Department of Labor awards $46.5M contract for Joliet Job Corps Center operations to Adams and Associates Inc

Contract Overview

Contract Amount: $46,460,883 ($46.5M)

Contractor: Adams and Associates Inc

Awarding Agency: Department of Labor

Start Date: 2008-10-01

End Date: 2010-09-30

Contract Duration: 729 days

Daily Burn Rate: $63.7K/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 JOLIET JOB CORPS CENTER IN JOLIET, IL

Place of Performance

Location: JOLIET, WILL County, ILLINOIS, 60433

State: Illinois Government Spending

Plain-Language Summary

Department of Labor obligated $46.5 million to ADAMS AND ASSOCIATES INC for work described as: OPERATION OF THE JOLIET JOB CORPS CENTER IN JOLIET, IL Key points: 1. Contract awarded via full and open competition, suggesting a robust market for these services. 2. The contract duration of 729 days indicates a significant operational commitment. 3. The use of a Cost Plus Incentive Fee (CPIF) pricing structure suggests a focus on performance and cost control. 4. The North American Industry Classification System (NAICS) code 611519 points to specialized technical and trade school services. 5. The contract's value of $46.5M positions it as a substantial investment in workforce development. 6. The award to Adams and Associates Inc. highlights their role in managing critical educational facilities.

Value Assessment

Rating: fair

Benchmarking the value of this contract requires comparison to similar Job Corps center operations. The Cost Plus Incentive Fee structure aims to balance cost efficiency with service quality, but its effectiveness depends on the specific incentive metrics and oversight. Without detailed performance data or comparable contract values, a definitive value-for-money assessment is challenging. However, the scale of the award suggests a significant investment in providing vocational training and support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that multiple vendors were likely invited to bid. This process generally fosters price discovery and allows the government to select the most advantageous offer based on a combination of price and technical merit. The number of bidders is not specified, but the open competition suggests a healthy market for managing Job Corps centers.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it is expected to drive down costs through market forces and encourage a wider range of innovative solutions.

Public Impact

The primary beneficiaries are students seeking vocational training and employment opportunities at the Joliet Job Corps Center. The contract ensures the continued operation and delivery of educational and support services for disadvantaged youth. The geographic impact is focused on Joliet, Illinois, providing local economic benefits through employment and services. Workforce implications include the direct employment of staff to run the center and indirect benefits to the local economy through student spending and program activities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics and outcomes data makes it difficult to assess the true impact and efficiency of the center's operations.
The Cost Plus Incentive Fee structure, while designed for efficiency, can lead to cost overruns if not carefully managed and monitored.
The long-term sustainability and effectiveness of the Job Corps program itself can be subject to federal budget fluctuations and policy changes.

Positive Signals

The award through full and open competition suggests a competitive process that likely yielded a fair price.
The contract's duration indicates a stable commitment to providing essential workforce development services.
The focus on a specific geographic location like Joliet, IL, allows for tailored support to the local community's needs.

Sector Analysis

The Job Corps program falls under the broader education and workforce development sector, specifically within vocational training and technical schools. This contract represents a significant portion of federal spending dedicated to operating such centers, which aim to equip young people with skills for in-demand jobs. Comparable spending benchmarks would involve looking at other Job Corps center contracts and similar federal workforce training initiatives.

Small Business Impact

The provided data does not indicate whether small businesses were specifically targeted or subcontracted for this contract. Full and open competition does not preclude small business participation, but it also does not guarantee it. Further analysis would be needed to determine the extent of small business involvement and its impact on the small business ecosystem.

Oversight & Accountability

Oversight of this contract would typically fall under the Department of Labor's Office of the Assistant Secretary for Administration and Management. Accountability measures would be tied to the performance metrics within the Cost Plus Incentive Fee structure. Transparency is generally facilitated through contract award databases, though detailed operational reports may not always be publicly accessible.

Related Government Programs

Job Corps Program
Workforce Innovation and Opportunity Act (WIOA) Programs
Federal Job Training Programs
Department of Labor Contracts

Risk Flags

Potential for cost overruns in CPIF contracts if not managed closely.
Dependence on federal appropriations for program continuity.
Need for robust performance monitoring to ensure value for taxpayer money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $46.5 million to ADAMS AND ASSOCIATES INC. OPERATION OF THE JOLIET JOB CORPS CENTER IN JOLIET, IL

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 $46.5 million.

What is the period of performance?

Start: 2008-10-01. End: 2010-09-30.

What is the historical spending trend for the Joliet Job Corps Center operations?

Analyzing historical spending for the Joliet Job Corps Center operations requires access to prior contract awards for this specific facility. The current award of $46,460,883 covers a period from October 1, 2008, to September 30, 2010. To understand spending trends, one would need to examine contracts preceding and potentially following this period, noting any significant increases or decreases in contract value, which could be influenced by inflation, program expansion or contraction, or changes in service requirements. Without this historical data, it's difficult to establish a clear spending trajectory.

How does the per-student cost of this contract compare to other Job Corps centers?

To compare the per-student cost, we would need the total number of students served by the Joliet Job Corps Center under this contract and the total contract value. The contract value is approximately $46.5 million over two years. If, for example, the center served an average of 1,000 students annually, the per-student cost would be around $23,250 per year ($46.5M / 2 years / 1,000 students). Benchmarking this against other Job Corps centers requires accessing similar data for comparable facilities. Factors like the intensity of training, support services provided, and local cost of living can influence per-student costs, making direct comparisons complex without standardization.

What are the specific performance metrics tied to the incentive fee in this CPIF contract?

The provided data indicates the contract type is 'COST PLUS INCENTIVE FEE' (CPIF), but it does not detail the specific performance metrics or targets used to determine the incentive fee. Typically, CPIF contracts link a portion of the contractor's profit to achieving certain performance goals, which could include student completion rates, job placement success, cost savings, or adherence to schedules. The effectiveness of the incentive fee relies heavily on the clarity, measurability, and attainability of these metrics, as well as the rigor of the government's oversight in tracking performance against them.

What is Adams and Associates Inc.'s track record in managing federal contracts, particularly Job Corps centers?

Adams and Associates Inc. is identified as the contractor for the Joliet Job Corps Center. To assess their track record, one would need to investigate their history with federal contracts, specifically within the Department of Labor and the Job Corps program. This would involve reviewing past contract performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any past performance issues or awards, and the duration and scope of their previous management of Job Corps centers or similar educational/vocational facilities. A strong track record would suggest reliability and competence in managing such complex operations.

What is the potential impact of this contract on the local workforce in Joliet, Illinois?

This contract directly impacts the local workforce in Joliet, Illinois, by creating jobs for the staff required to operate the Job Corps center. These positions could range from instructors and counselors to administrative and support personnel. Indirectly, the contract benefits the local economy by providing vocational training to local youth, enhancing their employability and potentially leading to increased local employment. Furthermore, the center's operations may generate demand for local goods and services, further stimulating the Joliet economy.

How does the $46.5M award compare to the overall federal budget for Job Corps or workforce development?

The $46.5 million award for the Joliet Job Corps Center operations represents a specific allocation within the broader federal budget for the Job Corps program and overall workforce development initiatives. The Job Corps program itself receives significant annual appropriations from Congress, often in the hundreds of millions of dollars, to fund numerous centers nationwide. This single contract, while substantial, is one component of a larger federal investment aimed at improving the skills and employment prospects of young Americans. Comparing it to the total Job Corps budget would provide context on its relative size and importance within the program.

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: DOLJ09RA00019

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, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $225,776,171

Exercised Options: $222,109,953

Current Obligation: $46,460,883

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline