Treasury Spends $21.9M on Currency Paper from Crane & Co., Inc. via Full and Open Competition
Contract Overview
Contract Amount: $21,886,951 ($21.9M)
Contractor: Crane & CO., Inc.
Awarding Agency: Department of the Treasury
Start Date: 2012-11-15
End Date: 2013-03-21
Contract Duration: 126 days
Daily Burn Rate: $173.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: CURRENCY PAPER
Place of Performance
Location: FORT WORTH, TARRANT County, TEXAS, 76131
State: Texas Government Spending
Plain-Language Summary
Department of the Treasury obligated $21.9 million to CRANE & CO., INC. for work described as: CURRENCY PAPER Key points: 1. Significant contract value of $21.9 million for specialized currency paper. 2. Crane & Co., Inc. is a key supplier in this niche market. 3. Potential risk associated with reliance on a single, specialized supplier. 4. Spending falls within the 'Paper (except Newsprint) Mills' sector.
Value Assessment
Rating: good
The contract value of $21.9 million for currency paper appears reasonable given the specialized nature of the product and the supplier's established role. Benchmarking against similar specialized paper 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, suggesting a competitive bidding process. This method is expected to yield fair pricing and ensure the government receives the best value.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential government supplies.
Public Impact
Ensures the continued production of U.S. currency, a critical government function. Supports a specialized domestic manufacturing capability essential for national security and economic stability. The quality of currency paper directly impacts the security and longevity of U.S. banknotes.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Supplier concentration risk
- Potential for price increases in future contracts if competition diminishes
Positive Signals
- Awarded via full and open competition
- Contract supports critical national function
- Established supplier with proven track record
Sector Analysis
This contract falls under the 'Paper (except Newsprint) Mills' sector. Spending benchmarks for highly specialized paper products like currency paper are difficult to establish due to the unique requirements and limited market.
Small Business Impact
The data does not indicate any specific participation or set-aside for small businesses in this contract. The specialized nature of currency paper production may limit small business involvement.
Oversight & Accountability
The Bureau of Engraving and Printing, under the Department of the Treasury, is responsible for this procurement. Standard government procurement oversight processes would apply to ensure compliance and accountability.
Related Government Programs
- Paper (except Newsprint) Mills
- Department of the Treasury Contracting
- Bureau of Engraving and Printing Programs
Risk Flags
- Supplier concentration
- Potential for future price increases
- Limited visibility into specific quality control metrics
- Dependence on a niche manufacturing sector
Tags
paper-except-newsprint-mills, department-of-the-treasury, tx, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $21.9 million to CRANE & CO., INC.. CURRENCY PAPER
Who is the contractor on this award?
The obligated recipient is CRANE & CO., INC..
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Bureau of Engraving and Printing).
What is the total obligated amount?
The obligated amount is $21.9 million.
What is the period of performance?
Start: 2012-11-15. End: 2013-03-21.
What is the historical pricing trend for this currency paper contract with Crane & Co., Inc.?
Historical pricing data for this specific currency paper contract is not provided in the current dataset. Analyzing past awards to Crane & Co., Inc. for similar paper products, or comparing pricing to other government agencies procuring specialized paper, would be necessary to establish a trend. Understanding the factors influencing price changes, such as raw material costs or production volume, is also crucial for a comprehensive assessment.
What are the risks associated with relying on a single primary supplier for currency paper?
Reliance on a single primary supplier like Crane & Co., Inc. poses risks including supply chain disruptions due to unforeseen events (e.g., natural disasters, labor disputes, or financial instability of the supplier). It can also lead to reduced bargaining power for the government in future negotiations, potentially resulting in higher prices. Furthermore, a lack of competition could stifle innovation in paper production technology.
How does the quality and security of this currency paper contribute to the effectiveness of U.S. currency?
The quality and security features of the currency paper are fundamental to the effectiveness of U.S. currency. High-quality paper ensures durability, allowing banknotes to withstand circulation wear and tear, thus maintaining public trust and reducing replacement costs. Security features embedded within the paper, such as watermarks and security threads, are critical deterrents against counterfeiting, preserving the integrity and value of the U.S. dollar both domestically and internationally.
Industry Classification
NAICS: Manufacturing › Pulp, Paper, and Paperboard Mills › Paper (except Newsprint) Mills
Product/Service Code: NONMETALLIC FABRICATED MATERIALS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 30 S ST, DALTON, MA, 01
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $21,886,951
Exercised Options: $21,886,951
Current Obligation: $21,886,951
Contract Characteristics
Multi-Year Contract: Yes
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: TEP110015
IDV Type: IDC
Timeline
Start Date: 2012-11-15
Current End Date: 2013-03-21
Potential End Date: 2013-03-21 00:00:00
Last Modified: 2014-05-22
More Contracts from Crane & CO., Inc.
- Ordering Period 2 — $203.3M (Department of the Treasury)
- Currency Paper Order — $149.7M (Department of the Treasury)
- ECF Ordering Three FY23 — $74.7M (Department of the Treasury)
- WCF Currency Paper Order - Ordering Period FY23 — $50.9M (Department of the Treasury)
- Paper Security Distinctive Currency — $9.8M (Department of the Treasury)
Other Department of the Treasury Contracts
- Advertising Services — $636.5M (True North Communications Inc)
- Cade 2 Ltis3 Covid-19 — $383.8M (Deloitte Consulting LLP)
- Establish a Broad Networking and Telecommunications Service Environment to Meet ITS Network Services (wide Area and Local Area Network), Voice Telecommunications Services, Audio/Video/Web Conferencing, and Cyber Requirements — $320.2M (AT&T Enterprises, LLC)
- THE Internal Revenue Service (IRS), Office of Information Technology Office, Issues This Order Under GSA Alliant 2 (unrestricted). Enterprise Case Management (ECM) Solution Integration Services — $305.5M (Booz Allen Hamilton Inc)
- THE Tfcceis Task Order IS to Transition the Existing Tfcc Services From the Networx Contract Onto the EIS Contract Vehicle in a Manner That Will Enable Continuity of an Enterprise Network of Toll Free Services for the IRS — $264.6M (Verizon Business Network Services LLC)