Note: This is a repost of an earlier post removed through a technical error.
The new company selected to manage the Y-12 National Security Complex in Oak Ridge and the Pantex Plant near Amarillo, Texas, has promised to help the federal government save $3.27 billion during the next decade.
But many of the details will have to be announced later, possibly after the NNSA and the new contractor, Consolidated Nuclear Security LLC, or CNS, have had more discussions.
In order to have its contract extended after five years, CNS will have to be on track, at the end of the third year, to achieve 80 percent of the promised savings. Officials at the National Nuclear Security Administration expect a savings of $523 million by the end of the third year.
In a teleconference Tuesday, NNSA officials suggested the savings could be achieved in part by eliminating redundancies in such areas as human resources, purchasing, finance, and information technology.
NNSA officials said they don’t have a previous contract to use as a savings benchmark. This is the NNSA’s first consolidated contract.
Even while delivering the expected savings, though, federal officials expect CNS to operate Y-12 and Pantex safely and securely.
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