Appeal filed over $4 billion Hanford contract. More uncertainty for 2,000 workers
The award of a $4 billion Hanford contract for sitewide services has been appealed to the Government Accounting Office, delaying the transition to a new contractor.
The appeal was filed by Hanford Integrated Infrastructure Services Contractor, which is a subsidiary of Huntington Ingalls Industries, according to U.S. Securities and Exchange Commission filing.
GAO is required to rule on the appeal, called a bid protest, by April 22.
The current contract for the work expires May 25, which includes a four-month transition to the new contract.
On Dec. 16 the Department of Energy announced it was awarding the 10-year contract for site services to a company with much of the same ownership as the company with the expiring contract at Hanford.
DOE awarded the new contract to Mission Integration Solutions, which is owned by Leidos Integrated Technology of Maryland, Centerra Group of Florida and Parsons Government Services of California.
Sitewide services are now being done by Mission Support Alliance, which employs about 1,950 people. It is owned by Leidos and Centerra.
It had a 10-year contract that has been extended for up to six months through May 25, in part, to allow for the transition to the new contractor. The transition would need to start this month to meet that schedule.
Huntington Ingalls Industries is a large military shipbuilding company and also provides professional services to government and industry. It is based in Newport News, Va.
The GAO did not make public the bid protest documents that was filed.
100 days for GAO protest decision
It has a deadline to decide the bid protest within 100 calendar days, but its goal is to make a decision as soon as possible, according to information on its website.
It initially has 30 days to provide a report addressing protest arguments, unless the protest is dismissed sooner for procedural reasons.
The GAO will take comments from the company filing the appeal and then may request more filings, conduct an alternative dispute resolution or hold a hearing.
There were three bidders for the new sitewide services contract and the third bidder, who has not been made public by DOE, also could file a bid protest.
Companies who bid on the sitewide services contract were not allowed to bid on two other large contracts at Hanford to prevent a conflict of interest because it provides services used by environmental cleanup contracts.
The new contract covers primarily the services now provided by Mission Support Alliance that are needed to operate the 580-square-mile site in Eastern Washington.
The Hanford nuclear reservation produced plutonium for the nation’s nuclear weapons program from World War II through the Cold War.
About $2.5 billion is spent annually on cleanup of extensive radioactive and hazardous chemical contamination and waste.
Services provided by Mission Support Alliance include security, fire and emergency services, land management, utilities, road services, management of the HAMMER training center and information technology.
Among the work included in the new contract is improving infrastructure to support the $17 billion Waste Treatment Plant, or vitrificaiton plant, at the the Hanford site. The plant is required to start operating to treat radioactive waste in 2023.
The contract also includes some new work — providing assistance to DOE in soliciting and administering federal small business contracts at Hanford. Those contracts are separate from the small business subcontracts awarded by DOE’s prime contractors.
New contractors typically hire most of the workers of the past contractor but bring in a new management team. Mission Support Alliance posted a transition webpage, which is not public, a month ago to answer its employees’ questions.
This story was originally published January 15, 2020 at 12:17 PM.