Department of Labor awards $45M contract to MINACT, INC for Job Corps Center operations in Minnesota

Contract Overview

Contract Amount: $45,070,167 ($45.1M)

Contractor: Minact, Inc

Awarding Agency: Department of Labor

Start Date: 2009-02-01

End Date: 2015-01-31

Contract Duration: 2,190 days

Daily Burn Rate: $20.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Other

Official Description: OPERATION OF THE HUBERT H. HUMPHREY JOB CORPS CENTER IN ST. PAUL, MINNESOTA

Place of Performance

Location: SAINT PAUL, RAMSEY County, MINNESOTA, 55108

State: Minnesota Government Spending

Plain-Language Summary

Department of Labor obligated $45.1 million to MINACT, INC for work described as: OPERATION OF THE HUBERT H. HUMPHREY JOB CORPS CENTER IN ST. PAUL, MINNESOTA Key points: 1. Contract awarded to MINACT, INC for operation of the Hubert H. Humphrey Job Corps Center. 2. The contract type is Cost Plus Incentive Fee, suggesting performance-based incentives. 3. Full and open competition was utilized, indicating a competitive bidding process. 4. The contract duration is 2190 days, spanning over six years. 5. The NAICS code 611519 points to 'Other Technical and Trade Schools'.

Value Assessment

Rating: fair

The contract value of $45,070,167.13 over approximately six years suggests an average annual value of around $7.5 million. Benchmarking this against similar contracts for operating educational or training centers would be necessary for a precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically allows for the widest possible range of bidders and promotes price discovery. This method is generally expected to yield competitive pricing.

Taxpayer Impact: Taxpayer funds are utilized for the operation of the Job Corps Center, providing vocational training and employment services. The effectiveness of the program in achieving its goals will determine the ultimate value for taxpayers.

Public Impact

Provides vocational training and employment services to youth. Supports economic development in St. Paul, Minnesota. Operates under the Department of Labor's Employment and Training Administration. The contract aims to improve job prospects for participants.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in provided data.
Cost Plus Incentive Fee contracts can sometimes lead to cost overruns if not managed carefully.
No indication of small business participation.

Positive Signals

Awarded through full and open competition.
Long-term contract provides stability for operations.
Focus on job training and employment services.

Sector Analysis

The sector involves educational services, specifically technical and trade schools. Spending in this area by the Department of Labor aims to equip individuals with skills for the workforce. Benchmarks would typically compare costs per student or per program outcome.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a factor in this contract award. Further analysis would be needed to determine if opportunities for small businesses were overlooked or if the nature of the service made them unsuitable.

Oversight & Accountability

The Department of Labor, through its Employment and Training Administration, is responsible for overseeing this contract. Accountability would be measured by the achievement of program goals, participant outcomes, and adherence to contract terms.

Related Government Programs

Other Technical and Trade Schools
Department of Labor Contracting
Employment and Training Administration Programs

Risk Flags

Potential for cost overruns with CPIF contract type.
Lack of specific performance metrics in the data.
No indication of small business utilization.
Need for benchmarking against similar service contracts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $45.1 million to MINACT, INC. OPERATION OF THE HUBERT H. HUMPHREY JOB CORPS CENTER IN ST. PAUL, MINNESOTA

Who is the contractor on this award?

The obligated recipient is MINACT, INC.

Which agency awarded this contract?

Awarding agency: Department of Labor (Employment and Training Administration).

What is the total obligated amount?

The obligated amount is $45.1 million.

What is the period of performance?

Start: 2009-02-01. End: 2015-01-31.

What are the key performance indicators (KPIs) for this contract, and how is MINACT, INC's performance measured against them?

The provided data does not specify the key performance indicators (KPIs) for this contract. Typically, for Job Corps center operations, KPIs would include student enrollment rates, completion rates, job placement rates, and starting wages of graduates. Performance is usually measured through regular reporting by the contractor and periodic reviews by the Department of Labor contracting officer's representative (COR).

What is the historical cost performance of MINACT, INC on similar contracts, and does it indicate a risk of cost overruns?

Historical cost performance data for MINACT, INC on similar contracts is not available in the provided information. While Cost Plus Incentive Fee (CPIF) contracts have mechanisms to control costs through incentives, they can still pose a risk of overruns if the baseline cost estimates are inaccurate or if unforeseen issues arise during performance. A review of past contract performance would be crucial for a thorough risk assessment.

How effectively does the Hubert H. Humphrey Job Corps Center, operated by MINACT, INC, prepare participants for successful employment in the current job market?

The effectiveness of the Hubert H. Humphrey Job Corps Center in preparing participants for employment is not detailed in the provided contract data. Effectiveness would be assessed through metrics such as job placement rates, the types of industries participants are placed in, and their long-term career success. The Department of Labor's oversight and participant feedback would be key sources for evaluating this aspect.

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: DOLJ09RA00021

Offers Received: 3

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Address: 5220 KEELE ST, JACKSON, MS, 39206

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

Financial Breakdown

Contract Ceiling: $130,436,112

Exercised Options: $124,060,265

Current Obligation: $45,070,167

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline