Labor Department awards $58.7M contract to Career Systems Development Corp for Job Corps operations

Contract Overview

Contract Amount: $58,706,106 ($58.7M)

Contractor: Career Systems Development Corporation

Awarding Agency: Department of Labor

Start Date: 2018-12-26

End Date: 2024-04-30

Contract Duration: 1,952 days

Daily Burn Rate: $30.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Other

Official Description: OPERATIONS OF THE PENOBSCOT JOB CORPS CENTER WITH OA AND CTS.

Place of Performance

Location: BANGOR, PENOBSCOT County, MAINE, 04401

State: Maine Government Spending

Plain-Language Summary

Department of Labor obligated $58.7 million to CAREER SYSTEMS DEVELOPMENT CORPORATION for work described as: OPERATIONS OF THE PENOBSCOT JOB CORPS CENTER WITH OA AND CTS. Key points: 1. Contract value of $58.7M over approximately 5.5 years. 2. Career Systems Development Corporation is the sole awardee. 3. Potential risk associated with single-source award and long duration. 4. Spending falls within the 'Other Technical and Trade Schools' NAICS code.

Value Assessment

Rating: fair

The contract's cost-plus incentive fee structure aims to control costs, but the total value over nearly six years is substantial. Benchmarking against similar Job Corps center operations would be necessary for a precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, suggesting a competitive bidding process. However, the data indicates only one awardee, which warrants further investigation into the competition dynamics and price discovery.

Taxpayer Impact: Taxpayer funds are being used to operate the Penobscot Job Corps Center, providing vocational training and support services.

Public Impact

Supports vocational training for youth, impacting workforce development. Operates a Job Corps center, a key federal program. Awardee is a private company providing essential services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (1952 days).
Cost-plus incentive fee contract type.

Positive Signals

Full and open competition.
Supports a federal workforce development program.

Sector Analysis

This contract falls under the 'Other Technical and Trade Schools' sector, related to workforce development and vocational training. Federal spending in this area supports programs aimed at improving employment outcomes for individuals.

Small Business Impact

The data indicates that small businesses were not awarded this contract, as the awardee is Career Systems Development Corporation. Further analysis would be needed to determine if small businesses participated as subcontractors.

Oversight & Accountability

The Department of Labor's Office of the Assistant Secretary for Administration and Management is responsible for this contract. Oversight would focus on the performance of the Job Corps center and adherence to contract terms.

Related Government Programs

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

Risk Flags

Long contract duration.
Cost-plus incentive fee contract type.
Lack of specific performance metrics in the provided data.
Potential for cost overruns with CPIF contracts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $58.7 million to CAREER SYSTEMS DEVELOPMENT CORPORATION. OPERATIONS OF THE PENOBSCOT JOB CORPS CENTER WITH OA AND CTS.

Who is the contractor on this award?

The obligated recipient is CAREER SYSTEMS DEVELOPMENT CORPORATION.

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 $58.7 million.

What is the period of performance?

Start: 2018-12-26. End: 2024-04-30.

What is the cost per student or per training outcome for this contract?

The provided data does not include specific metrics like cost per student or per training outcome. To assess the value effectively, this information would be crucial. It would allow for comparison against benchmarks and evaluation of the program's efficiency in delivering its intended services.

What were the key performance indicators and evaluation criteria used during the competition?

The data does not detail the specific performance indicators or evaluation criteria used in the full and open competition. Understanding these would shed light on how the awardee was selected and what factors were prioritized, such as cost, technical approach, or past performance.

How does the performance of this center compare to other Job Corps centers nationally?

Performance data for the Penobscot Job Corps Center is not included in this dataset. A comprehensive assessment of effectiveness would require access to performance metrics, such as graduation rates, job placement rates, and participant satisfaction, compared to national averages or similar centers.

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: 1630J1-18-R-00007

Offers Received: 3

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Address: 75 THRUWAY PARK DR STE 100, WEST HENRIETTA, NY, 14586

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

Financial Breakdown

Contract Ceiling: $83,004,470

Exercised Options: $79,863,400

Current Obligation: $58,706,106

Actual Outlays: $49,866,353

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline