Department of Agriculture awards $22M contract for seasoned pork patties, highlighting food service needs

Contract Overview

Contract Amount: $22,070,738 ($22.1M)

Contractor: Goodman Food Products, Inc.

Awarding Agency: Department of Agriculture

Start Date: 2012-09-21

End Date: 2013-03-31

Contract Duration: 191 days

Daily Burn Rate: $115.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AGLCKDS120128P0005 COOKED BEEF AND PORK-PORK SEASND PATTY 2.7 OZ CKD PKG-4/10 LB

Place of Performance

Location: INGLEWOOD, LOS ANGELES County, CALIFORNIA, 90302

State: California Government Spending

Plain-Language Summary

Department of Agriculture obligated $22.1 million to GOODMAN FOOD PRODUCTS, INC. for work described as: AGLCKDS120128P0005 COOKED BEEF AND PORK-PORK SEASND PATTY 2.7 OZ CKD PKG-4/10 LB Key points: 1. Contract awarded for a significant quantity of seasoned pork patties, indicating a substantial demand for processed food items within the agency. 2. The contract was secured through full and open competition, suggesting a competitive bidding process that likely benefited price discovery. 3. The fixed-price contract structure shifts performance risk to the contractor, Goodman Food Products, Inc. 4. The duration of the contract (191 days) suggests a short-term need or a pilot program for these specific food items. 5. The award to Goodman Food Products, Inc. represents a key supplier for the Agricultural Marketing Service in providing essential food components.

Value Assessment

Rating: good

The contract value of $22,070,738.20 for seasoned pork patties appears substantial, reflecting the large volume required. Benchmarking against similar food service contracts would provide a clearer picture of value for money. However, the fixed-price nature suggests the agency has secured a defined cost for a specific quantity and quality of goods, which is a positive indicator for budget predictability. The per-unit cost, while not explicitly provided, can be inferred from the total award and quantity, which would be a key metric for detailed value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit bids. The presence of 3 bids indicates a moderate level of competition for this specific food product. While more bidders could potentially drive prices lower, three offers suggest that the market for this item is sufficiently competitive to ensure a reasonable price outcome for the government.

Taxpayer Impact: Full and open competition generally leads to better price discovery and potentially lower costs for taxpayers compared to sole-source or limited competition scenarios.

Public Impact

The primary beneficiaries are likely recipients of food services provided by the Department of Agriculture, such as those in federal feeding programs or institutions. The contract delivers essential food components (seasoned pork patties) that support the agency's food supply chain and operational needs. The geographic impact is primarily within the United States, where the food products will be manufactured and distributed. Workforce implications include employment at Goodman Food Products, Inc. and potentially in related logistics and distribution sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price fluctuations in raw material costs impacting long-term affordability if this becomes a recurring need.
Ensuring consistent quality and adherence to nutritional standards across large production runs.
Logistical challenges in timely delivery and storage of perishable food items.

Positive Signals

Award through full and open competition suggests a competitive market and fair pricing.
Fixed-price contract provides cost certainty for the agency.
Established contractor likely has experience meeting government food supply requirements.

Sector Analysis

This contract falls within the broader food manufacturing and processing sector, specifically focusing on prepared meat products. The market for government food procurement is substantial, with agencies like the Department of Agriculture requiring consistent supplies for various programs. Comparable spending benchmarks would involve analyzing other contracts for similar processed meat items awarded to different agencies or through different procurement vehicles. The size of this award suggests it is a significant procurement within its specific product category.

Small Business Impact

The contract was awarded to Goodman Food Products, Inc., and there is no indication of a small business set-aside. The data does not specify subcontracting plans. Therefore, the direct impact on the small business ecosystem is likely minimal unless Goodman Food Products, Inc. utilizes small businesses in its supply chain or subcontracting efforts, which is not detailed here.

Oversight & Accountability

Oversight for this contract would typically be managed by the Agricultural Marketing Service (AMS) within the Department of Agriculture. Accountability measures are embedded in the contract terms, including delivery schedules, quality specifications, and payment terms. Transparency is facilitated through federal procurement databases where contract awards are published. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract is suspected.

Related Government Programs

Department of Defense Food Procurement
School Lunch Program Food Contracts
Federal Prison System Food Services
USDA Commodity Food Programs

Risk Flags

Potential for supply chain disruptions impacting delivery.
Risk of price escalation for raw materials if contract is extended or re-competed.
Ensuring consistent quality across large production volumes.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $22.1 million to GOODMAN FOOD PRODUCTS, INC.. AGLCKDS120128P0005 COOKED BEEF AND PORK-PORK SEASND PATTY 2.7 OZ CKD PKG-4/10 LB

Who is the contractor on this award?

