Department of Homeland Security Awarded a Contract to FEDERAL PRISON INDUSTRIES, INC for $305,553.07

Summary of Award

The awarded contract detailed in the provided JSON data is a purchase order agreement between the U.S. federal government, specifically the Department of Homeland Security (DHS) through the U.S. Coast Guard (USCG), and Federal Prison Industries, Inc. The contract's primary objective is to replace all damaged furniture at ASCW (presumably a facility associated with the U.S. Coast Guard) due to the destructive effects of Hurricane Helene. The total obligation for this agreement amounts to $305,553.07, indicating the financial commitment made by the DHS for the completion of this project.

**Contract Details and Structure:**

Designated as a "Purchase Order" with an ID of 70Z08425PDL930013, this contract reflects a firm-fixed pricing structure, as highlighted by the "type of contract pricing" detail in the JSON. Such a pricing mechanism means that the contractor, Federal Prison Industries, Inc., agrees to deliver the specified goods—in this case, office furniture—at a determined price, irrespective of the incurred production or installation costs. This structural arrangement provides fixed cost expectations for the DHS that helps in budget allocation and financial planning. The contract is not indicated to have direct competition as it falls under the simplified acquisition procedures (SAP) and understands as "Not Competed under SAP," reflecting a more streamlined procurement process usually reserved for smaller contracting actions. These procedures, permitted under the Federal Acquisition Regulation (FAR 13), facilitate acquisitions below the threshold of $250,000, although exceptions can extend this up to $7.5 million for commercial items in certain circumstances. **Recipient Overview:** The recipient of the contract, Federal Prison Industries, Inc., also known by its trade name UNICOR, is a government corporation established in 1934 that utilizes inmate labor from federal prisons to manufacture goods and provide services. Its strategic operations ensure that inmates gain work skills that can aid in their reintegration into society. The corporation, based in Lexington, Kentucky, often engages in manufacturing products ranging from furniture to vehicle components, fulfilling various federal requirements. Notably, as a part of the U.S. National Government, Federal Prison Industries, Inc. is not classified as a small business entity. **Product and Service Offerings:** For this specific contract, the awarded service pertains to the furnishing of office infrastructure damaged by natural calamities. The furniture belongs to the product service code 7110, which represents standard office furnishings. This categorization aligns with the broader North American Industry Classification System (NAICS) code 238390, denoting "Other Building Finishing Contractors." This code encompasses activities related to completing building finishing tasks often required to ready structures for occupancy or continued use, consolidating the company’s capability in addressing immediate furnishing needs arising from disaster relief contexts. **Transactions Overview:** The transaction log associated with this contract is relatively straightforward, documenting a single transaction dated April 10, 2025—the same as the contract's issuance date. This transaction had a direct financial impact, with a transaction amount matching the total contract obligation, further emphasizing the purchase order's adherence to the preconceived financial blueprint. The absence of additional financial alterations or modifications (denoted as "Mod: 0") suggests a one-time commitment without ongoing transactional variability. This singular exchange accedes to the transactional simplicity that often characterizes purchase orders over more complex contract forms. **Period of Performance:** The performance duration for this award is scheduled from April 10, 2025, to April 9, 2026, establishing a one-year timeframe for Federal Prison Industries, Inc. to fulfill its contracted obligations. This time span offers a reasonable window for the logistical and production processes required to replace the damaged office furniture effectively. **Key Implications:** The awarding of this contract reflects several critical implications for federal procurement processes: 1. **Streamlined Procurement:** Utilizing SAPs showcases the government’s approach toward enhancing efficiency in awarding contracts for urgent or lower-dollar requirements, particularly in emergency or disaster-stricken scenarios. 2. **Support for Government Entities:** Federal Prison Industries, Inc.'s involvement underscores an ongoing emphasis on utilizing government resources, providing the dual benefit of addressing public needs while supporting inmate rehabilitation and skill development. 3. **Financial Management:** The firm-fixed-price nature provides fiscal reliability for the DHS, limiting potential budget overruns and ensuring a smooth financial transaction cycle. In conclusion, this award and its subsequent provisions reflect a pragmatic stance by the DHS and USCG in addressing infrastructural necessities while engaging a federal corporation deeply rooted in social development. This partnership not only ensures fiscal responsibility and regulatory compliance but also promotes broader social objectives, a hallmark of effective governmental contracting strategies.