Department of Labor awards $31M contract for technical and trade school services to Adams and Associates Inc

Contract Overview

Contract Amount: $31,091,439 ($31.1M)

Contractor: Adams and Associates Inc

Awarding Agency: Department of Labor

Start Date: 2024-04-01

End Date: 2027-03-31

Contract Duration: 1,094 days

Daily Burn Rate: $28.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: GLENMONT JCC OA & CTS

Place of Performance

Location: GLENMONT, ALBANY County, NEW YORK, 12077

State: New York Government Spending

Plain-Language Summary

Department of Labor obligated $31.1 million to ADAMS AND ASSOCIATES INC for work described as: GLENMONT JCC OA & CTS Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of nearly three years indicates a significant, ongoing need for these services. 3. The firm-fixed-price structure aims to control costs by setting a predetermined price. 4. The North American Industry Classification System (NAICS) code 611519 points to specialized technical and trade instruction. 5. The contract's value of over $31 million signifies a substantial investment in workforce development or training. 6. Awarded to a single contractor, Adams and Associates Inc., for the specified services.

Value Assessment

Rating: fair

Benchmarking the value of this contract requires more detailed cost breakdowns and comparisons to similar training programs. The firm-fixed-price nature suggests an attempt to manage costs, but without specific performance metrics or unit cost data, a definitive value-for-money assessment is challenging. The total award amount of $31,091,439.26 over approximately three years indicates a significant investment, and its effectiveness will depend on the quality and outcomes of the training provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. With nine bidders participating, the competition level appears robust, which typically fosters better price discovery and potentially more favorable terms for the government. The presence of multiple bidders suggests that the market has several capable providers for these technical and trade school services.

Taxpayer Impact: The robust competition for this contract is beneficial for taxpayers as it likely drove down prices and encouraged a wider range of innovative solutions, ultimately leading to a more cost-effective outcome for the government.

Public Impact

Individuals seeking technical and trade skills development are the primary beneficiaries. The contract supports the delivery of educational services within the technical and trade school sector. Services are likely to have a geographic impact in New York, where the contractor is located. Potential workforce implications include upskilling and reskilling of individuals for various industries.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics makes it difficult to assess the true effectiveness and value of the training provided.
The specific nature of the 'Other Technical and Trade Schools' services is broad, requiring further clarification on the exact skills being taught.
Without a breakdown of costs per trainee or per course, it's hard to benchmark the per-unit cost against industry standards.

Positive Signals

Awarded through full and open competition with nine bidders, indicating a healthy market and competitive pricing.
Firm-fixed-price contract type helps to control costs and provides budget certainty.
The contract duration of nearly three years suggests a sustained commitment to workforce development.

Sector Analysis

The technical and trade schools sector is a critical component of workforce development, providing specialized skills training for various industries. This contract, falling under NAICS code 611519, likely supports programs ranging from vocational training to specialized certifications. The overall market for such services is substantial, driven by the continuous need for a skilled labor force across manufacturing, construction, healthcare, and technology. Comparable spending benchmarks would typically involve analyzing the average cost per student or per program for similar government-funded training initiatives.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While Adams and Associates Inc. is the prime contractor, there is no explicit information regarding subcontracting plans with small businesses. Further investigation into the contractor's subcontracting practices would be necessary to understand the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Labor's Office of the Assistant Secretary for Administration and Management (OASAM). Accountability measures are typically embedded within the contract's terms and conditions, including performance standards and reporting requirements. Transparency is facilitated through contract award databases, though detailed performance data may not always be publicly accessible. The Inspector General's office within the Department of Labor would have jurisdiction for audits and investigations into potential fraud, waste, or abuse.

Related Government Programs

Workforce Innovation and Opportunity Act (WIOA) programs
Department of Labor Job Training Programs
Vocational Rehabilitation Services
Apprenticeship Programs
Federal Skills Training Initiatives

Risk Flags

Potential for service disruption if contractor underperforms.
Lack of specific performance metrics in award data.
Unclear geographic scope of service delivery.
Limited insight into small business subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $31.1 million to ADAMS AND ASSOCIATES INC. GLENMONT JCC OA & CTS

Who is the contractor on this award?

