DOJ's $65.2M Contract for Louisiana Correctional Facility Operations with LCS Corrections Services, Inc
Contract Overview
Contract Amount: $65,235,488 ($65.2M)
Contractor: LCS Corrections Services, Inc.
Awarding Agency: Department of Justice
Start Date: 2007-10-14
End Date: 2017-09-30
Contract Duration: 3,639 days
Daily Burn Rate: $17.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIXED PRICE AWARD FEE
Sector: Other
Official Description: TAS 151060 - CONTRACTOR OWNED AND OPERATED EXISTING CORRECTIONAL FACILITY FOR APPROXIMATELY 1090 LOW SECURITY MALE INMATES.
Place of Performance
Location: PINE PRAIRIE, EVANGELINE County, LOUISIANA, 70576
Plain-Language Summary
Department of Justice obligated $65.2 million to LCS CORRECTIONS SERVICES, INC. for work described as: TAS 151060 - CONTRACTOR OWNED AND OPERATED EXISTING CORRECTIONAL FACILITY FOR APPROXIMATELY 1090 LOW SECURITY MALE INMATES. Key points: 1. The contract supports a 1090-bed low-security male inmate facility in Louisiana. 2. LCS Corrections Services, Inc. is the sole contractor for this facility. 3. The contract duration is over 9 years, indicating long-term reliance. 4. This spending falls under Facilities Support Services (NAICS 561210).
Value Assessment
Rating: fair
The contract's fixed-price award fee structure aims to control costs while incentivizing performance. However, without specific performance metrics and award fee details, a precise value assessment is difficult. Benchmarking against similar correctional facility management contracts would be beneficial.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government. The award fee component, however, can introduce variability.
Taxpayer Impact: Taxpayer funds are utilized for the operation and management of a federal correctional facility, ensuring housing and services for inmates.
Public Impact
Ensures the provision of essential correctional services and inmate management. Supports federal penal system capacity and operational requirements. Impacts local economy through employment and resource utilization in Louisiana. Contributes to public safety by managing incarcerated individuals.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if award fees are consistently high.
- Long-term contract duration may limit flexibility for future cost-saving measures.
- Reliance on a single contractor for critical correctional services.
Positive Signals
- Awarded through full and open competition.
- Fixed-price award fee structure provides some cost control.
- Supports federal mandate for inmate housing and management.
Sector Analysis
Facilities Support Services (NAICS 561210) encompass a broad range of services for maintaining and operating buildings and infrastructure. Spending in this sector can vary significantly based on the type and scale of facilities managed.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). Analysis of subcontracting opportunities for small businesses within this large facilities support contract would be necessary to assess their participation.
Oversight & Accountability
Oversight is likely managed by the Federal Prison System / Bureau of Prisons. The award fee structure suggests performance monitoring is in place, but the effectiveness of this oversight depends on the rigor of performance evaluations and compliance checks.
Related Government Programs
- Facilities Support Services
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Long contract duration may reduce flexibility.
- Potential for cost creep through award fees.
- Reliance on a single provider for essential services.
- Lack of detailed performance data makes value assessment difficult.
Tags
facilities-support-services, department-of-justice, la, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $65.2 million to LCS CORRECTIONS SERVICES, INC.. TAS 151060 - CONTRACTOR OWNED AND OPERATED EXISTING CORRECTIONAL FACILITY FOR APPROXIMATELY 1090 LOW SECURITY MALE INMATES.
Who is the contractor on this award?
The obligated recipient is LCS CORRECTIONS SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).
What is the total obligated amount?
The obligated amount is $65.2 million.
What is the period of performance?
Start: 2007-10-14. End: 2017-09-30.
What is the average cost per inmate per year for this facility, and how does it compare to national averages for similar low-security federal facilities?
Calculating the average cost per inmate requires dividing the total contract value by the number of inmates and the contract duration. For this contract, $65.2M over approximately 10 years for 1090 inmates yields roughly $5,985 per inmate per year. This figure needs to be benchmarked against industry data for similar facilities to determine if it represents good value or if there are opportunities for cost savings through renegotiation or competitive re-procurement.
What are the specific performance metrics tied to the award fee, and how consistently has LCS Corrections Services, Inc. met or exceeded these metrics?
The effectiveness of the award fee structure hinges on clearly defined, measurable performance standards related to safety, security, inmate well-being, and operational efficiency. Without access to these specific metrics and LCS's historical performance data against them, it's impossible to assess whether the award fees represent a justifiable incentive for superior service or an additional cost without commensurate benefit. This information is crucial for evaluating the contract's overall value and risk.
How does the government ensure ongoing cost-effectiveness and service quality in long-term correctional facility management contracts like this one?
Ongoing cost-effectiveness and quality are typically ensured through robust contract management, including regular performance reviews, audits, and market research to benchmark pricing. For long-term contracts, periodic re-competition or contract modifications based on performance and market conditions are vital. The Bureau of Prisons likely employs a team to monitor LCS's adherence to the contract terms, manage the award fee process, and identify any potential risks or opportunities for improvement.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: SOCIAL SERVICES › SOCIAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: RFPPCC0010
Offers Received: 5
Pricing Type: FIXED PRICE AWARD FEE (M)
Evaluated Preference: NONE
Contractor Details
Address: 147 EASY ST, LAFAYETTE, LA, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $65,235,488
Exercised Options: $65,235,488
Current Obligation: $65,235,488
Contract Characteristics
Multi-Year Contract: Yes
Timeline
Start Date: 2007-10-14
Current End Date: 2017-09-30
Potential End Date: 2017-09-30 00:00:00
Last Modified: 2008-10-20
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