Lively Distributing Inc.

Lively Distributing Inc., a for-profit dairy product merchant wholesaler based in Phoenix, Arizona, supplies milk and dairy products to federal healthcare and correctional facilities as a prime contractor, competing in both set-aside and full-and-open categories. The vendor operates exclusively at the prime level and has focused its federal work on two customer agencies over a footprint spanning from 2009 to present.

Lively Distributing's customer base is heavily concentrated with the Department of Veterans Affairs Veterans Health Administration Veterans Integrated Service Network 22, which accounts for 86% of recent awards and the full $1.1 million in combined potential value across five contracts. The vendor also holds a single purchase order with the Department of Justice Bureau of Prisons Federal Correctional Institution Phoenix valued at $2,405.75 for weekly milk distribution. The VA relationship dominates both volume and dollars; the two rankings track identically because the sole non-VA customer carries minimal value.

The vendor holds two single-award indefinite-delivery contracts under VISN 22. The first IDC, awarded December 15, 2023, carries a ceiling of $304,466.95 and runs through October 31, 2028, covering milk and dairy deliveries to the VA Northern Arizona Healthcare System with a base year plus four option years. The second, more recent IDC awarded April 6, 2026, holds a ceiling of $215,750.84 and extends through April 5, 2031, also covering twice-weekly deliveries of fluid milk, whole milk, chocolate milk, creamed cottage cheese, and fruit-punch beverages meeting FDA Grade A Pasteurized Milk Ordinance standards. Recent delivery orders against these IDCs include a $101,445.45 Option Year 1 order (December 2024, completion December 2025) and a $43,150.17 base-year order (April 2026, completion April 2031). The VA contracts are structured as firm fixed-price with Economic Price Adjustment calculations tied to the Producer Price Index for Dairy Product Manufacturing, with performance required twice weekly between 0700-1400 hours in Phoenix, Arizona. Lively Distributing competes under the Total Small Business set-aside on the newer April 2026 IDC and in an unrestricted commercial procurement posture on the December 2023 IDC. The vendor's federal footprint is sparse — seven awards total with $269 thousand in obligated dollars against $1.1 million in potential value — reflecting deep but narrow customer concentration in regional VA healthcare supply.