The obligated recipient is ADAMS AND ASSOCIATES INC.

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 $31.1 million.

What is the period of performance?

Start: 2024-04-01. End: 2027-03-31.

What specific technical and trade skills are being provided under this contract?

The contract falls under NAICS code 611519, which broadly covers 'Other Technical and Trade Schools.' This classification suggests training in a variety of vocational and technical fields not elsewhere classified, potentially including areas like automotive repair, culinary arts, cosmetology, HVAC, welding, or other specialized trades. However, the specific curriculum, skill sets, and certifications offered are not detailed in the provided award data. A deeper dive into the contract's statement of work or performance work statement would be necessary to identify the precise nature of the training programs and the target occupations.

How does the $31 million award compare to historical spending on similar services by the Department of Labor?

To compare this $31 million award to historical spending, one would need to analyze past contracts awarded by the Department of Labor for technical and trade school services, particularly those under NAICS code 611519 or similar vocational training categories. This would involve querying federal procurement databases (like FPDS or USASpending) for similar contracts over the past several fiscal years. Key metrics for comparison would include the total dollar value of similar contracts, their duration, the number of bidders, and the types of services rendered. Without this historical data, it's difficult to ascertain if this award represents an increase, decrease, or stable level of investment in these services.

What are the key performance indicators (KPIs) for this contract, and how will success be measured?

The provided award data does not specify the key performance indicators (KPIs) or the methodology for measuring the success of this contract. Typically, for training contracts, KPIs might include metrics such as completion rates, job placement rates post-training, employer satisfaction with graduates, and the acquisition of specific certifications or skills. The firm-fixed-price nature suggests that the contractor is incentivized to deliver the agreed-upon services within budget. However, the effectiveness of the training and the ultimate value to the government and trainees would be assessed against the performance standards outlined in the contract's statement of work, which are not detailed here.

What is the track record of Adams and Associates Inc. in providing similar technical and trade school services?

Assessing the track record of Adams and Associates Inc. requires examining their past performance on federal contracts, particularly those related to education, training, or technical/vocational services. This would involve searching procurement databases for previous awards to this contractor, reviewing contract performance reports (if available), and looking for any past performance evaluations or disputes. Without this specific historical data, it is challenging to gauge their experience, reliability, and success in delivering comparable services. Their win of this significant contract suggests they met the requirements and demonstrated capability during the bidding process.

What is the potential risk associated with a single award for these services, despite multiple bidders?

While this contract was awarded under full and open competition with nine bidders, the award itself is to a single entity, Adams and Associates Inc. The primary risk associated with a single award, even in a competitive scenario, is potential over-reliance on one provider. If Adams and Associates Inc. underperforms, faces financial difficulties, or encounters operational issues, it could disrupt the delivery of essential training services. This could lead to delays, increased costs if a replacement contractor is needed, or a reduction in the quality of training. Mitigating this risk often involves robust contract management, clear performance expectations, and contingency planning by the contracting agency.

How does the geographic location of the contractor (New York) align with the intended service delivery area?

The contractor, Adams and Associates Inc., is located in New York (ST: NY, SN: NEW YORK). The contract award data does not explicitly state the geographic scope of service delivery. However, given the nature of technical and trade schools, services could be delivered locally in New York, regionally, or potentially nationwide through various means (e.g., online platforms, partnerships with local institutions, or mobile training units). If the services are intended for a broader audience beyond New York, the agency would need to ensure the contractor has the capacity and infrastructure to deliver effectively across the required locations. The contract's duration and value suggest a significant scope that may extend beyond a single geographic area.

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-23-R-00006

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6151 LAKESIDE DR, STE 100, RENO, NV, 89511

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

Financial Breakdown

Contract Ceiling: $81,322,551

Exercised Options: $47,785,801

Current Obligation: $31,091,439

Actual Outlays: $25,203,806

Subaward Activity

Number of Subawards: 10

Total Subaward Amount: $2,909,515

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline