GSA awards $290K for dual-chamber furnace and quench tank upgrade, with a 7-day duration

Contract Overview

Contract Amount: $289,906 ($289.9K)

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: $41.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: (A)DUAL CHAMB FURNACE,QNCH TANK,UPGRADE

Place of Performance

Location: LAKE FOREST, LAKE County, ILLINOIS, 60045

State: Illinois Government Spending

Plain-Language Summary

General Services Administration obligated $289,905.8 to W.W. GRAINGER, INC. for work described as: (A)DUAL CHAMB FURNACE,QNCH TANK,UPGRADE Key points: 1. The contract value appears reasonable for the specified equipment and short service period. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract has a very short performance period, minimizing long-term risk. 4. This purchase falls under the General Services Administration's Federal Acquisition Service. 5. The equipment is categorized under Home Centers, indicating a focus on facility maintenance. 6. The fixed-price contract with economic price adjustment offers some cost certainty with flexibility.

Value Assessment

Rating: good

The contract value of approximately $290,000 for a dual-chamber furnace and quench tank upgrade seems within a reasonable range for specialized industrial equipment. Given the short 7-day performance period, the cost is likely reflective of the specific items and immediate service required. Benchmarking against similar GSA procurements for industrial equipment of this nature would provide further context, but the initial assessment suggests fair value for the scope.

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. This method typically fosters a competitive environment, encouraging multiple vendors to offer their best pricing and terms. The specific number of bidders is not provided, but the use of this procurement type suggests a robust process aimed at achieving competitive pricing.

Taxpayer Impact: Taxpayers benefit from the competitive nature of full and open competition, which generally drives down prices and ensures the government receives the best possible value for its spending.

Public Impact

The primary beneficiaries are likely federal agencies or facilities managed by the GSA that require the specified furnace and quench tank equipment for operational or maintenance purposes. The services delivered include the provision and potential installation/upgrade of a dual-chamber furnace and a quench tank. The geographic impact is specified as Illinois (IL), indicating the delivery or service location. Workforce implications are minimal, likely involving specialized technicians for the equipment delivery or upgrade, rather than a large-scale employment impact.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Short performance window could indicate a critical, time-sensitive need that might lead to premium pricing.
Lack of detailed technical specifications in the provided data makes it difficult to fully assess the value proposition.
Economic price adjustment clause introduces potential for cost increases beyond initial projections.

Positive Signals

Awarded through GSA's Federal Acquisition Service, which often has established procurement vehicles and processes.
Full and open competition suggests a structured and transparent bidding process.
Fixed-price element provides a baseline cost control measure.

Sector Analysis

This contract falls within the industrial equipment and maintenance sector, specifically related to metal treatment or manufacturing processes requiring controlled heating and cooling. The General Services Administration (GSA) frequently procures such equipment through its various acquisition schedules and contract vehicles to support federal agency needs. Comparable spending benchmarks would typically involve analyzing GSA Schedule 70 or other industrial supply contracts for similar items, though the specific nature of a dual-chamber furnace and quench tank may limit direct comparisons.

Small Business Impact

The data indicates that small business participation was not a specific set-aside requirement for this contract (ss: false, sb: false). Therefore, the direct impact on small businesses is likely limited unless they were subcontractors to the prime awardee, W.W. GRAINGER, INC. As a large supplier, Grainger may engage small businesses for specific components or services, but this contract does not appear to be structured to prioritize small business prime contracting.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. GSA has established procurement regulations and oversight mechanisms to ensure compliance and accountability. Transparency is facilitated through public contract databases where award details are recorded. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

GSA Multiple Award Schedule (MAS) Contracts
Industrial Equipment Procurement
Federal Supply Schedule (FSS) Contracts
Maintenance, Repair, and Operations (MRO) Supplies

Risk Flags

Short performance period may indicate urgency or a limited scope.
Economic Price Adjustment clause introduces potential for cost variability.
Lack of detailed technical specifications limits in-depth value assessment.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $289,905.8 to W.W. GRAINGER, INC.. (A)DUAL CHAMB FURNACE,QNCH TANK,UPGRADE

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 $289,905.8.

What is the period of performance?

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

What is the track record of W.W. GRAINGER, INC. with the federal government, particularly for similar equipment?

W.W. GRAINGER, INC. is a significant federal contractor, frequently awarded contracts through GSA schedules and other procurement vehicles for a wide range of industrial supplies, maintenance, repair, and operations (MRO) products. Their track record typically involves numerous awards across various agencies, often for items like tools, safety equipment, and facility maintenance supplies. While specific data on their performance for 'dual-chamber furnace and quench tank' procurements is not detailed here, their extensive history suggests familiarity with federal procurement processes and a broad catalog of available products. Past performance evaluations, if publicly available, would offer deeper insights into their reliability, delivery timeliness, and product quality in government contracting.

How does the contract value of $290,000 compare to market rates for a dual-chamber furnace and quench tank upgrade?

Assessing the precise market rate for a 'dual-chamber furnace and quench tank upgrade' without detailed specifications is challenging. These are specialized industrial items. However, $290,000 for equipment and a short service period (7 days) awarded under full and open competition suggests a potentially fair price. W.W. GRAINGER, INC. is a large distributor, and their pricing can be competitive, especially when leveraging established GSA schedules. To benchmark effectively, one would need to compare against quotes from other industrial equipment suppliers for similar specifications, considering factors like capacity, materials, control systems, and any included installation or support services. The short duration might imply a focus on rapid deployment or a specific, limited upgrade rather than a full system replacement.

What are the primary risks associated with this contract, given its short duration and fixed-price with economic price adjustment structure?

The primary risks are relatively low due to the short 7-day performance period. However, potential risks include: 1) **Delivery/Performance Delays:** Despite the short window, any unforeseen issues could impact critical operations requiring the equipment. 2) **Scope Creep:** Although unlikely in such a short timeframe, if the 'upgrade' involves more than initially defined, costs could escalate. 3) **Economic Price Adjustment (EPA) Impact:** While the fixed-price component offers some certainty, the EPA allows for price fluctuations based on economic factors. If material costs or labor rates increase significantly during the performance period, the final cost could exceed initial expectations, though the short duration limits the magnitude of this risk. 4) **Equipment Suitability:** Ensuring the delivered equipment precisely meets the operational needs is crucial; a mismatch could lead to inefficiencies or the need for further procurement.

How effective is the 'full and open competition' method in ensuring value for this specific type of equipment procurement?

Full and open competition is generally the most effective method for ensuring value, especially for specialized equipment like furnaces and quench tanks. It allows a wide range of potential suppliers, including manufacturers and distributors like W.W. GRAINGER, INC., to bid. This broad competition drives down prices as vendors vie for the contract. It also encourages innovation and allows the government to select solutions that best meet technical requirements and cost objectives. The effectiveness is maximized when the government clearly defines its needs and evaluation criteria, ensuring that the lowest price isn't chosen at the expense of necessary quality or performance. For this specific procurement, it likely resulted in competitive pricing and a suitable vendor selection.

What are the historical spending patterns for similar industrial equipment or maintenance services by the General Services Administration?

The General Services Administration (GSA) is a major procurer of industrial equipment and maintenance services, often through its Federal Supply Schedules (FSS), particularly Schedule 70 (IT) and various other specialized schedules covering industrial products. Historical spending patterns show significant annual outlays for MRO supplies, tools, machinery, and facility upgrades across numerous federal agencies. GSA's role is to provide centralized procurement solutions, making it easier and often more cost-effective for agencies to acquire necessary goods and services. Spending on items like furnaces and tanks would be part of broader categories such as 'Industrial Equipment,' 'Manufacturing Equipment,' or 'Facility Maintenance.' Analyzing GSA's overall spending in these categories would reveal trends in demand, average contract values, and common vendors, providing context for this specific $290,000 award.

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: $289,906

Exercised Options: $289,906

Current Obligation: $289,906

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSCC21A0001

IDV Type: BPA

Timeline