Department of Labor awards $35.3M contract to Career Systems Development Corp for Cassadaga Job Corps Center operations

Contract Overview

Contract Amount: $35,352,193 ($35.4M)

Contractor: Career Systems Development Corporation

Awarding Agency: Department of Labor

Start Date: 2006-06-28

End Date: 2009-07-31

Contract Duration: 1,129 days

Daily Burn Rate: $31.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Other

Official Description: OPERATION OF THE CASSADGA JOB CORPS CENTER

Place of Performance

Location: CASSADAGA, CHAUTAUQUA County, NEW YORK, 14718

State: New York Government Spending

Plain-Language Summary

Department of Labor obligated $35.4 million to CAREER SYSTEMS DEVELOPMENT CORPORATION for work described as: OPERATION OF THE CASSADGA JOB CORPS CENTER Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Incentive Fee (CPIF), which can incentivize cost savings. 3. The duration of 1129 days indicates a significant, long-term operational commitment. 4. No small business participation is noted, which could be a missed opportunity for economic development.

Value Assessment

Rating: fair

The contract value of $35.3M over approximately three years averages to about $11.7M annually. Benchmarking this 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 under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds were likely used efficiently, though the CPIF structure requires monitoring to ensure cost control.

Public Impact

Provides essential job training and career services to individuals in New York. Supports local employment through the operation of the Cassadaga Job Corps Center. Impacts the effectiveness of federal workforce development programs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Department of Labor's investment in job training centers falls under the broader education and workforce development sector. Benchmarks for similar vocational training contracts would provide context for this $35.3M award.

Small Business Impact

The contract data indicates that small businesses were not involved in this award (ss: false, sb: false). This suggests that the prime contractor is likely a larger entity, and opportunities for subcontracting with small businesses were either not pursued or not required.

Oversight & Accountability

The contract was awarded by the Department of Labor's Employment and Training Administration. Oversight would focus on ensuring the contractor meets performance standards and manages costs effectively under the CPIF structure.

Related Government Programs

Risk Flags

Tags

other-technical-and-trade-schools, department-of-labor, ny, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $35.4 million to CAREER SYSTEMS DEVELOPMENT CORPORATION. OPERATION OF THE CASSADGA JOB CORPS CENTER

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 (Employment and Training Administration).

What is the total obligated amount?

The obligated amount is $35.4 million.

What is the period of performance?

Start: 2006-06-28. End: 2009-07-31.

What is the historical performance of Career Systems Development Corporation in operating Job Corps centers?

Assessing the contractor's past performance is crucial for understanding their capability to deliver on this contract. Reviewing previous contracts, client feedback, and any documented performance issues or successes would provide insight into their reliability and effectiveness in managing similar educational and vocational programs.

How does the cost-plus-incentive-fee structure compare to other contract types for similar services?

CPIF contracts aim to share risks and rewards between the government and contractor, incentivizing cost control and performance. However, they can be complex to administer and require robust oversight to prevent cost overruns. Comparing this to fixed-price or other cost-reimbursement contracts for similar services would reveal if this structure is optimal for achieving value and managing taxpayer funds.

What are the specific performance metrics and incentives tied to this contract?

Understanding the key performance indicators (KPIs) and the associated incentive fees is vital for evaluating the contract's effectiveness. This includes knowing what outcomes the Department of Labor expects (e.g., job placement rates, training completion) and how the contractor is financially motivated to achieve them, ensuring alignment with program goals.

Industry Classification

NAICS: Educational ServicesTechnical and Trade SchoolsOther Technical and Trade Schools

Product/Service Code: EDUCATION AND TRAININGEDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Parent Company: OWL Companies (UEI: 044437796)

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

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

Financial Breakdown

Contract Ceiling: $35,352,193

Exercised Options: $35,352,193

Current Obligation: $35,352,193

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2006-06-28

Current End Date: 2009-07-31

Potential End Date: 2010-07-31 00:00:00

Last Modified: 2020-04-24

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