Department of Labor awards $48.7M contract for Vocational Rehabilitation Services to National Plastering Industries Joint Apprenticeship Trust Fund

Contract Overview

Contract Amount: $48,700,497 ($48.7M)

Contractor: National Plastering Industrys Joint Apprenticeship Trust Fund

Awarding Agency: Department of Labor

Start Date: 2018-03-15

End Date: 2023-07-31

Contract Duration: 1,964 days

Daily Burn Rate: $24.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF:CF::IGF

Place of Performance

Location: BELTSVILLE, PRINCE GEORGES County, MARYLAND, 20705

State: Maryland Government Spending

Plain-Language Summary

Department of Labor obligated $48.7 million to NATIONAL PLASTERING INDUSTRYS JOINT APPRENTICESHIP TRUST FUND for work described as: IGF:CF::IGF Key points: 1. The contract value of $48.7 million over approximately 5 years represents a significant investment in vocational training. 2. Competition details are limited, but the award suggests a specific need met by the selected entity. 3. Potential risks include the long duration and the cost-plus contract type, which may not incentivize cost efficiency. 4. The sector is vocational services, crucial for workforce development and individual economic empowerment.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Benchmarking per-unit costs for vocational rehabilitation services is difficult without specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. However, the specific details of the bidding process and the number of proposals received are not provided, making it difficult to assess the effectiveness of price discovery.

Taxpayer Impact: Taxpayer funds are being used to support vocational rehabilitation services, aiming for long-term economic benefits through workforce integration. The cost-plus nature of the contract warrants scrutiny to ensure value for money.

Public Impact

Supports individuals seeking to re-enter the workforce through specialized training. Aims to improve employment outcomes and reduce reliance on public assistance. Invests in skills development relevant to specific industries, potentially boosting local economies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type may not be the most cost-effective.
Long contract duration (5 years) could lead to price escalation.
Limited information on specific performance metrics and outcomes.

Positive Signals

Addresses a critical need for vocational rehabilitation services.
Awarded through full and open competition.
Supports workforce development and individual economic empowerment.

Sector Analysis

This contract falls within the vocational training and workforce development sector. Spending in this area is vital for economic growth and social mobility, with benchmarks varying based on program scope and target populations.

Small Business Impact

The data indicates the award was not set-aside for small businesses, and no information is provided regarding small business participation as subcontractors. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight would typically involve monitoring the contractor's performance against contract requirements and ensuring adherence to cost controls, especially given the Cost Plus Fixed Fee structure. The Department of Labor's Office of the Assistant Secretary for Administration and Management is responsible for this contract.

Related Government Programs

Vocational Rehabilitation Services
Department of Labor Contracting
Office of the Assistant Secretary for Administration and Management Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Long contract duration.
Lack of specific performance metrics in provided data.
Potential for cost overruns without stringent oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $48.7 million to NATIONAL PLASTERING INDUSTRYS JOINT APPRENTICESHIP TRUST FUND. IGF:CF::IGF

Who is the contractor on this award?

The obligated recipient is NATIONAL PLASTERING INDUSTRYS JOINT APPRENTICESHIP TRUST FUND.

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 $48.7 million.

What is the period of performance?

Start: 2018-03-15. End: 2023-07-31.

What specific vocational rehabilitation services are being provided under this contract, and how do they align with current labor market demands?

The provided data does not specify the exact vocational rehabilitation services. Understanding these services is crucial to assess their relevance to current labor market demands and the overall effectiveness of the contract in preparing individuals for employment. Further details on the program's curriculum and target industries would be necessary for a comprehensive evaluation.

How effectively is the Cost Plus Fixed Fee structure managing costs and ensuring value for taxpayer money, given the contract's duration?

The Cost Plus Fixed Fee structure allows for cost reimbursement plus a fixed fee, which can be beneficial for complex projects but may lack strong incentives for cost control. Continuous monitoring by the Department of Labor is essential to ensure costs remain reasonable and that the fixed fee adequately compensates the contractor for their efforts without excessive profit, especially over a five-year period.

What are the key performance indicators (KPIs) for this contract, and what are the expected outcomes in terms of participant employment and long-term success?

Key performance indicators are not detailed in the provided data. Essential KPIs would likely include participant completion rates, job placement rates, average starting salaries of placed participants, and retention rates in employment. Measuring these outcomes is critical to determining the contract's effectiveness and the return on investment for the $48.7 million expenditure.

Industry Classification

NAICS: Health Care and Social Assistance › Vocational Rehabilitation Services › Vocational Rehabilitation Services

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: 1630DC17R00013

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 11720 BELTSVILLE DR STE 100, BELTSVILLE, MD, 20705

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $48,700,497

Exercised Options: $48,700,497

Current Obligation: $48,700,497

Actual Outlays: $27,168,759

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline