PARSONS AND DOE STILL SEEKING RESOLUTION IN PROVISIONAL FEE DISPUTE

More than four months after the original request, the Department of Energy has yet to resolve a dispute over the return of about $20 million in provisional fee paid to Salt Waste Processing Facility contractor Parsons. DOE first asked for the return of the fee in an April 10 letter, stating that Parsons was set to breach its cost ceiling. However, the contractor balked at returning the fee, claiming that DOE did not have a legal basis for the recovery. The Department originally gave a deadline of mid-June, threatening to otherwise withhold payments on contractor invoices. After that date passed without repayment, DOE gave a July 16 deadline, while giving Parsons the option to formally dispute the demand. But yesterday DOE Savannah River spokesman Jim Giusti said the issue is still being negotiated and that DOE plans to complete a review of the project in the early fall. “Discussions are ongoing on everything,” Giusti said, declining to comment further.