Department of Labor's $52.5M Grafton Job Corps Center contract awarded to Adams and Associates Inc

Contract Overview

Contract Amount: $52,478,367 ($52.5M)

Contractor: Adams and Associates Inc

Awarding Agency: Department of Labor

Start Date: 2010-03-01

End Date: 2015-08-31

Contract Duration: 2,009 days

Daily Burn Rate: $26.1K/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 GRAAFTON JOB CORPS CENTER

Place of Performance

Location: NORTH GRAFTON, WORCESTER County, MASSACHUSETTS, 01536

State: Massachusetts Government Spending

Plain-Language Summary

Department of Labor obligated $52.5 million to ADAMS AND ASSOCIATES INC for work described as: OPERATION OF THE GRAAFTON JOB CORPS CENTER Key points: 1. The contract's value suggests a significant investment in vocational training and workforce development. 2. The use of a Cost Plus Incentive Fee (CPIF) contract type indicates a focus on performance-based outcomes. 3. The duration of the contract (over 5 years) points to a long-term commitment to the service provider. 4. The absence of small business set-asides warrants further investigation into subcontracting opportunities. 5. The contract's primary purpose is the operation of a Job Corps center, a key federal program for at-risk youth. 6. The North American Industry Classification System (NAICS) code 611519 suggests a broad scope of technical and trade school services.

Value Assessment

Rating: fair

Benchmarking the value of this contract requires comparison to other Job Corps center operations, which can vary significantly based on size, location, and services offered. The CPIF structure allows for cost savings to be shared, incentivizing efficiency. However, without specific performance metrics and cost breakdowns, a definitive value-for-money assessment is challenging. The contract's total value over its period suggests a substantial operational budget.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders likely had the opportunity to submit proposals. This competitive process is generally expected to yield fair pricing and encourage the selection of the most capable contractor. The number of bidders and the specific evaluation criteria would provide further insight into the robustness of the competition.

Taxpayer Impact: A full and open competition process is favorable for taxpayers as it promotes a competitive environment that can drive down costs and improve service quality.

Public Impact

The primary beneficiaries are at-risk youth and young adults who receive vocational training and educational services. The contract delivers operational services for the Grafton Job Corps Center, facilitating workforce development. The geographic impact is centered around the Grafton, Massachusetts area, providing local employment and training opportunities. Workforce implications include direct employment for the contractor's staff operating the center and indirect benefits through the training of future workers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of explicit small business participation or set-aside requirements could limit opportunities for smaller firms.
The CPIF contract type, while incentivizing, can lead to cost overruns if not carefully managed and monitored.
The broad NAICS code might encompass a wide range of services, potentially leading to scope creep if not clearly defined.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
The long contract duration indicates a stable operational environment and potential for sustained program impact.
The CPIF structure aligns contractor incentives with government objectives, potentially leading to cost efficiencies.

Sector Analysis

The operation of Job Corps centers falls within the broader education and training services sector, specifically technical and trade schools. This sector is crucial for addressing skills gaps and preparing individuals for employment in various industries. Federal spending in this area supports national workforce development initiatives. Comparable spending benchmarks would involve analyzing the operational costs of similar educational facilities and government-funded training programs.

Small Business Impact

The contract does not indicate any specific small business set-aside provisions. This suggests that small businesses would have had to compete on a level playing field with larger entities. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses by the prime contractor, Adams and Associates Inc., and the extent of their participation.

Oversight & Accountability

Oversight for this contract would typically reside within the Department of Labor's Office of the Assistant Secretary for Administration and Management, potentially involving program managers and contracting officers. Accountability measures are embedded in the CPIF contract type, which links contractor payment to performance. Transparency is generally facilitated through contract awards databases, though detailed performance reports may not always be publicly accessible.

Related Government Programs

Job Corps Program
Workforce Innovation and Opportunity Act (WIOA) Programs
Federal Job Training Programs
Vocational Education Contracts

Risk Flags

Potential for cost overruns under CPIF if not managed effectively.
Need for clear performance metrics to ensure value for taxpayer money.
Lack of explicit small business participation requires monitoring subcontracting.
Ensuring program effectiveness in achieving student training and placement goals.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $52.5 million to ADAMS AND ASSOCIATES INC. OPERATION OF THE GRAAFTON JOB CORPS CENTER

Who is the contractor on this award?

The obligated recipient is ADAMS AND ASSOCIATES INC.

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 $52.5 million.

What is the period of performance?

Start: 2010-03-01. End: 2015-08-31.

What is the track record of Adams and Associates Inc. in operating federal job training centers?

Adams and Associates Inc. has a history of operating federal contracts, including those related to job training and educational services. Their experience with the Job Corps program specifically would be a key indicator of their capability. A review of past performance evaluations, any contract disputes, or awards for similar services would provide a comprehensive understanding of their track record. Information on their success in meeting performance metrics, managing budgets, and ensuring student outcomes in previous roles would be crucial for assessing their reliability and effectiveness as a contractor for the Grafton Job Corps Center.

How does the cost structure of this contract compare to similar Job Corps center operations?

The Cost Plus Incentive Fee (CPIF) structure of this contract allows for shared savings if costs are below target, incentivizing efficiency. To compare its cost structure to similar operations, one would need data on the per-student cost, operational expenses per year, and the specific services provided at other Job Corps centers of comparable size and location. Without access to detailed cost breakdowns and performance data for other centers, a direct comparison is difficult. However, the total award of $52.5 million over approximately five years suggests a significant investment, and the CPIF element implies a focus on achieving cost efficiencies relative to performance targets.

What are the primary performance metrics and risk indicators associated with this contract?

Key performance metrics for a Job Corps center contract typically include student enrollment and retention rates, completion of training programs, job placement rates for graduates, and post-placement employment retention. Risk indicators might include high student attrition, low job placement success, cost overruns, or failure to meet programmatic goals. The CPIF contract type itself suggests that performance is a critical factor, with incentives tied to achieving specific outcomes. The Department of Labor would monitor these metrics closely to assess the contractor's performance and manage associated risks.

What is the historical spending pattern for the operation of the Grafton Job Corps Center?

Historical spending data for the Grafton Job Corps Center prior to this contract award would provide context for the $52.5 million figure. Analyzing previous contract values, durations, and any modifications or task orders issued would reveal trends in federal investment. Understanding if spending has increased, decreased, or remained stable over time can indicate changes in program scope, operational costs, or the competitive landscape. Without specific historical data, it's challenging to ascertain if this award represents a significant shift in federal investment for this particular center.

What is the expected impact of this contract on local workforce development and employment in Massachusetts?

This contract is expected to have a positive impact on local workforce development by providing vocational training and educational opportunities to individuals in the Grafton, Massachusetts area. The operation of the Job Corps center directly creates jobs for the contractor's staff. Indirectly, it aims to equip participants with skills that enhance their employability, potentially leading to increased local employment and economic activity. The success of the program in placing graduates into meaningful employment will be a key measure of its impact on the regional workforce.

Industry Classification

NAICS: Educational Services › Technical and Trade Schools › Other Technical and Trade Schools

Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DOLJ08RFP00007

Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Address: 10395 DOUBLE R BLVD, RENO, NV, 89521

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

Financial Breakdown

Contract Ceiling: $99,648,737

Exercised Options: $70,797,772

Current Obligation: $52,478,367

Actual Outlays: $-523

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline