Department of Labor awards $22.6M contract for education and training resources to EDUCATION & TRAINING RESOURCES LLC

Contract Overview

Contract Amount: $22,565,613 ($22.6M)

Contractor: Education & Training Resources LLC

Awarding Agency: Department of Labor

Start Date: 2024-02-01

End Date: 2027-02-28

Contract Duration: 1,123 days

Daily Burn Rate: $20.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 11

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FINCH HENRY JOB CORPS CENTER W/ OA CTS

Place of Performance

Location: BATESVILLE, PANOLA County, MISSISSIPPI, 38606

State: Mississippi Government Spending

Plain-Language Summary

Department of Labor obligated $22.6 million to EDUCATION & TRAINING RESOURCES LLC for work described as: FINCH HENRY JOB CORPS CENTER W/ OA CTS Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of over 3 years indicates a significant, long-term need for these services. 3. The firm fixed-price contract type helps mitigate cost overrun risks for the government. 4. The award was made by the Office of the Assistant Secretary for Administration and Management, indicating internal administrative support needs. 5. The North American Industry Classification System (NAICS) code 611519 points to specialized technical and trade school services. 6. The contract's base year began in February 2024, aligning with current operational needs. 7. The contractor, EDUCATION & TRAINING RESOURCES LLC, has secured this significant award, potentially indicating a strong performance history or competitive offering.

Value Assessment

Rating: fair

Benchmarking the value of this contract requires more granular data on the specific services provided and the number of individuals served. However, the total award amount of $22.6 million over approximately three years suggests a substantial investment in education and training. Without comparable contract data for similar job corps centers or training programs, it is difficult to definitively assess value for money. The firm fixed-price structure is a positive indicator for cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which implies that while the competition was open, certain sources may have been excluded prior to the final award. This suggests a potentially robust competition, but the exclusion of sources warrants further investigation to understand its impact on the breadth of competition and potential pricing outcomes. The fact that there were 11 bids received indicates a healthy level of interest from potential contractors.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to better pricing and service quality. The exclusion of sources, however, could potentially limit the number of competitive bids and may warrant scrutiny to ensure it did not unduly restrict competition.

Public Impact

The primary beneficiaries are likely students and individuals seeking vocational training and educational resources through the Job Corps program. The services delivered are expected to include technical and trade education, preparing individuals for employment. The contract is geographically focused on Mississippi, as indicated by the 'MS' state code. The contract supports workforce development initiatives, potentially impacting the local and regional labor market by equipping individuals with in-demand skills.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' clause in the competition type needs further clarification to ensure it did not limit fair competition.
Lack of specific performance metrics makes it difficult to assess the effectiveness and efficiency of the training provided.
The geographic concentration in Mississippi might limit broader applicability or scalability of the training model.

Positive Signals

The award was made through a full and open competition, indicating a structured and potentially fair bidding process.
The firm fixed-price contract type provides cost certainty for the government.
The contract duration of over three years suggests a stable and ongoing need for these critical training services.
The receipt of 11 bids demonstrates significant market interest and potential for competitive pricing.

Sector Analysis

This contract falls within the broader education and training services sector, specifically focusing on vocational and technical education. The market for such services is driven by government initiatives aimed at workforce development and skills training. Comparable spending benchmarks would typically involve analyzing other Job Corps center contracts or similar federal workforce training programs. The size of this award suggests it is a significant contract within its specific niche.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this particular contract. This suggests that the contract was not specifically targeted towards small businesses, and larger, established firms were likely the primary bidders. There is no explicit information on subcontracting plans for small businesses, which could be a missed opportunity for engaging the small business ecosystem in fulfilling aspects of this large contract.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Labor's Office of the Assistant Secretary for Administration and Management. Standard contract oversight mechanisms, including performance monitoring and compliance checks, are expected to be in place. Transparency is facilitated by the public nature of contract awards, but detailed performance reports and Inspector General involvement would depend on specific program requirements and any identified issues.

Related Government Programs

Job Corps Program
Workforce Innovation and Opportunity Act (WIOA) Programs
Federal Job Training Programs
Vocational Rehabilitation Services

Risk Flags

Potential limitation of competition due to source exclusion.
Lack of detailed performance metrics for assessing program effectiveness.
Limited information on contractor's past performance and track record.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $22.6 million to EDUCATION & TRAINING RESOURCES LLC. FINCH HENRY JOB CORPS CENTER W/ OA CTS

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 $22.6 million.

What is the period of performance?

Start: 2024-02-01. End: 2027-02-28.

What specific training programs and services are being provided under this contract, and what are the expected outcomes for participants?

The contract, identified by NAICS code 611519 (Other Technical and Trade Schools), focuses on providing education and training resources. While the specific curriculum is not detailed in the provided data, it is reasonable to infer that the services encompass vocational and technical skills training aligned with the objectives of the Job Corps program. Expected outcomes typically include improved employability, attainment of industry-recognized credentials, and successful placement in jobs for participants. The contract's duration and value suggest a comprehensive program designed to address significant workforce development needs within the specified region.

How does the awarded amount of $22.6 million compare to historical spending on similar Job Corps centers or training contracts?

Direct comparison of the $22.6 million award to historical spending requires access to a broader dataset of federal contract awards for similar services. However, considering the contract duration of approximately three years (February 2024 to February 2027), the annual value is roughly $7.5 million. This figure can be benchmarked against average annual costs for operating Job Corps centers or similar large-scale vocational training initiatives. Without specific historical data for this center or comparable ones, it's challenging to definitively state if this represents an increase, decrease, or stable level of investment. Further analysis of past solicitations and awards for the FINCH HENRY JOB CORPS CENTER would provide more context.

What is the track record of EDUCATION & TRAINING RESOURCES LLC in delivering federal contracts, particularly in the education and training sector?

The provided data does not include specific details on the past performance or track record of EDUCATION & TRAINING RESOURCES LLC. To assess their reliability and effectiveness, a review of their contract history with federal agencies, including past performance evaluations, any past disputes or terminations, and the types of services they have previously delivered would be necessary. Their ability to secure a $22.6 million contract suggests they possess the capacity and qualifications required, but a deeper dive into their performance history is crucial for a comprehensive risk assessment.

What are the key performance indicators (KPIs) used to measure the success of this contract and the effectiveness of the training provided?

The provided contract data does not specify the Key Performance Indicators (KPIs) that will be used to measure the success of this contract. Typically, for Job Corps and similar training programs, KPIs would include metrics such as student enrollment rates, completion rates, credential attainment, job placement rates, starting wages of placed individuals, and employer satisfaction. The effectiveness of the training is often evaluated based on how well participants acquire the skills needed for employment in demand occupations. Without explicit KPIs, assessing the program's true impact and value for money becomes more challenging.

Given the 'exclusion of sources' in the competition type, what potential risks or limitations might this impose on the government and taxpayers?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause indicates that while the competition was open, certain potential bidders were excluded prior to the solicitation. This exclusion could limit the diversity of proposals received and potentially reduce the competitive pressure on pricing. The risk for taxpayers is that the government might not have received the most cost-effective solution or the best possible technical approach if highly competitive sources were excluded without clear justification. Understanding the rationale behind the exclusion is critical to assessing whether it was a necessary measure or a potential impediment to optimal 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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 1605JE-23-R-00007

Offers Received: 11

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, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $61,323,735

Exercised Options: $36,057,244

Current Obligation: $22,565,613

Actual Outlays: $17,477,270

Subaward Activity

Number of Subawards: 10

Total Subaward Amount: $794,522

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline