Department of Labor Awards $22.9M Contract to Horizons Youth Services for Job Corps Center Operations

Contract Overview

Contract Amount: $22,931,668 ($22.9M)

Contractor: Horizons Youth Services, L.C.

Awarding Agency: Department of Labor

Start Date: 2023-01-25

End Date: 2025-01-31

Contract Duration: 737 days

Daily Burn Rate: $31.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WHITNEY JOB CORPS CENTER W/ OA/CTS

Place of Performance

Location: SIMPSONVILLE, SHELBY County, KENTUCKY, 40067

State: Kentucky Government Spending

Plain-Language Summary

Department of Labor obligated $22.9 million to HORIZONS YOUTH SERVICES, L.C. for work described as: WHITNEY JOB CORPS CENTER W/ OA/CTS Key points: 1. The contract value of $22.9 million over two years is significant for technical and trade school services. 2. Horizons Youth Services is the sole awardee, raising questions about the extent of competition. 3. The contract carries risks related to performance and ensuring effective training outcomes. 4. The sector is technical and trade education, crucial for workforce development.

Value Assessment

Rating: fair

The contract value of $22.9 million for a two-year period appears reasonable for operating a Job Corps center. Benchmarking against similar contracts for educational services would provide a clearer picture of its competitiveness.

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. However, the data only lists one awardee, Horizons Youth Services, which warrants further investigation into the number of proposals received and the evaluation process.

Taxpayer Impact: Taxpayer funds are being used to support workforce development through the Job Corps program. The effectiveness of the training and the cost-efficiency of this contract will determine the ultimate taxpayer impact.

Public Impact

This contract directly impacts students seeking vocational training and career development opportunities. The Job Corps program aims to provide disadvantaged youth with skills for employment. The success of this contract contributes to the Department of Labor's mission of workforce development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition despite 'full and open' designation.
Performance risks associated with educational program delivery.
Ensuring cost-effectiveness and value for taxpayer money.

Positive Signals

Supports a vital federal program for youth development.
Aims to improve workforce skills and employability.
Fixed-price contract provides cost certainty.

Sector Analysis

This contract falls within the 'Other Technical and Trade Schools' sector, which is part of the broader education and workforce development industry. Spending in this sector is driven by federal and state initiatives to equip individuals with job-ready skills.

Small Business Impact

The provided data does not indicate whether small businesses were involved as subcontractors or partners in this contract award. Further analysis would be needed to assess small business participation.

Oversight & Accountability

Oversight will be crucial to ensure Horizons Youth Services meets performance standards and delivers quality training. The Department of Labor's Office of the Assistant Secretary for Administration and Management is responsible for contract administration.

Related Government Programs

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

Risk Flags

Potential for limited competition despite 'full and open' designation.
Performance risks associated with educational program delivery.
Ensuring cost-effectiveness and value for taxpayer money.
Lack of detailed performance metrics in the provided data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $22.9 million to HORIZONS YOUTH SERVICES, L.C.. WHITNEY JOB CORPS CENTER W/ OA/CTS

Who is the contractor on this award?

The obligated recipient is HORIZONS YOUTH SERVICES, L.C..

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 $22.9 million.

What is the period of performance?

Start: 2023-01-25. End: 2025-01-31.

What was the total number of proposals received under the full and open competition, and how did Horizons Youth Services' proposal compare to others in terms of cost and technical merit?

While the contract was awarded under full and open competition, the provided data only lists the single awardee. To fully assess value, it's important to understand the competitive landscape. Knowing the number of proposals and the evaluation criteria would clarify if the selected vendor offered the best overall value, considering both cost and quality of proposed services for the Job Corps program.

What are the key performance indicators (KPIs) for this contract, and what mechanisms are in place to mitigate risks related to student outcomes and program effectiveness?

Effective oversight requires clearly defined KPIs for student completion rates, job placement success, and employer satisfaction. The Department of Labor should have established performance standards and remedies for non-performance. Regular performance reviews and site visits are essential to monitor progress and address any emerging issues proactively, ensuring the program's effectiveness and mitigating risks to student success.

How does the per-student cost under this contract compare to other Job Corps centers or similar vocational training programs, and does it represent efficient use of taxpayer funds?

Benchmarking the per-student cost is vital for assessing efficiency. Without specific per-student cost data or comparative benchmarks, it's difficult to definitively state if this contract represents the most efficient use of taxpayer funds. A detailed cost analysis comparing this contract to similar federal or state-funded programs would be necessary to determine if the pricing is competitive and offers good value.

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: 1605JE-22-R-00008

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3586 HORIZONS WAY, HARRISONBURG, VA, 22802

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $64,317,272

Exercised Options: $26,450,866

Current Obligation: $22,931,668

Actual Outlays: $22,931,668

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline