Department of Labor awards $49.1M contract for Whitney Young Job Corps Center operations to ODLE Management Group

Contract Overview

Contract Amount: $49,113,387 ($49.1M)

Contractor: Odle Management Group, L.L.C.

Awarding Agency: Department of Labor

Start Date: 2010-10-08

End Date: 2016-05-31

Contract Duration: 2,062 days

Daily Burn Rate: $23.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Other

Official Description: CONTRACT AWARD FOR THE OPERATION OF THE WHITNEY YOUNG JOB CORPS CENTER IN SIMPSONVILLE, KENTUCKY. CONTRACT HAS A POTENTIAL OF 3 OPTION YEARS. TOTAL POTENTIAL CONTRACT LENGTH IS 5 YEARS.

Place of Performance

Location: SIMPSONVILLE, SHELBY County, KENTUCKY, 40067

State: Kentucky Government Spending

Plain-Language Summary

Department of Labor obligated $49.1 million to ODLE MANAGEMENT GROUP, L.L.C. for work described as: CONTRACT AWARD FOR THE OPERATION OF THE WHITNEY YOUNG JOB CORPS CENTER IN SIMPSONVILLE, KENTUCKY. CONTRACT HAS A POTENTIAL OF 3 OPTION YEARS. TOTAL POTENTIAL CONTRACT LENGTH IS 5 YEARS. Key points: 1. The contract spans 5 years, including 3 option years, indicating a long-term need for these services. 2. ODLE Management Group, L.L.C. secured this award through full and open competition after exclusion of sources. 3. The contract type is Cost Plus Incentive Fee (CPIF), which can incentivize cost savings but also carries inherent risk. 4. The sector is 'Other Technical and Trade Schools', highlighting investment in vocational training and workforce development.

Value Assessment

Rating: fair

The contract's total potential value is $49.1 million over 5 years. Benchmarking this against similar Job Corps center operations would be necessary to fully assess pricing reasonableness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using 'Full and Open Competition After Exclusion of Sources'. While competition was sought, the 'exclusion of sources' aspect warrants further investigation to understand its impact on price discovery.

Taxpayer Impact: Taxpayer funds are being utilized for workforce development programs, aiming to provide job training and employment opportunities.

Public Impact

Supports workforce development and job training for individuals in Kentucky. Ensures continued operation of a critical educational facility. Potential for long-term employment and skill enhancement for participants. Government investment in vocational education infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

CPIF contract type can lead to cost overruns if not managed carefully.
Potential for 'exclusion of sources' to limit competition and impact price.
Long contract duration may not adapt well to changing training needs.

Positive Signals

Supports a vital government program for workforce development.
Awarded through a competitive process.
Potential for cost efficiencies through incentive fee structure.

Sector Analysis

This contract falls within the 'Other Technical and Trade Schools' sector, specifically related to the operation of Job Corps centers. Spending in this area supports federal initiatives for vocational training and workforce development.

Small Business Impact

The data indicates that this contract was not awarded to a small business (ss: false, sb: false). Therefore, there is no direct small business participation evident in this specific award.

Oversight & Accountability

The Department of Labor's Office of the Assistant Secretary for Administration and Management oversees this contract. Standard oversight mechanisms for federal contracts would apply, including performance monitoring and financial reviews.

Related Government Programs

Other Technical and Trade Schools
Department of Labor Contracting
Office of the Assistant Secretary for Administration and Management Programs

Risk Flags

Potential for cost overruns due to CPIF contract type.
Lack of clarity on 'exclusion of sources' impacting competition.
No small business participation in this specific award.
Long contract duration may limit adaptability.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $49.1 million to ODLE MANAGEMENT GROUP, L.L.C.. CONTRACT AWARD FOR THE OPERATION OF THE WHITNEY YOUNG JOB CORPS CENTER IN SIMPSONVILLE, KENTUCKY. CONTRACT HAS A POTENTIAL OF 3 OPTION YEARS. TOTAL POTENTIAL CONTRACT LENGTH IS 5 YEARS.

Who is the contractor on this award?

The obligated recipient is ODLE MANAGEMENT GROUP, L.L.C..

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 $49.1 million.

What is the period of performance?

Start: 2010-10-08. End: 2016-05-31.

What specific services are included in the operation of the Whitney Young Job Corps Center, and how do they align with the contract's objectives?

The contract likely encompasses facility management, student support services, curriculum delivery, career counseling, and job placement assistance. These services are crucial for achieving the Job Corps program's goal of preparing young people for successful careers and further education.

What was the rationale for excluding certain sources during the 'Full and Open Competition' process, and did this exclusion impact the final award price?

The rationale for excluding sources needs further clarification. Typically, exclusions are based on specific technical requirements, security concerns, or unique capabilities. Understanding this rationale is key to assessing whether the competition was truly maximized and if the pricing reflects the best possible value.

How effectively has ODLE Management Group managed similar contracts in the past, and what performance metrics are in place for this contract?

Assessing ODLE Management Group's past performance on similar contracts is essential for evaluating effectiveness. Key performance indicators (KPIs) for this contract should focus on student graduation rates, job placement success, and cost control, ensuring the program meets its intended outcomes efficiently.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 09-JC-REG2-WHIT

Offers Received: 4

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Address: 10605 N HAYDEN RD STE 110, SCOTTSDALE, AZ, 85260

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $758,987,146

Exercised Options: $478,097,426

Current Obligation: $49,113,387

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline