Leaders' contract is under protest
By Julia Sellers| South Carolina Bureau
Wednesday, January 23, 2008

AIKEN --- The contract for new management at Savannah River Site is under protest.

The Savannah River Alliance on Tuesday filed a formal protest with the Government Accountability Office against the U.S. Department of Energy for awarding the $4 billion management and operations contract to Savannah River Nuclear Solutions this month.

"The Savannah River Site is of great importance to the nation and local communities, and we hope this appeal will help clarify the basis for any final decision involving this vital national scientific and defense facility," the company said in a statement.

"We are proud of our exemplary record managing the site since 1989, including adapting the site to the changes caused by the end of the Cold War and positioning it for the new environmental and nonproliferation missions the site is taking on in the future. We submitted an extensive and creative proposal staffed with a team that has delivered some of the highest performance records achieved in the industry and would like to thoroughly understand how both were graded in the proposal process," the statement said.

Savannah River Nuclear Solutions, a limited liability corporation, beat Washington Savannah River Co.'s bid to end its 17-year leadership at the site. The Savannah River Alliance is the team established by Washington Savannah River Co. to create the management and operations bid.

Energy Department spokesman Jim Guisti said the department received the appeal but had not announced any further actions. The 90-day transition between the two companies was expected to start Thursday, but it is unclear whether Savannah River Nuclear Solutions can move forward as planned.

Both companies were debriefed by DOE on the contract last week, but because company information is considered proprietary, all records will remain sealed until the contract is finalized.

In an earlier statement, Washington Group International spokesman Jack Hermann said the company -- which owns and operates Washington Savannah River Co. -- was "extremely disappointed" about losing the contract.

The five-year contract was awarded for an annual $800 million with an option to renew for an additional five years in 2012.

Reach Julia Sellers at (803) 648-1395, ext. 106 or julia.sellers@augustachronicle.com.

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