FEMA awards $22.7M for bulk food supplies to North Carolina locations
Contract Overview
Contract Amount: $22,745,964 ($22.7M)
Contractor: Pistol Point Logistics LLC
Awarding Agency: Department of Homeland Security
Start Date: 2024-12-04
End Date: 2025-02-19
Contract Duration: 77 days
Daily Burn Rate: $295.4K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: AWARD FOR PURCHASE AND DELIVERY OF BULK RETAIL SIZED CANNED AND PACKAGED GOODS TO IDENTIFIED FOOD BACK LOCATIONS WITHIN THE STATE OF NORTH CAROLINA.
Place of Performance
Location: CHARLOTTE, MECKLENBURG County, NORTH CAROLINA, 28206
Plain-Language Summary
Department of Homeland Security obligated $22.7 million to PISTOL POINT LOGISTICS LLC for work described as: AWARD FOR PURCHASE AND DELIVERY OF BULK RETAIL SIZED CANNED AND PACKAGED GOODS TO IDENTIFIED FOOD BACK LOCATIONS WITHIN THE STATE OF NORTH CAROLINA. Key points: 1. Significant award for essential goods, supporting disaster relief efforts. 2. Competition method suggests potential for price discovery, but details are limited. 3. Risk of supply chain disruption for critical food resources. 4. Focus on grocery wholesale sector for emergency preparedness.
Value Assessment
Rating: good
The award amount of $22.7M for canned and packaged goods appears reasonable given the scale of bulk retail purchasing for state-wide distribution. Benchmarking against similar large-scale food procurement contracts would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive bidding process. This method generally promotes price discovery and ensures fair market value is obtained.
Taxpayer Impact: Taxpayer funds are being used to ensure food security in North Carolina, a necessary expenditure for disaster preparedness and response.
Public Impact
Ensures food availability for vulnerable populations during emergencies. Supports state-level disaster response capabilities. Potential for local economic impact through distribution networks.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Dependence on specific suppliers for bulk goods.
- Potential for spoilage or damage during transit and storage.
- Logistical challenges in distributing to multiple food bank locations.
Positive Signals
- Addresses critical need for food security.
- Utilizes a competitive procurement process.
- Supports state-level emergency management.
Sector Analysis
This award falls within the wholesale trade sector, specifically general line grocery merchant wholesalers. Spending benchmarks for emergency food procurement vary widely based on disaster scale and duration, but this award represents a substantial investment in preparedness.
Small Business Impact
The data indicates this contract was not awarded to a small business. Analysis of subcontracting opportunities for small businesses within the supply chain is not provided.
Oversight & Accountability
The contract is managed by the Department of Homeland Security (FEMA), suggesting established oversight mechanisms. However, specific details on performance monitoring and accountability for delivery and quality are not included.
Related Government Programs
- General Line Grocery Merchant Wholesalers
- Department of Homeland Security Contracting
- Federal Emergency Management Agency Programs
Risk Flags
- Supply chain vulnerability
- Logistical complexity
- Quality control of perishable/non-perishable goods
- Potential for price fluctuations in bulk food markets
Tags
general-line-grocery-merchant-wholesaler, department-of-homeland-security, nc, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $22.7 million to PISTOL POINT LOGISTICS LLC. AWARD FOR PURCHASE AND DELIVERY OF BULK RETAIL SIZED CANNED AND PACKAGED GOODS TO IDENTIFIED FOOD BACK LOCATIONS WITHIN THE STATE OF NORTH CAROLINA.
Who is the contractor on this award?
The obligated recipient is PISTOL POINT LOGISTICS LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Federal Emergency Management Agency).
What is the total obligated amount?
The obligated amount is $22.7 million.
What is the period of performance?
Start: 2024-12-04. End: 2025-02-19.
What is the estimated per-unit cost of the food items being procured, and how does it compare to market rates?
The provided data does not include specific unit costs for the canned and packaged goods. A detailed breakdown of the items and their quantities would be necessary to calculate per-unit costs and benchmark them against prevailing market rates for similar bulk retail food purchases.
What are the specific risks associated with the supply chain for these essential food items, and what mitigation strategies are in place?
Potential risks include supplier reliability, transportation disruptions, spoilage, and quality control issues. Mitigation strategies might involve pre-qualification of suppliers, contingency plans for transportation, and rigorous inspection protocols upon delivery to ensure the integrity and safety of the food products.
How will the effectiveness of this procurement in meeting food security needs during an emergency be measured and evaluated?
Effectiveness can be measured by the timely delivery of goods to designated food banks, the quantity and quality of food provided, and the extent to which it meets the needs of the population during a declared emergency. Post-event analysis of distribution and utilization data would be crucial.
Industry Classification
NAICS: Wholesale Trade › Grocery and Related Product Merchant Wholesalers › General Line Grocery Merchant Wholesalers
Product/Service Code: SUBSISTENCE
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 70FB7025R00000003
Offers Received: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 617 9TH ST, KEMAH, TX, 77565
Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $22,745,964
Exercised Options: $22,745,964
Current Obligation: $22,745,964
Actual Outlays: $22,745,964
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2024-12-04
Current End Date: 2025-02-19
Potential End Date: 2025-02-22 00:00:00
Last Modified: 2025-01-21
Other Department of Homeland Security Contracts
- THE United States Coast Guard HAS a Requirement to Procure UP to Twenty-Six (26) Fast Response Cutters (frcs) on a Firm Fixed Price (FFP) Basis With an Economic Price Adjustment (EPA). Phase II of the FRC Program Will Complete the Fleet for a Total of 58 Cutters — $2.1B (Bollinger Shipyards Lockport, L.L.C.)
- Design and Construct NEW Vertical Barrier and Power Distribution, Lighting, Cameras, Equipment Shelters and Linear Ground Detection System (lgds) in Hildago County, NM — $1.8B (Fisher Sand & Gravel CO)
- Production&delivery of National Security Cutter (NSC) 6 — $1.7B (Huntington Ingalls Incorporated)
- YUM-2 Vertical Border and Waterborne Barrier Construction — $1.7B (Fisher Sand & Gravel CO)
- Construct Vertical Border Barrier — $1.6B (Fisher Sand & Gravel CO)