Department of Labor's $12.2M Job Corps training contract awarded to Coffey Consulting, LLC

Contract Overview

Contract Amount: $12,214,140 ($12.2M)

Contractor: Coffey Consulting, LLC

Awarding Agency: Department of Labor

Start Date: 2005-04-12

End Date: 2010-05-11

Contract Duration: 1,855 days

Daily Burn Rate: $6.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: JOB CORPS STUDENT AND STAFF TRAINING SUPPORT

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20814

State: Maryland Government Spending

Plain-Language Summary

Department of Labor obligated $12.2 million to COFFEY CONSULTING, LLC for work described as: JOB CORPS STUDENT AND STAFF TRAINING SUPPORT Key points: 1. Contract awarded through full and open competition, indicating a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 3. The contract duration of 1855 days (over 5 years) suggests a long-term need for these services. 4. The contractor, Coffey Consulting, LLC, has secured this significant award, implying a level of trust and capability. 5. The North American Industry Classification System (NAICS) code 541611 points to administrative management and general management consulting services. 6. The contract was awarded by the Office of the Assistant Secretary for Administration and Management, suggesting internal operational support.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific performance metrics or comparable contract data. The Cost Plus Fixed Fee (CPFF) structure means the government pays the contractor's costs plus a fixed fee, which can sometimes incentivize higher spending if cost controls are not robust. However, the fixed fee component provides some predictability for the contractor's profit. The total award amount of $12.2 million over approximately five years suggests a moderate investment in training support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which is a complex procurement method. It implies that while the competition was intended to be open, certain sources may have been excluded for specific reasons, possibly related to prior performance or specialized capabilities. Six bidders participated, indicating a reasonable level of competition. The exclusion of sources, however, warrants further investigation to ensure it did not unduly limit competition or impact price discovery.

Taxpayer Impact: The inclusion of multiple bidders, even with exclusions, generally benefits taxpayers by fostering competitive pricing. However, the specific reasons for excluding sources could potentially lead to a less competitive outcome than a truly unrestricted full and open competition.

Public Impact

Job Corps students and staff will benefit from enhanced training and support services. The services delivered are administrative management and general management consulting, aimed at improving operational efficiency. The contract is managed by the Department of Labor, indicating a focus on federal workforce development and support. The contract's duration suggests a sustained effort to improve training programs and administrative functions within the Job Corps program.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Cost Plus Fixed Fee' contract type can lead to higher costs if not closely monitored for efficiency.
The 'Exclusion of Sources' clause in the competition method requires scrutiny to ensure fair market access.
Lack of specific performance metrics makes it difficult to assess the true value and effectiveness of the services provided.

Positive Signals

Awarded through a competitive process with six bidders, suggesting a degree of market interest and vetting.
The long contract duration (over 5 years) indicates a stable, long-term need for the services, potentially leading to contractor expertise.
The contract is managed by a significant federal agency (Department of Labor), implying adherence to established procurement and oversight standards.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically management consulting. The federal government is a significant consumer of these services to improve efficiency, implement new policies, and manage complex programs. Comparable spending benchmarks would typically involve analyzing other contracts for similar management and administrative support services across various federal agencies, considering factors like contract duration, scope of work, and contractor size.

Small Business Impact

The contract details do not indicate any specific small business set-aside provisions (ss: false, sb: false). This suggests that the primary competition was not geared towards small businesses. There is no explicit information on subcontracting plans for small businesses, which could be a missed opportunity to engage the small business ecosystem in supporting this federal requirement.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Labor's Office of the Assistant Secretary for Administration and Management. As a Cost Plus Fixed Fee contract, rigorous financial oversight and performance monitoring are crucial to ensure costs remain reasonable and the fixed fee is justified by delivered value. Transparency would be enhanced by public reporting of performance reviews and any modifications to the contract. The Inspector General for the Department of Labor would likely have jurisdiction for audits and investigations if any issues arise.

Related Government Programs

Job Corps Program Administration
Federal Workforce Training and Development
Management and Consulting Services Contracts
Department of Labor Administrative Support

Risk Flags

Cost Plus Fixed Fee contract type requires diligent oversight to manage potential cost overruns.
The 'Exclusion of Sources' in the procurement method warrants review to ensure competition was not unduly limited.
Lack of readily available performance metrics makes objective assessment of value-for-money challenging.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $12.2 million to COFFEY CONSULTING, LLC. JOB CORPS STUDENT AND STAFF TRAINING SUPPORT

Who is the contractor on this award?

The obligated recipient is COFFEY CONSULTING, LLC.

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 $12.2 million.

What is the period of performance?

Start: 2005-04-12. End: 2010-05-11.

What is the track record of Coffey Consulting, LLC with federal contracts, particularly with the Department of Labor?

Information on Coffey Consulting, LLC's specific track record with federal contracts, especially with the Department of Labor, is not detailed in the provided data. However, securing a definitive contract valued at over $12 million suggests they have successfully navigated the federal procurement process and demonstrated capabilities relevant to the contract's scope. A deeper dive into contract databases like FPDS-NG or SAM.gov would be necessary to analyze their past performance, contract types, award values, and any reported issues or successes on previous federal engagements. Understanding their history with similar training support or administrative consulting services would provide further insight into their suitability for this role.

How does the $12.2 million contract value compare to similar training support contracts within the Department of Labor or other federal agencies?

Without specific details on the scope and duration of comparable contracts, a direct comparison of the $12.2 million value is difficult. However, this figure represents a significant investment over a five-year period (approximately $2.44 million per year). For context, federal spending on management and administrative consulting services can range widely, from smaller task orders to multi-billion dollar indefinite-delivery, indefinite-quantity (IDIQ) contracts. To assess value, one would need to compare this contract's cost per year, per service provided, or per trainee supported against similar contracts. The 'Cost Plus Fixed Fee' structure also means the final cost could fluctuate based on actual expenses incurred.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for training support?

The primary risk with a CPFF contract is the potential for cost escalation. While the contractor's profit (the fixed fee) is predetermined, the government bears the risk of covering all allowable costs. If the contractor is not efficient or if unforeseen circumstances drive up expenses, the total cost to the government can exceed initial estimates. Effective oversight is critical to mitigate this risk, ensuring that all costs incurred are reasonable, allocable, and necessary for performing the contract. For training support, risks could include inflated travel expenses, excessive labor hours billed, or inefficient resource utilization, all of which would increase the government's payout without necessarily improving the quality or quantity of training.

How effective is the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method in ensuring optimal value for taxpayers?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method aims to balance broad competition with specific needs or limitations. While it starts with the intent of full and open competition, the subsequent exclusion of sources can limit the pool of potential offerors. The effectiveness in ensuring optimal value for taxpayers depends heavily on the justification for excluding sources. If exclusions are well-founded (e.g., based on past performance issues or unique, essential capabilities), it might lead to a more focused competition among qualified vendors, potentially yielding good value. However, if exclusions are arbitrary or overly broad, they can stifle competition, potentially leading to higher prices and reduced innovation, thus diminishing taxpayer value.

What are the historical spending patterns for administrative management and general management consulting services by the Department of Labor?

Analyzing historical spending patterns for administrative management and general management consulting services by the Department of Labor would require access to historical federal procurement data. Generally, agencies like the DOL utilize such services to support program management, policy implementation, organizational efficiency, and IT modernization. Spending in this category can fluctuate based on agency priorities, budget allocations, and the initiation of new programs or reforms. A review of past fiscal years would reveal trends, identify major contract vehicles, and highlight key contractors, providing context for the current $12.2 million award to Coffey Consulting, LLC.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: TWO STEP

Solicitation ID: DOL041RP00031

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4720 MONTGOMERY LANE, SUITE 1050, BETHESDA, MD, 20814

Business Categories: Black American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $12,214,142

Exercised Options: $12,214,142

Current Obligation: $12,214,140

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline