Labor Awards $43.7M Contract to Career Systems Development Corp for Technical Training

Contract Overview

Contract Amount: $43,666,676 ($43.7M)

Contractor: Career Systems Development Corporation

Awarding Agency: Department of Labor

Start Date: 2018-06-01

End Date: 2022-05-11

Contract Duration: 1,440 days

Daily Burn Rate: $30.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THIS AWARD IS FOR THE OTTUMWA PROCUREMENT

Place of Performance

Location: OTTUMWA, WAPELLO County, IOWA, 52501

State: Iowa Government Spending

Plain-Language Summary

Department of Labor obligated $43.7 million to CAREER SYSTEMS DEVELOPMENT CORPORATION for work described as: THIS AWARD IS FOR THE OTTUMWA PROCUREMENT Key points: 1. The contract value of $43.7 million over four years indicates a significant investment in technical and trade education. 2. Full and open competition was utilized, suggesting a competitive bidding process aimed at achieving fair market value. 3. The firm fixed-price contract type shifts risk to the contractor, potentially leading to cost efficiencies for the government. 4. The sector is 'Other Technical and Trade Schools,' highlighting a focus on specialized vocational training.

Value Assessment

Rating: good

The contract value of $43.7 million for a 4-year definitive contract appears reasonable given the scope of technical training services. Benchmarking against similar large-scale vocational training contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and can lead to more competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving a fair price for the technical training services provided.

Public Impact

Provides specialized technical and trade education to support workforce development. The contract duration of four years allows for long-term planning and consistent service delivery. Supports the Department of Labor's mission to foster workforce development and economic opportunity.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data.
Potential for scope creep in a 4-year contract if not managed tightly.

Positive Signals

Utilized full and open competition.
Firm fixed-price contract type reduces cost uncertainty for the government.
Long contract duration allows for sustained program support.

Sector Analysis

The 'Other Technical and Trade Schools' sector encompasses a wide range of vocational training programs. Spending in this area is often tied to workforce development initiatives and specific industry needs, with contract values varying based on program scope and duration.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false, sb: false). Further analysis would be needed to determine if small business participation was solicited or achieved through subcontracting.

Oversight & Accountability

The use of a definitive contract with a fixed price suggests a structured approach to oversight. However, detailed oversight mechanisms and performance monitoring protocols are not specified in the provided data.

Related Government Programs

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

Risk Flags

Lack of specific performance metrics.
Potential for contractor lock-in due to long contract duration.
No indication of small business participation.
Broad classification of training services may obscure specific needs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $43.7 million to CAREER SYSTEMS DEVELOPMENT CORPORATION. THIS AWARD IS FOR THE OTTUMWA PROCUREMENT

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 $43.7 million.

What is the period of performance?

Start: 2018-06-01. End: 2022-05-11.

What specific technical skills are being taught under this contract, and how do they align with current labor market demands?

The provided data does not specify the exact technical skills covered. However, the classification 'Other Technical and Trade Schools' suggests a broad range of vocational training. Alignment with labor market demands would require analyzing the curriculum against industry needs and employment trends in Iowa and nationally.

What is the government's process for monitoring contractor performance and ensuring the quality of training delivered?

While the firm fixed-price contract shifts cost risk to the contractor, the government typically employs contract officers and technical monitors to oversee performance. This includes ensuring curriculum delivery, student outcomes, and adherence to contract terms. Specific oversight procedures would be detailed in the contract's statement of work.

Are there any performance metrics or key performance indicators (KPIs) associated with this contract to measure its effectiveness?

The provided data does not explicitly list performance metrics or KPIs. Effective contracts of this nature often include measures such as student completion rates, job placement rates, and employer satisfaction. The absence of this information in the summary data warrants further investigation into the full contract details.

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: DOL-ETA-17-R-00002

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

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: $54,848,560

Exercised Options: $53,115,132

Current Obligation: $43,666,676

Actual Outlays: $33,924,705

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline