The National Nuclear Security Administration is reopening the Y-12/Pantex procurement in response to a recommendation last week from the Government Accountability Office, which upheld a pair of protests of the agency’s award to Bechtel-led Consolidated Nuclear Security. The NNSA said yesterday that the three bidders—including teams led by Babcock & Wilcox and Jacobs/Fluor, which protested the NNSA’s initial award—for the $22.8 billion combined management and operating contract will receive requests for additional information from the contracting officer “in the coming weeks.” NNSA spokesman Josh McConaha declined to provide further details about what information the agency will be seeking, or how it will reevaluate the new bids.
Last week, the GAO upheld the protests on the grounds that the agency hadn’t adequately analyzed cost savings proposals that were a major part of the proposals, and it suggested that NNSA request more information on the proposed cost savings, and thoroughly evaluate those savings. Consolidated Nuclear Security proposed savings of $3.27 billion, well above the $1.15 billion the NNSA estimated could be saved prior to the procurement. “NNSA remains confident that this procurement will result in substantial savings to the American taxpayer while ensuring the safe and secure operations of these two vital National Security Sites,” McConaha said in a statement. Last week, Bechtel said it would be happy to provide more information about its bid. “We believe that information will affirm that the NNSA made the right decision in picking CNS,” Bechtel spokesman Jason Bohne said. “We weren’t looking just to put a big [cost savings] number out there. There’s a very solid basis in that number and we’re very confident in it.”