Department of Labor's $30.6M Job Corps masonry training contract awarded to International Masonry Institute

Contract Overview

Contract Amount: $30,658,686 ($30.7M)

Contractor: International Masonry Institute

Awarding Agency: Department of Labor

Start Date: 2008-01-01

End Date: 2013-05-31

Contract Duration: 1,977 days

Daily Burn Rate: $15.5K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: JOB CORPS NATIONAL TRANING CONTRACT TO TRAIN JC STUDENTS ACROSS THE NATION IN MASONRY AND ALLIED TRADES.

Place of Performance

Location: ANNAPOLIS, ANNE ARUNDEL County, MARYLAND, 21401

State: Maryland Government Spending

Plain-Language Summary

Department of Labor obligated $30.7 million to INTERNATIONAL MASONRY INSTITUTE for work described as: JOB CORPS NATIONAL TRANING CONTRACT TO TRAIN JC STUDENTS ACROSS THE NATION IN MASONRY AND ALLIED TRADES. Key points: 1. Contract awarded on a sole-source basis, limiting potential cost savings from competition. 2. The contract's cost-plus-fixed-fee structure may incentivize cost increases. 3. Long contract duration of over 5 years suggests a need for robust performance monitoring. 4. The specific vocational training focus on masonry and allied trades addresses a niche skill gap. 5. Awarded to a single contractor, raising questions about market responsiveness and alternative providers. 6. Lack of competition could impact the overall value for money achieved.

Value Assessment

Rating: fair

The contract's total value of $30.6 million over approximately 5 years averages to about $6.1 million annually. Without comparable sole-source contracts for similar vocational training programs, it is difficult to benchmark the value for money. The cost-plus-fixed-fee (CPFF) pricing structure, while allowing for flexibility, can sometimes lead to higher costs compared to fixed-price contracts if not managed carefully. The absence of competition further complicates a precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed and was awarded on a sole-source basis to the International Masonry Institute. This means that other qualified organizations were not given the opportunity to bid on providing these essential training services. The lack of competition limits the government's ability to leverage market forces to secure the best possible pricing and service delivery.

Taxpayer Impact: Taxpayers may not be receiving the most cost-effective training solution due to the absence of competitive bidding, potentially leading to higher overall program costs.

Public Impact

Job Corps students nationwide benefit from specialized training in masonry and allied trades. The program aims to equip students with in-demand vocational skills for employment. Geographic impact is national, serving students across various Job Corps centers. Workforce implications include the development of skilled tradespeople for the construction industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price discovery and potential savings.
Cost-plus-fixed-fee structure may not incentivize cost efficiency.
Long contract duration requires diligent oversight to ensure performance.
Lack of competition could indicate limited market availability or a strategic choice to use a specific provider.

Positive Signals

Addresses a specific, critical need for skilled trades training.
Potential for deep expertise from a specialized contractor.
National reach ensures broad access to training opportunities.

Sector Analysis

This contract falls within the broader education and workforce development sector, specifically focusing on vocational training for skilled trades. The construction and skilled trades sector is a significant part of the economy, and programs like Job Corps play a vital role in supplying a qualified workforce. Benchmarking this contract's value is challenging without direct comparisons to similar large-scale, sole-source vocational training initiatives.

Small Business Impact

The contract details do not indicate any specific small business set-aside provisions or subcontracting requirements. As a sole-source award, the primary contractor, International Masonry Institute, is responsible for delivering the services. There is no explicit information suggesting a direct impact on the small business ecosystem through this particular contract's structure.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Labor's Office of Job Corps. As a sole-source award, there is an increased emphasis on performance monitoring and ensuring the contractor meets all contractual obligations. Transparency regarding the justification for the sole-source award and ongoing performance metrics would be key accountability measures. Inspector General jurisdiction would apply to any potential fraud, waste, or abuse.

Related Government Programs

Job Corps Program
Vocational Training Grants
Skilled Trades Development Programs
Department of Labor Workforce Initiatives

Risk Flags

Sole-source award lacks competitive justification.
Cost-plus-fixed-fee pricing may lead to cost overruns.
Limited transparency on performance metrics for sole-source contracts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $30.7 million to INTERNATIONAL MASONRY INSTITUTE. JOB CORPS NATIONAL TRANING CONTRACT TO TRAIN JC STUDENTS ACROSS THE NATION IN MASONRY AND ALLIED TRADES.

Who is the contractor on this award?

The obligated recipient is INTERNATIONAL MASONRY INSTITUTE.

Which agency awarded this contract?

Awarding agency: Department of Labor (Office of Job Corps).

What is the total obligated amount?

The obligated amount is $30.7 million.

What is the period of performance?

Start: 2008-01-01. End: 2013-05-31.

What is the justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT COMPETED'. A formal justification for a sole-source award is typically required by federal procurement regulations (like FAR 6.302). This justification would need to demonstrate why full and open competition was not feasible or not in the government's best interest. Common reasons include the existence of only one responsible source, an urgent and compelling need, or a specific national defense requirement. Without the official justification document, the precise rationale remains unknown, but it is a critical piece of information for assessing the procurement's integrity and value.

How does the cost-plus-fixed-fee (CPFF) structure compare to other contract types for vocational training?

Cost-plus-fixed-fee (CPFF) contracts reimburse the contractor for allowable costs plus a fixed fee representing profit. This structure is often used when the scope of work is not precisely defined or when there is uncertainty in the costs. For vocational training, fixed-price contracts might offer better cost certainty if the curriculum and delivery methods are well-established. However, CPFF can be advantageous if the training needs to adapt to evolving industry standards or student requirements, allowing for flexibility. The key risk with CPFF is ensuring robust cost monitoring by the government to prevent unnecessary expenditures, as the contractor has less incentive to control costs compared to a fixed-price arrangement.

What is the historical spending pattern for Job Corps masonry training?

The provided data shows this specific contract, valued at $30.6 million, ran from January 1, 2008, to May 31, 2013, with a duration of 1977 days (approximately 5.4 years). This suggests a significant, long-term investment in masonry training. Without access to historical procurement data for Job Corps prior to this contract or for other trades, it's difficult to establish a precise spending pattern. However, the substantial value and duration indicate that masonry and allied trades are considered a priority area for Job Corps training initiatives, likely reflecting industry demand for these skills.

What performance metrics are typically used to evaluate vocational training contracts like this?

Performance metrics for vocational training contracts typically focus on student outcomes and program efficiency. Key metrics often include student completion rates, graduation rates, job placement rates (percentage of graduates employed in their trained field), starting wages of graduates, and employer satisfaction. For masonry and allied trades, specific metrics might also include the attainment of industry-recognized certifications. The Department of Labor, through its Office of Job Corps, would be responsible for establishing and monitoring these metrics to ensure the contractor is delivering effective training and achieving the program's goals.

Are there other federal agencies or programs that fund similar masonry training?

Yes, other federal agencies and programs may fund similar masonry and skilled trades training, although perhaps not under the exact 'Job Corps' umbrella. The Department of Labor itself funds numerous workforce development programs. The Department of Veterans Affairs (VA) offers vocational rehabilitation and training for veterans. The Department of Defense (DoD) may have internal training programs for its personnel. Additionally, grants through the Department of Education or initiatives managed by agencies like the National Science Foundation (NSF) could potentially support aspects of skilled trades education. However, the scale and specific focus of this $30.6M Job Corps contract are unique to its purpose within that program.

Industry Classification

NAICS: Health Care and Social Assistance › Vocational Rehabilitation Services › Vocational Rehabilitation Services

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DOL079R920444

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 42 EAST ST, ANNAPOLIS, MD, 21401

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

Financial Breakdown

Contract Ceiling: $163,888,358

Exercised Options: $160,220,552

Current Obligation: $30,658,686

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline