quality, tensile strength) and a defined market benchmark. The contract specifies 'BRUSH,3 ,ANGLE SASH,POLYESTER,2 15/16 L', which is a general description. However, given that the contract was awarded under full and open competition via a GSA Schedule BPA Call, it suggests the pricing is likely competitive within the federal procurement landscape. To perform a robust comparison, one would need to identify comparable commercial items from other distributors or manufacturers and analyze their pricing, considering factors like volume discounts and delivery terms.

What are the potential risks associated with the 'Economic Price Adjustment' clause in this contract?

The primary risk associated with the 'Economic Price Adjustment' (EPA) clause is the potential for cost escalation beyond the initially anticipated fixed price. This clause allows for price changes based on fluctuations in specific economic indicators or material costs, as defined in the contract. For the government, this means the final cost could be higher than the initial award amount, impacting budget predictability. For taxpayers, it represents a risk of paying more for the goods if market conditions drive up the underlying costs of polyester or manufacturing. The extent of this risk depends on the specific index or formula used for adjustment and the volatility of the relevant market factors during the contract period.

What is the historical spending pattern for similar 'Home Centers' category items by the General Services Administration?

Historical spending data for the 'Home Centers' category (NAICS 444110) by the General Services Administration (GSA) indicates a consistent demand for a wide range of goods supporting federal facilities and operations. While specific dollar amounts fluctuate annually based on agency needs and budget allocations, GSA's Federal Acquisition Service (FAS) manages numerous contracts under its Multiple Award Schedules (MAS) that encompass items falling under this category. This includes tools, hardware, building materials, and maintenance supplies. Analyzing past GSA spending trends within this NAICS code would reveal patterns in demand, average contract values, and the prevalence of different contract types (e.g., competitive vs. sole-source) for such goods, providing context for the current $63,840 BPA Call.

How does the short contract duration (7 days) impact the assessment of contractor performance and value?

The extremely short contract duration of 7 days significantly limits the ability to thoroughly assess contractor performance and long-term value. Such short periods are typically used for immediate, urgent needs or for fulfilling specific, time-bound requirements under an existing Blanket Purchase Agreement (BPA). It does not provide sufficient time to evaluate reliability, delivery timeliness over a sustained period, or the contractor's responsiveness to potential issues. Consequently, the assessment of value is primarily based on the initial pricing and the efficiency of the procurement process (BPA Call) rather than demonstrated performance over time. Future contracts or task orders would be necessary to build a comprehensive performance record.

Industry Classification

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

Product/Service Code: OFFICE SUPPLIES AND DEVICES

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: $63,840

Exercised Options: $63,840

Current Obligation: $63,840

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSCC23A0001

IDV Type: BPA

Timeline