Labor Dept. Awards $31.8M Facilities Contract to DEL-JEN, Inc. for Little Rock JC Center

Contract Overview

Contract Amount: $31,784,843 ($31.8M)

Contractor: Del-Jen, Inc.

Awarding Agency: Department of Labor

Start Date: 2003-12-01

End Date: 2008-09-30

Contract Duration: 1,765 days

Daily Burn Rate: $18.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Other

Official Description: OPERATION OF LITTLE ROCK JC CENTER

Place of Performance

Location: LITTLE ROCK, PULASKI County, ARKANSAS, 72206

State: Arkansas Government Spending

Plain-Language Summary

Department of Labor obligated $31.8 million to DEL-JEN, INC. for work described as: OPERATION OF LITTLE ROCK JC CENTER Key points: 1. Contract awarded to DEL-JEN, Inc. for $31.8 million. 2. Services fall under Facilities Support Services (NAICS 561210). 3. Contract duration is 1765 days. 4. Awarded under full and open competition. 5. No small business participation noted.

Value Assessment

Rating: fair

The contract type is Cost Plus Incentive Fee, which can lead to cost overruns if not managed carefully. The awarded amount of $31.8 million needs to be benchmarked against similar facilities support contracts to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the specific pricing strategies and how they were evaluated are not detailed, impacting the assessment of price discovery.

Taxpayer Impact: The $31.8 million awarded amount represents taxpayer investment. Ensuring cost efficiency and effective service delivery is crucial for maximizing taxpayer value.

Public Impact

Supports operations at the Little Rock Job Corps Center. Provides essential facilities support services. Contract duration spans over four years, indicating long-term service provision.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Facilities Support Services is a broad category encompassing maintenance, repair, and operational support for buildings and grounds. Spending in this sector can vary significantly based on the size and complexity of the facilities managed.

Small Business Impact

The data indicates no small business participation in this contract. This could be an opportunity missed for supporting small businesses, depending on the nature of the services required and the availability of qualified small business contractors.

Oversight & Accountability

Oversight would focus on ensuring DEL-JEN, Inc. meets performance standards and cost controls outlined in the Cost Plus Incentive Fee structure. Regular performance reviews and audits are key.

Related Government Programs

Risk Flags

Tags

facilities-support-services, department-of-labor, ar, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $31.8 million to DEL-JEN, INC.. OPERATION OF LITTLE ROCK JC CENTER

Who is the contractor on this award?

The obligated recipient is DEL-JEN, INC..

Which agency awarded this contract?

Awarding agency: Department of Labor (Employment and Training Administration).

What is the total obligated amount?

The obligated amount is $31.8 million.

What is the period of performance?

Start: 2003-12-01. End: 2008-09-30.

What is the benchmark cost for similar facilities support services at Job Corps centers?

Benchmarking the $31.8 million award against similar facilities support contracts at other Job Corps centers or comparable government facilities is essential. Without this data, it's difficult to definitively assess if the price paid represents good value for the services rendered. Factors like facility size, age, and specific service requirements would need to be considered in any comparative analysis.

What are the specific incentive metrics in the Cost Plus Incentive Fee structure?

Understanding the specific incentive metrics tied to the Cost Plus Incentive Fee (CPIF) structure is crucial for assessing risk and potential overruns. These metrics typically relate to cost savings, performance targets, or schedule adherence. If the incentives are not well-defined or are easily achievable, the government may not realize the intended cost efficiencies, increasing the risk of higher-than-expected expenditures.

How effectively were the services delivered under this contract?

Assessing the effectiveness of the services requires reviewing performance reports, user feedback from the Little Rock Job Corps Center, and any documented issues or commendations. The CPIF structure suggests performance is a key factor, but the actual impact on the center's operations and the quality of the facilities maintenance would need to be evaluated to determine true effectiveness.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: OPERATION OF GOVT OWNED FACILITYOPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE (V)

Contractor Details

Parent Company: Fluor Corporation (UEI: 006907190)

Address: 28441 HIGHRIDGE RD. STE 401, ROLLING HILLS ESTATES, CA, 90274

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

Financial Breakdown

Contract Ceiling: $31,784,843

Exercised Options: $31,784,843

Current Obligation: $31,784,843

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2003-12-01

Current End Date: 2008-09-30

Potential End Date: 2009-10-01 00:00:00

Last Modified: 2021-04-30

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