Department of Labor Awards $81.9M for Job Corps Vocational Training in Hawaii
Contract Overview
Contract Amount: $81,944,710 ($81.9M)
Contractor: Management & Training Corporation
Awarding Agency: Department of Labor
Start Date: 2012-04-26
End Date: 2017-04-30
Contract Duration: 1,830 days
Daily Burn Rate: $44.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS INCENTIVE FEE
Sector: Other
Official Description: JOB CORPS IS A VOCATIONAL TRAINING PROGRAM FOR YOUTH BETWEEN THE AGES OF 16 AND 24. THIS IS THE INITIAL CONTRACT.
Place of Performance
Location: WAIMANALO, HONOLULU County, HAWAII, 96795
State: Hawaii Government Spending
Plain-Language Summary
Department of Labor obligated $81.9 million to MANAGEMENT & TRAINING CORPORATION for work described as: JOB CORPS IS A VOCATIONAL TRAINING PROGRAM FOR YOUTH BETWEEN THE AGES OF 16 AND 24. THIS IS THE INITIAL CONTRACT. Key points: 1. The contract is for vocational training services for youth aged 16-24. 2. This is an initial contract, suggesting potential for future growth or adjustments. 3. The award was made under full and open competition, indicating a competitive bidding process. 4. The contract type is Cost Plus Incentive Fee (CPIF), which incentivizes cost control and performance.
Value Assessment
Rating: fair
The contract value of $81.9M over approximately 5 years for vocational training is substantial. Benchmarking against similar large-scale youth training programs would be necessary to fully assess its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. The CPIF structure allows for shared savings if costs are below target, potentially benefiting the government.
Taxpayer Impact: Taxpayer funds are being used for youth vocational training, aiming to improve employability and future earnings potential for participants.
Public Impact
Provides job training and career development opportunities for young people. Aims to reduce unemployment and underemployment among youth. Supports the development of a skilled workforce for various industries.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Initial contract with potential for scope creep or cost overruns.
- CPIF contracts require careful monitoring of costs and performance metrics.
- Effectiveness of vocational training programs can vary.
Positive Signals
- Addresses a critical need for youth employment and skills development.
- Awarded through full and open competition, suggesting competitive pricing.
- Incentive fee structure encourages cost efficiency.
Sector Analysis
This contract falls under the 'Other Technical and Trade Schools' category, which is part of the broader education and training sector. Spending in this sector is driven by government initiatives to improve workforce development and address skill gaps.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The Department of Labor, specifically the Office of the Assistant Secretary for Administration and Management, is responsible for overseeing this contract. Standard government oversight mechanisms for cost-plus contracts would apply.
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 in a CPIF contract.
- Effectiveness of vocational training can be difficult to measure and sustain.
- Reliance on initial contract data without performance history.
- Limited information on small business subcontracting.
Tags
other-technical-and-trade-schools, department-of-labor, hi, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Labor awarded $81.9 million to MANAGEMENT & TRAINING CORPORATION. JOB CORPS IS A VOCATIONAL TRAINING PROGRAM FOR YOUTH BETWEEN THE AGES OF 16 AND 24. THIS IS THE INITIAL CONTRACT.
Who is the contractor on this award?
The obligated recipient is MANAGEMENT & TRAINING CORPORATION.
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 $81.9 million.
What is the period of performance?
Start: 2012-04-26. End: 2017-04-30.
What is the expected return on investment for this Job Corps program in terms of participant employment rates and future earnings?
The return on investment for the Job Corps program is typically measured by increased employment rates and higher lifetime earnings for participants compared to a control group. While specific ROI figures for this Hawaii contract are not provided, national Job Corps data generally shows positive outcomes. A thorough analysis would require tracking participant success post-training and comparing it to baseline data.
What are the key performance indicators (KPIs) and incentive mechanisms within the Cost Plus Incentive Fee (CPIF) structure for this contract?
The CPIF contract likely includes specific KPIs related to training completion rates, job placement success, and potentially participant satisfaction. The incentive mechanisms would tie a portion of the contractor's fee to achieving or exceeding these targets, rewarding efficiency and effectiveness while sharing cost savings if expenditures fall below projections.
How does the cost per participant in this contract compare to other similar vocational training programs administered by the Department of Labor or other federal agencies?
Benchmarking the cost per participant against similar programs is crucial for assessing value. Without specific per-participant cost data and comparative program information, it's difficult to definitively state if this contract is cost-effective. Factors like program intensity, services offered, and regional economic conditions can influence per-participant costs.
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: DOLJ11SA00012
Offers Received: 1
Pricing Type: COST PLUS INCENTIVE FEE (V)
Evaluated Preference: NONE
Contractor Details
Address: 500 N MARKET PLACE DR STE 100, CENTERVILLE, UT, 84014
Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $111,771,818
Exercised Options: $82,396,238
Current Obligation: $81,944,710
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2012-04-26
Current End Date: 2017-04-30
Potential End Date: 2017-04-30 00:00:00
Last Modified: 2024-02-15
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