Department of Labor's $60.3M Job Corps Center Contract with MINACT, Inc. Awarded via Full and Open Competition
Contract Overview
Contract Amount: $60,336,967 ($60.3M)
Contractor: Minact, Inc
Awarding Agency: Department of Labor
Start Date: 2011-10-01
End Date: 2021-10-01
Contract Duration: 3,653 days
Daily Burn Rate: $16.5K/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 ST. LOUIS JOB CORPS CENTER IN ST. LOUIS, MISSOURI
Place of Performance
Location: SAINT LOUIS, SAINT LOUIS CITY County, MISSOURI, 63120
State: Missouri Government Spending
Plain-Language Summary
Department of Labor obligated $60.3 million to MINACT, INC for work described as: OPERATION OF THE ST. LOUIS JOB CORPS CENTER IN ST. LOUIS, MISSOURI Key points: 1. The contract spans 10 years, indicating a long-term commitment to services. 2. MINACT, Inc. is the sole awardee, raising questions about ongoing competition. 3. The Cost Plus Incentive Fee (CPIF) structure suggests performance-based incentives. 4. The sector is education/training, crucial for workforce development.
Value Assessment
Rating: fair
The contract value of $60.3M over 10 years averages $6.03M annually. Benchmarking against similar large-scale training center operations is difficult without more specific service details, but the duration suggests a significant investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, which is positive for price discovery. However, the single awardee over a decade may indicate limited subsequent competition or a highly specialized provider.
Taxpayer Impact: Taxpayer funds are supporting workforce development, aiming for a positive return through improved employment outcomes for participants.
Public Impact
Supports workforce development and training for disadvantaged youth. Potential impact on local employment in St. Louis through center operations. Success of the program directly affects the employability of its graduates.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration without clear re-competition points.
- CPIF contracts can lead to cost overruns if not managed tightly.
- Lack of small business participation noted.
Positive Signals
- Awarded via full and open competition.
- Focus on critical workforce development.
Sector Analysis
This contract falls within the education and training sector, specifically vocational and technical schools. Benchmarks for similar large-scale, multi-year government training contracts are scarce, but the scale suggests a significant operational footprint.
Small Business Impact
The data indicates that small business participation was not a factor in this award (ss: false, sb: false). This suggests the prime contractor is likely a large entity, and there's no explicit requirement or achievement for subcontracting to small businesses.
Oversight & Accountability
The Department of Labor's Office of the Assistant Secretary for Administration and Management is responsible for this contract. Oversight would focus on program delivery, participant outcomes, and financial management, especially given the CPIF structure.
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 creep due to CPIF structure.
- Lack of demonstrated small business utilization.
- Long contract duration may reduce competitive pressure.
- Need for clear performance metrics and oversight.
Tags
other-technical-and-trade-schools, department-of-labor, mo, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Labor awarded $60.3 million to MINACT, INC. OPERATION OF THE ST. LOUIS JOB CORPS CENTER IN ST. LOUIS, MISSOURI
Who is the contractor on this award?
The obligated recipient is MINACT, 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 $60.3 million.
What is the period of performance?
Start: 2011-10-01. End: 2021-10-01.
What specific training programs and services are provided under this contract, and how do they align with current labor market demands?
The contract covers the operation of the St. Louis Job Corps Center, which typically provides vocational training, education, and support services to disadvantaged youth. Alignment with labor market demands would depend on the specific curriculum, industry partnerships, and graduate placement rates, which are not detailed in the provided data.
What are the key performance metrics and incentive targets within the Cost Plus Incentive Fee (CPIF) structure, and how has MINACT, Inc. performed against them?
CPIF contracts link contractor profit to achieving specific performance goals. For this contract, metrics could include student graduation rates, job placement success, or cost control. Performance against these targets would determine the 'incentive fee' portion of the payment, requiring access to contract performance reports for a full assessment.
Given the 10-year duration, what mechanisms are in place to ensure the Job Corps Center remains relevant and effective in a changing economic and technological landscape?
Long-term contracts often include provisions for periodic reviews, scope adjustments, or modifications to curriculum based on evolving needs. However, without specific details on contract modification clauses or scheduled performance reviews, it's difficult to assess the built-in adaptability of this agreement to future changes.
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: DOLJ12RA00037
Offers Received: 1
Pricing Type: COST PLUS INCENTIVE FEE (V)
Evaluated Preference: NONE
Contractor Details
Address: 5220 KEELE ST, JACKSON, MS, 39206
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $284,883,364
Exercised Options: $152,178,001
Current Obligation: $60,336,967
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2011-10-01
Current End Date: 2021-10-01
Potential End Date: 2021-10-01 00:00:00
Last Modified: 2021-09-30
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