GSA awards $3,290 contract for 5-pound CO2 fire extinguishers to Rite-Kem, Inc

Contract Overview

Contract Amount: $3,290 ($3.3K)

Contractor: Rite-Kem, Inc.

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-04-23

Contract Duration: 20 days

Daily Burn Rate: $165/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: EXTINGUISHER, FIRE, CARBON DIOXIDE CHARGE SIZE - 5 POUNDS RATING: 5B:C MIN IAW UL 711, SHALL BE U.S. COAST GUARD APPROVED FOR MARINE USE AND MARKED ACCORDINGLY (SECTION 44.10) THE SPECIAL MARKING SHALL APPEAR DIRECTLY BELOW THE CLASSIFICATION OF THE

Place of Performance

Location: TUPELO, LEE County, MISSISSIPPI, 38801

State: Mississippi Government Spending

Plain-Language Summary

General Services Administration obligated $3,290 to RITE-KEM, INC. for work described as: EXTINGUISHER, FIRE, CARBON DIOXIDE CHARGE SIZE - 5 POUNDS RATING: 5B:C MIN IAW UL 711, SHALL BE U.S. COAST GUARD APPROVED FOR MARINE USE AND MARKED ACCORDINGLY (SECTION 44.10) THE SPECIAL MARKING SHALL APPEAR DIRECTLY BELOW THE CLASSIFICATION OF THE Key points: 1. Contract awarded for specialized fire suppression equipment, indicating a need for specific safety standards. 2. The purchase order was not competed under Simplified Acquisition Procedures, suggesting potential limitations in market research or urgency. 3. The short duration of the contract (20 days) points to an immediate or short-term requirement. 4. The fixed-price contract type provides cost certainty for the government. 5. The supplier, Rite-Kem, Inc., is identified, but their track record for similar government contracts requires further investigation. 6. The product specification emphasizes U.S. Coast Guard approval for marine use, highlighting a critical safety and regulatory compliance aspect.

Value Assessment

Rating: questionable

The contract value of $3,290 is relatively small. Without comparable bids or market research data, it is difficult to definitively assess value for money. The 'NOT COMPETED UNDER SAP' status raises questions about whether a competitive process could have yielded better pricing. The fixed-price nature of the award helps control costs, but the lack of competition prevents a robust benchmark against market rates for this specific type of certified fire extinguisher.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was awarded as a purchase order and noted as 'NOT COMPETED UNDER SAP'. This designation implies that the contract was not subjected to the standard competitive bidding processes typically used for simplified acquisitions. The specific reasons for this approach, such as urgency, lack of available sources, or a pre-existing relationship, are not detailed. The absence of a competitive process limits transparency regarding the number of potential bidders and the resulting price discovery.

Taxpayer Impact: When a contract is not competed, taxpayers may not benefit from the potentially lower prices that could arise from a competitive bidding environment. This could lead to higher costs for goods and services procured by the government.

Public Impact

This contract directly supports the operational safety requirements of a U.S. Coast Guard-approved marine environment, likely within a federal facility or for a specific maritime operation. The delivery of 5-pound CO2 fire extinguishers ensures compliance with safety regulations and preparedness for fire emergencies. The geographic impact is localized to where the equipment is deployed, but the underlying need for safety equipment is a federal concern. There are no significant workforce implications associated with this specific procurement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpayment and missed opportunities for better pricing.
The 'NOT COMPETED UNDER SAP' status requires further investigation into the justification for not pursuing a more open bidding process.
Limited contract duration might indicate a reactive procurement rather than strategic planning.

Positive Signals

The contract specifies a product meeting stringent U.S. Coast Guard approval for marine use, ensuring critical safety standards are met.
The firm fixed-price contract type provides cost certainty for the government.
The award is made to a specific vendor, Rite-Kem, Inc., indicating a clear point of contact for delivery and accountability.

Sector Analysis

This contract falls within the broader category of industrial supplies and safety equipment manufacturing. The market for fire suppression systems is diverse, ranging from general-purpose extinguishers to highly specialized systems for specific environments like marine applications. The U.S. Coast Guard approval requirement narrows the field to manufacturers and distributors capable of meeting these rigorous standards. Comparable spending benchmarks would typically involve analyzing prices for similar certified fire extinguishers procured by other government agencies or large commercial entities operating in maritime sectors.

Small Business Impact

The data indicates this contract was not competed under SAP and does not specify any small business set-aside. Therefore, there is no direct indication of subcontracting opportunities for small businesses related to this specific award. The impact on the small business ecosystem is likely minimal given the small contract value and the nature of the procurement.

Oversight & Accountability

As a purchase order issued by the General Services Administration (GSA), this contract would fall under GSA's internal oversight mechanisms. The Federal Acquisition Service (FAS) is responsible for managing such procurements. Transparency is limited by the 'NOT COMPETED UNDER SAP' status, as detailed justifications for the procurement method are not publicly available. Inspector General oversight would apply if any irregularities or potential fraud were suspected.

Related Government Programs

Federal Fire Safety Equipment Procurement
U.S. Coast Guard Safety Mandates
General Services Administration (GSA) Supply Contracts
Marine Safety Equipment

Risk Flags

Lack of Competition
Potential for Non-Competitive Pricing
Limited Transparency on Procurement Justification

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3,290 to RITE-KEM, INC.. EXTINGUISHER, FIRE, CARBON DIOXIDE CHARGE SIZE - 5 POUNDS RATING: 5B:C MIN IAW UL 711, SHALL BE U.S. COAST GUARD APPROVED FOR MARINE USE AND MARKED ACCORDINGLY (SECTION 44.10) THE SPECIAL MARKING SHALL APPEAR DIRECTLY BELOW THE CLASSIFICATION OF THE

Who is the contractor on this award?

The obligated recipient is RITE-KEM, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3,290.

What is the period of performance?

Start: 2026-04-03. End: 2026-04-23.

What is the typical market price for a 5-pound CO2 fire extinguisher with U.S. Coast Guard marine approval?

Determining the precise market price for a 5-pound CO2 fire extinguisher with U.S. Coast Guard marine approval is challenging without access to specific market data or recent competitive bids. However, based on general industry knowledge and online retail pricing for similar certified extinguishers, the unit cost can range from approximately $75 to $150 or more, depending on the brand, specific certifications, and volume purchased. The GSA contract value of $3,290 for an unspecified quantity suggests a unit price within or potentially above this range, especially considering the specialized certification. A more accurate benchmark would require comparing this award to other government contracts for identical or comparable items or analyzing pricing from multiple commercial suppliers specializing in marine safety equipment.

Why was this contract not competed under Simplified Acquisition Procedures (SAP)?

The designation 'NOT COMPETED UNDER SAP' indicates that the procurement did not follow the standard procedures for acquisitions under $250,000, which typically involve simplified competition. Possible reasons for this include urgency of need, a sole-source justification (e.g., only one known capable supplier), a pre-existing contract vehicle, or a determination that competition was not practicable or not in the government's best interest. Without further documentation from the GSA, the specific rationale remains unclear. This lack of competition limits the ability to assess if the government obtained the best possible price and value.

What is Rite-Kem, Inc.'s track record with government contracts, particularly for fire safety equipment?

Information regarding Rite-Kem, Inc.'s specific track record with government contracts, especially for fire safety equipment, is not detailed in the provided data. A comprehensive analysis would require searching federal procurement databases (like SAM.gov or FPDS) for past awards to this vendor. This would reveal the volume and types of contracts awarded, their performance history, and whether they have previously supplied similar items. Understanding their past performance is crucial for assessing reliability and potential risks associated with this current award.

What are the implications of the 20-day contract duration?

The short 20-day duration of this contract suggests an immediate or short-term need for the fire extinguishers. This could be for a specific event, a temporary deployment, or to replenish stock due to an unexpected shortage. It implies that this is not a long-term supply agreement. The brevity of the period also means that the government may need to re-compete or re-award a contract relatively soon if the need persists, potentially incurring additional administrative costs.

How does the U.S. Coast Guard approval requirement impact the procurement?

The requirement for U.S. Coast Guard (USCG) approval significantly narrows the pool of eligible suppliers and products. USCG certification signifies that the fire extinguisher meets stringent safety and performance standards specifically designed for maritime environments, which often include resistance to corrosion, specific operating conditions, and effectiveness in marine fire scenarios. This specialized requirement means that standard fire extinguishers may not be suitable, and the government must procure from vendors who can provide products that have undergone and passed rigorous testing and certification by the USCG. This can influence pricing due to the added cost of certification and compliance.

Industry Classification

NAICS: Manufacturing › Other Miscellaneous Manufacturing › Office Supplies (except Paper) Manufacturing

Product/Service Code: OFFICE SUPPLIES AND DEVICES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 703 WESTMORELAND DR, TUPELO, MS, 38801

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

Financial Breakdown

Contract Ceiling: $3,290

Exercised Options: $3,290

Current Obligation: $3,290

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline