Feds deny appeal of $4B Hanford contract. But coronavirus could delay it

The Government Accountability Office has denied an appeal of the Department of Energy’s award of a $4 billion contract for sitewide services at the Hanford nuclear reservation to Mission Integration Solutions.

Proceeding with transition from the expiring Mission Support Alliance contract to the new 10-year contract was on hold until the GAO ruled on a protest filed by a subsidiary of Huntington Ingalls Industries.

However, now the new coronavirus pandemic may be an issue.

Hanford employee were sent an announcement Thursday morning informing them of the GAO’s decision.

“The department will evaluate when to commence the transition to the new contractor in light of the current pandemic,” the announcement said.

A 120-day transition period between the old and new contract is planned.

Last month DOE said it was extending Mission Support Alliance’s contract, which was set to expire May 25, through November 25. It also planned to put in place an option to extend the contract an additional six months, if needed, until May 25, 2021.

Mission Support Alliance, which employs nearly 2,000 workers, was awarded a 10-year contract, but is now close to completing its 11th year of work at Hanford under contract extensions.

Leidos, Centerra and Parsons

The new contractor picked by DOE shares much the same ownership.

New contractor Hanford Mission Integration Solutions is owned by Leidos Integrated Technology of Maryland, Centerra Group of Florida and Parsons Government Services of California.

Outgoing contractor Mission Support Alliance is owned by Leidos and Centerra.

It provides services including security, fire and emergency services, land management, utilities, road services, management of the HAMMER training center and information technology.

The new contract also will include improving infrastructure to support the $17 billion Waste Treatment Plant, or vitrification plant, at the Hanford site. The plant is required to start operation 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.

Leidos issued statement on behalf of Hanford Mission Integrated Solutions Thursday afterooon, saying it was looking forward to accelerating Hanford cleanup and saving the federal government money.

Environmental cleanup is underway at Hanford, which was left contaminated with radioactive and hazardous chemical waste from the past production of plutonium for the nation’s nuclear weapons program.

“The Tri-Cities region is home to tremendous talent and resources and we are pleased to be a part of this community,” said Jim Moos, president of the Leidos Civil Group.

New contractors typically hire most of the workers of the past contractor, but bring in a new management team.

Neither the details of the bid protest nor the details of the GAO have been made public.

The protest is covered by a protective order, which means some details will be redacted before the decision is made public, possibly within a few weeks.

This story was originally published April 23, 2020 at 12:56 PM.