The obligated recipient is GOODMAN FOOD PRODUCTS, INC..

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Agricultural Marketing Service).

What is the total obligated amount?

The obligated amount is $22.1 million.

What is the period of performance?

Start: 2012-09-21. End: 2013-03-31.

What is the historical spending pattern for seasoned pork patties or similar processed meat products by the Department of Agriculture?

Analyzing historical spending data for similar processed meat products by the Department of Agriculture is crucial for understanding procurement trends and budget allocation. While this specific contract award is for $22,070,738.20 in 2012-2013, a comprehensive review would involve examining contracts over the past 5-10 years. This would reveal if spending on such items is increasing, decreasing, or remaining stable. It would also highlight any significant shifts in the types of products procured or the primary contractors. Understanding these patterns helps in forecasting future needs, identifying potential cost-saving opportunities through bulk purchasing or long-term agreements, and assessing the agency's reliance on specific food categories. Without access to a detailed historical database, it's difficult to provide precise figures, but such analysis is a standard practice for federal spending analysts to ensure efficient resource allocation and identify anomalies.

How does the per-unit cost of these seasoned pork patties compare to market rates or similar government contracts?

Determining the per-unit cost requires knowing the total quantity of patties procured under this $22,070,738.20 contract. Assuming a standard weight and quantity, we could calculate an approximate cost per patty or per pound. This calculated cost would then be benchmarked against prevailing market rates for similar food products sold commercially and against per-unit costs from other federal contracts for comparable items. For instance, if the contract specifies 10 million patties at an average weight of 2.7 oz, the total weight would be approximately 1,679,687.5 lbs, yielding a cost of roughly $13.14 per pound. Comparing this to wholesale prices or prices paid by other agencies like the Department of Defense for similar items would reveal if this contract represents good value. A significantly higher per-unit cost might indicate inefficiencies, higher quality specifications, or less competitive bidding, while a lower cost suggests favorable pricing.

What is Goodman Food Products, Inc.'s track record with federal contracts, particularly with the Department of Agriculture?

Goodman Food Products, Inc. has a history of federal contracting, as evidenced by this award. A thorough assessment of their track record would involve reviewing their past performance on similar contracts, including delivery timeliness, product quality compliance, and any instances of contract disputes or terminations. Examining their contract history with the Department of Agriculture specifically would highlight their established relationship and performance within this agency. Data on contract values, types of products supplied, and customer satisfaction ratings (if available through past performance databases) would provide insights into their reliability and capability. A positive track record suggests a lower risk for this current contract, while a history of issues might raise concerns about potential performance problems and necessitate closer monitoring.

What are the specific nutritional and quality standards required for these seasoned pork patties, and how are they verified?

The contract likely specifies detailed nutritional and quality standards for the 2.7 oz cooked beef and pork seasoned patties. These standards typically include requirements for protein content, fat levels, sodium limits, absence of contaminants, and specific sensory attributes (taste, texture, appearance). Verification is usually achieved through a multi-pronged approach. The contractor must provide Certificates of Analysis (COAs) for each batch, confirming compliance with specifications. Additionally, government inspectors, often from the USDA's Food Safety and Inspection Service (FSIS) or the contracting agency's quality assurance personnel, may conduct on-site inspections at the manufacturing facility or sample products upon delivery for laboratory testing. Adherence to these rigorous standards ensures that the food provided meets safety regulations and the intended nutritional profile for federal programs.

What is the intended use or program for these seasoned pork patties, and who are the ultimate beneficiaries?

The intended use of these seasoned pork patties, procured by the Department of Agriculture's Agricultural Marketing Service, is likely to support various federal food assistance programs or institutional feeding operations. This could include supplying food for child nutrition programs (like the National School Lunch Program), feeding programs for the elderly, disaster relief efforts, or potentially supplying military commissaries and other government facilities. The ultimate beneficiaries are the individuals served by these programs, ranging from schoolchildren and low-income families to military personnel and disaster victims. The procurement ensures a consistent supply of a specific, processed food item that meets defined nutritional and safety standards for these populations.

Industry Classification

NAICS: Manufacturing › Animal Slaughtering and Processing › Animal (except Poultry) Slaughtering

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: AGLCKDS120128/2943

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 200 E BEACH AVE, INGLEWOOD, CA, 43

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

Financial Breakdown

Contract Ceiling: $22,070,738

Exercised Options: $22,070,738

Current Obligation: $22,070,738

Contract Characteristics

Cost or Pricing Data: NO

Timeline