Oak Ridge Today

For members: Y-12, Pantex contract extended for two years, $3.8 billion

Posted at
By Leave a Comment

The Y-12 National Security Complex is pictured above. (Photo courtesy CNS Y-12)

The contract to manage and operate the Y-12 National Security Complex in Oak Ridge and Pantex Plant near Amarillo, Texas, has been extended for two years, and the extension is valued at about $3.8 billion, the National Nuclear Security Administration said Wednesday.

More than $500 million in cost savings were verified during the first four years of the consolidated contract, according to the NNSA, which is part of the U.S. Department of Energy and oversees the work at Y-12 and Pantex, among other nuclear weapons sites.

The Y-12 National Security Complex is pictured above. (Photo courtesy CNS Y-12)

 

The contract to manage and operate the Y-12 National Security Complex in Oak Ridge and Pantex Plant near Amarillo, Texas, has been extended for two years, and the extension is valued at about $3.8 billion, the National Nuclear Security Administration said Wednesday.

The rest of this story, which you will find only on Oak Ridge Today, is available if you are a member, a subscriber or advertiser.

Already a member? Great! Thank you! Sign in here.

Not a member? No problem! Subscribe here: Basic

Pro

Temporary

If you prefer to send a check, you may do so by mailing one to:

Oak Ridge Today, P.O. Box 6064, Oak Ridge, TN 37831

Note: Most news stories on Oak Ridge Today are free, brought to you by Oak Ridge Today with help from our advertisers, sponsors, and subscribers. Some are considered premium content. This story is premium content. Premium content can include in-depth, investigative, and exclusive stories. They are generally stories that have required more than four hours to report, write, and publish.

With $3 billion in savings expected, not clear how much saved at Y-12, Pantex so far

Posted at
By Leave a Comment

Y-12 National Security Complex

The Y-12 National Security Complex in Oak Ridge is pictured above. (File photo/B&W Y-12)

 

More than $3 billion in savings are expected during a decade, but it’s not clear yet how much money has been saved after three years under a consolidated contract at two nuclear weapons plants in Tennessee and Texas.

The savings of $3.27 billion are expected under a contract that could last 10 years at the Y-12 National Security Complex in Oak Ridge, Tennessee, and Pantex Plant in Amarillo, Texas.

On Monday, officials said Consolidated Nuclear Security LLC, the contractor at the two sites, has generated significant savings in three fiscal years, although it’s not clear exactly how much they’ve saved. CNS has managed and operated Y-12 and Pantex Plant since July 1, 2014.

Federal officials announced the expected savings of $3.27 billion during a decade when the five-year contract was announced in January 2013. Officials said the consolidated contract, the result of years of work, could save money in part by eliminating redundancies in such areas as human resources, purchasing, finance, and information technology. [Read more…]

Congressmen praise consolidated contract at Y-12, Pantex

Posted at
By 4 Comments

U.S. Representative Mac Thornberry, left, a Texas Republican, and Representative Chuck Fleischmann, a Tennessee Republican, are pictured above after an East Tennessee Economic Council meeting on Friday, Oct. 6, 2017. (Photo by John Huotari/Oak Ridge Today)

U.S. Representative Mac Thornberry, left, a Texas Republican, and Representative Chuck Fleischmann, a Tennessee Republican, are pictured above after an East Tennessee Economic Council meeting on Friday, Oct. 6, 2017. (Photo by John Huotari/Oak Ridge Today)

 

Two congressmen, one from East Tennessee and other the chair of the House Armed Services Committee, praised the consolidated contract that has been used to manage and operate the Pantex Plant in Amarillo, Texas, and the Y-12 National Security Complex in Oak Ridge for more than three years.

The two sites are managed by Consolidated Nuclear Security LLC. Y-12 and Pantex are involved in nuclear weapons work and nuclear nonproliferation, and providing enriched uranium for naval, research, and isotope production reactors.

The transition to the consolidated contract, one of the most complex in the history of the U.S. Department of Energy, was completed on July 1, 2014. At that time, officials said the contract included a total annual operating budget of $1.5 billion and employment of about 8,000 in Tennessee and Texas. [Read more…]

Robbins named deputy manager of NNSA Production Office

Posted at
By Leave a Comment

Teresa M. Robbins

Teresa M. Robbins

Teresa M. Robbins has been named deputy manager for the National Nuclear Security Administration Production Office, or NPO.

In her new role, Robbins is responsible for day-to-day management and tactical execution of NPO activities. NPO is responsible for contract management and technical oversight of the consolidated contract at the Y-12 National Security Complex in Oak Ridge and Pantex Plant in Amarillo, Texas.

“Ms. Robbins has a wealth of technical and project management experience and excellent personnel management skills,” said Steve Erhart, NPO manager. “She is a great addition to the senior executive team in NNSA.”

Robbins has more than 20 years of experience in nuclear facility operations, engineering, safety analysis, maintenance, and risk analysis within the U.S. Department of Energy complex, a press release said. She previously held several leadership positions at NNSA, where she served as the deputy federal project director for the Uranium Processing Facility project, and more recently as acting senior scientific and technical adviser and then as the acting assistant manager for environment, safety, health, and quality for NPO. [Read more…]

CNS begins managing, operating Pantex, Y-12

Posted at
By Leave a Comment

Pantex Plant Aerial February 2008

The Pantex Plant near Amarillo, Texas, is pictured above. (Photo courtesy NNSA)

 

Two nuclear weapons facilities managed under one contract

Consolidated Nuclear Security LLC on Tuesday assumed full responsibility for managing and operating the Pantex Plant in Amarillo, Texas, and Y-12 National Security Complex in Oak Ridge. The two nuclear weapons facilities perform missions vital to national security, CNS said in a press release.

The National Nuclear Security Administration awarded CNS the contract to consolidate the two facilities under a single contract. During a four-month transition that began March 3, the CNS team prepared to integrate and operate both facilities to deliver their critical missions with safety, security, quality, and cost efficiency, the press release said.

During the course of transition, CNS completed more than 3,000 scheduled actions, brought on board 7,800 employees, inspected more than 400 facilities, reviewed and approved more than 5,000 procedures, consulted with dozens of community leaders and elected officials, and established the structure and processes for managing the two sites as one enterprise, the release said. Transition activities were completed on schedule and under budget. [Read more…]

Y-12, Pantex complete transition to new contractor

Posted at
By Leave a Comment

Y-12 Aerial Photo June 2012

The Y-12 National Security Complex in Oak Ridge is pictured above in June 2012. (Photo courtesy NNSA)

 

The National Nuclear Security Administration Production Office and Consolidated Nuclear Security have completed one of the largest and most complex contract transitions in the history of the U.S. Department of Energy.

On July 1, Consolidated Nuclear Security, or CNS, assumed the responsibility for managing and operating the Pantex Plant in Amarillo, Texas, and the Y-12 National Security Complex in Oak Ridge. CNS replaces B&W Y-12, which had operated Y-12 since 2000, and B&W Pantex, which also had operated Pantex since 2000. The contract includes a total annual operating budget of $1.5 billion and employment of about 8,000 in Tennessee and Texas.

Steve Erhart

Steve Erhart

“The new contract will allow NNSA to continue the safe and secure maintenance of the nuclear weapons stockpile; provide enriched uranium for naval, research, and isotope production reactors; and, support nonproliferation activities to reduce the global nuclear threat,” said Steve Erhart, NNSA Production Office manager. “The conclusion of this transition will bring much needed stability to the thousands of men and women who play an important role in our enduring national security mission. All contract transitions create some change and uncertainty. But, throughout this process, the highly skilled professionals at Pantex and Y-12 have remained focused and dedicated to the safe and secure completion of the mission.”

The consolidated contract will yield significant savings to the U.S. taxpayer over the life of the contract as NNSA and CNS develop more efficient ways of doing business, a press release said. A portion of the generated savings are to be reinvested into aging infrastructure at both sites to improve the working conditions for the Pantex and Y-12 workforce. [Read more…]

Consolidated Nuclear Security resuming contract transition at Pantex, Y-12

Posted at
By Leave a Comment

Y-12 National Security Complex Aerial View

The Y-12 National Security Complex in Oak Ridge is pictured above.

Consolidated Nuclear Security LLC has been authorized by the National Nuclear Security Administration to resume its transition to manage and operate the Y-12 National Security Complex in Oak Ridge and Pantex Plant in Amarillo, Texas, the company announced Thursday.

The announcement comes one week after the U.S. Government Accountability Office denied the third and possibly final protest by one of the two teams that unsuccessfully bid on the $22 billion contract to manage the two nuclear weapons plants. The protests had been filed by Nuclear Production Partners LLC, a team led by The Babcock and Wilcox Co., which is currently the lead contractor at Y-12 and Pantex.

The decision to award the consolidated contract to CNS, first announced in January 2013, has now been upheld by the NNSA and GAO, the company said. The five-year contract with the NNSA includes options that could allow the contract to be extended for up to five more years, based upon performance.

“The CNS team submitted a very strong and credible solution for managing and operating the Pantex and Y-12 sites, and we are eager to begin implementing our proposal together with the dedicated employees of Pantex and Y-12,” said Jim Haynes, CNS chief executive officer. “We look forward to partnering with the communities of Amarillo and Oak Ridge.” [Read more…]

GAO denies third protest of $22 billion contract to manage Y-12, Pantex

Posted at
By Leave a Comment

Y-12 National Security Complex Aerial View

Federal officials have denied the third protest by one of the two teams that unsuccessfully bid on a $22 billion contract to manage the Y-12 National Security Complex in Oak Ridge, pictured above, and Pantex Plant near Amarillo, Texas.

Note: This story was updated at 6:45 p.m.

Federal officials have denied the third protest by one of the two teams that unsuccessfully bid on a $22 billion contract to manage the Y-12 National Security Complex in Oak Ridge and Pantex Plant near Amarillo, Texas.

In the protest, Nuclear Production Partners LLC of Lynchburg, Va., had challenged a November decision by the National Nuclear Security Administration to reaffirm its earlier decision, announced in January 2013, to award the consolidated contract to Consolidated Nuclear Security LLC of Reston, Va.

On Thursday, the U.S. Government Accountability Office announced that it had denied the third protest. It’s the final GAO protest, but the case could be appealed to the U.S. Court of Federal Claims in Washington, D.C.

Statistically, that’s not likely; the GAO hears 2,500 protests per year, and the court has about 84. But there is a large amount of money at stake with this contract.

The GAO had upheld one part of an earlier NP2 protest and denied or dismissed three elements of a second. [Read more…]

Officials say little about Monday hearing on Y-12, Pantex contract

Posted at
By Leave a Comment

Y-12 National Security Complex

The Y-12 National Security Complex in Oak Ridge is pictured above.

Officials said little about the federal hearing held Monday to discuss the consolidated but contested contract to manage the Y-12 National Security Complex in Oak Ridge and Pantex Plant near Amarillo, Texas.

The hearing is related to the protest filed by Nuclear Production Partners LLC, or NP2, which has contested the decision to award the contract to Consolidated Nuclear Security LLC of Reston, Va. Originally announced in January 2013, the contract could be worth up to $22.8 billion over a decade.

The hearing had originally been scheduled for Jan. 29, but it was rescheduled. [Read more…]

B&W-led team files new protest on Y-12, Pantex contract

Posted at
By 2 Comments

Y-12 National Security Complex Aerial View

The bidding team led by the Babcock and Wilcox Co. has filed a third protest over the contract to manage and operate the Y-12 National Security Complex in Oak Ridge, pictured above, and the Pantex Plant near Amarillo, Texas. (Photo courtesy B&W Y-12)

CHARLOTTE, N.C.—The bidding team led by the Babcock and Wilcox Co. has filed a third protest over the contract to manage and operate the Y-12 National Security Complex in Oak Ridge and the Pantex Plant near Amarillo, Texas.

B&W announced the protest by the bidding team, Nuclear Production Partners LLC, or NP2, on Wednesday night. It was filed with the U.S. Government Accountability Office.

“This protest encompasses concerns identified in NP2’s June 17, 2013, protest of the revised Request for Proposals,” a B&W press release said. “The protest also reflects information received during the National Nuclear Security Administration’s debriefing session held on November 15.”

The June protest was the second filed by NP2, of Lynchburg, Va. The company had also filed one after the National Nuclear Security Administration announced in January that it had selected Consolidated Nuclear Security LLC of Reston, Va., to manage the two nuclear weapons plants. [Read more…]

Depending on protests, transition to new Y-12, Pantex contractor could start in November

Posted at
By Leave a Comment

Y-12 National Security Complex Sign

The transition to a new contractor at the Y-12 National Security Complex in Oak Ridge and Pantex Plant near Amarillo, Texas, could start later this month—after the period for protests is over, federal officials said Friday afternoon.

The transition to a new contractor at the Y-12 National Security Complex in Oak Ridge and Pantex Plant near Amarillo, Texas, could start later this month—after the period for protests is over, federal officials said Friday afternoon.

The protest period ends around Nov. 25, the National Nuclear Security Administration said. The transition could start the day after the protest period ends and last four months, but the NNSA will ask the new contractor, Consolidated Nuclear Security LLC of Reston, Va., to complete the transition quicker if possible.

It’s not clear yet if the two teams that submitted unsuccessful bids will lodge new protests. There have already been two rounds of protests over the contract, which could be worth up to $22.8 billion during a 10-year period, and they have delayed the transition. The NNSA said it will not speculate on the possibility of any new protests. [Read more…]

NNSA reaffirms decision to have CNS manage, operate Y-12, Pantex

Posted at
By Leave a Comment

Y-12 National Security Complex Aerial View


The National Nuclear Security Administration on Friday reaffirmed its January decision to pick Consolidated Nuclear Security LLC to manage and operate the Y-12 National Security Complex in Oak Ridge and the Pantex Plant near Amarillo, Texas.

The National Nuclear Security Administration on Friday reaffirmed its January decision to pick Consolidated Nuclear Security LLC  to manage and operate the Y-12 National Security Complex in Oak Ridge and Pantex Plant near Amarillo, Texas.

That earlier decision, announced almost 10 months ago, had been challenged in two rounds of bid protests. Those protests delayed the transition to a new contractor, and it wasn’t clear Friday if the NNSA’s new decision might also be challenged.

The five-year extendable contract, which could be worth up to $22.8 billion over 10 years, includes project management of the Uranium Processing Facility at Y-12 and an unexercised option for Savannah River Tritium Operations at the Savannah River Site near Aiken, S.C.

“Our nuclear production capabilities are critical to our national security, and CNS represents the best value to the government as evidenced by its superior technical and management approach and its lower evaluated cost,” NNSA Acting Administrator Bruce Held said. “Additionally, this award puts NNSA in a position to improve mission delivery by focusing on improving the way we operate, saving taxpayer dollars, and aligning ourselves for the future.” [Read more…]