Department of Labor awards $20.6M contract for technical and trade schools to Management & Training Corporation

Contract Overview

Contract Amount: $20,658,905 ($20.7M)

Contractor: Management & Training Corporation

Awarding Agency: Department of Labor

Start Date: 2014-01-31

End Date: 2016-01-31

Contract Duration: 730 days

Daily Burn Rate: $28.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Other

Official Description: IGF::OT::IGF

Place of Performance

Location: CHICAGO, COOK County, ILLINOIS, 60623

State: Illinois Government Spending

Plain-Language Summary

Department of Labor obligated $20.7 million to MANAGEMENT & TRAINING CORPORATION for work described as: IGF::OT::IGF Key points: 1. Contract awarded to Management & Training Corporation for technical and trade school services. 2. The contract was awarded under full and open competition. 3. The contract type is Cost Plus Incentive Fee. 4. The contract duration is 730 days.

Value Assessment

Rating: fair

The contract value of $20.6 million over two years suggests a moderate investment. Without specific performance metrics or comparable contract data, assessing the value for money is challenging. The Cost Plus Incentive Fee structure implies a focus on achieving specific outcomes, but the baseline for 'incentive' is not detailed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating a robust process for soliciting bids. This method generally promotes competitive pricing and allows for a wider range of potential contractors to participate, potentially leading to better price discovery.

Taxpayer Impact: The use of full and open competition is a positive sign for taxpayer value, as it aims to secure the best possible pricing through market forces.

Public Impact

Provides technical and trade school services, potentially impacting workforce development and individual career paths. The contract supports the Department of Labor's mission in education and training. Awarded to a single contractor, Management & Training Corporation, for services in Illinois.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Incentive Fee structure requires careful monitoring to ensure cost control and effectiveness.
Lack of detailed performance metrics makes it difficult to assess the true value and impact.
Geographic focus on Illinois may limit broader applicability or scalability of services.

Positive Signals

Awarded under full and open competition, suggesting a fair and competitive process.
Contract duration of two years allows for sustained service delivery.
The contract aims to provide technical and trade education, contributing to workforce development.

Sector Analysis

The contract falls under 'Other Technical and Trade Schools' (NAICS 611519), a sector focused on vocational training. Spending in this sector can vary widely based on government needs for specific skill development programs. Benchmarks are difficult without knowing the specific skills being taught.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or partners in this contract. Further investigation would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight would focus on ensuring Management & Training Corporation meets the performance standards outlined in the Cost Plus Incentive Fee contract. The Department of Labor's Office of the Assistant Secretary for Administration and Management is responsible for this contract's administration.

Related Government Programs

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

Risk Flags

Cost Plus Incentive Fee contracts can lead to higher costs if not managed tightly.
Lack of specific performance metrics makes value assessment difficult.
Limited geographic scope (Illinois) may not address national training needs.
No information on small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $20.7 million to MANAGEMENT & TRAINING CORPORATION. IGF::OT::IGF

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 $20.7 million.

What is the period of performance?

Start: 2014-01-31. End: 2016-01-31.

What specific technical and trade skills are being taught under this contract, and how do they align with current labor market demands?

The provided data does not specify the exact technical and trade skills covered. To assess alignment with labor market demands, a detailed review of the contract's statement of work and consultation with labor market analysts would be necessary. Understanding the curriculum and target industries is crucial for evaluating the program's effectiveness in preparing individuals for employment.

How is the 'incentive' component of the Cost Plus Incentive Fee structured, and what are the key performance indicators (KPIs) that trigger these incentives?

The data does not detail the incentive structure or KPIs. Typically, for a Cost Plus Incentive Fee contract, incentives are tied to achieving specific performance targets, such as completion rates, job placement success, or cost savings. A thorough review of the contract's terms and conditions would be required to understand these specific metrics and how they influence the final cost.

What is the historical performance record of Management & Training Corporation with similar government contracts, particularly regarding cost overruns or unmet objectives?

Historical performance data for Management & Training Corporation is not included in the provided dataset. To assess this risk, a review of past contract performance evaluations, any reported issues or disputes, and the company's track record with the Department of Labor or other federal agencies would be necessary. This information is vital for understanding potential risks associated with this award.

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

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, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $26,971,939

Exercised Options: $20,658,905

Current Obligation: $20,658,905

Actual Outlays: $166,863

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline