Labor Department Awards $49.4M Contract for Job Corps Center Operations and Training Services

Contract Overview

Contract Amount: $49,363,242 ($49.4M)

Contractor: Education & Training Resources LLC

Awarding Agency: Department of Labor

Start Date: 2020-11-01

End Date: 2026-08-31

Contract Duration: 2,129 days

Daily Burn Rate: $23.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CENTER OPERATIONS, OA AND CTS SERVICES AT THE IROQUOIS JOB CORPS CENTER

Place of Performance

Location: MEDINA, ORLEANS County, NEW YORK, 14103

State: New York Government Spending

Plain-Language Summary

Department of Labor obligated $49.4 million to EDUCATION & TRAINING RESOURCES LLC for work described as: CENTER OPERATIONS, OA AND CTS SERVICES AT THE IROQUOIS JOB CORPS CENTER Key points: 1. Contract awarded to EDUCATION & TRAINING RESOURCES LLC for Iroquois Job Corps Center. 2. The contract spans over 5 years, with a total value of $49.4 million. 3. Services include center operations, OA, and CTS, indicating a broad scope of support. 4. The contract is firm-fixed-price, providing cost certainty for the government. 5. This award falls under the 'Other Technical and Trade Schools' NAICS code.

Value Assessment

Rating: good

The contract value of $49.4 million over approximately 5 years suggests a significant investment in job training services. Benchmarking against similar large-scale educational and operational contracts would be necessary for a precise assessment, but the duration and scope indicate a substantial, potentially competitive, pricing structure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The use of a definitive contract suggests a well-defined scope of work and a structured procurement process.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure cost-effective services for the Iroquois Job Corps Center, supporting workforce development initiatives.

Public Impact

Supports workforce development and training for young adults. Provides essential operational and support services for a federal job training program. Ensures continuity of services at the Iroquois Job Corps Center. Potential for economic impact in the New York region through job creation and local spending.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in provided data.
Potential for cost overruns if scope expands beyond initial definition.
Dependence on a single contractor for critical center operations.

Positive Signals

Awarded through full and open competition.
Firm-fixed-price contract provides cost predictability.
Long-term contract ensures service continuity.
Supports a vital federal job training program.

Sector Analysis

This contract falls within the education and training sector, specifically focusing on vocational and technical education. Spending in this area is crucial for addressing skills gaps and promoting economic mobility. Benchmarks for similar large-scale training center operations would typically be in the tens of millions annually, depending on size and services.

Small Business Impact

The provided data indicates that small businesses were not directly awarded this contract (ss: false, sb: false). Further analysis would be needed to determine if the prime contractor intends to subcontract with small businesses to fulfill the contract requirements.

Oversight & Accountability

The Department of Labor, through the Office of the Assistant Secretary for Administration and Management, is responsible for overseeing this contract. Standard oversight mechanisms for federal contracts, including performance reviews and financial audits, would be expected to ensure accountability and proper execution of services.

Related Government Programs

Other Technical and Trade Schools
Department of Labor Contracting
Office of the Assistant Secretary for Administration and Management Programs

Risk Flags

Contract duration is substantial (over 5 years).
Services are critical to a federal training program.
Single award contract.
No explicit mention of small business subcontracting goals.
NAICS code 'Other Technical and Trade Schools' is broad.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $49.4 million to EDUCATION & TRAINING RESOURCES LLC. CENTER OPERATIONS, OA AND CTS SERVICES AT THE IROQUOIS JOB CORPS CENTER

Who is the contractor on this award?

The obligated recipient is EDUCATION & TRAINING RESOURCES LLC.

Which agency awarded this contract?

Awarding agency: Department of Labor (Office of the Assistant Secretary for Administration and Management).

What is the total obligated amount?

The obligated amount is $49.4 million.

What is the period of performance?

Start: 2020-11-01. End: 2026-08-31.

What specific performance metrics will be used to evaluate the contractor's success in providing center operations, OA, and CTS services?

The provided data does not detail specific performance metrics. Typically, such contracts include Service Level Agreements (SLAs) and Key Performance Indicators (KPIs) related to student enrollment, completion rates, job placement success, facility maintenance, and operational efficiency. These metrics are crucial for assessing the contractor's effectiveness and ensuring the program meets its objectives.

What is the potential risk associated with the firm-fixed-price contract structure if unforeseen operational challenges arise at the Job Corps center?

A firm-fixed-price contract generally shifts the risk of cost overruns to the contractor. However, if unforeseen challenges significantly impact the contractor's ability to deliver services as defined, it could lead to disputes, potential contract modifications, or a decline in service quality if the contractor is unable to absorb unexpected costs. The government's ability to manage scope and monitor performance is key.

How effectively does this contract contribute to the Department of Labor's broader mission of workforce development and economic opportunity?

This contract directly supports the Department of Labor's mission by funding essential services for the Iroquois Job Corps Center, a program designed to equip young individuals with the skills and training needed for successful careers. By ensuring the smooth operation of the center and the delivery of critical training, the contract facilitates pathways to employment and economic self-sufficiency for participants.

Industry Classification

NAICS: Educational Services › Technical and Trade Schools › Other Technical and Trade Schools

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 1630J1-20-R-00002

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Foxmar, Inc.

Address: 2422 AIRWAY DR, BOWLING GREEN, KY, 42103

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $56,376,963

Exercised Options: $56,376,963

Current Obligation: $49,363,242

Actual Outlays: $12,905,796

Subaward Activity

Number of Subawards: 65

Total Subaward Amount: $6,935,139

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline