Department of Labor awards $10.1M contract for Brunswick Job Corps Center operations, highlighting a long-term commitment to workforce development

Contract Overview

Contract Amount: $10,145,696 ($10.1M)

Contractor: Workforce Innovation, Florida Agency for

Awarding Agency: Department of Labor

Start Date: 2003-10-01

End Date: 2008-11-30

Contract Duration: 1,887 days

Daily Burn Rate: $5.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS INCENTIVE

Sector: Other

Official Description: OPERATE THE BRUNSWICK JOB CORPS CENTER

Place of Performance

Location: TALLAHASSEE, LEON County, FLORIDA, 32399

State: Florida Government Spending

Plain-Language Summary

Department of Labor obligated $10.1 million to WORKFORCE INNOVATION, FLORIDA AGENCY FOR for work described as: OPERATE THE BRUNSWICK JOB CORPS CENTER Key points: 1. The contract's cost-plus-incentive structure aims to align contractor performance with program goals, potentially driving efficiency. 2. With a duration of over 5 years, this represents a significant investment in sustained workforce training services. 3. The award to Workforce Innovation, Florida Agency for suggests a focus on leveraging regional expertise for program delivery. 4. The absence of small business set-aside indicates a focus on large-scale operational capabilities for this center. 5. The contract's value, while substantial, needs to be benchmarked against similar Job Corps center operations for a full value assessment.

Value Assessment

Rating: fair

The contract value of $10.1 million over approximately five years for operating a Job Corps center appears within a reasonable range for such services. However, a precise value-for-money assessment requires benchmarking against the operational costs of other Job Corps centers, considering variations in student populations, facility size, and service offerings. The cost-plus-incentive fee structure suggests an attempt to incentivize performance, but the ultimate cost-effectiveness will depend on the achieved outcomes and the efficiency of operations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. With three bidders, the competition level suggests a reasonable market interest in providing these services. This competitive process should have contributed to price discovery and potentially secured a more favorable price for the government compared to a sole-source or limited competition award.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to better pricing and service quality, ensuring that government funds are used efficiently.

Public Impact

The primary beneficiaries are the young individuals seeking vocational training and employment opportunities through the Job Corps program. The contract ensures the continued operation of the Brunswick Job Corps Center, providing essential workforce development services. Services delivered include career training, education, job placement assistance, and life skills development. The geographic impact is focused on the region served by the Brunswick Job Corps Center in Florida, supporting local workforce needs. Workforce implications include the creation and maintenance of jobs for instructors, administrative staff, and support personnel at the center.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The cost-plus-incentive fee structure can sometimes lead to higher costs if not carefully managed and monitored.
Long-term contracts require ongoing vigilance to ensure continued performance and value for taxpayer money.
The specific performance metrics and incentive triggers within the contract are crucial for assessing its effectiveness.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process that likely yielded a fair price.
The contract duration indicates a commitment to sustained service delivery, providing stability for the program and participants.
The focus on workforce innovation aligns with national priorities for economic development and job creation.

Sector Analysis

The contract falls within the broader education and training services sector, specifically focusing on vocational and technical education. The Job Corps program is a significant federal initiative aimed at preparing young people for careers. Comparable spending benchmarks would involve analyzing the operating costs of other Job Corps centers across the nation, as well as other government-funded workforce development programs. The market for operating such centers is typically comprised of educational institutions, non-profit organizations, and specialized government contractors.

Small Business Impact

The contract does not appear to include specific small business set-asides, which is common for large-scale operational contracts of this nature. The prime contractor, Florida Agency for Workforce Innovation, is likely a state entity or a large organization capable of managing such a facility. Subcontracting opportunities may exist for specialized services, but the primary focus is on the overall operation of the center. The impact on the small business ecosystem would depend on the extent to which the prime contractor engages small businesses for support services.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Labor's Employment and Training Administration. Mechanisms likely include regular performance reviews, financial audits, and adherence to program-specific reporting requirements. Accountability is ensured through the contract's performance standards and the incentive fee structure. Transparency is typically managed through contract award databases and public reporting on program outcomes. Inspector General jurisdiction would apply to investigations of fraud, waste, or abuse.

Related Government Programs

Job Corps Program
Workforce Innovation and Opportunity Act (WIOA) Programs
Department of Labor Training Grants
Vocational Rehabilitation Services

Risk Flags

Contract duration exceeds 5 years.
Cost-plus-incentive fee structure requires careful monitoring.
Performance metrics for incentive fee not specified.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $10.1 million to WORKFORCE INNOVATION, FLORIDA AGENCY FOR. OPERATE THE BRUNSWICK JOB CORPS CENTER

Who is the contractor on this award?

The obligated recipient is WORKFORCE INNOVATION, FLORIDA AGENCY FOR.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $10.1 million.

What is the period of performance?

Start: 2003-10-01. End: 2008-11-30.

What is the historical spending trend for operating the Brunswick Job Corps Center?

Historical spending data for the Brunswick Job Corps Center prior to this award is not directly available in the provided data. However, the contract's duration of 1887 days (approximately 5.17 years) and a total value of $10,145,696 suggests an average annual expenditure of roughly $1.96 million. This figure represents the government's investment in operating the center. To understand historical trends, one would need to examine previous contracts for this specific center, looking at award amounts, contract types, and durations over time. Analyzing these past awards would reveal patterns in spending, potential cost increases or decreases, and shifts in contracting strategies for the center's operation.

How does the cost-plus-incentive fee structure compare to other Job Corps center contracts?

The cost-plus-incentive (CPIF) fee structure is one of several contract types used for Job Corps centers. CPIF contracts aim to motivate the contractor to control costs by establishing target costs, target fees, and a fee-sharing formula. If the final cost is below the target, both the government and contractor share in the savings; if above, they share in the overruns. This structure is often chosen when the level of uncertainty in costs is moderate. Compared to fixed-price contracts, CPIF can offer more flexibility but may result in higher final costs if performance targets are not met efficiently. Fixed-price-incentive-fee (FPIF) or cost-reimbursement contracts with fixed fees are other common structures. The appropriateness of CPIF depends on the specific risks and desired outcomes for the Brunswick center.

What are the key performance indicators (KPIs) tied to the incentive fee for this contract?

The provided data does not specify the key performance indicators (KPIs) linked to the incentive fee for this contract. In a typical Job Corps center operation contract with a CPIF structure, KPIs would likely focus on critical program outcomes and operational efficiencies. These could include metrics such as student graduation rates, job placement rates for graduates, student retention rates, average time to placement, student satisfaction surveys, and adherence to budget targets. The incentive fee would be adjusted based on the contractor's performance against these pre-defined targets, encouraging them to excel in areas deemed most important by the Department of Labor.

What is the track record of Workforce Innovation, Florida Agency for in managing federal contracts, particularly Job Corps centers?

The provided data indicates that Workforce Innovation, Florida Agency for is the contractor for operating the Brunswick Job Corps Center. However, it does not offer specific details about their track record with federal contracts, including past performance on other Job Corps centers or similar workforce development initiatives. A comprehensive assessment of their track record would require reviewing their contract history, performance evaluations from previous awards, any past performance issues or commendations, and their experience managing large-scale government programs. This information is typically available through federal procurement databases and agency performance reports.

How does the total contract value of $10.1M compare to the average cost per student for Job Corps centers?

The total contract value of $10.1 million over approximately 5.17 years for the Brunswick Job Corps Center translates to an average annual operating cost of roughly $1.96 million. To compare this to the average cost per student, we would need to know the center's student capacity and average enrollment. Job Corps centers vary significantly in size and the services they offer, impacting per-student costs. National averages for Job Corps can range from $15,000 to over $25,000 per student per year, depending on the source and specific program components. Without the student enrollment figures for Brunswick, a direct per-student cost comparison is not feasible, but the total annual expenditure provides a basis for understanding the scale of the operation.

What are the potential risks associated with operating a Job Corps center under a cost-plus-incentive fee contract?

Operating a Job Corps center under a Cost-Plus-Incentive Fee (CPIF) contract presents several potential risks. Firstly, the 'cost-plus' nature means the government ultimately reimburses the contractor's allowable costs, which could exceed initial estimates if not managed tightly. While the 'incentive' component aims to control costs, poorly defined targets or metrics can lead to suboptimal performance or unintended consequences. There's a risk that the contractor might focus on achieving easily measurable metrics rather than the most impactful outcomes for students. Furthermore, the complexity of CPIF contracts requires robust government oversight to ensure costs are reasonable and performance is genuinely incentivized. If the incentive structure isn't perfectly aligned with program goals, it could lead to inefficiencies or a focus on quantity over quality of services.

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

Offers Received: 3

Pricing Type: COST PLUS INCENTIVE (V)

Contractor Details

Parent Company: State of Florida (UEI: 004078374)

Address: 107 E. MADISON ST STE 100 CALDWELL, TALLAHASSEE, FL, 02

Business Categories: Category Business, Government, Not Designated a Small Business, U.S. Regional/State Government

Financial Breakdown

Contract Ceiling: $10,185,910

Exercised Options: $10,145,696

Current Obligation: $10,145,696

Timeline